More than anything, Spirit Airlines’ business model is built on low fares, which it uses to stimulate demand and fill its planes. But what happens when fuel prices drop, enabling airlines like JetBlue to drop fares too? In a wide-ranging interview, we asked Spirit’s CEO Ben Baldanza about such “fare compression.” We also asked him about the possibility of Spirit chasing corporate traffic (like Ryanair). How will A320-NEOs change Spirit’s network?
Other topics included Spirit’s pilot contract and the notion that Spirit is “stealing traffic” from other airlines. Lastly, we learned why it’s “crazy” to call Spirit a “no-frills” airline and why Baldanza loves the Tonka-truck yellow livery. This is our first CEO interview in The Airline Weekly Lounge. It went so well that we plan to make this a regular feature.
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