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High Fares.

  • 13-10-2011 9:03pm
    #1
    roundymac
    Registered Users, Registered Users 2 Posts: 2,712 ✭✭✭


    Ryanair have been accused of cashing in on Irelands play off match with Estonia by quadrupling fares for the match. TV3 news said that the fares have risen from an average of €70 to €250. I'v just priced it and a return fare is €395, thats with out any add ons like baggage, priority boarding etc. Ryanair have stated that the high prices are due to increased demand.:cool:


Comments

  • #2
    Tenger
    Moderators, Motoring & Transport Moderators Posts: 10,005 Mod ✭✭✭✭Tenger


    roundymac wrote: »
    Ryanair have been accused of cashing in on Irelands play off match with Estonia by quadrupling fares for the match. ...............Ryanair have stated that the high prices are due to increased demand.:cool:
    Both statements are true. Airline seats are price as per demand. Also the airline often restricts the lowest categories of fares when they know demand will be high.

    Very simple example: you have 100 seats, in 5 cost classes. Generally these will be in groups of 20. However if seats are not selling well you might 'release' the higher seats at a lower price to stimulate purchase. On another occasion you know it will be busy so you change the lowest groups to only 5 seats each, thus getting 40 seats at the top price.

    Anyone remember the infamous Heineken cup final in Cardiff where quite a few Munster fans booked in advance, after they got through the flight was re-timed to miss the match. And then a new flight was added 'due to demand', strangely enough this new flight was close to the exact timing of the original flight
    The business term is "sharp practise"!!


  • #3
    IngazZagni
    Registered Users, Registered Users 2 Posts: 1,618 ✭✭✭IngazZagni


    roundymac wrote: »
    Ryanair have been accused of cashing in on Irelands play off match with Estonia by quadrupling fares for the match. TV3 news said that the fares have risen from an average of €70 to €250. I'v just priced it and a return fare is €395, thats with out any add ons like baggage, priority boarding etc. Ryanair have stated that the high prices are due to increased demand.:cool:

    All airlines do this. It's nothing new. It might not be fair but it's done. Also a lot of the fare prices are automated meaning that the system would recognise an increase in the rate of sales and raise the price. Although this probably was done manually.


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