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Why airlines don’t increase Premium Economy
Premium Economy has been a huge success. My colleague just returned from the US via London and he was sitting on PE. His class was full. Economy class wasn’t and Business also was not full. My next flights also have been booked on PE. Shouldn’t airlines increase PE due to its success and some even should introduce it? I find this curious.
I’m not an airline economist but basically it comes down to a balancing act between how they can best fill planes to maximize revenue. If you’re suggesting taking seats out of Business Class and converting them to Premium Economy, that has been done on some airlines (AA comes to mind), but there’s a point at which limiting the Business Class cabin will end up sending the high paying customers to other airlines. Unlike your recent experience, I can’t recall seeing any Business Class seat going out empty on any flight I’ve taken in at least ten years (and I average around 16 to 20 overseas flights per year). Likewise, removing seats from economy, may or may not be beneficial. I’m sure they are analyzing the data and will make adjustments.
Gia thanks for your reply.
No I am not suggesting to substitute entirely the Business class with PE. Especially for long haul, myself whenever I have the budget I won’t mind to get a Business seat. I’m just wondering why not to sacrifice some more Y seats to fit in more PE. As I wrote in the first place, half of the world’s airlines don’t even have PE strangely. Looks like Emirates might be the firs Gulf carrier to have them and I am surprise they didn’t even consider it until now. Just imagine, I am based in Dubai and my next flight to US is via London in order to enjoy PE. And my colleague came back from Houston doing the same and said this is now his choice.
Of course they are analyzing the data and making adjustments. I am of the opinion that some are making the wrong adjustments (in fact many airlines business wise went from bad to worse).
A lot of airlines will also upgrade elite members of their frequent flier programs to Premium Economy at the gate, so there’s a chance that your flights weren’t initially sold out in PE, despite departing that way…