Sorry for doubling up on aviation videos! Normally I wouldn’t do two videos of similar topics back-to-back but the video I was going to do just ended up not being interesting enough so I scrapped the script. I didn’t have time at that point to do a research-intensive video so I decided to do this topic that I already knew a good bit about. Also I know this is a pretty loose interpretation of economics, but hey, I liked the title. Also, one clarification on something I realized might be confusing during editing: airlines absolutely had first class in the 60s and 70s. It just wasn’t anything like the long-haul first class’ you see today. It was pretty much like domestic US first class today. The impact of the Concorde was the perceived competition it created for the highest-class of traveller. Some airlines decided to close their first class cabins and not compete while others improved their cabins in order to compete. Lie-flat seats or even angle-flat seats really didn’t become ubiquitous until the last 10-15 years with the demise of the Concorde. Also, first.
I was upgraded to first class when I flew for the first time alone at 16. The woman checking my boarding pass changed my seat number and I didn't realize until the flight attendant pointed me towards the front of the plane. It was an amazing experience and the flight time was over 8 hours.
I volunteered to give up my seat on a cross country Continental flight when I was 18. I was upgraded to first class at no charge. The flight attendant gave me a mimosa and didn't check my i.d. I fly a lot, but I'll always remember that luxurious flight. I felt like I was really getting away with something.
I was upgraded to business or first, (can't recall which). The guy beside me had no shoes or socks on his smelly feet. Melbourne to maybe Abu Dabi. A selfish b@stard. I should have spoken up. You had better luck.
pine cone and your point? some of us can afford it, or it’s the case of our companies paying for our flights in advance, and there’s nothing wrong with it
@pine cone Well they helped get it moving. Fat Greedy Fucks were also the ones "testing" most of the early non-military flights. Them fat asses paid good money to die for our modern, better planes, gotta appreciate that lol
Rich for me means that you don't have to work anymore. Being born middle class in Europe or US while still having to work to make a living is not rich. It's middle class and that's far from rich.
@ I can feel the jealousy and salt, but honestly you speak 100% facts. It’s actually hilarious seeing your approach presented in such a professional manner.
@ First class customers will fly also private jets, depending what's more convenient and connected, but on a long flight a first class A380 can be pretty good. I mean the actual first class at Emirates etc. Not some wannabe first class of questionable airlines. Some airlines also just aren't good - for example LH business class you can't even get a window seat with private entry and the food isn't that good. Considering the price, definitely not 5-8 times as good as economy, but if you are a $50m net-worth guy you have to spend your money somewhere. Also, the hassle free priority check-in, and lounge access where you can relax without all the hectic is also something to consider. The thing is, first class can be a relatively cheaper from some people than economy for others, I mean as percentages of their net-worth. In that case, it doesn't have to be the "absolutely best" on the market.
But it's the sad truth of how it has to work. Jet fuel is expensive, so there has to be a profit. With more room per seat, less people fit in the plane. Since the market for high-end seats can generate more income per volume filled, they're the jewel of revenue. However, the demand isn't high enough by any means. Coach always is. It isn't about the coach passengers being an afterthought so much as it is about coach seating being worked around the space needed for high-end seating.
Once upon a time, I was a lost Air Force Airman in an airport. I was in uniform fresh out of basic training...I asked this guy who was wearing a suit waiting for the same flight if I was on the right flight. He said yes, and then he took my ticket and came back with a 1st class ticket. They were offering me wine in the air and I was only 19. lol I will never forget that mans kindness...
Ilham Suhendi i guess it depends with the airline, I flew with Etihad and the Eco class was just amazing, great food and service. I'm sure however if you fly with Ryanair it would be much different lol
Ajinkya Pathania having flown both business and eco its pretty much the same just different seat configuration more leg more etc little tweaks but for inflated price
I have to add something to this video, which you left aside completely. On one hand you are basically right: airlines sell flights from point A to point B. But there is much more to it. I work for a major European airline and those are the two main points that were missing in my opinion. Business Class tickets are much more pricey for a reason: Weight: Each business Class passenger is allowed to carry 2x8kg pieces of hand luggage + 2x 32kg trolleys in the belly. The weight of the luggage alone is as much as an average person. Also, each business class seat, the immense amount of cutlery, plates, extra (premium) beverages (alcohol in glass- instead of plastic bottles) and extra (premium) food, the space you need inside the galley, more lavatories per passenger, special decorations and so on and so forth. Weight is a major issue in aviation (more weight = more fuel consumption), so there is that. Extra service: staff costs have a huge impact on the ticket price. Letalone the great variety of exclusive lounges operated by my Arline in many different airports. As a business class passenger you can perform your checkin in person (vs. online checkin only) and with the help of our very kind service staff (and there are lots of them!). Usually Business Class passengers have access to priority security checks at the airport (which the airline pays for as well). Being on board we usually have one Flight Attendant for a max of 12 business class passengers for a more exclusive and restaurant-like service. Arriving at our home base, business Class passengers also have access to a special welcome lounge, where they can (once again) enjoy a variety of food and some exclusive drinks. In the end, the demand (which we can't complain about) causes big fluctuations in flight prices as well. Economy Class passengers are NOT there to fill the seats as an airline has a much less sophisticated job to do for an Economy Class passenger. A tourist-class only airline can compete with any other airline out there if done correctly.
Very interesting, I’ve heard of airlines like WOW are really changing how airlines make money focusing on cheaper economic flights. I flew them once and they only allowed a personal bag, Nothing was free on the plane, and service was well... not great. But hey tickets were cheap cheap
you can sell anything if the price is right here in australia, jetstar and tigerair have disrupted the airline market by offering fares that are less than a quarter of the price of the big carriers and despite the cattle cart like experience they never have trouble filling planes with economy passengers (literally the whole plane is economy) adelaide to sydney with qantas in economy is usually around $450 one way, the same flight at a similar time with jetstar or tigerair will cost between $70-$120 one way for similar inflight experience (minus a free feed and a seat mounted TV screen) i once saw jetstar offering (and advertising on TV!!!) flights from melbourne to tokyo for $150 each way when that same flight on the bigger carriers would be close to $1200 (that was a few years ago though) never underestimate the power of a low price point people are price driven for the most part and a majority of people would probably be willing to put on a heavy jacket and an oxygen mask then hold onto the wing for the whole flight if it meant getting a cheaper ticket
"A tourist-class only airline can compete with any other airline out there if done correctly." I was just thinking that I was watching the video. Given the costs to offer business and first class services, and the fact that those seats take up more square footage, I was thinking about the economics of running an economy-class-only trans-Atlantic flight. I know that Southwest airlines, my preferred airline, does that with US domestic flights. The business-class ticket only guarantees your priority boarding and, I think, a security check priority. I'm not sure what their profits are compared to other airlines, but they've been expanding their services to places like Hawaii and DCA. And to me the service quality is better than what you get with United.
@@mwbgaming28 ahh but you only fly tiger air if you're okay with the odd chance of dying mind flight because they didnt hold the flaps on with enough duct tape... Also this i a good point since Wendover doesn't mention cost per sqm.
@@ladyj6278 So you spend an extra 5 grand so you can get to see people's "looks of envy" and enjoy 2-3 somewhat decent meals? Why not fly economy and then use the 5 grand to stay at a 5 star hotel and dine at a 3 Michelin star restaurant? Much better experience for much longer, and probably cheaper too!
@@Penguin-kr9do Because you can tolerate staying a mediocre place more than an awful flight. If you go on vacation to stay in the Hotel WTF are you doing? Okay, maybe you stay at a 5 star hotel for a couple days for the experience of that, but people rich enough to regularly fly first class live 5 star hotel anyway. I would rather stay at 3 star good breakfast good bed hotel and experience historical and cultural sites and not have to spend 16 odd hours basically sitting down in the middle of a bus you can't get out of than stay at a 5 star hotel that I won't be in most of the day anyway.
You replied !!! :-) Never thought I would be interested in airline business, until your Concorde video. Keep up the good work ! Love the ongoing banter between you and Real Engineering.
The observation about direct flights being more expensive is really interesting. Before they got married, my cousin's husband lived in London. When he went on holiday to the USA with her family, he realised that his flights from London were far more expensive than their flights from Belfast, even though they would be crossing the Atlantic on the same plane, and their tickets included additional flights across the Irish Sea. In the end, he found it was significantly cheaper to fly from London to Belfast the day before and then fly from Belfast with his girlfriend and her family.
I’ve saved SO much money by breaking up direct routes. On one trip I took a week-long layover in Bali, and with all the accommodation and food etc I still spent LESS money than if I’d flown direct. Free holiday!
That's how skiplagging was born. One time I wanted to go from St Louis to NYC and wanted to take a side trip to Amsterdam. I discovered online that it was cheaper to buy a RT to NYC ($350) and a separate RT ticket from NYC to AMS ($400). However, when I tried to buy the two RT tickets the phone agent (2002) kept refusing to sell them that way because, in his words, it was impossible for that to be cheaper than getting a combined ticket. "A combined ticket will always be cheaper". I kept asking for my two RTs (a ten day trip, STL>NYC>NYC>STL with a trip in the middle of the week, NYC>AMS>AMS>NYC), and going through the process of telling him what I wanted and he repeatedly kept coming back with a price of $1,800. I would pause and ask him to repeat the itinerary to me and he would reveal he again entered STL>NYC>AMS>NYC>STL. Maybe once he entered STL>NYC>AMS>STL. I explained that he gave me a bunch of One-Way tickets which are almost always more expensive then RTs. After half an hour I hung up, called back, and got another agent.
I had a presentation at university today based on the airline industry. I cannot thank you enough for your insight into aviation industry. Must have watched your your aviation videos multiple times. You make it complex subjects easier to digest. Keep it up brother!
I work for a major airline in revenue management and this is basically spot on. I would say that now a days business travelers is more 70/30, instead of 80/20. Also, this was the economics of a legacy airline, airlines like Ryan Air, Spirit, Frontier, etc... these airlines are very different in how they make money. They do not target business travelers they target leisure travelers and rely on ancillary revenue rather then ticket prices. I feel like that could be a good vid to do as well for aviation videos if you need ideas. Anyway, great vid, you earned yourself a sub!
First, work for an Airline in your home country if that's the US great you have a ton of options. Second, are you in high school, college, Graduate? I would suggest if your in High School find an aviation themed college like UND, Purdue, Riddle and take classes on Airline Management. If your in college and not at an aviation themed one take classes on statistics, economics, business. Once you are actively looking start with Glassdoor.com for interview tips (I have a few post on there for RM interviews). It's super competitive so keep trying if you get denied. If you're a citizen of America and you lack professional experience American and United are your best bet since analytical experience is not priority for them. Good Luck I hope make it!
Hey, many thanks for your detailed reply! I really appreciate that! Do you have an e-mail address or any other contact details to answer to you questions and to send you a couple of additional questions about this? You can send it to hdaviationvideoschannel@gmail.com or through my YT channel. Thanks!
This focused entirely on Revenue. The cost to service each seat is massively different between each cabin. Would've been interested to hear analysis that took net profit into account
@@davidrieger8816 wrong. Whether or not a cost is fixed is irrelevant to whether it applies to only one cabin or another and salaries and meals are definitely variable costs. 1st class and business class have higher costs to service because staff per seat is higher as are the costs per passenger (meals).
@@samgray506 The staffing can also be more expensive, since you'll want experienced attendants in premium, while new hires can be put on econ. Still, that's a minor, inconsistent fluctuation.
As a customer service at a travel agency, I can never understand when people just go "ok" when I confirm with them that the cost of class upgrade is like a thousand dollars
The world never ever was as polarized economically as it is today. An Egyptian pharaoh and a slave? Weren't so polarized. Were like the upper middle versus lower middle class today. A medieval king and its peasant? Weren't so polarized. Were like an associate manager and a junior manager.
@@sheet-music I just don't think that claim has much historical merit. The pharaoh and king had say over every aspect of the slave's and peasant's life they were interested in, including ending that life if they chose. The slave and peasant worked their entire short lives with no hope whatsoever of upward mobility. The pharaoh and king were born into wealth, did not labor, and wanted for nothing, at least in terms of amenities of the day, with a gallery of personal servants to wait on them. I'm not saying that the economic divide today isn't significant, but I certainly don't think it is functionally any greater than what they lived through. That being said, so many of the problems that have plagued humanity from its most ancient times have been solved or mitigated in most modern societies, while this one really hasn't seen that much improvement, or has seen significant backsliding from generations when it was somewhat improved. And as such, it stands out to many of us, in a way that it might not have in historical settings. And a slave or peasant wouldn't question, at least openly, whether their king or pharaoh deserved their luxuries. Today the lower rungs are much more educated and most nations don't foster the belief in a divine mandate that allows for such privileges at the top, and so this disparity is noticed and questioned, and appropriately, often resented.
For people who are aviation buffs, this site is awesome. After years of flying first class with only one or two others in the cabin, when airlines introduced lay down flat sleeper seats in Business class, I said first class was coming to an end. The only reason people flew first class was to get that lay down flat sleeper seat on long rides. Slightly better quality food and drink could never justify the enormously higher cost of first class.
