Related: “Aloha, Aloha”
“Another One (ATA) Bites The Dust”
“How do you become a millionaire? Begin as a billionaire, then go into the airline business.”
-Richard Branson (You can find many variations of this truism online)
Skybus ceased operations on Saturday, finishing an unglorious week for aviation in which an unprecedented 3 US airlines with published schedules went out of business.
With fares like this, it’s easy to see how they burned through $160 million in startup funding in under a year of flying:
I was quite proud of myself when I nailed 7 RT tickets at that price for my pittsburgh cousins. (C’mon you would also drive a couple hours to save that kind of money!) Unfortunately it doesn’t help much when they close down less than 2 weeks before the flight…At least it was bought on a Starwood AMEX, looks like it’s time for a chargeback! (Little consolation at that price…)
Free advice to new airline startups:
1. Don’t name your airline after something with as negative a connotation as “bus.” The last thing air travelers want to fly on is something related to Greyhound; Stay classy. (What’s next SkySubway?)
2. Don’t form your business plan based on $40 oil, because those days aren’t coming back anytime in the near-future.
Coming soon: $100+ oil means bad times for US aviation, but especially for LCC’s (low-cost carriers) -so who’s next to go bust?
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12 Comments On "Skybus Shutdown Caps Off What Has Been The One Of The Worst Weeks In US Aviation History."
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4 Airlines stopped flying this week, and one announced that it is shutting down in may.
I think that Spirit Airlines is next, followed by ExpressJet and that new Toronto airline.
they should have picked a more buiser place to make their place not columbus
To add insult to injury, Continental just joined United and Useless Airways in announcing their own $25 fee for a 2nd checked bag. So long to the days of free baggage! This really has been a bummer week in aviation
Every non-LCC is adding the $25 fee. I’m just waiting for the dust to settle to make a full roundup.
Whats with spirit? I use it bi-monthly… Any info?
How does a chargeback work for AMEX? If I purchased tickets over 90 days ago- and the airline goes bankrupt….can I do a chargeback with a starwood card?
How do I go about doing a chargeback?
i wouldnt call jetblue an LCC anymore their flights are consistently higher than american or delta.
LCC stands for low-cost carrier, not low-fare carrier.
It is a term used by the US department of transportation to refer to those airlines that have a low-cost structure.
how about a new classification for airlines, LVC = low value carrier, and in order to be classified as such, you need to have the Nickel/Dime pricing structure in place ( ie. no free food onboard, no free baggage, nothing free, in fact the price you are paying for is JUST FOR THE RIGHT TO Board the plane & FLY, AND WE RESERVE THE RIGHT TO CHANGE THAT AT ANY TIME WITHOUT PRIOR NOTIFICATION.
A second qualification to be a LVC is, you must charge surcharges for overweight passengers as well as baggages and not discriminate by just charging overweight baggages.
hey Jack i agree with you, i gotta give it to you for the LVC idea, and maybe the airlines should charge for carry-on’s next.
Spirit calls themselves a ULCC, or ultra-low-cost carrier.
They pretty much only give you the right to board the flight.
Northwest has also added the $25 fee effective may 5th as stated on the bottom of my confirmation email.