Domestic First Class Discount Fare Elasticity
How to Use it it Win an Upgrade
It’s easy to think that oil prices, mergers, and Chapter 11 filings are the major determinants of domestic First Class fares.
They do play a role, but not as great a one as they do in shaping economy class prices. No, there are five others, less visible factors that largely determine domestic First Class prices: excess inventory liquidation, market-share grabs, loyalty program retention, hub-city pricing power, and keeping up with the competition.