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JetBlue Cuts Capacity to Regain Pricing Power

Posted by PriceBeam on February 7, 2017

The 6th largest US airline, JetBlue, has halted its 2017 expansion plan as a result of falling unit revenue. Lately, the airline has been growing its capacity so fast that demand couldn’t keep up and consequently, JetBlue’s prices have been declining rapidly. 

Their efforts to counteract this tendency is estimated to increase prices by around 1.5 - 3.5% in 2017 and loosen up the tight margins of the low-cost airline.

Read the full article from Bloomberg Technology

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Written by PriceBeam

PriceBeam
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