Well it is worth it to some people. Especially if cost isn't an option. While Business is just fine and many times you get a similar experience, the First Class lounge is far better (food way better, less people, much more comfort), the food on the plane is better and more abundant, the personal attention from your attendant is better, and you get a bigger area to sit in with a closed door, a large screen tv and always the best amenities no matter the airline. And they have their own bathroom that is never occupied when you need it. And you get pajamas and they even tuck you in. Let's not kid ourselves, First is best. But for me, business is the better deal of course. Economy sucks for long flights.
The appeal of first class for most who fly it is the privacy, service and food. Although it may seem unreasonable to some, it can make a difference. As someone who has flown in all the classes (just once in first) there is a noticeable difference in the food, service, BATHROOMS, comfort of the chair, blankets etc.
They fly first class largely because they can - usually their company is footing the bill and they have a contract perk allowing them to book first. It isn't a cost/value assessment otherwise it would have disappeared long ago.
Ray Finkle I acknowledge the unnecessary length of your response on a subject you obviously have little experience of suggests your opinion is rarely acknowledged. Idiot.
Have you heard of United's premium service? If you pay them for a flight, once onboard, simply kick up a fuss and start screaming in a foreign language, and you'll promptly be tased by police, thrown in handcuffs and dragged off the plane, and you pay for the privilege!
jokes on them we in economy might be there only to "fill the plane" but those in first class are basically a great big crumple zone to protect us during a crash landing the impact forces are far lower in the back of the plane than in the front and the strongest part of the airframe is right over the wings (which seems to be where all the airlines in my country place their economy seats) flying in economy might just save your life
The brilliance of these videos....visual simplicity, easy to digest for most, relatively short. Most importantly, they give the average person months of cool personal research learning about airports, the airline industry, business philosophy, geography.... well done.
Some airlines (5 star) have excellent economy seats. All USA airlines I feel are 20-30 years behind travel experience. They don't want to make an airline or buy airplanes on the scale of Singapore Airlines, Emirates and Cathay. Anytime I travel back to America, I absolutely never take United or AA.
Cathay pacific has an awesome economy cabin. I flew from Auckland to Hong Kong return on their A350 in economy and it was fantastic, the seats were pretty roomy, the entertainment system played live sport and news television, and the food and service were great. I don't know why so many airlines insist on treating their passengers like shit
Ryan Sheehan american careers tend to treat their airlines like a ferry rather than a cruise liner. Your child would be damn lucky to receive plastic cutleries on a us airline while your child could recieve good things such a crayons and puzzles and birthday party songs on international airlines.
Arsenio Buck In my many years of flying between the US and Asia, All Nippon Airways (ANA) and Thai Airways were the best. Unless it was first or business class, US carriers just couldn't compete
I'd love to one day be able to fly first or business class. Not cuz I give crap about being fancy. I just would love to be able to travel in comfort without having to worry about being crammed next to people with minimal comfort. Don't get me wrong, a three hour flight is nothing, but if I'm flying from NY to Germany, I want to be able to sleep in peace.
TigerMonthlyHits I've flown 1st class in exactly that flight, and you're right, it's a completely different experience. You don't even want to sleep :).
Sign up for a credit card with a signing bonus. About 70,000 points can get you a business class flight to across the world. I just bought a singapore airlines ticket to Korea with 67,000 points and about ~$100 in fares. I signed up for chase sapphire, they gave me 100,000 signing bonus. They only do 50,000 points now though I think. AMEX plat still does 100,000 points I think.
If you're looking to get a credit card, get one of those that allow you to use your credit card points as air miles. Then if you have enough air miles, you can use them to upgrade an economy to business.
I did, it is undeniably better than economy. But if I don't get it through miles and more or anything like that, it's just not worth the money in my opinion. Also for transatlantic flights. If I don't have to pay it myself, yeah, totally, otherwise, nope, I have better things to do with money.
For domestic travel, I love Southwest. The “no hidden fees” as well as “two checked bags and carry-on fly free” policies make them an attractive option. I have flown in their ‘economy class’, and in ‘business select’. There isn’t much of a difference between them, except that in business select, you are among the first seated, you get a free alcoholic beverage coupon, you earn far more Rapid Rewards points, and you obviously pay more. That said, economy almost always sells out first...but if you fly frequently, the premium options may be more benefitial.
@@yahyachothia They're referring to the Xmas disaster that WN experienced with all their flight cancellations. I'm not even a Southwest fanboy, but I know that they aren't going to have that happen again, it was a PR disaster. Southwest is doing great
Many of the seat in all of the premium cabins are comped to frequent flyers and road warriors. Once I attained top tier stats with my preferred carrier, I don't remember a time where I wasn't comped an upgrade. So, a lot of those "revenue generating" seats are sold at the price of the lower tier seats. The math still works, but the margins are significantly diluted.
Very interesting! Would love to see a follow-up on the side hustles of airlines: frequent flyer programs, extra fees for basic services, airport lounge clubs, presale of miles to credit card companies, co-branded credit cards, and fuel hedging.
Really interesting, thank you. My dad was telling me how when he was a kid, his parents made the whole family dress in their "Sunday best" when they flew. And observing that nowadays people tend to dress very casually, because flying is relatively cheaper for the middle class, and not considered as prestigious an experience.
Nice video! What you failed to mention is that most people in first class and even business class don't actually pay the full fare. They are usually upgraded from frequent flyer miles or loyalty. A lot of times also if you get bumped they will offer to put you in first or business. Thats why we are seeing the "premium economy" market growing because they can make more money.
I didnt realize 40% of an aircraft's passengers were in premium cabin. I always wondered who can afford $5-$7,000 seats, I guess everybody but me......
No not a lot of people can afford that. Flying long distance itself is something not a lot of people do frequently. Businesses can afford the expensive seats for their employees. At least from the people I know who flew business class before, most of them did so because their employer paid for it. First class is mostly for really rich people or for people who collected a lot of miles.
@@_______________00 this video is full of crap. the very most business class customers fly with using their miles and dont pay 6k. Mostly you can even get without miles Business Class for less than 2k.
For most people, it’s an upgrade. A perk likely offered to them by their credit card or the airline. They’re spending some money, sure, but most of them are not just dropping $6000 on a ticket from New York to Chicago. I’ve flown first class just because they wanted to fill the last seat at the last minute. I upgraded for $60. Never hurts to ask!
Great video! I think you overlooked something. When flying First class on a lot of airlines (especially through their main hubs) the passenger has access to a high-end club where services like food, faster WIFI, alcohol, etc. are included in the airline ticket price. So that profit per square foot for a first-class ticket is actually lower because they have to pay for everything else (all services, employees, and space in the airport). Make another video on airport economics!
Get a frequent flyer credit card, save up miles by using it for all your purchases (paying off at the end of every month of course before any interest charges), use them to buy a first class ticket.
L. T C. Try the 1st class on Etihad airways on the return trip from London to Abu dhabi. The whole thing is like 5500USD and you get a lounge,bar and a shower on board.
I worked on the pricing system for a major international airline. The picture you paint is a simplistic one, and incorrect. For any flight, it would be in the airlines interest to sell all the tickets in advance at the full fare, but that is not what happens. There may be 20 or 30 different ticket classes, each with their own price. The algorithms that determine the number of seats in each class are extremely complex and based on the probability of the seat being sold at a particular price versus the possibility that the seat may remain unsold. In the end it's better to have some revenue for a seat rather than it remain empty (subject to cost recovery for carrying the weight). The pricing systems are dynamic, and can change the various tickets prices several times daily. As the date of the flight approaches, the possibility of empty seats increases and so ticket prices generally get cheaper. We all are aware of standby tickets, and that it is a lottery as to if they become available. That is a reflection of the ticketing software: if no standby tickets are available, it has worked to optimise the revenue for the airline. As an aside, very few people pay for first class tickets. In my experience, based on extensive analysis of fares paid, most first class seats were either upgrades from business class, of airline staff. It sends a poor message to see the first class cabin empty.
Tip: Generally speaking you can do one upgrade at the airport. When traveling internationally I usually purchase premium economy and then request an upgrade at the airport to Premium/Business (depending on airline it is called different things). It usually costs about half the difference between the two classes if I bought the higher class online initially, sometimes less. If it is more than half, I don't upgrade. I find the difference here the best in terms of bang for buck. Seats with your own arm rests, much more comfy, more more leg room, unlimited complimentary beverages and the staff is always around to refill. Fails if the upgrade class is full or is in such high demand (only a couple seats left) that it is not discounted much at the airport. Then I just take prem economy. Also if you fly internationally for business and your company limits you to economy, typically prem economy is still covered, and the same trick works, I just pay for the upgrade out of pcoket.
My guess is the cost difference depends on how many of those premium seats they filled, and how overbooked economy class is. If there are empty premium seats right before the flight, selling a discounted upgrade to a coach traveller lets them recapture some of that margin. If economy is also overbooked it lets them clear those seats while capturing extra revenue.
Don't count on that box being very big, you'd be in there like in a burial coffin. After 14 hour flight you'd turn into a vampire..."sir would you like coffee or tea? I want to drrink your blood!"
uh lol no i'm just talking about the racks, they're triple stacked and you can barely lift up your knees so that your feet are flat lol but it saves a lot of space and it's a place to sleep. The capsule concept would likely draw some inspiration off that and it would be pretty dope i think. The guys on the space station have less room I think
Yea, I might have heard something about that. I think John West, King Oscar and few other sardine factories are currently working on the design proposal for the contract.
In a full flight, yea...First and business class makes a lot of money. But do they ever fill? For a fair comparison you need to take average booking of first, business, and economy classes then compare. For example, if a plane can fill 100 of $10 economy but only fill 25 'out of 50' of '20' first class then it's actually the economy that generates the better revenue. The reason first class 'generates' more money only is because it is expensive, but it is not the most efficient way of generating revenue. Economy is, which is why low cost airlines are popping up every corner of the world.
You have a fair argument but business class generates a lot of money due to a lot of governments sending their employees to international destinations in which they buy the business ticket for their employees
More often than not, people on business do not pay the full price of a business class ticket. People get upgraded to business. Because i travel alot, i use the points i get for buying economy tickets to upgrade my ticket to business
Business class very often fills... My boyfriend works for an airline, and so we get cheap flights and get the highest possible class available on that flight. Only once out of 20+ flights have we got into business class! Most often we get into premium economy but sometimes economy. I was very surprised that business class is so often full
Business class fills a lot more than most people think. We are talking about proper business not american business class which is just a bigger chair lol
but many times, not even 50% of business/first class seats are occupied (i guess its due to the huge cost difference between economy vs bc/fc) i get the point of this video but it only makes sense when all seats are occupied and paid for. correct me if im wrong but in order to maximise profit, shouldn't the airlines try to sell off all available bc/fc seats even if they have to lower the price a little bit ? in stead of business class tickets being 6000 $ and only 10 out of 30 seats are occupied brining in $60000, why not lower the cost to 4000 $ and try to have 20 seats sold ?
Because if airlines lower prices for Business class every time right before the flight, people would never buy the seats at full price. They would wait until the prices got lowered. And then the whole pricing scheme would be compromised and airlines would lose money. They would rather only sell those seats for ex. $6000 and have a lot of empty seats than filling it up with lower paid customers.
Business class may look empty, but most of the time it is not actually empty. Business class passengers are very likely to not show up to their flight firstly because they probably didn't pay for the seat, their company did. Secondly, as they are business passengers they are quite likely and allowed by the airline to rebook or change their flights around. Business passengers most of the time then may still pay but they might have an earlier meeting or some other unexpected turn of events meaning they actually get on a different flight. This is also why business class fares are actually pretty irrelevant to most BC passengers, because they didn't pay for it and their company can do with a rebooking or another flight in BC, so dropping the fares might not attract EC passengers as it's still a high jump. I personally mostly fly business because I value the extra comfort and rest that you can get while travelling the world.... : )
Recently I have received the message from Tap asking if I'd like to be a part of an auction for tickets for the first class. I have made an offer of additional £200 and ended up travelling much better. My point is that the discounts that are being offered for higher classes plus the fact that they are not really being completely full change a bit the analysis in this video.
TAP does have 1st . The chair lays down almost like a bed (not completely as some other companies) but way more than the typical executive. To be fair they call it business, but the used space in the aircraft is definitely a 1st.
@@patrickherb4670 no it’s not 🤡💀 they are basically saying how the middle eastern airlines such as Emirates, Qatar or Etihad are known for being very expensive and luxurious. Tickets go up to 10’s of thousands for first
For peasants like me. Ryanair is just fine thank you! We only fly 2/4 times a year for 3 hours each. For that dirt money i can sit on my ass and take it. Rather spend more during a week of holiday than to blow it on some 3-5 hour flight.
@@D_W4LIFE yes, but is it a bad thing? Saving some money by not spending on luxurious things is everybody's own choice. And not refusing an upgrade is just common sense
One thing you failed to mention....a lot of the business class seats are filled because the airline sends them comp upgrades and they get to ride in business class but only purchased a coach class ticket. I saw it when I worked in the industry people don’t spend a dime on tickets. Their company flys them all over and they reap the benefits of comp upgrades....
