(My friends say I’m not supposed to talk about our city airport anymore but..) This new airline is big for SAT to break the horrible equilibrium of: - Southwest’s 41% dominance but limited destinations - SW, AA and UA hubs in Dal / Hou - Aus airport booming 60 mi awayhttps://twitter.com/owens/status/1226357516298153984 …
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The new Aus->EU service is a red ocean right now with many carriers adding service in the past few years. It wouldn't surprise me to see big gaps there versus SAT or other Texas cities.
Never heard red ocean before. You’re saying that eu->aus is a developed route with competition, whereas San Antonio to eu is not?
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It's the inverse of "Blue Ocean" theory (you carve out a niche where there is no competition -- Southwest airlines and Cirque de Soleil are examples). I'm saying the opposite. SAT->EU is stablized (you have to connect and service has been stable as-is for awhile) /1
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AUS->EU has a ton of new entrants running planes to LHR/AMS/FRA/CDG/etc. It hasn't shaken out how many of those will be profitable (if any). My suspicion is supply has outrun demand -> price cuts -> red ocean.
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