Low-cost carriers (LCC) of Airline Fleet Planning

        This type of business model will enable the airline to operate from point to point so as to create connectivity.  There is an increasing growth in the preference of low-cost carriers (LLC) among the passengers [4]. This is due to the lower fares charged by this carrier and the shorter time in which traveler use in the air. This type of carrier depicts commonality, hence operational costs are reduced which enables them to charge lower fares. LCC will eliminate certain services such as meals and additional services which will further bring costs down.  This carrier will not connect its passengers rather it will operate from point to point making frequent trips. The point to point destination will create value for the customers since they will not see the need of connecting their journeys. This business model will allow for distribution of its staff, handle equipment, bridge and gate requirements, among others, which will be a key driver in cost reductions.  The homogeneity attained in the aircraft acquisition plays a key role in cost reduction since this influence the operational costs.

        Essentially, the design of the low-cost carrier is based on cost reduction and unbundling services that are not significantly important. This enables the extension of the airline’s facilities as well, which pulls down operational costs down further.  The design of low-cost carriers facilitates cost advantage which makes this carrier popular among travelers. It enables the allowance of one-way tickets and a simplified fare structure which in addition facilitate internet ticket booking [5]. In this way, customers will be able to reserve their seats remotely without having to make a physical appearance at the airport. Putting all these factors into considerations, and the plane’s attributes, I propose that airbus A320 be used as a low-cost carrier by the airlines in its point to point operations. This carrier can be used for family travel as well as business purposed.

References of Airline Fleet Planning