Absolutely. As a frequent business traveler, I always book economy but sit in first more often than not. This video just isn't very accurate at all for US domestic travel
Do airlines upgrade People to higher classes for weight distribution on the flight? Or Is it marketing to give People a taste of first class so next time they might buy it?
No. Airlines overbook the economy class, because they anticipate that not everyone is going to show up. So if everybody comes, they upgrade them into first and business. If they are also full, they offer you a huge discount and a later flight
It's really just logic. If those seats will be empty anyway, why not let someone fly in them? Since they prioritize people with the best relationships with the airlines, frequent fliers, this only goes to enhance their relationship. Furthermore, in the future, if that traveler is debating which airline to fly, he might be willing to pay a little more for that airline if he knows there is some chance he might be upgraded. No one who is actually willing to pay for first class is going to book coach and hope/pray they get upgraded. There is such a huge gap that the chance free upgrade does not cannibalize the airline's first class revenue.
@isiTsotsi this is correct. i once was upgraded into businesclass on a Finnair flight to Tokyo. They told me that they did that because i did buy the ticket very early(like 7 month or so in advance) and they are overbooked in the economy.
Ive never been in a plane with a special first class section, they always have 6 seats in the very front with a bit more leg room. But tbh I rather sit at the emergency exit cuz that space has a shit ton of leg room and it doesnt cost much to have a garanteed place there! (Sometimes we get it for free cuz someone couldnt sit there)
Ideally, what you say is true: Premium seats generate more money than economy seats. However, it's more likely that a plane fills out the entire economy class rather than filling up the whole first class. This actually happens a lot and that's why if you're aiming to get a better seat, you should wait until the same day of the flight to ask if you could upgrade your seat. It will cost less than if you pre-purchased the same upgrade months before the flight.
This is true in relation to First Class, that it never gets filled up, but you would be surprised how often Business gets filled up because of a) how good value it is and b) it is literally "business class" and all the people on work trips fly business.
@@callum8147 Funny I'm pricing our upcoming trip back to Australia from Texas and the first class seats are cheaper than the business ones. $22k for all four of us vs $17k. Dunno why. Same airline.
@@KryptoDemonInteresting to know. Are you flying Air NZ by chance? I flew Melbourne to Houston return with them a few years ago and was really impressed. Even got an additional checked luggage allowance for peanuts.
Nice video ! One other reason for the "first class" desapearing is that, given the price of the tickets, it is hard for businessman to present a bill with "first class" written on it to his company. Especially when there is a specific class, cheaper, called "business". So, slowly, many airlines began to call the former "businness" : "premium" and the former "first class" : "business class". Nowadays, the differences between a 1st class seat in one company that still has one and a business class in some others are scarce. (the levels of luxury involved vary between companies a lot, of course) Nice explanations ! "Economy seats are just there to fill the plane" ... ouch ! that hurts lol
nah, first class people stay at expensive hotels and visit parts of cities and countries that are too expensive for other people. there are many parts of europe too expensive for most people to bother visiting, because you're just going to be surrounded by rich people doing their rich people thing if you go there anyway, instead of visiting tourist and historical destinations. but when you fly to paris and a rich person flies to paris, the destination is the same city, but it's not the same place.
@@perfectallycromulent I agree there’s always luxury wherever you go, like in Paris you can either dine in a Michelin starred restaurant or just in a normal restaurant. Even the most luxurious 5 star hotel has Room vs suite and the people who are staying in suite will be treated differently. Experience comes at a price tag. At the end of the day it’s us who needs to decide if those experiences are worth of our time and effort …
Or to use an old saying: "A the end of the day the white Queen and the black pawn both end up in the same box." That's a death and burial reference, in case you missed it.
Its all relative - however Business Class is not a luxury for people who use it - if you are spending 20hrs a week in the air you better have some comfort
You forgot to mention the 1 first class suite in ethaid up front is called the residence and cost 20000 dollars. It comes with a living room, bedroom with an actual double bed and your own bathroom with a personal shower. And all of these are connected together. And they are private for your personal use.
It makes me wonder if faster flight times make a difference. Trans-atlantic in the 70s-80s must've been close to a full day, so it would make more sense paying for a psuedo-hotel room. But now that same flight is 10 hours, so all you really need for luxury is some privacy and a place to stretch your legs.
@@neb4587 white people used to colonize countries all over the world so "western" looking people are everywhere. I'm also white and speak almost perfect English even though I'm neither american nor British nor from any English speaking country. Maybe his employer knows about it and just doesn't care, we'll never know unless he tells us lol
@@neb4587 CAN, but doesn't mean WILL. it is, after all, a decision based on the employer. There's basically no legal repercussions unless it gets REALLY out of hand.
Beautiful presentation, thank you! My wife and I are going to Beijing next week on Hainan Airlines, they have wonderful amenities and are definitely set up for long distance flights, even standard fare seating is like business class on any domestic airline here in the states.
@@bartholomewdan Wow, cool seeing a response after 3 years! Anyway, that trip was especially nice, my brother in law always takes us to the coolest parks and most interesting places to see while we're there. Went to Shanghai and Suzhou. Shanghai was one of the most beautiful cities I've ever seen. The combination of old western architecture in the old town side of the river mixed with the ingenuity of new eastern architecture and synchronized lighting on the downtown side of the river was amazing. Suzhou is one of the oldest cities still standing... anywhere, it's roughly 5000 years old and it's just magical walking through the streets. We were supposed to go back again in late '20, but needless to say the world had turned into a different place by then and we're unsure, at this point, if we'll be able to get back before my mother and father in law pass away, very sad. Thanks for asking my friend, may God richly bless you and yours and please have a wonderful holiday season with your loved ones. 🙏😁
I think the cost of empty seats should always be calculated. Filling the plane is sometimes more important than higher first/business class ratio. One thing this pandemic has really taught us!
Although you have shown us that business and first class get more revenue, you have not focused on the net revenue which is how much is earned minus the money spent by the airline on each passenger from different classes. I find this video incomplete as many other factors are missing such as the actual percentage of seats occupied on average in each class and so on. I'm interested to know your view on this.
While the video is a simplification of the real world, it still seems fairly accurate. I would like to see a more in-depth look at the other factors, though. Wendover Productions knows what he's talking about, though, he just doesn't put in the time to go from 90% accuracy to 100% accuracy and/or probably suffers from a lack of research material.
TheBraveSirRobin Nope, he's full of crap. People who actually work in aviation have messaged him about his mistakes and he told them they were wrong. He's a charlatan. You know it. I know it. Everybody knows it.
First-person pronoun which is letter "i" should be always capitalised ! You were probably asleep in the whole school semester because am positive they taught that at least once.
just came back to canada from flying to england to see the love of my life again, i dont care im in economy to fill the plane if it gets me to him and him to me every few months
I did economy from toronto to vancouver, vancouver to hong kong, hong kong to syndey australia, over 24 hours of flying! but on my way back, i got upgraded to premium economy from hong kong to vancouver, and holy fuck what a difference! i havent done first class or business, but premium economy made those 15 hours just FLY by (ba dum dum chhh). if i could afford it, id fly business every time no matter what. but first class does seem such a waste when business and premium economy have all the space you need.
@Kelly Applegath : TOTALLY agree with you as I had the same experience! For long flight ( 8+ hours ), it is a big upgrade!!! As for a waste part, I guess when one is rich enough, waste is not in his/her dictionary lol
Morando no Canada92 actually, most business class tickets are paid for by the passenger's employer. They consider it worth the money that the employee can remain productive during the flight and then arrive reasonably fresh for the meeting at the arrival point.
I'm planning to fly business class this December on Philippine airlines. I've researched it thoroughly and find it suits my needs on a 13 hour flight from SFO on a Boeing 777-333er. I'm paying approximately $2,300 per ticket but its definitely worth it, better food, seats lay out completely flat so you can sleep peacefully during the entire flight. The sliding dividers between the seats in business class for added privacy also adds to a pleasant experience. Can't wait! Thanks for the video.
I had the shock of my life when I took my first time economy class flight (my first time arriving) here in the US. Our buses in Turkey had more comfort for gods sake. In the most advanced country in the world, it just shows how middle class in general is left behind for decades; the gap is absurd.
I've never really cared. I hate flying (well basically idc, but in the end it's just sitting and waiting which I both can not stand for long) and usually just go for the sleeping pill.
Some airlines have proposed standing space only sections, although safety concerns make that difficult to realize. They also have proposed different ways to pack more economy passengers in the same space. The steward to passenger ratio is also insanely skewed depending on class.
And in the meantime pray the short haul flight will not be delayed or you have to pay rebooking of long haul flight or buying a completely new ticket....I always advise people, if they have connecting flights on 2 different airlines and 2 different reservations the minimum connecting time is 12 hours 😂
its poorly researched. airlines make their money off the economy section and ancillaries, few if none buy first class- everyone is upgraded. source: i work for the largest airline in the world in rev management.
+Jus B Actually, he clarifies that. His method is assuming every seat is filled, and near the end, explains that first class is going away because it's more expensive to provide, and people just aren't willing to pay exponentially more for a slightly better experience, which can also be interpreted as, 'few if none buy first class'.
i am telling the truth. i work in the industry and deal with this on a daily basis. airlines make their money off economy- the majority or first and business class are upgrades.
Depending on how you are defining "anyone". Because nearly 1/2 of the world's population - more than 3 billion people - live on less than $2.50 a day. More than 1.3 billion live in extreme poverty - less than $1.25 a day. Also I don't know where you live, but for my country the absolute cheapest flight is around 90-120$ Just tickets. I would agree with that in most westernised developed countries this is maybe the case for the upper to middle classes. However the experience of flying is still a luxury for me and most people.
Also to add, tiers are there to keep balance with the masses. First class tickets might bring in more revenue, but economy class (majority) provides relevance and marketing.
I’d quibble on one point: You say the “product” is the flight from A to B. I’d rather argue that, for example with British Airways in your video, the airline is selling four products: economy, premium economy, business, and first. Those four products have bundles of characteristics, and are priced by the bundles. When an airline sells economy tickets at different prices, then it’s closer to the truth to say, as you do, that airlines have figured out how to sell the same product to different people at different prices, though even then, I’d argue that one of the “sticks” in the bundle of a low-price economy ticket is “purchase 30 days in advance subject to a change fee” while the “stick” in the high-price economy ticket is “purchase whenever, change if you like”. But your basic point is very well taken: A biz or first seat today is priced about what all seats were priced in the 60s, so the evolution is in lower costs of operation, permitting the sale of economy tickets today, opening up travel on a large scale. When I was a kid, I could only afford the Greyhound bus from Baton Rouge, LA to Providence, RI to attend school. I know very few kids who’d do that today, since air travel is so cheap. Thanks for your great video and explanation. Cheers!
In other words, the suckers (or "privileged") who pay 2 or 3 times more for a business or 1st class ticket are making my flight (in economy) more affordable. I guess it's reason to be thankful that there are people out there that are willing to pay that much more to make a 7 hour flight more bearable for themselves by having a few more inches of space and a better meal.
In other words, people who work hard and have more money can have a bed for their flight since the cost of the ticket is an absolutely tiny portion of their total income
this was really neat I am flying for the first time in years and when I saw the business class seat I was so confused as to me it was what I thought of as first class (the little pod seats) I've learned that Economy for the most part is the same (depending on age of the aircraft) Economy Premium is either Economy with a little extra leg room or Business Class Light Business Class can be Business Class, First Class Light or even (jet blue mint) full on First Class without the menu. While First Class can be Business Class with a nicer menu and candy coating, First Class, or Ok you are just trying to hard. While each plane will have 1-4 classes what those classes entail changes drastically based on the airline without the price changing.
Those old photos brought back some memories. As a former airline crewmember in the late 60's and early 70's, i can attest that your analysis is spot on. The Airline Deregulation Act killed the airlines. We used to have 30 or so "major" and a bunch of regional airlines. Now we are down to only 3-4 majors (AA, DL, UA, and SW). Service and maintenance has gone to crap, as has on-time performance. The only solution is to bring back full regulation by a new CAB. Outstanding video and explanation of aviation history!!
Yes, let's make air travel expensive again and limit access to the rich. Damn proletariat, thinking they can be as mobile as we jet-setters. Let them take the bus.
Well Comrade, I doubt you traveled much in the 1960's and 70's. As an airline employee, I did. RT coach JFK-LAX was $329; first class was $556. Student and military standby was a lot less as was one week "excursion" fares. You could check 2 bags for free, carry on one in the overhead rack and one under the seat for free; all food and non-alcoholic drinks was free in coach; alcohol free in business and first. Free games for the kids, blankets and piliows for al free; FA;s would give you aspirin or tylenol for free; passed out magazines for free, etc., etc, etc. The competition was based on quality of service and on-time performance. Airline folks were very courteous, passengers were civil, even cordial, to each other,; altercations were virtually unheard of... except for the occasional drunk businessman. IT was the Golden Age of Commercial aviation. And the maintenance on the airplanes was top notch, resulting in mostly on time departures except for WX delays. It is unfortunate you never had the chance to experience it as I did, or your attitude would be much different. For the masses, flying was a special occasion; it still is for some, but it isn't anything like it used to be. Welcome to the cattle car, comrade... wanna buy some peanuts?
