Monday, May 21, 2007

Another low fare startup -- Skybus

I did not realize that yet another low-cost airline is poised to enter the market. Skybus, based out of Columbus, OH is implementing the really, really, really super-cheap air fare. They'll be trying a business model that totally pushes the boundary regarding costs. Here's the premise -- travelers will forego any and all luxuries (even essentials) IF they can get a lower price. Are they right? I'm guessing yes.

So Skybus will charge for luggage ($5 for the first two bags, then $50), preassigned seats (an extra $10), food/pillow/blanket (you pay for it), no reservation agents (just a web site), only non-refundable tickets, and many of their destinations are non-prime airports (Richmond, Greensboro) which I think is their biggest obstacle. Their airplanes are all Airbus 319s, which I think have very cramped seating.

Still, it might just work. You know right up front
what you're getting (and what you're not). It will certainly be an interesting summer in the airline industry.

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