Airfare Hike Matching Continues Today

American Airlines

Matching of last weeks Continental initiated airfare hike continues today as most of the major airlines adjust to their competitors.

Analysis of the 10:00am EDT airfare feed shows:

American Airlines

  • Rolled back 37% of their increase on Friday
  • Rollback was predominantly on business fares (7 day advance purchase or less)

Continental

  • Rolled back 54% of their increase on Friday
  • Rollback was predominantly on business fares (7 day advance purchase or less)

Delta

  • Last night (Sunday) they rolled back 10% of their increase on Thursday
  • At 10:00am EDT today, Delta increased 1974 markets by 5$ one-way (none of these markets overlapped the original increase or partial rollback)
  • No Rollbacks in this feed

Northwest

  • Rolled back 23% of their increase on Saturday
  • Rollback was a combination of business and leisure fares
  • 300 markets had a reduction in price of $5 one-way that were not part of their original increase

United

  • Minor (less than 3%) competitive rollback activity

US Airways

  • No Activity

Midwest Airlines

  • Increase 1153 markets (297 major markets, 50% of their non-stop routes) by $5 one-way

The increase will not completely survive, but with Delta’s increases this morning it is unclear how those that partially rolled back will react.

Glossary

  • Market – departure and destination city pair
  • Major Market – origin and destination are in the top 50 cities list by passenger volume
  • Nonstop Market – airline offers at least one non-code share nonstop flight between two cities

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Published: June 25, 2007