Great video. I wish you would have brought up what % of first class/ business class seats gets filled compared to free up grades. That's a pretty big variable here.
Yep. That is a major gaping hole in the data here. He only uses transatlantic travel for his numbers. I fly US domestic weekly and I can tell you that half of the domestic seats are free upgrades.
The airlines originally made most of their money from carrying mail. Passengers were often carried at a loss. Freight is still far more profitable than passengers.
There is a British airways Airbus A318 that is entirely business class and flies transatlantic from London City airport to JFK with a stop in Shannon in Ireland to pass through US immigration and refuel. pretty unique flight.
One important thing to consider is missing: the frequent flyer programs of the airlines. One airline employee once explained to me that their airline is getting rid of the first class, because only 10% in first class actually pay full price for a first class ticket. 90% are people who get bumped up due to their status, or paid their ticket or upgrade with frequent flyer miles.
THIS. I was looking for a comment like this because my dad is in that exact situation. When he travels for work, his flight ticket is paid for by the employer but because of his frequent flyer status, he gets upgraded for free on almost all flights. And he gets the miles/points from that flight to fly for leisure for free.
Alitalia (airbus) from nyc to Rome was the best flight ever. I felt nothing at takeoff and landing, no turbulence at all, very comfortable economy class, great selections on screens, delicious foods and pastries, and much more. I was impressed.
Also, in a lot of my own travels to various countries, sometimes if economy class isn't full, they ask passengers to move toward the back to help balance out the plane. A flight attendant told me upon asking one time her theory is that is why economy class is in the back because the jet needs the weight there to fly more smoothly.
Economy class is at the back because that lets the business and first class passengers get out more quickly and conveniently. That said, having the centre of gravity within a certain range is indeed critical in aircraft; it won't make a difference in how "smooth" the flight is, but a CoG too far forward or aft can cause an aircraft to crash. Getting this correct is normally handled by cargo and baggage loading, sometimes fuel loading (including in-flight transfer between tanks), and only after that passenger distribution. But passenger weight is a fairly small fraction of the total aircraft weight, typically not much over 10% even in the worst case of a short all-economy flight.
Max92 British Airways also do the same from London City to JFK via Shannon (refuel and pre-arrival immigration) which uses the old callsign of the Concorde flight from Heathrow to JFK.
Those are places where there would be high transit with business people so they could sell the tickets. IF the plane is fuel efficient and you can get a good configuration and fill the plane regularly then it's a good idea. Business class costs more to run though so if the tickets aren't selling it won't work
Singapore Airlines flies Changi to Newark in an Airbus A350-900 ULR in a special 161 seat business and premium economy configuration. It has been flown previously with an A340-500 in an all business configuration.
Wow, a very good illustration of airline classes and fares. Most people have it completely backwards. As you pointed out, in 1950 a regular fare was the equivalent of a First Class fare today. Yet people talk about how "airlines treated you right, and you had more space, better meals, etc. in those days. Now they pack you in like sardines and give you pretzels." What everyone fails to take into account is that the same experience as the 1950s-era is still an option, and in the same adjusted price range - if you want the "old fashioned" experience, you have to pay "old-fashioned" fares and fly modern First Class! What people don't appreciate is that Economy classes were ADDED to the business model in order to allow more people the experience of flying. But the minute those reduced fare passengers get on the plane, instead of being glad they can fly for an affordable fare, they grumble because they have to put up with fewer comforts. If they were priced out of flying altogether - like in the "Good Old Days" - they would be grateful for the chance to fly overseas for a few hundred dollars - something UNHEARD of in the 1950s!
The price difference between ecomomy and business/first is huge... I got me economy ticket from the UK to Japan for about £600 on Etihad, while the business class seats were over £2000 when I was booking...
You should have measured the costs per mass of classes opposed to the area size used. (Like how much the seats weight and other things) because those things actually effect overheads like fuel as well
I remember as a child in 1972 getting "bumped" into first class on an Eastern 727 "Whisperjet" (at 120dB, that's some cruel joke!) I was excited: "Tablecloths!" Mom would dress us up to fly, and it was a classy scene back then. Even in coach.
Economy class is...mostly okay. The airlines clearly make big bucks from first class customers. Those tickets are just so much more. I think I get why they price it out like they do. A full-ish first class section would seem to help enable economy class to be priced like it is. What pisses folks off is filling first class first rather than packing the aircraft from back to front or just randomly which has been proved to also be pretty quick. Squeezing past slow-moving first class customers en route to your sardine can of a seat just POs people and you can't blame them.
John R It's not unusual either for First Class passengers to give you dirty looks as you squeeze past them to your cramped Economy seat. I think Southwest is the only one that does it right. You check in as early as possible, and the reward is you get to pick your own seat once you're on the plane. Economy on international flights is another story... I finally flew business class from Houston to India, and now CANNOT go back to economy. I don't even really give a shit about all the entertainment and food, just being able to sit comfortably without a fat, smelly person pressed against me, and being able to lie down like a normal human being to sleep made all the difference in the world. I felt relaxed and fresh even after 18 hours in the air. It was even more evident on the connecting flight from Dubai to Chennai. Being Indian-American I can say this... flying with Indians in economy is NOT a pleasant experience.
@@nahor88 i can fly long haul economy if im in the aisle seat, the window seat is great until you need to take a piss and the fatass next to you is asleep and wont wake up, as for the middle seat (i think id rather hold onto the wing while wearing arctic clothes and an oxygen mask than get stuck between 2 stinky fatasses for 12 hours straight)
Priority boarding is part of the offerings for flying in a premium cabin, preflight drinks is also an offering of premium cabins: because of this Economy passengers will never be boarded first. Also consider that most airlines use two doors for boarding intercontinental flights, one door used for premium cabins, one for economy cabin
Sorry for doubling up on aviation videos! Normally I wouldn’t do two videos of similar topics back-to-back but the video I was going to do just ended up not being interesting enough so I scrapped the script. I didn’t have time at that point to do a research-intensive video so I decided to do this topic that I already knew a good bit about.
Also I know this is a pretty loose interpretation of economics, but hey, I liked the title.
Also, one clarification on something I realized might be confusing during editing: airlines absolutely had first class in the 60s and 70s. It just wasn’t anything like the long-haul first class’ you see today. It was pretty much like domestic US first class today. The impact of the Concorde was the perceived competition it created for the highest-class of traveller. Some airlines decided to close their first class cabins and not compete while others improved their cabins in order to compete. Lie-flat seats or even angle-flat seats really didn’t become ubiquitous until the last 10-15 years with the demise of the Concorde.
Also, first.
Lol
rofl dude
Excellent Video.
Wendover Productions way I love your vids and don't worry I was waiting for your new vid
No, please do. Your Aviation Videos are your best.
I was upgraded to first class when I flew for the first time alone at 16. The woman checking my boarding pass changed my seat number and I didn't realize until the flight attendant pointed me towards the front of the plane. It was an amazing experience and the flight time was over 8 hours.
I volunteered to give up my seat on a cross country Continental flight when I was 18. I was upgraded to first class at no charge. The flight attendant gave me a mimosa and didn't check my i.d. I fly a lot, but I'll always remember that luxurious flight. I felt like I was really getting away with something.
I was upgraded to business or first, (can't recall which). The guy beside me had no shoes or socks on his smelly feet. Melbourne to maybe Abu Dabi. A selfish b@stard. I should have spoken up. You had better luck.
@@frunomaol5069 would probably be business as I think first class is more of a private cabin
@@waterking1013 I'll take your word for it, it was many years ago. I've always travelled cattle class, except for that smelly trip. .
@@stephaniemartin-ward4578 but did you fly in a country where age limit is 18? Us is only one with 21 I think
"Everyone in economy, in the end, is just there to fill the plane."
....
...
...
...
I've been called worse.
Or they're just there to pay for the actual fuel price 😹
OwnOwnOwnOwnOwnOwn
I smell Socialism...
I read this comment at the same time as he said it and I was like wow
Yes.
Little do they know, this is a win-win situation
no, we are not there to fill the flights.
we are there just to make the plane balance
Yes, we do have a function.
@pine cone hey some of us are just trying to make an honest living from organ harvesting :(
pine cone and your point? some of us can afford it, or it’s the case of our companies paying for our flights in advance, and there’s nothing wrong with it
@pine cone I'm pretty grateful to the fat greedy fucks that made long distance air travel affordable to broke students like me.
@pine cone Well they helped get it moving. Fat Greedy Fucks were also the ones "testing" most of the early non-military flights. Them fat asses paid good money to die for our modern, better planes, gotta appreciate that lol
Economy class in planes is the most expensive way to feel poor.
Rich for me means that you don't have to work anymore. Being born middle class in Europe or US while still having to work to make a living is not rich. It's middle class and that's far from rich.
@ feel my pain - I’m 6’3” (1.9m) economy (which I always travel in) is so uncomfortable for leg room for me
@ I can feel the jealousy and salt, but honestly you speak 100% facts. It’s actually hilarious seeing your approach presented in such a professional manner.
@ exactly. 1st class flying around the USA is a waste. Now overseas, boy that legroom feels good!
@ First class customers will fly also private jets, depending what's more convenient and connected, but on a long flight a first class A380 can be pretty good. I mean the actual first class at Emirates etc. Not some wannabe first class of questionable airlines. Some airlines also just aren't good - for example LH business class you can't even get a window seat with private entry and the food isn't that good. Considering the price, definitely not 5-8 times as good as economy, but if you are a $50m net-worth guy you have to spend your money somewhere. Also, the hassle free priority check-in, and lounge access where you can relax without all the hectic is also something to consider.
The thing is, first class can be a relatively cheaper from some people than economy for others, I mean as percentages of their net-worth. In that case, it doesn't have to be the "absolutely best" on the market.
That Sure hurts,
"Everyone in economy is just there to fill the plane!"
But it's the sad truth of how it has to work. Jet fuel is expensive, so there has to be a profit. With more room per seat, less people fit in the plane. Since the market for high-end seats can generate more income per volume filled, they're the jewel of revenue. However, the demand isn't high enough by any means. Coach always is. It isn't about the coach passengers being an afterthought so much as it is about coach seating being worked around the space needed for high-end seating.
Mo Ba Unless you fly Ryanair - they only have wood class
Not exactly, they are needed for ballast i.e. to balance out the plane so that it flies smoothly. Can't have all of the weight to the front.
Jesus Gonzalez Lmao! :-)
Lobotoman I think there is one NYC - LCY flight with business only
Once upon a time, I was a lost Air Force Airman in an airport. I was in uniform fresh out of basic training...I asked this guy who was wearing a suit waiting for the same flight if I was on the right flight. He said yes, and then he took my ticket and came back with a 1st class ticket. They were offering me wine in the air and I was only 19. lol I will never forget that mans kindness...
That was very nice of him! Made me feel good just by reading this.
I too wish to be rich enough to give random people first class tickets
“In the beginning of commercial aviation, there weren’t really any classes...”
*Karl Marx has joined the chat.*
"...everyhting was premium"
Karl Marx has left the chat
Adam Smith cuffs Karl Marx with the invisible hand and drop kicks him out of the chat.
@@SebAnders quite violent. Mother Teresa has left the chat.
Lafeo 007 Keep that old Albanian crone the hell out the chat!
This period of time was called Primitive Aviation
Concorde may have failed economically, but from an engineering view it was unrivalled, even today.
We could always revamp the technology behind it.
What's to say the bypass air in a modern turbofan engine couldn't be afterburned to increase thrust?
JRRnotTolkien Wasn't exactly the plane's fault mind you-
Rohan Zener and I really hope we might see this type of thing at least attempted soon :)
@@77l96 lol
@@77l96 you are funny because you missed the main point
even with economy seat, I'm still feeling the luxury experience of flight
Ilham Suhendi you never flew with Ryanair then, that company makes you feel like you were just punished by flying with them
Ilham Suhendi i guess it depends with the airline, I flew with Etihad and the Eco class was just amazing, great food and service. I'm sure however if you fly with Ryanair it would be much different lol
He means flight itself is a luxury as opposed to spending days on a boat or train.
Ilham Suhendi luxury is train travel
Ajinkya Pathania having flown both business and eco its pretty much the same just different seat configuration more leg more etc little tweaks but for inflated price
I have to add something to this video, which you left aside completely. On one hand you are basically right: airlines sell flights from point A to point B. But there is much more to it.
I work for a major European airline and those are the two main points that were missing in my opinion.
Business Class tickets are much more pricey for a reason:
Weight: Each business Class passenger is allowed to carry 2x8kg pieces of hand luggage + 2x 32kg trolleys in the belly. The weight of the luggage alone is as much as an average person. Also, each business class seat, the immense amount of cutlery, plates, extra (premium) beverages (alcohol in glass- instead of plastic bottles) and extra (premium) food, the space you need inside the galley, more lavatories per passenger, special decorations and so on and so forth. Weight is a major issue in aviation (more weight = more fuel consumption), so there is that.
