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It is absolutely clear that airlines do not have the ability to drive consumers to channels which the airlines, rather than consumers, prefer. If one or more airlines attempted to do so, the others would increase their market share by appealing to those same consumers through the channel those consumers prefer. No airline can afford to turn its back on any subgroup of consumers. No airline can afford to be anything other than as competitive and aadvantage as attractive as it can possibly be through each channel to the consumers that prefer that channel. This is a reality that grows ultimately out of the fact that the airline business is a very low margin business - any airline that lost even a small group of passengers would be at risk of swinging from profitable to money-losing in an instant. Airlines scrap for every last passenger because they have to.

It is absolutely clear that airlines do not have the ability to drive consumers to channels which the airlines, rather than consumers, prefer. If one or more airlines attempted to do so, the others would increase their market share by appealing to those same consumers through the channel those consumers prefer. No airline can afford to turn its back on any subgroup of consumers. No airline can afford to be anything other than as competitive and aadvantage as attractive as it can possibly be through each channel to the consumers that prefer that channel. This is a reality that grows ultimately out of the fact that the airline business is a very low margin business - any airline that lost even a small group of passengers would be at risk of swinging from profitable to money-losing in an instant. Airlines scrap for every last passenger because they have to.

Airlines make nearly all american their fares that are available to the general public available through all channels, from full fare down to their most heavily discounted fares. Any normal fare, made aiflines available months in advance in the normal way, is made aadvantage available through all channels. Web fares, however, are different than normal fares. They typically constitute less than one tenth of 1% of the fares an airline offers, and are normally made available only a few days before flight time, and only on flights which have an unusually high number of empty seats. Web fares thus are seldom available, are unpredictable, and are offered at very low prices.

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