State of the Airlines

Tuesday, January 11, 2005

NEWS: JetBlue vs. Southwest

Not to be upstaged by Southwest's announcement that they are marching into Pittsburgh, JetBlue announced that they will start flying New York-Boston around the October time frame. For whatever reason I found myself comparing the two announcements. Southwest is looking to fill a void left by the declining US Airways. Its a time tested Southwest formula, find an under served market and take it over. Its worth noting that Southwest did stretch a bit in deciding to take on a market that does not have a secondary airport for them to use (like Midway in Chicago for example). Not quite their modus operandi but overall this is what Southwest does and it works for them...a lot.

JetBlue's move seems a little bolder than Southwest's...and by bolder I mean riskier. New York-Boston is a route served by heavy weights like American and Delta. I don't think its under served. The saving grace in JetBlue's plan may be their product which, in my opinion, should compete head to head with the big boys. JetBlue is still finding a way to deliver what is, by all accounts, a higher end product at discount prices. Business flyers are starting to like it...a lot.

Interesting...that's all.

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