Extra service: staff costs have a huge impact on the ticket price. Letalone the great variety of exclusive lounges operated by my Arline in many different airports. As a business class passenger you can perform your checkin in person (vs. online checkin only) and with the help of our very kind service staff (and there are lots of them!). Usually Business Class passengers have access to priority security checks at the airport (which the airline pays for as well). Being on board we usually have one Flight Attendant for a max of 12 business class passengers for a more exclusive and restaurant-like service. Arriving at our home base, business Class passengers also have access to a special welcome lounge, where they can (once again) enjoy a variety of food and some exclusive drinks.
In the end, the demand (which we can't complain about) causes big fluctuations in flight prices as well.
Economy Class passengers are NOT there to fill the seats as an airline has a much less sophisticated job to do for an Economy Class passenger. A tourist-class only airline can compete with any other airline out there if done correctly.
Economy class passengers are there to fill the seats. Your other points are true but he focused on the main points. Those are more secondary points
Very interesting, I’ve heard of airlines like WOW are really changing how airlines make money focusing on cheaper economic flights. I flew them once and they only allowed a personal bag, Nothing was free on the plane, and service was well... not great. But hey tickets were cheap cheap
you can sell anything if the price is right
here in australia, jetstar and tigerair have disrupted the airline market by offering fares that are less than a quarter of the price of the big carriers and despite the cattle cart like experience they never have trouble filling planes with economy passengers (literally the whole plane is economy)
adelaide to sydney with qantas in economy is usually around $450 one way, the same flight at a similar time with jetstar or tigerair will cost between $70-$120 one way for similar inflight experience (minus a free feed and a seat mounted TV screen)
i once saw jetstar offering (and advertising on TV!!!) flights from melbourne to tokyo for $150 each way when that same flight on the bigger carriers would be close to $1200 (that was a few years ago though)
never underestimate the power of a low price point
people are price driven for the most part and a majority of people would probably be willing to put on a heavy jacket and an oxygen mask then hold onto the wing for the whole flight if it meant getting a cheaper ticket
"A tourist-class only airline can compete with any other airline out there if done correctly." I was just thinking that I was watching the video. Given the costs to offer business and first class services, and the fact that those seats take up more square footage, I was thinking about the economics of running an economy-class-only trans-Atlantic flight. I know that Southwest airlines, my preferred airline, does that with US domestic flights. The business-class ticket only guarantees your priority boarding and, I think, a security check priority. I'm not sure what their profits are compared to other airlines, but they've been expanding their services to places like Hawaii and DCA. And to me the service quality is better than what you get with United.
@@mwbgaming28 ahh but you only fly tiger air if you're okay with the odd chance of dying mind flight because they didnt hold the flaps on with enough duct tape...
Also this i a good point since Wendover doesn't mention cost per sqm.
I like business class because it can make economy class a lot cheaper.
@@ladyj6278 So you spend an extra 5 grand so you can get to see people's "looks of envy" and enjoy 2-3 somewhat decent meals? Why not fly economy and then use the 5 grand to stay at a 5 star hotel and dine at a 3 Michelin star restaurant? Much better experience for much longer, and probably cheaper too!
@@Penguin-kr9do Because you can tolerate staying a mediocre place more than an awful flight. If you go on vacation to stay in the Hotel WTF are you doing? Okay, maybe you stay at a 5 star hotel for a couple days for the experience of that, but people rich enough to regularly fly first class live 5 star hotel anyway. I would rather stay at 3 star good breakfast good bed hotel and experience historical and cultural sites and not have to spend 16 odd hours basically sitting down in the middle of a bus you can't get out of than stay at a 5 star hotel that I won't be in most of the day anyway.
@@honorablespartan You'll be in the hotel for a lot longer than you're in the plane.
@@ladyj6278 sounds so cheap! lmao. The real princesses don't care how others look.
^_^
Can't even imagine spending 2k+ on a plane ticket, didn't realise there were so many rich people out there
I spend that & more every trip, in order to avoid being stuck with tiresome people who make such journeys unpleasant.
Me rich?
Nope - merely prudent.
They pay using money that's being made from their business if I recall correctly.
Macauley Parry Didnt realise there were so many sucessfull business owners.
It's probably people working for companies or upper middle class.
/k/avalier How is upper middleclass that rich?
I fly the plane. I call it captain class.
Age of Reason Nice man
@@jamesdoire6752 The fuck is wrong with you?
i call it driver
I ride in cargo. I call it under class.
I learn trigonometry. I call it math class.
Something tells me you like planes...
Planes are alright. What I'm really interested in is the airline business.
Couldn't tell you why.
Planes are just glorified buses
+Real Engineering just like buses are glorified cars.
Real Engineering
Well, some models are called airbuses aren't they?
You replied !!! :-)
Never thought I would be interested in airline business, until your Concorde video. Keep up the good work !
Love the ongoing banter between you and Real Engineering.
The classes are wrong in this video if you fly united the classes go first, business and fight club
MBT Trails what?
HAHAHA
Who TF flies United?
What's the first rule of Fight Club?
E1craZ4life you don’t talk about fight club
The observation about direct flights being more expensive is really interesting. Before they got married, my cousin's husband lived in London. When he went on holiday to the USA with her family, he realised that his flights from London were far more expensive than their flights from Belfast, even though they would be crossing the Atlantic on the same plane, and their tickets included additional flights across the Irish Sea. In the end, he found it was significantly cheaper to fly from London to Belfast the day before and then fly from Belfast with his girlfriend and her family.
Yeah, the amount of upcharge for 'direct' is pretty excessive.
Also, I just have a question, did your cousin live in London with her husband or the USA??
@@CH40s140 she lived in Belfast in Northern Ireland. He eventually moved from London to Belfast before they got married.
I’ve saved SO much money by breaking up direct routes. On one trip I took a week-long layover in Bali, and with all the accommodation and food etc I still spent LESS money than if I’d flown direct. Free holiday!
That's how skiplagging was born.
One time I wanted to go from St Louis to NYC and wanted to take a side trip to Amsterdam.
I discovered online that it was cheaper to buy a RT to NYC ($350) and a separate RT ticket from NYC to AMS ($400). However, when I tried to buy the two RT tickets the phone agent (2002) kept refusing to sell them that way because, in his words, it was impossible for that to be cheaper than getting a combined ticket. "A combined ticket will always be cheaper".
I kept asking for my two RTs (a ten day trip, STL>NYC>NYC>STL with a trip in the middle of the week, NYC>AMS>AMS>NYC), and going through the process of telling him what I wanted and he repeatedly kept coming back with a price of $1,800. I would pause and ask him to repeat the itinerary to me and he would reveal he again entered STL>NYC>AMS>NYC>STL. Maybe once he entered STL>NYC>AMS>STL.
I explained that he gave me a bunch of One-Way tickets which are almost always more expensive then RTs. After half an hour I hung up, called back, and got another agent.
I had a presentation at university today based on the airline industry. I cannot thank you enough for your insight into aviation industry. Must have watched your your aviation videos multiple times. You make it complex subjects easier to digest. Keep it up brother!
Spirit Airlines: "Bet you we can make a class below coach."
Alexander Smith weave snatch class 😳
I think they've explored the legality of having people stand the whole flight
@@User31129 forget the flying to the destination we drive and you pay for the gas :))
😂😂😂😂
For short flights....it's worth sucking it up, and flying Spirit to save $100+
....that said, if they could charge extra $ for the toilet, they would
I work for a major airline in revenue management and this is basically spot on. I would say that now a days business travelers is more 70/30, instead of 80/20. Also, this was the economics of a legacy airline, airlines like Ryan Air, Spirit, Frontier, etc... these airlines are very different in how they make money. They do not target business travelers they target leisure travelers and rely on ancillary revenue rather then ticket prices. I feel like that could be a good vid to do as well for aviation videos if you need ideas. Anyway, great vid, you earned yourself a sub!
What would you recommend to someone who wants to join an airline to work in revenue management?
First, work for an Airline in your home country if that's the US great you have a ton of options. Second, are you in high school, college, Graduate? I would suggest if your in High School find an aviation themed college like UND, Purdue, Riddle and take classes on Airline Management. If your in college and not at an aviation themed one take classes on statistics, economics, business. Once you are actively looking start with Glassdoor.com for interview tips (I have a few post on there for RM interviews). It's super competitive so keep trying if you get denied. If you're a citizen of America and you lack professional experience American and United are your best bet since analytical experience is not priority for them. Good Luck I hope make it!
Hey, many thanks for your detailed reply! I really appreciate that!
Do you have an e-mail address or any other contact details to answer to you questions and to send you a couple of additional questions about this? You can send it to hdaviationvideoschannel@gmail.com or through my YT channel. Thanks!
sent you a message on YT
@@HDAviationVideos It's been 4 years, can we get an update?
This focused entirely on Revenue. The cost to service each seat is massively different between each cabin. Would've been interested to hear analysis that took net profit into account
I imagine that would be a bit more difficult to get the data on
@@vincent513 hence why it's far more interesting and useful
Nah that cost wouldn't cost that much if you put that on an average over a number of flights
@@davidrieger8816 wrong. Whether or not a cost is fixed is irrelevant to whether it applies to only one cabin or another and salaries and meals are definitely variable costs. 1st class and business class have higher costs to service because staff per seat is higher as are the costs per passenger (meals).
@@samgray506 The staffing can also be more expensive, since you'll want experienced attendants in premium, while new hires can be put on econ. Still, that's a minor, inconsistent fluctuation.
I just hide in a suitcase and fly for the $50 extra bag fee.
A rough ride I imagine!
Still need a passenger to fly with...
You know u go thru an X-ray.
@@atharvanigamvarmamm8183 r/woooosh
My man acting like an Octopus in a jar
You missed out the revenue from cargo. The "below the floor" economy.
What about the revenue of the landing gear bay seats?
With corona he did a video on cargo!
As a customer service at a travel agency, I can never understand when people just go "ok" when I confirm with them that the cost of class upgrade is like a thousand dollars
The world never ever was as polarized economically as it is today.
An Egyptian pharaoh and a slave? Weren't so polarized. Were like the upper middle versus lower middle class today.
A medieval king and its peasant? Weren't so polarized. Were like an associate manager and a junior manager.
@@sheet-music I just don't think that claim has much historical merit. The pharaoh and king had say over every aspect of the slave's and peasant's life they were interested in, including ending that life if they chose. The slave and peasant worked their entire short lives with no hope whatsoever of upward mobility. The pharaoh and king were born into wealth, did not labor, and wanted for nothing, at least in terms of amenities of the day, with a gallery of personal servants to wait on them.
I'm not saying that the economic divide today isn't significant, but I certainly don't think it is functionally any greater than what they lived through. That being said, so many of the problems that have plagued humanity from its most ancient times have been solved or mitigated in most modern societies, while this one really hasn't seen that much improvement, or has seen significant backsliding from generations when it was somewhat improved. And as such, it stands out to many of us, in a way that it might not have in historical settings.
And a slave or peasant wouldn't question, at least openly, whether their king or pharaoh deserved their luxuries. Today the lower rungs are much more educated and most nations don't foster the belief in a divine mandate that allows for such privileges at the top, and so this disparity is noticed and questioned, and appropriately, often resented.
@@AgnumMD I thought this was pretty well said. Cheers!
$1000 for them is like $5 for you
whoever still uses a travel agency nowadays has enough resource to be lazy to that extent
For people who are aviation buffs, this site is awesome.
After years of flying first class with only one or two others in the cabin, when airlines introduced lay down flat sleeper seats in Business class, I said first class was coming to an end. The only reason people flew first class was to get that lay down flat sleeper seat on long rides.
Slightly better quality food and drink could never justify the enormously higher cost of first class.
Well it is worth it to some people. Especially if cost isn't an option. While Business is just fine and many times you get a similar experience, the First Class lounge is far better (food way better, less people, much more comfort), the food on the plane is better and more abundant, the personal attention from your attendant is better, and you get a bigger area to sit in with a closed door, a large screen tv and always the best amenities no matter the airline. And they have their own bathroom that is never occupied when you need it. And you get pajamas and they even tuck you in. Let's not kid ourselves, First is best. But for me, business is the better deal of course. Economy sucks for long flights.
The appeal of first class for most who fly it is the privacy, service and food. Although it may seem unreasonable to some, it can make a difference. As someone who has flown in all the classes (just once in first) there is a noticeable difference in the food, service, BATHROOMS, comfort of the chair, blankets etc.
They fly first class largely because they can - usually their company is footing the bill and they have a contract perk allowing them to book first. It isn't a cost/value assessment otherwise it would have disappeared long ago.
Ray Finkle I acknowledge the unnecessary length of your response on a subject you obviously have little experience of suggests your opinion is rarely acknowledged. Idiot.
@@leroylandcruiser3936 Fuck yourself Hillary supporter. And enjoy the next 6+ years of President Trump!
United also offers a super discount! If you pay only $10, they'll throw you out of the plane when then fly over your destination.
vizthex Sounds like a deal to me!!!
My parachute is ready
Have you heard of United's premium service?
If you pay them for a flight, once onboard, simply kick up a fuss and start screaming in a foreign language, and you'll promptly be tased by police, thrown in handcuffs and dragged off the plane, and you pay for the privilege!
vizthex what?
