Unlike many major U.S. airlines struggling to generate steady revenue for 2009, JetBlue, one of the leading low-cost airlines in the United States, has found a way to turn a profit without imposing excessive fees and adding costs to the average itinerary. The low-cost airline based in Forest Hills, New York is planning on setting up a new reservation system that will help to increase revenues and still stay competitive with its leading competitor, Southwest.
A recent story in the New York Times reports that JetBlue’s CEO Dave Barger, stated that the carrier is expecting to make a profit for the last quarter of 2009, as it has for every other quarter this year, and that the airline will continue to offer cheaper fares to attract more passengers.
JetBlue Airways Corporation was one of the few airlines to report a profit over the summer vacation months in 2009, and has managed to offer deep discounts on many of its flights season after season. This has made it easier for the airline to fill more planes, despite the waning demand from leisure and business travelers in recent months. The airline also unveiled its “All-You-Can-Jet Pass” for one month in September and October, offering travelers the opportunity to travel an unlimited number of flights for a flat fee of $599 per person. Barger reports that this was an unexpectedly successful promotion that helped to offset the decreased demand for the year.
JetBlue’s total costs fell approximately 11 percent this past year, primarily because of reduced fuel costs compared to a year ago. The airline is planning to increase its routes to the Caribbean in the oncoming year, and may also add more flights from Boston and San Francisco through 2011. Barger reports that the airline is also considering moving its headquarters to Orlando, Florida.
