The Skift Travel Podcast Why Low Cost Airlines Win in Europe but Struggle in the U.S.
Nov 20, 2025
Gordon Smith, Airline Editor at Skift and host of Airline Weekly Lounge, joins to explore why ultra-low-cost carriers thrive in Europe while struggling in the U.S. They discuss Ryanair's audacious social media tactics and the perception of fare value in the U.S. market. The conversation reveals how rising costs, competition, and loyalty programs impact airline choices. Additionally, they dive into the differences in European and American pricing strategies and how geographical factors influence profitability. It's a fast-paced analysis you won't want to miss!
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Use Bold, Honest Marketing To Drive Buzz
- Create memorable, noisy marketing that leans into your brand's truth like Ryanair does.
- Use attention-grabbing stunts and candid messaging to maximize earned media and commercial reach.
Handwritten Boarding Pass In The Bahamas
- Seth recounted receiving a handwritten ticket from Silver Airways during a power outage in the Bahamas.
- He kept the ticket as a memento and later failed to claim frequent-flier credit from United for that flight.
ULCC Profitability Can Exceed Legacy Margins
- Ryanair reported operating margins above 30% in Q3, showing ULCC profitability at scale.
- Gordon Smith attributes that to strict cost control and aggressive ancillary merchandising.