Hey, I think United Airlines is one of the best for great service. Pick on another who deserves it.
jokes on them
we in economy might be there only to "fill the plane" but those in first class are basically a great big crumple zone to protect us during a crash landing
the impact forces are far lower in the back of the plane than in the front and the strongest part of the airframe is right over the wings (which seems to be where all the airlines in my country place their economy seats)
flying in economy might just save your life
True, but in many plane crashes, everybody goes down.
The fat should technically make the plane bounce
Pilots stay with first class, like a SUV, do u really think driver would crash their side before passenger?
@V. V bust down thotiana
The chance of your plane crashing is less than being bitten by a shark, being struck by lightning, and definitely being killed in a car crash
The brilliance of these videos....visual simplicity, easy to digest for most, relatively short. Most importantly, they give the average person months of cool personal research learning about airports, the airline industry, business philosophy, geography.... well done.
Some airlines (5 star) have excellent economy seats. All USA airlines I feel are 20-30 years behind travel experience. They don't want to make an airline or buy airplanes on the scale of Singapore Airlines, Emirates and Cathay. Anytime I travel back to America, I absolutely never take United or AA.
I hate UA deep in my heart
Arsenio Buck In my experience, SouthWest airlines is pretty good, but I don't know the extent of where they conduct business
Cathay pacific has an awesome economy cabin. I flew from Auckland to Hong Kong return on their A350 in economy and it was fantastic, the seats were pretty roomy, the entertainment system played live sport and news television, and the food and service were great. I don't know why so many airlines insist on treating their passengers like shit
Ryan Sheehan american careers tend to treat their airlines like a ferry rather than a cruise liner. Your child would be damn lucky to receive plastic cutleries on a us airline while your child could recieve good things such a crayons and puzzles and birthday party songs on international airlines.
Arsenio Buck In my many years of flying between the US and Asia, All Nippon Airways (ANA) and Thai Airways were the best. Unless it was first or business class, US carriers just couldn't compete
I'd love to one day be able to fly first or business class. Not cuz I give crap about being fancy. I just would love to be able to travel in comfort without having to worry about being crammed next to people with minimal comfort. Don't get me wrong, a three hour flight is nothing, but if I'm flying from NY to Germany, I want to be able to sleep in peace.
TigerMonthlyHits I've flown 1st class in exactly that flight, and you're right, it's a completely different experience. You don't even want to sleep :).
Sign up for a credit card with a signing bonus. About 70,000 points can get you a business class flight to across the world. I just bought a singapore airlines ticket to Korea with 67,000 points and about ~$100 in fares. I signed up for chase sapphire, they gave me 100,000 signing bonus. They only do 50,000 points now though I think. AMEX plat still does 100,000 points I think.
If you're looking to get a credit card, get one of those that allow you to use your credit card points as air miles. Then if you have enough air miles, you can use them to upgrade an economy to business.
I did, it is undeniably better than economy. But if I don't get it through miles and more or anything like that, it's just not worth the money in my opinion. Also for transatlantic flights.
If I don't have to pay it myself, yeah, totally, otherwise, nope, I have better things to do with money.
ogogo ogpgpg no unless if you use miles for all of the price
For domestic travel, I love Southwest. The “no hidden fees” as well as “two checked bags and carry-on fly free” policies make them an attractive option. I have flown in their ‘economy class’, and in ‘business select’. There isn’t much of a difference between them, except that in business select, you are among the first seated, you get a free alcoholic beverage coupon, you earn far more Rapid Rewards points, and you obviously pay more. That said, economy almost always sells out first...but if you fly frequently, the premium options may be more benefitial.
Beneficial*
Milk aged comment
@@RDKirbyN How so?
@@yahyachothia They're referring to the Xmas disaster that WN experienced with all their flight cancellations. I'm not even a Southwest fanboy, but I know that they aren't going to have that happen again, it was a PR disaster. Southwest is doing great
what's the point of being seated first lol. I always try to be the last one in to enter the plane
Many of the seat in all of the premium cabins are comped to frequent flyers and road warriors. Once I attained top tier stats with my preferred carrier, I don't remember a time where I wasn't comped an upgrade. So, a lot of those "revenue generating" seats are sold at the price of the lower tier seats. The math still works, but the margins are significantly diluted.
That's an extra seat bought and then they get the added bonus of you ranting and raving about how amazing their upper class seats were
Very interesting! Would love to see a follow-up on the side hustles of airlines: frequent flyer programs, extra fees for basic services, airport lounge clubs, presale of miles to credit card companies, co-branded credit cards, and fuel hedging.
he covered most of that in the video, "how airlines quietly became banks"
Really interesting, thank you. My dad was telling me how when he was a kid, his parents made the whole family dress in their "Sunday best" when they flew. And observing that nowadays people tend to dress very casually, because flying is relatively cheaper for the middle class, and not considered as prestigious an experience.
Nice video! What you failed to mention is that most people in first class and even business class don't actually pay the full fare. They are usually upgraded from frequent flyer miles or loyalty. A lot of times also if you get bumped they will offer to put you in first or business. Thats why we are seeing the "premium economy" market growing because they can make more money.
I didnt realize 40% of an aircraft's passengers were in premium cabin. I always wondered who can afford $5-$7,000 seats, I guess everybody but me......
Sure you are Jerry Nadler and poor.
No not a lot of people can afford that. Flying long distance itself is something not a lot of people do frequently. Businesses can afford the expensive seats for their employees. At least from the people I know who flew business class before, most of them did so because their employer paid for it. First class is mostly for really rich people or for people who collected a lot of miles.
@@_______________00 this video is full of crap. the very most business class customers fly with using their miles and dont pay 6k. Mostly you can even get without miles Business Class for less than 2k.
For most people, it’s an upgrade. A perk likely offered to them by their credit card or the airline. They’re spending some money, sure, but most of them are not just dropping $6000 on a ticket from New York to Chicago. I’ve flown first class just because they wanted to fill the last seat at the last minute. I upgraded for $60. Never hurts to ask!
To be honest it's a horrible way to spend money even if you make so much that you don't care.
Great video! I think you overlooked something. When flying First class on a lot of airlines (especially through their main hubs) the passenger has access to a high-end club where services like food, faster WIFI, alcohol, etc. are included in the airline ticket price. So that profit per square foot for a first-class ticket is actually lower because they have to pay for everything else (all services, employees, and space in the airport). Make another video on airport economics!
The video mentions this point briefly at 9:53.
That is true for Business Class, too.
pmK0 Business class passengers have access to lounges and WiFi and entertainment as well
It's on my bucket list to fly first class at least once.
L. T C. Change your bucket to business class. Biggest difference was the number of people in the cabin.
Get a frequent flyer credit card, save up miles by using it for all your purchases (paying off at the end of every month of course before any interest charges), use them to buy a first class ticket.
It only makes sense for 12hour flights. There is nothing "luxurios" or "special" about the service, except that it is ON A PLANE.
L. T C. Try the 1st class on Etihad airways on the return trip from London to Abu dhabi. The whole thing is like 5500USD and you get a lounge,bar and a shower on board.
With Michael Moore and his twin brother Rosie O'Donnell.
I worked on the pricing system for a major international airline. The picture you paint is a simplistic one, and incorrect.
For any flight, it would be in the airlines interest to sell all the tickets in advance at the full fare, but that is not what happens. There may be 20 or 30 different ticket classes, each with their own price. The algorithms that determine the number of seats in each class are extremely complex and based on the probability of the seat being sold at a particular price versus the possibility that the seat may remain unsold. In the end it's better to have some revenue for a seat rather than it remain empty (subject to cost recovery for carrying the weight).
The pricing systems are dynamic, and can change the various tickets prices several times daily. As the date of the flight approaches, the possibility of empty seats increases and so ticket prices generally get cheaper. We all are aware of standby tickets, and that it is a lottery as to if they become available. That is a reflection of the ticketing software: if no standby tickets are available, it has worked to optimise the revenue for the airline.
As an aside, very few people pay for first class tickets. In my experience, based on extensive analysis of fares paid, most first class seats were either upgrades from business class, of airline staff. It sends a poor message to see the first class cabin empty.
Tip: Generally speaking you can do one upgrade at the airport. When traveling internationally I usually purchase premium economy and then request an upgrade at the airport to Premium/Business (depending on airline it is called different things). It usually costs about half the difference between the two classes if I bought the higher class online initially, sometimes less. If it is more than half, I don't upgrade.
I find the difference here the best in terms of bang for buck. Seats with your own arm rests, much more comfy, more more leg room, unlimited complimentary beverages and the staff is always around to refill.
Fails if the upgrade class is full or is in such high demand (only a couple seats left) that it is not discounted much at the airport. Then I just take prem economy.
Also if you fly internationally for business and your company limits you to economy, typically prem economy is still covered, and the same trick works, I just pay for the upgrade out of pcoket.
My guess is the cost difference depends on how many of those premium seats they filled, and how overbooked economy class is. If there are empty premium seats right before the flight, selling a discounted upgrade to a coach traveller lets them recapture some of that margin. If economy is also overbooked it lets them clear those seats while capturing extra revenue.
In other news airbus have recently patented the idea of flying capsule hotels. So instead of a cramped seat you'd have a bunk bed box.
Don't count on that box being very big, you'd be in there like in a burial coffin.
After 14 hour flight you'd turn into a vampire..."sir would you like coffee or tea?
I want to drrink your blood!"
ask anyone who has ever been in the navy and they'll tell you it's not gonna be worse lol
uh lol no i'm just talking about the racks, they're triple stacked and you can barely lift up your knees so that your feet are flat lol but it saves a lot of space and it's a place to sleep. The capsule concept would likely draw some inspiration off that and it would be pretty dope i think. The guys on the space station have less room I think
Yea, I might have heard something about that. I think John West, King Oscar and few other sardine factories are currently working on the design proposal for the contract.
People do it man it can be done
In a full flight, yea...First and business class makes a lot of money. But do they ever fill?
For a fair comparison you need to take average booking of first, business, and economy classes then compare.
For example, if a plane can fill 100 of $10 economy but only fill 25 'out of 50' of '20' first class then it's actually the economy that generates the better revenue.
The reason first class 'generates' more money only is because it is expensive, but it is not the most efficient way of generating revenue. Economy is, which is why low cost airlines are popping up every corner of the world.
You have a fair argument but business class generates a lot of money due to a lot of governments sending their employees to international destinations in which they buy the business ticket for their employees
More often than not, people on business do not pay the full price of a business class ticket. People get upgraded to business. Because i travel alot, i use the points i get for buying economy tickets to upgrade my ticket to business
Business class very often fills... My boyfriend works for an airline, and so we get cheap flights and get the highest possible class available on that flight. Only once out of 20+ flights have we got into business class! Most often we get into premium economy but sometimes economy. I was very surprised that business class is so often full
Business class fills a lot more than most people think. We are talking about proper business not american business class which is just a bigger chair lol
but many times, not even 50% of business/first class seats are occupied (i guess its due to the huge cost difference between economy vs bc/fc) i get the point of this video but it only makes sense when all seats are occupied and paid for.
correct me if im wrong but in order to maximise profit, shouldn't the airlines try to sell off all available bc/fc seats even if they have to lower the price a little bit ? in stead of business class tickets being 6000 $ and only 10 out of 30 seats are occupied brining in $60000, why not lower the cost to 4000 $ and try to have 20 seats sold ?
Because if airlines lower prices for Business class every time right before the flight, people would never buy the seats at full price. They would wait until the prices got lowered. And then the whole pricing scheme would be compromised and airlines would lose money. They would rather only sell those seats for ex. $6000 and have a lot of empty seats than filling it up with lower paid customers.
Business class may look empty, but most of the time it is not actually empty. Business class passengers are very likely to not show up to their flight firstly because they probably didn't pay for the seat, their company did. Secondly, as they are business passengers they are quite likely and allowed by the airline to rebook or change their flights around. Business passengers most of the time then may still pay but they might have an earlier meeting or some other unexpected turn of events meaning they actually get on a different flight. This is also why business class fares are actually pretty irrelevant to most BC passengers, because they didn't pay for it and their company can do with a rebooking or another flight in BC, so dropping the fares might not attract EC passengers as it's still a high jump. I personally mostly fly business because I value the extra comfort and rest that you can get while travelling the world.... : )
Recently I have received the message from Tap asking if I'd like to be a part of an auction for tickets for the first class. I have made an offer of additional £200 and ended up travelling much better. My point is that the discounts that are being offered for higher classes plus the fact that they are not really being completely full change a bit the analysis in this video.
TAP Portugal doesn't have first class in their fleet so not sure where that came from...
TAP does have 1st . The chair lays down almost like a bed (not completely as some other companies) but way more than the typical executive. To be fair they call it business, but the used space in the aircraft is definitely a 1st.
"You can't make half a million dollars on a 6 hour flight across the Atlantic"
Middle eastern airlines: well well well
Is this a 911 joke?
@@patrickherb4670 "911, what's your emergency?"
Exactly.
