Ryanair to fly to U.S.? Discounter attempts takeover of AerLingus
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European ultra-discount airline Ryanair, famous for low fares, but also for a complete lack of amenities (no windowshades, tight seating, ads everywhere, pay for checked bags, mandatory fees galore…) is targeting the long-haul market and seeking a monopoly position in Ireland.
Ryanair announced an all-cash 2.80 euros/share takeover bid for AerLingus, which itself just went public. Ryanair has already acquired a 16% stake in their competitor.
If the deal were to go through, then the newly merged Ryanair would no longer be “contained” in Europe. They’d be global.
People talk about a race to the bottom in the airline sector. Make no mistake: Ryanair IS that bottom. It’s the self-proclaimed WalMart of the sky, and it could be coming to long-distance travel. Be afraid.
But the Irish government may throw a wrench into this. They have announced that they’re holding on to their 28.3% stake in AerLingus, and that they prefer to promote competition over consolidation. Stay tuned.
Related:
- Ryanair’s trifecta of customer alienation
- Wheelchair fees and airplane insurance: unpacking airfare surcharges
- Disturbing Ryanair safety/training video exposé
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October 6th, 2006 at 8:54 am |
WalMart of the sky - couldn’t think of anything better.
I loved EasyJet and Ryan when I lived in London - I could get to Ireland, Scotland, or Paris for under $50 return.
I’m about to pay $1,400 to fly from Hawaii to Brisbane because there are only three airlines flying that route.
Bring on the super center!
October 6th, 2006 at 11:33 am |
You mean you want 3 inches less legroom than the North American average?
You want flight attendants whose safety training has been questioned in multiple incidents?
Getting lower airfares isn’t free. Like WalMart, whose underpaid employees are living off the taxpayer (esp. healthcare) these low prices have a cost beyond the price of the ticket.
October 6th, 2006 at 12:55 pm |
Anon -
Yes, I want the CHOICE to pay $1,400 to QANTAS for 14″ of legroom or $500 to Ryan for 3″.
I dunno about the flight attendent stuff, in 20 years of flying I’ve never had a FA do anything but hand me a bag of pretzels or a drink.
And as for WalMart employees being wards of the state, well, that old canard that Krugman and his ilk continue to peddle has been debunked so many times it’s tiresome. Go thou and google.
-AC
October 6th, 2006 at 1:47 pm |
BoonDoggie and Anonymous:
If Ryanair meets your needs, good for you. If it’s not your cup of tea, that’s great too.
My primary worry at this point is the effect that Ryanair’s entry into the US market would have on other carriers. Much like American Airlines decided to ditch pillows and experimented with selling soft drinks, I’m never in favor of making already stripped-down comforts even less comfortable. And some of these items are things you can’t simply pay for, like a Coke. No windowshades, for God’s sake! Southwest will feel like a Gulfstream IV in comparison.
As for the flight attendant safety issues, and an investigation into how they are treated by the company, check out the video, as well as the correspondence between the airline and the investigative reporters, here.
October 1st, 2007 at 1:23 am |
[…] Ryanair to fly to U.S.? Discounter attempts takeover of AerLingus …Yet the fact that many vendors (think car rental companies) require the use of … a hyperbolic discounter applies larger discount rate to events that will … […]
December 24th, 2007 at 5:09 pm |
Mr O’Leary would setup another airline to do long haul
Reason for this is that the dynamics of long haul are different from short haul
In a nutshell, he gets (at least) another return trip out of his planes per working day compared with the competition. Naturally anything that makes a 20 minute turnaround difficult gets dropped (so no flights to CDG in Paris(!) - those 30 minute taxi to a gate won’t work for him)
And of course, he’ll look for a suitable country to register the planes in…
April 8th, 2008 at 8:48 am |
A Ryanair (discounter type) Longhaul flight!?
Who the hell could endure this? In Rome we had to wait 2 hours when the ryanair departure handlers at the exit gate didnt turn up. Eventually local staff stepped in and did what ryanair shouldve been there to do there. Then a big kafuffle before liftoff where there was NO control over people bringing on hand luggage to be seen at all? Now substitute such a situation where the flight is a longhaul. When you may have had no sleep at all on top of a longhaul coachride to the airport a wait in the airport including a random evacuation over a bomb-scare. All this happened on the departure. How would ya like them apples with 13+ hours ahead of you?
I dont think anyone could endure this on top of paying for it.
So I think ryanair or any flight discounter types should Never be allowed Longhaul business. They all should have to constantly pass unbreakable unavoidable and renewed standards of “passenger freindliness” They are getting making a living on us at the end of the day. Why not force such carriers to make those long haul apples palate-able?
S