3 More Reasons Low-Cost Airlines Remain Profitable While Offering Affordable Air Fares

The list goes on.

1# Bulk orders

A single, Store fresh Airbus A320 aircraft can cost at least 100,000,000 US $!

Airlines therefore buy many airplanes (Airbus or otherwise) in one go, often in the double or even triple digits. This enables them to obtain a significant discount from the manufacturer. Thus lowering aircraft purchase costs significantly.

2# Aircraft utilisation

Low-cost airlines work their aircraft more. More flights in a day. This means more flying which translates to more paying passengers and less time spent empty on the ground paying airport fees.

#3 Low Turnaround times

High aircraft utilization is enabled because low-cost operators have mastered the art of cutting turnaround time in half. Instead of an hour-long wait on the ground to disembark passengers, clean, refuel, reboard, and depart, low-cost airlines do it in 25–30 minutes! This allows squeezing in a couple of extra flights a day, sometimes even more.

How do they do this? I’ll discuss that soon in a future post.