You can try to do it. Let's see what you get from starting with providing only long haul flights. Be mind that long haul flight has to be at least 5000km (as in AS world).
After that, you can start up with another normal airline, which providing short haul flights at first, then longer haul flights. You can observe what is the difference between different start up especially your feeder network.
For long haul flights, it is advised to use new airliners such as A330, B777 and B787. Aircraft like B739 can do slightly longer haul flights with suitable seat configuration.
Forget it. You need to start on regional and short haul routes with Dash 8's and build up your fleet and reputation. But if you go ahead I wish you luck, I'm sure the task is not impossible.
Forget it. You need to start on regional and short haul routes with Dash 8's and build up your fleet and reputation. But if you go ahead I wish you luck, I'm sure the task is not impossible.
My latest and most successful venture so far started (coming up on one week now) with 4 B737-700 HGW's, 3 B767-200's, and 2 B767-200ER's. (The 737's average about 4.5 years old, but the 767's average about 27 years old.)
I used the 737's and the 767-200's the set up regional/national flights (US based) that cover about half the country. I had set up the 200ER's for two international flights, but they just weren't cutting it without a network, so I cancelled the lease.
Right now, because I leased my way down to about $30K, I'm still unsure whether I'll reach my needed $898K by Friday morning to pay my employees and all my leases. I think I will, but I'm not sure. Every single flight I'm running is at 100% load, and I've already had to raise the price once. Next week I'm going to refit the planes with non-standard seats so I can raise the price again (didn't even have money for a new seating configuration).
Honestly I wish there was a newer replacement for the 767's that could operate medium routes efficiently with over 250 passengers. But that's for the future I guess. The planes that would do that either aren't available for lease, or would have leased for half my starting money (on an already active server $10 million is REALLY HARD to start with! :D
Did you look into the Airbus A300-600? I don´t know the numbers off the top of my head, but it should offer similar passenger count at pretty much the same cost while being cheaper to lease than a 767. Lufthansa used to heavily run that type up until just a few years ago just within Europe on short and medium routes. It was nicknamed "Kontschaufel" (Continental shovel) because Lufthansa used it to shovel large amounts of passengers around its hubs.
So yeah, maybe it works for you as well. Run the numbers and see if it might work for you. :)
Did you look into the Airbus A300-600? I don´t know the numbers off the top of my head, but it should offer similar passenger count at pretty much the same cost while being cheaper to lease than a 767. Lufthansa used to heavily run that type up until just a few years ago just within Europe on short and medium routes. It was nicknamed "Kontschaufel" (Continental shovel) because Lufthansa used it to shovel large amounts of passengers around its hubs.
So yeah, maybe it works for you as well. Run the numbers and see if it might work for you. :)
At least on Devau, I got the 767-200s for a $37k lease... the cheapest A300 I see is $59k. I make enormous profits right now on those 767's because of how little the lease is and how many people they can carry and how many flights they can run.
Wow... so yeah, this 762 + 73G strategy for a start is really nice. I should be able to grow it pretty quickly, and will definitely be able to make all my leases, all my overhead, and turn about a 15% margin my first week and a 25% margin my second. I just wish I had about 10 extra planes right now because a bunch of slots opened up in a place I want to make a secondary hub.
will definitely be able to make all my leases, all my overhead, and turn about a 15% margin my first week and a 25% margin my second.
Not bad at all. It took me three weeks just to break even (granted, in a very competitive market and on a full server, but still), so it looks like you have found a nice niche there.
Not bad at all. It took me three weeks just to break even (granted, in a very competitive market and on a full server, but still), so it looks like you have found a nice niche there.
I guess. I had to break even this week though, because I made 9,970,000 in capital expenditures in the first week for planes and seats.
I guess. I had to break even this week though, because I made 9,970,000 in capital expenditures in the first week for planes and seats.
It is not about breaking even. But, you definitely would make profit in this time because the AGEX is going higher at this moment. Grab the opportunity and grow your airline faster.
Nice. Evidently I was still waiting for some flights to start up. My margin for the first week is going to be about 35% after leases on about $5 million in revenue, with a SLF of about 97%. I should be able to lease 2-3 more planes next week, (767-200's) and the week after perhaps a 737-700, -800 or -900 HWG. I think in about 3 weeks I should have the feeder base to add an international flight. With the flight schedule I set with my starting fleet, I have a 32k seat capacity in my hub this first week (which is awesome with that 97% SLF).
All in all, I really lucked out. I signed up RIGHT when AGEX was evidently changed causing a very sudden bump of demand without the in place flights to soak it all up (coupled with AGEX rising), a hub airport that had more than twice as many free slots as the same airport on any other server I checked, and the fortune to go with 767-200s that I can lease for less than $40k/week but that have a max image rating (and have a max capacity of full standard Y seats of 255).
I don't think what I did with this airline is repeatable. The AGEX change + inability of competitors to soak up the demand before I joined meant that there was plenty of room for me to grow into in a major hub immediately, and now that the major first hurdle is cleared, I can much more easily begin to build a feeder base and present direct competition. I think if I do this right I can be the top airline in my hub in six months, but we'll see.
Nice. Evidently I was still waiting for some flights to start up. My margin for the first week is going to be about 35% after leases on about $5 million in revenue, with a SLF of about 97%. I should be able to lease 2-3 more planes next week, (767-200's) and the week after perhaps a 737-700, -800 or -900 HWG. I think in about 3 weeks I should have the feeder base to add an international flight. With the flight schedule I set with my starting fleet, I have a 32k seat capacity in my hub this first week (which is awesome with that 97% SLF).
All in all, I really lucked out. I signed up RIGHT when AGEX was evidently changed causing a very sudden bump of demand without the in place flights to soak it all up (coupled with AGEX rising), a hub airport that had more than twice as many free slots as the same airport on any other server I checked, and the fortune to go with 767-200s that I can lease for less than $40k/week but that have a max image rating (and have a max capacity of full standard Y seats of 255).
I don't think what I did with this airline is repeatable. The AGEX change + inability of competitors to soak up the demand before I joined meant that there was plenty of room for me to grow into in a major hub immediately, and now that the major first hurdle is cleared, I can much more easily begin to build a feeder base and present direct competition. I think if I do this right I can be the top airline in my hub in six months, but we'll see.
Probably it is the best time for you to catch up this chance during high AGEX. You do not have to rush for adding international routes (except the short international route) before you have a strong hub. In my opinion, using a B767 to transport passengers in the beginning would be somehow not suitable at all as you cannot fill up your planes easily as soon as you add more flights to the route. Besides, B767 consumes more fuel than B737-900er (max. 215) and A321-200 (max. 220) which you will pay much higher cost in fuels and maintenance.
Check out your profit margin as it shows you how your financial performance in the week. Try not to use wide body a/c in the beginning because it has high cost especially your expenses.