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You know I always wonder how comes Ryanair is going in profit despite offering tickets for very low rates. They start offering tickets at £1 i think and if Airport taxes are included it still remains less than 20 pounds for various destinations.
Last time I travelled from London to Oslo (Norway) and back to London and that cost me only £10 for return ticket or you can say about 1250 rupees for almost 1000 miles of journey. Its 1 hours and 40 minutes flight and you can say its a small carrier so must be holding about 150 passengers i think. Now calculate yourself.... 150 x £10 = £1500 pounds for "return" ticket
and now in this £1500 pounds (or 750 pounds for single journey) they have to pay a fee to its pilot, staff, airport tax, administration fee, marketing etc. But despite running such a cheap service still they are going in profit every year...
Look at the increasing numbers of passengers each year for this airline
This is a typical aircraft they use in their service
Now I am failed to understand why can't we have similar service in Pakistan? - why can't Pakistan have small aircrafts running domestic flights for like 500 - 800 rupees from Lahore to Karachi? They are almost same in journey but they are in Pakistan (a cheaper country) so they should be offering cheaper prices instead. But what they are doing is, offering a ticket ranging from 4000 - 6000 rupees if I am not wrong (last time i checked it was 5500 rupees i think).
Aircraft Number Age Rank for the age by aircraft type
Airbus A310 12 17.8 years On 38 airlines operating this type of aircraft Pakistan International Airlines ranks 8
ATR 42/72 7 4 years On 139 airlines operating this type of aircraft Pakistan International Airlines ranks 23
Boeing 737 6 23.9 years On 301 airlines operating this type of aircraft Pakistan International Airlines ranks 192
Boeing 747 5 23.7 years On 100 airlines operating this type of aircraft Pakistan International Airlines ranks 70
Boeing 777 9 4.8 years On 52 airlines operating this type of aircraft Pakistan International Airlines ranks 20
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TOTAL 39 14 years The calculation of the fleet age can be approximated because it is only based on the supported aircraft
By looking at this table ..certainly PIA needs new aircraft. Big birds in fleet is pretty old well above industry average.
Then how comes an European airline that too buy fuel in same $$$ just like American or Pakistani airline can offer such a cheap airline and still running on profit?but on ur pricing scenario, i dont agree with u
u have to consider that PIA buys fuel in $$$ and so they have to bring the fare(which is in rupee) relatively close to the fare that an american airline would charge for same distance flight.
and americans usually charge $150-$200 for 1.5-2 hr long flight(which is relatively same as khi to lhr)
and so if we take 150 and multiply by 80 ($1=around 80 rupees) we get around 12000!
i kno its a big number in rupees but thats how much they should charge to get minimum profit.....
and btw if the value of rupee goes down then fares will be more expensive!
Then how comes an European airline that too buy fuel in same $$$ just like American or Pakistani airline can offer such a cheap airline and still running on profit?
I just checked the latest fares of ryanair its still between £16 - £22 depending upon the dates selected... and its a return ticket.
Don't they buy fuel from the same international market?
well first of all pakistani people carry huge amount of luggage! that adds weight and so the aircraft consumes more fuel
second. ryanair charges you for food(even refreshment) PIA doesn't!
third. ryanair also charges money on extra luggage, i believe its 9pounds/pound! and do remember that pakistani people carry atleast 25-30kg luggage with them(doesn't matter where they going)
and last but not least ryanair is a low-cost airline PIA is not!
low cost airlines have more conjested seats, because they add extra seats to make profits.
and i even heard that they were planning to charge each passenger for washroom!
thats low cost airline for ya! and btw i just read an article and it states that ryanair\s profits increased due to luggage charges!
my whole point is that the ticket may cost u less but u dtill have to pay extra!
Yaara seedhi si baat hai ke PIA can't come in profit for various reasons.... first of all - we know about the heavy employment they have
1) They have recuited about 19,000 peoples for just 42 Aircrafts
2) The fares for domestic flights are too expensive that the common man don't even consider travelling in an aircraft for domestic purposes
3) Administration is corrupt
4) Lots of extra benefits are being awarded to PIA employees
5) Lots of non-profitable flights are in service