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Increasing Profit Margin


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#1
secret_0823

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How do you increase profit margins? I recently read that someone has reached a 50% margin. My highest ever margin as full-service airline is 10-15% and my highest as an ULCC is 36-37%.



#2
RubberDuckGaming

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Scam IFS.


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#3
Alpha Waffle

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The trick is to abuse game mechanics, but that's a pretty cheese way of playing the game. I do it because I like the optimization challenge and deep-diving into the numbers of the game.

 

If you want to run a regular airline (like most people) then a 10-15% margin is perfectly reasonable.



#4
Bonza

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make your workers slaves on 7 bucks an hour, and scam IFS everything


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#5
Guest_PrivatAir_*

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What's your definition of Scam IFS? Worst quality, highest price for everything?



#6
Guest_PrivatAir_*

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It's basically one of the goal of the games^^

I reach 40% with LCC > IFS and maximum out frequency with young planes (lowering maintenance expenses).

Normally, you should be able to achieve 25% profit margin with a general rating between 80 and 85 without too much troubles for your classic carries:
it's either you give good legroom and pay less your employees or pay them a lot and decrease legroom, that and the choice of aircrafts/number of types/daily utilization ratio which must be over 19.75... and a couple of other factors (frequency, fuel p/pax...) ;)
I'm currently reaching 33% with full service and 83% rating (without ads obviously).

What else guys?

If someone can explain me how do you achieve the on-time factor, never managed to figure out! Is it the same than "time-flown"? In that case, is it just about the ideal distance for that aircraft type? Someone told me it had to do with salaries but I'm not sure it's correct.



#7
zipp

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you increase profit margin by making more money ;) EASY!


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#8
TarquinShrapnel-Carruthers

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If someone can explain me how do you achieve the on-time factor, never managed to figure out! Is it the same than "time-flown"? In that case, is it just about the ideal distance for that aircraft type? Someone told me it had to do with salaries but I'm not sure it's correct.

 

On Time Performance reflects delays due to whatever reason.

Time Flown shows how long you have operated that route (three years to get "green" IIRC).

 

AFAIK there is no measure that reflects "ideal distance" for an aircraft, which has no clear definition anyway.



#9
Guest_PrivatAir_*

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Thanks :) Really helps. Did not know about that. 



#10
zipp

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On Time Performance reflects delays due to whatever reason.

Time Flown shows how long you have operated that route (three years to get "green" IIRC).

 

AFAIK there is no measure that reflects "ideal distance" for an aircraft, which has no clear definition anyway.

succinct explanation! 


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