What are your thoughts on PEOPLExpress?
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at 09:51 by MartynSinclair.
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MaggieSquiresParticipantAs reported today, PEOPLExpress, a no-frills airline that operated from 1981 to 1987, will be re-starting this summer, assuming government approval and final finances are secured.
Do you remember the old PEOPLExpress? Do you think the low-cost airline that plans to include two checked bags in its fee could change the scene with its lower fares? Or do you think starting such a low-cost airline in this economy is a risky venture?
15 Feb 2012
at 00:34
LuganoPirateParticipantWill this be US or European based Maggie?
In any case I guess it could work in today’s environment. They say the best time to start a business is during a recession.
There’s a lot of competition out there and I wouldn’t fly them preferring legacy carriers to no frills.
15 Feb 2012
at 06:06
StephenLondonParticipantWith a hub in Newport News, Virginia, competing against the might of United not far away at Dulles, I don’t give them a huge vote of confidence surviving for a long period.
The original PEOPLexpress cleverly used an old terminal at Newark, which was relatively quiet at the time. They built up a clever business model based on all seats at the same price, but banded into peak/off peak mode, which was popular with travellers. They quickly went into leisure markets like Florida, expanding (perhaps a bit too) rapidly, which ended up bringing about their demise and eventually being sold to Continental.
15 Feb 2012
at 08:50
VintageKrugParticipantThat old terminal was awful.
There was a huge advert at the end of it:
—–
“You Know That Spacious, Modern Terminal Building You Wish You Were in Right Now?
[internal voice *oh yes, how I wish I could be out of this hellhole*]
Well, We’re Building It!
—-
After a three hour delay, that sign was burned into my consciousness. I hadn’t at the time appreciated the “low-cost” nature of PEOPLExpress, and it just seemed like a new option worth trying.
The terminal was beyond awful, but have to say the flights were fine, with very friendly crew despite all the delays.
Strange going round collecting the cash (and I seem to recall it was cash only?) like a bus conductor after boarding was completed.
Not certain how that approach would work now with today’s security concerns etc.
15 Feb 2012
at 08:57
MartynSinclairParticipantStop living in the past – Good luck to Peoples Express, especially if it manages to reduce passenger travel costs and provide a decent service.
I hope it manages to model itself on one of the more successful LCCs and not the one where the Chairman was offering business class passengers O*** S** as part of the service!
15 Feb 2012
at 10:45
MaggieSquiresParticipantVintageKrug— in my interview with their VP of marketing, she made specific reference to that and how they would not be collecting tickets like that any more because of security concerns firstly, and because ticketing is handled completely differently today with online purchases and mobile boarding passes and the like.
15 Feb 2012
at 17:07
AMcWhirterParticipantYes, MaggieSquires, I remember PE well. It was arguably the world’s first no frills LCC.
Yes it is true that Dallas-based Southwest instigated the LCC business model but PE took matters a step further with a bare bones policy of charging fees for baggage checking, on board drinks/snacks etc. (Although a LCC, Southwest used to hand out free coke and peanuts in those days).
PE even had a business class on its transatlantic B747s which, if I remember correctly, were the original series which had been acquired second-hand from AZ. Passengers in business class, in the early days at least, had to pay for their food and drinks. The seats were similar to those found in F class on US domestic services and, by the standards of the time, they were quite comfortable for a long flight.
I wonder if the reborn PE will fly transatlantic ? It operated to operate ex-LGW and ex-BRU to EWR. Some of the transatlantic planes then continued on (having collected some pax at EWR) across the US to the West Coast.
15 Feb 2012
at 17:17
MaggieSquiresParticipantSorry, LC, I just realized I missed your question! The airline will be US based in Norfolk News, VA. At the moment, it does not intend to fly transatlantic again. Michael Morisi, the president of the new version and an employee of the original, believes that over-expansion is part of the reason it failed the first time around. They initially plan to only have a fleet of Boeing 737s, which can fly a maximum of 2.5 hour.
The airline will also be less “no-frills” this time. Fares, which should start around $69, will include two checked bags and seat assignments.
The aircraft right now will have 158 seats and one cabin, though seats toward the front are supposed to be roomier. There is talk of a business product that would include the better seat and priority boarding.
The full BTUSA report can be found here: http://www.businesstravelerusa.com/news/peoplexpress-makes-a-comeback
16 Feb 2012
at 00:57
SimonRowberryParticipantMartin,
Was he offering to perform it personally…? Or just being a typical Chairman and making promises for others to fulfil….
S
16 Feb 2012
at 01:15
MartynSinclairParticipantHi Simon,
I presume to save costs he will not delegate this function, not sure about the tips though!!!!
The source is from the man himself……….
16 Feb 2012
at 09:51 -
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