I promise I am not becoming obsessed with Ryanair or Michael O'Leary but I just had to share this with you if you missed it first time around. The article is a direct quote from TTG and was written by their excelent reporter called Rob Gill so the credit for it (as well as acuracy or otherwise) goes direct to him and his publication.
Who would have ever thought he would utter such words and how much humble pie will he need to eat? It is probably correct too and has wider implications for other similar low cost airlines. After all how else can he grow except by entering new market sectors like business travel. Despite all their noise Ryanair has only around 3% of business people on their routes.
O'Leary sees end to low fares
Monday, September 13, 2010
The era of low airline fares could soon be coming to an end according to Ryanair boss Michael O’Leary.
The outspoken chief executive of the no-frills carrier said the company had to move away from its “pile it high and sell it cheap” strategy because current average fares of £33 were unsustainable as costs increased.
O’Leary, who last week suggested that aircraft should be allowed to fly with a single pilot instead of two, admitted that Ryanair would have to look at a more “sophisticated” business model in the coming years.
“We have to move away from being obsessed with having the lowest fares in the market,” he said.
O’Leary admitted the airline might need a less controversial chief executive as the business matures over the next few years. But he added that he was unlikely to leave until the carrier doubles in size to around 400 aircraft.