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I recently learned from someone in the financial industry who had studied Jetstar financial reports & supporting docs that 50% of Jetstar profit comes from people who buy a ticket and don't fly.
I'm not saying that 50% of passengers tear up their ticket- what I am saying is that 50% of Jetstar PROFIT is derived from passengers who buy a ticket and ultimately don't fly on that ticket.
Hard to imagine? Not really - because after all Jetstar not only pocket the ticket price, but also the taxes and fees involved. In a low margin business you only need maybe <5% of passengers to check-in late or otherwise not fly on that ticket to double the profits this way. A flying customer earns the company maybe 5% margin, a non-flying customer earns 100% margin.
Jetstar is an airline that derives 50% of it's profit from NOT FLYING PASSENGERS, something to think about that next time you book a ticket.. |
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