Choosing Routes

The year is 1964 in R1 and I'm earning more money than I can spend leasing planes ($10,056,579 DOP with $355 Million in cash) so much so that I've started constant orders with 2 types (707-320C, Tu-114) and  will get rid of my 720B/Comet 4C/ DC-8's when the Leases more than the Buyout.

But the deliveries are still quite slow so I'll be working up to a 3rd Primary type (Il-62)

 

I'm also running Long-Haul because being based in Australia, Domestic just isn't doing enough.

 

 

I'm still Leasing planes for the moment because the Lease Payments are easily covered by the income generated.

 

But now I've run into a different issue.

Each time I log in to check, I've got 5-10 aircraft sitting around doing nothing and I can't figure out what routes to put them on.

 

 

So:

 

1. How do you decide what routes to put them on? Prioritise empty routes jacking up the prices until there is competition?

2. What should my next step be for my company?

3. What planes should I prioritise this early in the game?

4. How do I combat people poaching PAX by pricing? Keep dropping the price?

5. Can I use my cash reserves to attempt to get competitors to back out of that Route by setting prices really low? (Would that actually work?)

 

Cheers in advance

O don't know if you know this or not but if you go to the aircraft tab and click add route (next to an a/c name) it will take you to a page, you enter range, from where etc. And it will show you a list of routes (top ones are usually the best)

O don't know if you know this or not but if you go to the aircraft tab and click add route (next to an a/c name) it will take you to a page, you enter range, from where etc. And it will show you a list of routes (top ones are usually the best)

I do that. The problem is finding high PAX routes with minimal/no competition.

Also, trying to use the plane across multiple routes to maximise flight time. (And remembering to go back and add more flights to the secondary routes)

As you receive new aircraft, terminate your leases and switch out the plane on the route (you can move all routes from one aircraft to another on the aircrafts page) that way you will be switching your leased fleet with bought and wont have them sitting around.

Also fill routes to the DOP don't raise the prices and if you have competition make sure your IFE/s is good (pax will pick you) and stay about 10/20$ below him or even out if you want

As you receive new aircraft, terminate your leases and switch out the plane on the route (you can move all routes from one aircraft to another on the aircrafts page) that way you will be switching your leased fleet with bought and wont have them sitting around.

Also fill routes to the DOP don't raise the prices and if you have competition make sure your IFE/s is good (pax will pick you) and stay about 10/20$ below him or even out if you want

 

Fill routes to the DOP? What do you mean?

 

Why shouldn't I raise prices on an Empty Route?

 

Example:

Route 4898 miles long, currently making $25,699,200 profit/month with elevated pricing (No competitors)

With Default prices, It drops to 20 million.

Until I get competition on that route, that's a free 5.5 million a month (Extra 25% on that route)

 

Currently when my Loadfactor drops below 100%, I drop the price just enough to get back up to 100%

Fill routes to the DOP? What do you mean?

Why shouldn't I raise prices on an Empty Route?

Example:
Route 4898 miles long, currently making $25,699,200 profit/month with elevated pricing (No competitors)
With Default prices, It drops to 20 million.
Until I get competition on that route, that's a free 5.5 million a month (Extra 25% on that route)

Currently when my Loadfactor drops below 100%, I drop the price just enough to get back up to 100%

What I meant was make the amount of seats match (or be close to) the daily pax amount. It usually wins more money than fewer seats and raised prices.

Oh yeah I definitely do that. I've got a standard ratio I do that is even with almost every route I've done. And only when another flight will overflow the PAX demand will I up the prices.

DO NOT GET IL-62

If you are fluffed with cash terminate leases and buy new planes

What's wrong with the il62?

The reason I was looking at it, was I can snowball my money faster leasing than I can buying.

The Il-62 is quite the fuel hog for the amount of passengers it carries. It does have the advantage of being much cheaper than other options, but since you've got plenty of money this may not be as large of a consideration to you. 

 

You also mention disposing of your 720s, Comets, and DC-8s. While the Comets (and the one remaining DC-7) can probably go, I wouldn't be so quick to sell the 720s and DC-8s. Once the leasing costs are greater than the buyout, purchase them for a total of $0. This is because you've already paid off the value of the aircraft.

 

I'd order more DC-8's for delivery in the short term, too. In a market like Australia, which has only a few cities that can sustain long distance/high passenger service, grabbing those routes before your competitors do is important (especially if you want to use a low seat/high price strategy). With the Il-62s starting delivery 2 years from the current game date, you'll be giving others a huge opportunity to bite into your future profits.

 

If I was you, I'd order some DC-8-50s. They would have commonality with your existing DC-8 fleet. Compared to the Il-62, they seat 3 more, burn ~45% less fuel, fly 1400 miles further, fly into airports with 1100 ft. shorter runways, and cruise 50 mph faster. All while being delivered around 2 years earlier.

 

While you've already placed an order 20 Il-62s, I'd take a serious look at the DC-8 family and other types instead. The only thing that you'll lose is the classic Soviet charm 

I didn't realise that about the Il-62. Per plane, I make more money over long distances and I chose the Il-62 as the new type for it.

To be honest, I had disregarded the DC's. For some reason I always thought they were small short range aircraft, and didn't look into the other variations.

 

Before reading your comment, I put an order to buy some DC-8-63's for the seat capacity, with only slightly less range than the 8-50 but it is faster.

 

I don't know if it's the right way to do it, but I'd planned on getting rid of any plane that couldn't make more than its maintenance cost (the DC-7 is 1.15 mil and earning 2.1 million)

 

I'm definitely targeting the international market, with long distance routes out-performing my domestic routes 15:1 or even better. And hopefully get the longer range planes as they become available.

When they come out, I plan on going for the 747-200B (550 seats @ 7,141 miles)

I didn't realise that about the Il-62. Per plane, I make more money over long distances and I chose the Il-62 as the new type for it.

To be honest, I had disregarded the DC's. For some reason I always thought they were small short range aircraft, and didn't look into the other variations.

 

Before reading your comment, I put an order to buy some DC-8-63's for the seat capacity, with only slightly less range than the 8-50 but it is faster.

 

I don't know if it's the right way to do it, but I'd planned on getting rid of any plane that couldn't make more than its maintenance cost (the DC-7 is 1.15 mil and earning 2.1 million)

 

I'm definitely targeting the international market, with long distance routes out-performing my domestic routes 15:1 or even better. And hopefully get the longer range planes as they become available.

When they come out, I plan on going for the 747-200B (550 seats @ 7,141 miles)

If you have cash just cancel the IL-62 orders or sell them the moment you receive them

DC-8-63s are great

Throw out the DC-7

Buy 747-100 until 747-200 come out then order as many 747-200 as you want