*By Carlo Versano*
When Spirit Airlines CEO Ted Christie flies, he flies his own ultra-low-cost carrier ーin coach. Such is the attitude at Spirit, where cost efficiencies are the very principle on which the airline does business.
Christie, who started in the role as Spirit Airlines ($SAVE) CEO this year, said that the business model is simple: its very low-cost structure drives low fares, which drive demand. Spirit, which is notorious for its no-frills cabin experience, even manages to pack more seats onto each aircraft, which helps the company diffuse fuel costs when they spike.
While Spirit takes its share of licks from passengers on social media, Christie said the airline's success has more to do with stimulating travel "off the bottom" ー reaching travelers who wouldn't otherwise fly, rather than frequent travelers looking to save a few bucks.
That is "untapped and unconstrained" demand, Christie said.
Even still, it's paying customers who demand some level of reliability, service, and comfort, even at the low price points. Spirit placed last in the 2018 American Customer Satisfaction Index of airlines.
"We're working hard on it," Christie said of the customer satisfaction metrics.
But value is its own satisfaction metric. Clean planes that are on-time, with friendly staff and bags that don't get lost ー for a $59 ticket ー is the value proposition Spirit wants its customers to consider.
The airline is adding some amenities to its flights: notably, high speed internet, which will cost between $6 and $10 per flight, Christie said, and be available across the fleet this year.
For full interview [click here](https://cheddar.com/videos/new-spirit-airlines-ceo-on-the-quest-for-high-value-low-fare-product-to-drive-loyalty).
Ford is recalling more than 355,000 of its pickup trucks across the U.S. because of an instrument panel display failure that’s resulted in critical information, like warning lights and vehicle speed, not showing up on the dashboard.
Nvidia reported a 56% increase in second-quarter revenue and a 59% rise in net income compared to a year ago.
The Rev. Al Sharpton is set to lead a protest march on Wall Street to urge corporate America to resist the Trump administration’s campaign to roll back diversity, equity and inclusion initiatives. The New York civil rights leader will join clergy, labor and community leaders Thursday in a demonstration through Manhattan’s Financial District that’s timed with the anniversary of the Civil Rights-era March on Washington in 1963. Sharpton called DEI the “civil rights fight of our generation." He and other Black leaders have called for boycotting American retailers that scaled backed policies and programs aimed at bolstering diversity and reducing discrimination in their ranks.
President Donald Trump's administration last month awarded a $1.2 billion contract to build and operate what's expected to become the nation’s largest immigration detention complex to a tiny Virginia firm with no experience running correction facilities.
Netflix CEO Ted Sarandos claims audiences don't want to watch Netflix movies in theaters, but that seems not to be the case recently.
Chipmaker Nvidia is poised to release a quarterly report that could provide a better sense of whether the stock market has been riding an overhyped artificial intelligence bubble or is being propelled by a technological boom that’s still gathering momentum.
Cracker Barrel said late Tuesday it’s returning to its old logo after critics — including President Donald Trump — protested the company’s plan to modernize.
Low-value imports are losing their duty-free status in the U.S. this week as part of President Donald Trump's agenda for making the nation less dependent on foreign goods. A widely used customs exemption for international shipments worth $800 or less is set to end starting on Friday. Trump already ended the “de minimis” rule for inexpensive items sent from China and Hong Kong, but having to pay import taxes on small parcels from everywhere else likely will be a big change for some small businesses and online shoppers. Purchases that previously entered the U.S. without needing to clear customs will be subject to the origin country’s tariff rate, which can range from 10% to 50%.
Southwest Airlines will soon require plus-size travelers to pay for an extra seat in advance if they can't fit within the armrests of one seat. This change is part of several updates the airline is making. The new rule starts on Jan. 27, the same day Southwest begins assigning seats. Currently, plus-size passengers can pay for an extra seat in advance and later get a refund, or request a free extra seat at the airport. Under the new policy, refunds are still possible but not guaranteed. Southwest said in a statement it is updating policies to prepare for assigned seating next year.
Cracker Barrel is sticking with its new logo. For now. But the chain is also apologizing to fans who were angered when the change was announced last week.
Load More