business recognition

How Independent Airlines Can Save Money and Increase Profits

2016-06-1_1158

Running a small airline can be expensive, but there are ways you can cut back on costs. Here you’ll discover how to save money and increase profits all year around. From choosing competitive suppliers to saving money on your passengers, there’s plenty of things you can do to lower your expenses.

Making more from your passengers

Of course, your passengers are directly responsible for the amount of profit you make. Airlines have been using a wide range of clever tactics to make more money while at the same time lowering their own costs. For example, limiting the food options on-board to cold meals rather than hot and choosing cheaper more convenient foods could save you a small fortune each year. Restricting what fluids and foods passengers can take on board will also help them to spend more on the meals you provide.

You can also charge more for certain seat areas, such as near the emergency exit. Obviously you still need to ensure you’re offering a competitive service to your passengers. If they can find cheaper deals elsewhere they will switch to your competitors without hesitation. So do your research and figure out what your competitors are charging before adding any extra expenses to your services.

Cutting back on your suppliers

When was the last time you compared different suppliers? Like any industry, it really pays to shop around. The equipment, fuel and even the staff clothing you need can be expensive. Sites such as FlightStore offer very competitive prices on pilot clothing for example. Many start-up airlines are surprised just how much uniforms can cost. FlightStore is one of the leading manufacturers of high quality, competitive price pilot clothing.

Savings can usually be made with all of your suppliers. So if you take the time to shop around, you’d be surprised by how much you could be saving.

Consider hiring fewer staff

One of the main ways airlines have been cutting costs recently, is by hiring less staff. Obviously the less staff you have, the less money you will need to pay out in wages.

A lot of small airlines make the mistake of having too many employees. It’s important to find a balance between having enough staff to keep passengers happy, but not too many that result in you paying unnecessary wages.

Overall these are just some of the top tips to help you cut down the costs and in turn increase profits for your airline. There’s always something you can do to save money and as you can see, some cut-backs require very little effort on your part.

Tags:

Leave a Reply