Qatar Airways and United Emirates
@@patrickherb4670 no it’s not 🤡💀 they are basically saying how the middle eastern airlines such as Emirates, Qatar or Etihad are known for being very expensive and luxurious. Tickets go up to 10’s of thousands for first
Lol yeah, same with Uzbekistan airlines: last year they were charging 5k for economy class!
For peasants like me. Ryanair is just fine thank you! We only fly 2/4 times a year for 3 hours each. For that dirt money i can sit on my ass and take it. Rather spend more during a week of holiday than to blow it on some 3-5 hour flight.
@@D_W4LIFE yes, but is it a bad thing? Saving some money by not spending on luxurious things is everybody's own choice. And not refusing an upgrade is just common sense
Thing is I have family in India, and there isn’t a ryanair flight from Glasgow to India :/
If you have the money, why not spend it? You can't take it with you.
@@reynaldoflores4522 wdym
Ryanair is great
One thing you failed to mention....a lot of the business class seats are filled because the airline sends them comp upgrades and they get to ride in business class but only purchased a coach class ticket. I saw it when I worked in the industry people don’t spend a dime on tickets. Their company flys them all over and they reap the benefits of comp upgrades....
Absolutely. As a frequent business traveler, I always book economy but sit in first more often than not. This video just isn't very accurate at all for US domestic travel
Do airlines upgrade People to higher classes for weight distribution on the flight?
Or
Is it marketing to give People a taste of first class so next time they might buy it?
Jared Jeanotte Good question
an example would be Casey Neistat since he is famous they upgraded to show off the Emirates cabin
No. Airlines overbook the economy class, because they anticipate that not everyone is going to show up. So if everybody comes, they upgrade them into first and business. If they are also full, they offer you a huge discount and a later flight
It's really just logic. If those seats will be empty anyway, why not let someone fly in them? Since they prioritize people with the best relationships with the airlines, frequent fliers, this only goes to enhance their relationship. Furthermore, in the future, if that traveler is debating which airline to fly, he might be willing to pay a little more for that airline if he knows there is some chance he might be upgraded. No one who is actually willing to pay for first class is going to book coach and hope/pray they get upgraded. There is such a huge gap that the chance free upgrade does not cannibalize the airline's first class revenue.
@isiTsotsi this is correct. i once was upgraded into businesclass on a Finnair flight to Tokyo. They told me that they did that because i did buy the ticket very early(like 7 month or so in advance) and they are overbooked in the economy.
Ive never been in a plane with a special first class section, they always have 6 seats in the very front with a bit more leg room. But tbh I rather sit at the emergency exit cuz that space has a shit ton of leg room and it doesnt cost much to have a garanteed place there! (Sometimes we get it for free cuz someone couldnt sit there)
You've only ever flown on budget airlines?
Christopher Cranefield depends on the plane.
@@LouPalumbo It depends on the airline. Budget airlines, as the name suggests, have only an economy section.
Ideally, what you say is true: Premium seats generate more money than economy seats. However, it's more likely that a plane fills out the entire economy class rather than filling up the whole first class. This actually happens a lot and that's why if you're aiming to get a better seat, you should wait until the same day of the flight to ask if you could upgrade your seat. It will cost less than if you pre-purchased the same upgrade months before the flight.
This is true in relation to First Class, that it never gets filled up, but you would be surprised how often Business gets filled up because of a) how good value it is and b) it is literally "business class" and all the people on work trips fly business.
@@callum8147 Funny I'm pricing our upcoming trip back to Australia from Texas and the first class seats are cheaper than the business ones. $22k for all four of us vs $17k. Dunno why. Same airline.
@@KryptoDemon Must be some sort of special offer.
@@KryptoDemonInteresting to know. Are you flying Air NZ by chance? I flew Melbourne to Houston return with them a few years ago and was really impressed. Even got an additional checked luggage allowance for peanuts.
I fly JFK to LAX regularly. Good luck trying to get a Delta One seat as a walkup. Those seats are gone in advance.
Nice video ! One other reason for the "first class" desapearing is that, given the price of the tickets, it is hard for businessman to present a bill with "first class" written on it to his company. Especially when there is a specific class, cheaper, called "business". So, slowly, many airlines began to call the former "businness" : "premium" and the former "first class" : "business class". Nowadays, the differences between a 1st class seat in one company that still has one and a business class in some others are scarce. (the levels of luxury involved vary between companies a lot, of course)
Nice explanations ! "Economy seats are just there to fill the plane" ... ouch ! that hurts lol
Also, the passengers that would be happy to pay for a 1st class ticket are increasingly chartering private jets instead
Remember, even if you can't fly first class, your destination will remain the same.
its the experience not ab where u go. yall peasants are so stupid
nah, first class people stay at expensive hotels and visit parts of cities and countries that are too expensive for other people. there are many parts of europe too expensive for most people to bother visiting, because you're just going to be surrounded by rich people doing their rich people thing if you go there anyway, instead of visiting tourist and historical destinations. but when you fly to paris and a rich person flies to paris, the destination is the same city, but it's not the same place.
@@perfectallycromulent I agree there’s always luxury wherever you go, like in Paris you can either dine in a Michelin starred restaurant or just in a normal restaurant. Even the most luxurious 5 star hotel has Room vs suite and the people who are staying in suite will be treated differently. Experience comes at a price tag. At the end of the day it’s us who needs to decide if those experiences are worth of our time and effort …
Or to use an old saying: "A the end of the day the white Queen and the black pawn both end up in the same box." That's a death and burial reference, in case you missed it.
As someone from the UK, I've just learnt that I should start in Stockholm if I ever want to go to Washington...
I just can't fathom spending $5,000+ on a plane ticket
Kyrstin Stoneking well no crying babies
Kyrstin Stoneking same lol. Unless you make like 25k a day
Its all relative - however Business Class is not a luxury for people who use it - if you are spending 20hrs a week in the air you better have some comfort
If its on your company's dime then you wouldn't care at all...
It's called socio-economic class. For an average person, $5,000 is a lot of money. For a rich person, spending $5,000 is like spending $50.
wowow “ after all, everyone in economy class is just there to fill the plane”
My poor ass feels attacked
Same 😞✊
This is the most thoughtfully written and presented educational video I have come across in years. This is porn for economists. Thank you thank you!
You forgot to mention the 1 first class suite in ethaid up front is called the residence and cost 20000 dollars. It comes with a living room, bedroom with an actual double bed and your own bathroom with a personal shower. And all of these are connected together. And they are private for your personal use.
Yes, but thats a one off feature.
So you basically get an hotel suite, but without the privilege of getting visitors from outside the airplane???
It makes me wonder if faster flight times make a difference. Trans-atlantic in the 70s-80s must've been close to a full day, so it would make more sense paying for a psuedo-hotel room. But now that same flight is 10 hours, so all you really need for luxury is some privacy and a place to stretch your legs.
When I fly for work my employer just gives me money to buy a first class seat. I usually just buy a coach ticket and keep the extra money.
What are you doing for a living ?
@@neb4587 it might be illegal in the country that YOU live in...
@@neb4587 did you know that there are more than 2 countries in the world? 😂
@@neb4587 white people used to colonize countries all over the world so "western" looking people are everywhere. I'm also white and speak almost perfect English even though I'm neither american nor British nor from any English speaking country. Maybe his employer knows about it and just doesn't care, we'll never know unless he tells us lol
@@neb4587 CAN, but doesn't mean WILL. it is, after all, a decision based on the employer. There's basically no legal repercussions unless it gets REALLY out of hand.
This is a perfect example of "price discrimination" to show during a microeconomics class!
Beautiful presentation, thank you! My wife and I are going to Beijing next week on Hainan Airlines, they have wonderful amenities and are definitely set up for long distance flights, even standard fare seating is like business class on any domestic airline here in the states.
It's been 3 years but how was it?
@@bartholomewdan Wow, cool seeing a response after 3 years! Anyway, that trip was especially nice, my brother in law always takes us to the coolest parks and most interesting places to see while we're there. Went to Shanghai and Suzhou. Shanghai was one of the most beautiful cities I've ever seen. The combination of old western architecture in the old town side of the river mixed with the ingenuity of new eastern architecture and synchronized lighting on the downtown side of the river was amazing. Suzhou is one of the oldest cities still standing... anywhere, it's roughly 5000 years old and it's just magical walking through the streets. We were supposed to go back again in late '20, but needless to say the world had turned into a different place by then and we're unsure, at this point, if we'll be able to get back before my mother and father in law pass away, very sad. Thanks for asking my friend, may God richly bless you and yours and please have a wonderful holiday season with your loved ones. 🙏😁
I think the cost of empty seats should always be calculated. Filling the plane is sometimes more important than higher first/business class ratio. One thing this pandemic has really taught us!
i can watch since im in the middle of a blizzard
Brian Nguyen u in nyc
HappyBurger s nope western Massachusetts
Brian Nguyen close enough
same
Ey same
Although you have shown us that business and first class get more revenue, you have not focused on the net revenue which is how much is earned minus the money spent by the airline on each passenger from different classes. I find this video incomplete as many other factors are missing such as the actual percentage of seats occupied on average in each class and so on. I'm interested to know your view on this.
You shouldn't be interested. He doesn't know what he's talking about as all of his videos are riddled with errors and oversimplifications.
he oversimplifies so that people like you can understand :)
While the video is a simplification of the real world, it still seems fairly accurate. I would like to see a more in-depth look at the other factors, though. Wendover Productions knows what he's talking about, though, he just doesn't put in the time to go from 90% accuracy to 100% accuracy and/or probably suffers from a lack of research material.
TheBraveSirRobin Nope, he's full of crap. People who actually work in aviation have messaged him about his mistakes and he told them they were wrong. He's a charlatan. You know it. I know it. Everybody knows it.
proof?
i learn more in these videos than i do in a whole semester of school
same
you sound uneducated
lol
You go to a lousy school. Unless you mean ALL the videos that exist.
You might want to watch a video on how to write. For beginners.
First-person pronoun which is letter "i" should be always capitalised !
You were probably asleep in the whole school semester because am positive they taught that at least once.
just came back to canada from flying to england to see the love of my life again, i dont care im in economy to fill the plane if it gets me to him and him to me every few months
If I was insanely rich I might go first class but tbh you will be on there probably about 8 hours and the amount extra isn't really worth it
***** yeah but a lot of people who aren't that rich will still pay for them which confuses me
I did economy from toronto to vancouver, vancouver to hong kong, hong kong to syndey australia, over 24 hours of flying! but on my way back, i got upgraded to premium economy from hong kong to vancouver, and holy fuck what a difference! i havent done first class or business, but premium economy made those 15 hours just FLY by (ba dum dum chhh). if i could afford it, id fly business every time no matter what. but first class does seem such a waste when business and premium economy have all the space you need.
@Kelly Applegath : TOTALLY agree with you as I had the same experience! For long flight ( 8+ hours ), it is a big upgrade!!!
As for a waste part, I guess when one is rich enough, waste is not in his/her dictionary lol
If I was insanely rich, I would just have my own plane ;-)
Morando no Canada92 actually, most business class tickets are paid for by the passenger's employer. They consider it worth the money that the employee can remain productive during the flight and then arrive reasonably fresh for the meeting at the arrival point.
"Everyone in economy is just there to fill the plane" - They should give out free tickets then :P
Sometimes they might, if you consider 'covering costs' as "free"
Markus Fischer they kind of do. They spend more on gas for your portion of the flight
They basically are these days
@@LOLLYPOPPE Explain to me more please.
Ranting Guy RyanAir. It costs me more to get to the airport than to fly to another country
My mom used to say, being on economy, business or first class doesn't matter. As long as you all arrive safe.
Facts
It doesn't matter if the plane doesn't arrive. But normally you can feel the difference after many hours of being able/unable to stretch your legs.
@@bern6543 just walk to the toilet and stretch your legs that way.
Sounds like ur mom needs to get her money up, not her funny up
As long as you are not flying for 12 hours being 1.9m tall
I'm planning to fly business class this December on Philippine airlines. I've researched it thoroughly and find it suits my needs on a 13 hour flight from SFO on a Boeing 777-333er. I'm paying approximately $2,300 per ticket but its definitely worth it, better food, seats lay out completely flat so you can sleep peacefully during the entire flight. The sliding dividers between the seats in business class for added privacy also adds to a pleasant experience. Can't wait! Thanks for the video.
I had the shock of my life when I took my first time economy class flight (my first time arriving) here in the US. Our buses in Turkey had more comfort for gods sake. In the most advanced country in the world, it just shows how middle class in general is left behind for decades; the gap is absurd.
You’re from Turkey?
You are spot on!! US and Europeans do not know service!!
I've never really cared. I hate flying (well basically idc, but in the end it's just sitting and waiting which I both can not stand for long) and usually just go for the sleeping pill.
Depends on what airline you were flying. Airlines based in the US are not that good.
There is no middle class in the US anymore. There is the rich and then there are those who live paycheck-to-paycheck.
So the average person is dirt to an airline? That's comforting...
more like space filler
this should have already been obvious to you
Some airlines have proposed standing space only sections, although safety concerns make that difficult to realize. They also have proposed different ways to pack more economy passengers in the same space. The steward to passenger ratio is also insanely skewed depending on class.
italianpizzadude 20 that how the real world works if you still haven't noticed
The average person is dirt to most companies come on
How to get a cheap flight from London to Washington: Take RyanAir or EasyJet to Stockhlom and take the connecting flight.
