Ryanair has just closed another year showing record profits, despite fare drops of about 1% after the attacks last year, in Paris and Brussels. In addition, for the first three months of 2016, Ryanair is reducing passenger fares by about 6%.
These delightful changes are in the wake of a 110% increase in profit compared to this time last year, and the huge reduction in the cost of fuel, which is down by 10% percent per passenger. So even with a 6 % discount, Ryanair is still net positive 4%.
Numbers aside, Ryanair has been reinvesting in their airline with newer interiors as well as a more pleasant and melodious “on time” jingle as part of their initiative to be nicer to their customers. Their motto is “always getting better”. If the prices and constantly full flights are any indication, they are getting the job done.
On the other hand, their direct competition, EasyJet experienced loss in the last month of about 3.7%, and has continued to struggle since the attacks in Paris and Brussels. While the airline is also known as a low cost carrier, they simply don’t have the same low prices Ryanair does. The major advantage EasyJet has over Ryanair, is they are more often at better known airports, but beyond that, most would still prefer to fly with Ryanair.
With their commitment to cost cutting, but still providing the best service they can at their low price point, there won’t be many airlines left that will be able to fly as cheaply as Ryanair, nor compete.