$870-$392+$30=$508 saved.
Air flight is basically a tradeoff: either you spend more money to save time, or spend more time to save money.
And in the meantime pray the short haul flight will not be delayed or you have to pay rebooking of long haul flight or buying a completely new ticket....I always advise people, if they have connecting flights on 2 different airlines and 2 different reservations the minimum connecting time is 12 hours 😂
Very informative. Many times I've wondered how the pricing worked, so thank you for that.
BA has a business class only flight from London city airport to JFK.
But they use an a318 for that lmao.
These videos are very well researched.. good work
No, poorly researched. Anyone can google specific prices on one flight, make simplifying assumptions and pull theories out of their butt.
its poorly researched. airlines make their money off the economy section and ancillaries, few if none buy first class- everyone is upgraded. source: i work for the largest airline in the world in rev management.
+Jus B Actually, he clarifies that. His method is assuming every seat is filled, and near the end, explains that first class is going away because it's more expensive to provide, and people just aren't willing to pay exponentially more for a slightly better experience, which can also be interpreted as, 'few if none buy first class'.
i am telling the truth. i work in the industry and deal with this on a daily basis. airlines make their money off economy- the majority or first and business class are upgrades.
he also said there are only 6 companies with first class cabins where i know of at least two more of the ones he put on screen that have them
The experience of flying is still a luxury for me and most people 3:30
A JA It isn't really a luxury now, anyone can afford it as prices has dropped by a lot and now domestic flights go low as 20$ in some places
Depending on how you are defining "anyone". Because nearly 1/2 of the world's population - more than 3 billion people - live on less than $2.50 a day. More than 1.3 billion live in extreme poverty - less than $1.25 a day. Also I don't know where you live, but for my country the absolute cheapest flight is around 90-120$ Just tickets. I would agree with that in most westernised developed countries this is maybe the case for the upper to middle classes. However the experience of flying is still a luxury for me and most people.
to a third world country everything is a luxury i think. Cars, proper internet .. and planes.
if you are poor
I know right. I've seen some beautiful things up there. I've met some amazing people. I don't care about the class.
Also to add, tiers are there to keep balance with the masses.
First class tickets might bring in more revenue, but economy class (majority) provides relevance and marketing.
I’d quibble on one point: You say the “product” is the flight from A to B. I’d rather argue that, for example with British Airways in your video, the airline is selling four products: economy, premium economy, business, and first. Those four products have bundles of characteristics, and are priced by the bundles. When an airline sells economy tickets at different prices, then it’s closer to the truth to say, as you do, that airlines have figured out how to sell the same product to different people at different prices, though even then, I’d argue that one of the “sticks” in the bundle of a low-price economy ticket is “purchase 30 days in advance subject to a change fee” while the “stick” in the high-price economy ticket is “purchase whenever, change if you like”. But your basic point is very well taken: A biz or first seat today is priced about what all seats were priced in the 60s, so the evolution is in lower costs of operation, permitting the sale of economy tickets today, opening up travel on a large scale. When I was a kid, I could only afford the Greyhound bus from Baton Rouge, LA to Providence, RI to attend school. I know very few kids who’d do that today, since air travel is so cheap. Thanks for your great video and explanation. Cheers!
In other words, the suckers (or "privileged") who pay 2 or 3 times more for a business or 1st class ticket are making my flight (in economy) more affordable. I guess it's reason to be thankful that there are people out there that are willing to pay that much more to make a 7 hour flight more bearable for themselves by having a few more inches of space and a better meal.
Çŏsa ŊosŧЯǺ don't discourage them!!
Suckers? as he just said, people in business class tend to not give a fuck how much it costs, since it's their employer that pays for it.
Çŏsa ŊosŧЯǺ
It’s more than a few inches - it’s a bed.
In other words, people who work hard and have more money can have a bed for their flight since the cost of the ticket is an absolutely tiny portion of their total income
RoninTuah
Or equally those who inherit wealth, or those who marry it.
this was really neat I am flying for the first time in years and when I saw the business class seat I was so confused as to me it was what I thought of as first class (the little pod seats)
I've learned that Economy for the most part is the same (depending on age of the aircraft)
Economy Premium is either Economy with a little extra leg room or Business Class Light
Business Class can be Business Class, First Class Light or even (jet blue mint) full on First Class without the menu.
While First Class can be Business Class with a nicer menu and candy coating, First Class, or Ok you are just trying to hard.
While each plane will have 1-4 classes what those classes entail changes drastically based on the airline without the price changing.
Those old photos brought back some memories. As a former airline crewmember in the late 60's and early 70's, i can attest that your analysis is spot on. The Airline Deregulation Act killed the airlines. We used to have 30 or so "major" and a bunch of regional airlines. Now we are down to only 3-4 majors (AA, DL, UA, and SW). Service and maintenance has gone to crap, as has on-time performance. The only solution is to bring back full regulation by a new CAB. Outstanding video and explanation of aviation history!!
Yes, let's make air travel expensive again and limit access to the rich. Damn proletariat, thinking they can be as mobile as we jet-setters. Let them take the bus.
Well Comrade, I doubt you traveled much in the 1960's and 70's. As an airline employee, I did. RT coach JFK-LAX was $329; first class was $556. Student and military standby was a lot less as was one week "excursion" fares. You could check 2 bags for free, carry on one in the overhead rack and one under the seat for free; all food and non-alcoholic drinks was free in coach; alcohol free in business and first. Free games for the kids, blankets and piliows for al free; FA;s would give you aspirin or tylenol for free; passed out magazines for free, etc., etc, etc. The competition was based on quality of service and on-time performance. Airline folks were very courteous, passengers were civil, even cordial, to each other,; altercations were virtually unheard of... except for the occasional drunk businessman. IT was the Golden Age of Commercial aviation. And the maintenance on the airplanes was top notch, resulting in mostly on time departures except for WX delays. It is unfortunate you never had the chance to experience it as I did, or your attitude would be much different. For the masses, flying was a special occasion; it still is for some, but it isn't anything like it used to be. Welcome to the cattle car, comrade... wanna buy some peanuts?
The real question is, if some Snakes got loose (in the hold) are the people in the cabin safe?
Or have we learnt nothing from that great movie?!
Finally we have a question from a philosophical point of view!
ENOUGH IS ENOUGH!
Great video. I wish you would have brought up what % of first class/ business class seats gets filled compared to free up grades. That's a pretty big variable here.
Yep. That is a major gaping hole in the data here. He only uses transatlantic travel for his numbers. I fly US domestic weekly and I can tell you that half of the domestic seats are free upgrades.
why is vivaldi's summer playing on the background
Sophia Maria Corazon Angkay I see your a man of culture as well
Because it's a jam
Hahaha I just came here am from a piano video
Might be a cheap way to get copyrighted music that sounds decent.
@@soggz9190 best choice ever
The airlines originally made most of their money from carrying mail. Passengers were often carried at a loss.
Freight is still far more profitable than passengers.
Love these aviation videos!!
There is a British airways Airbus A318 that is entirely business class and flies transatlantic from London City airport to JFK with a stop in Shannon in Ireland to pass through US immigration and refuel. pretty unique flight.
One important thing to consider is missing: the frequent flyer programs of the airlines. One airline employee once explained to me that their airline is getting rid of the first class, because only 10% in first class actually pay full price for a first class ticket. 90% are people who get bumped up due to their status, or paid their ticket or upgrade with frequent flyer miles.
THIS. I was looking for a comment like this because my dad is in that exact situation. When he travels for work, his flight ticket is paid for by the employer but because of his frequent flyer status, he gets upgraded for free on almost all flights. And he gets the miles/points from that flight to fly for leisure for free.
Alitalia (airbus) from nyc to Rome was the best flight ever. I felt nothing at takeoff and landing, no turbulence at all, very comfortable economy class, great selections on screens, delicious foods and pastries, and much more. I was impressed.
Also, in a lot of my own travels to various countries, sometimes if economy class isn't full, they ask passengers to move toward the back to help balance out the plane. A flight attendant told me upon asking one time her theory is that is why economy class is in the back because the jet needs the weight there to fly more smoothly.
Economy class is at the back because that lets the business and first class passengers get out more quickly and conveniently.
That said, having the centre of gravity within a certain range is indeed critical in aircraft; it won't make a difference in how "smooth" the flight is, but a CoG too far forward or aft can cause an aircraft to crash. Getting this correct is normally handled by cargo and baggage loading, sometimes fuel loading (including in-flight transfer between tanks), and only after that passenger distribution. But passenger weight is a fairly small fraction of the total aircraft weight, typically not much over 10% even in the worst case of a short all-economy flight.
Qatar Airways operates its a319 which is full business class from London Heathrow to Doha
Max92 British Airways also do the same from London City to JFK via Shannon (refuel and pre-arrival immigration) which uses the old callsign of the Concorde flight from Heathrow to JFK.
Those are places where there would be high transit with business people so they could sell the tickets. IF the plane is fuel efficient and you can get a good configuration and fill the plane regularly then it's a good idea. Business class costs more to run though so if the tickets aren't selling it won't work
Singapore Airlines flies Changi to Newark in an Airbus A350-900 ULR in a special 161 seat business and premium economy configuration. It has been flown previously with an A340-500 in an all business configuration.
I’m watching this at 2 am because I can’t sleep, but I am learning so much right now.
Wow, a very good illustration of airline classes and fares. Most people have it completely backwards. As you pointed out, in 1950 a regular fare was the equivalent of a First Class fare today. Yet people talk about how "airlines treated you right, and you had more space, better meals, etc. in those days. Now they pack you in like sardines and give you pretzels." What everyone fails to take into account is that the same experience as the 1950s-era is still an option, and in the same adjusted price range - if you want the "old fashioned" experience, you have to pay "old-fashioned" fares and fly modern First Class! What people don't appreciate is that Economy classes were ADDED to the business model in order to allow more people the experience of flying. But the minute those reduced fare passengers get on the plane, instead of being glad they can fly for an affordable fare, they grumble because they have to put up with fewer comforts. If they were priced out of flying altogether - like in the "Good Old Days" - they would be grateful for the chance to fly overseas for a few hundred dollars - something UNHEARD of in the 1950s!
The price difference between ecomomy and business/first is huge... I got me economy ticket from the UK to Japan for about £600 on Etihad, while the business class seats were over £2000 when I was booking...
You should have measured the costs per mass of classes opposed to the area size used. (Like how much the seats weight and other things) because those things actually effect overheads like fuel as well
“Everyone in economy is just there to fill the plane”. Damn that sounds sad since I’ll never make it to business with those prices!
I remember as a child in 1972 getting "bumped" into first class on an Eastern 727 "Whisperjet" (at 120dB, that's some cruel joke!) I was excited: "Tablecloths!"
Mom would dress us up to fly, and it was a classy scene back then. Even in coach.
I'm watching this at London Heathrow 3 hours into my 5 hour delay!!
I remember flying 7 hours to a connecting flight, a 5 hour flight, that was delayed for 5 hours.
Fun times.
SaintsAwayOllie good luck
Economy class is...mostly okay. The airlines clearly make big bucks from first class customers. Those tickets are just so much more. I think I get why they price it out like they do. A full-ish first class section would seem to help enable economy class to be priced like it is. What pisses folks off is filling first class first rather than packing the aircraft from back to front or just randomly which has been proved to also be pretty quick. Squeezing past slow-moving first class customers en route to your sardine can of a seat just POs people and you can't blame them.
John R It's not unusual either for First Class passengers to give you dirty looks as you squeeze past them to your cramped Economy seat. I think Southwest is the only one that does it right. You check in as early as possible, and the reward is you get to pick your own seat once you're on the plane.
Economy on international flights is another story... I finally flew business class from Houston to India, and now CANNOT go back to economy. I don't even really give a shit about all the entertainment and food, just being able to sit comfortably without a fat, smelly person pressed against me, and being able to lie down like a normal human being to sleep made all the difference in the world. I felt relaxed and fresh even after 18 hours in the air. It was even more evident on the connecting flight from Dubai to Chennai. Being Indian-American I can say this... flying with Indians in economy is NOT a pleasant experience.
@@nahor88
i can fly long haul economy if im in the aisle seat, the window seat is great until you need to take a piss and the fatass next to you is asleep and wont wake up, as for the middle seat (i think id rather hold onto the wing while wearing arctic clothes and an oxygen mask than get stuck between 2 stinky fatasses for 12 hours straight)
@@mwbgaming28 HAHAHHAHAH
Priority boarding is part of the offerings for flying in a premium cabin, preflight drinks is also an offering of premium cabins: because of this Economy passengers will never be boarded first. Also consider that most airlines use two doors for boarding intercontinental flights, one door used for premium cabins, one for economy cabin
@@grownupstuff1 I like the way Southwest does it
First in = first served
I could be in first class, but instead I'm in math class.
You are in Lower Class.
Economy
@@QuarioQuario54321 you are in No Class
E
@@anirudhdas2167 conomy
All I learned from this video, you're a genius in you own class!