On-time guarantees will never happen, given the miserable shape the airlines are already in. This would further increase their costs.
I was stuck on the tarmac at Amsterdam's airport for 8 hours and got a EUR 50 voucher from Northwest Airlines toward a future ticket (yeah, right). I tore it up in front of the woman, and told her that anything less than a free ticket was an insult. This was in 2003, and if airlines weren't going to offer on-time guarantees then, they certainly won't do so now.
Frankly, I don't think it's high oil that is hurting the airlines, because they can (and almost certainly do) hedge against this by buying oil futures. I think the collapse of demand for first-class and last-minute seats is hurting them. The fussy rich people who used to demand 1st class, and were willing to pay 4x the regular price for 50% more space, now prefer to fly chartered or private planes. If you have a pilot's license, taking a family of four in a small plane is comparable in cost to 1st-class commercial. Also, the growth of videoconferencing is causing a massive decline in short-notice business travel, formerly a source of demand for overpriced late tickets.
So when a customer buys a ticket, the airline is in such bad financial shape that they can't use some of the cash from that ticket payment to buy the future fuel for that customer's flight? That is pretty dire.
I was stuck on the tarmac at Amsterdam's airport for 8 hours and got a EUR 50 voucher from Northwest Airlines toward a future ticket (yeah, right). I tore it up in front of the woman, and told her that anything less than a free ticket was an insult. This was in 2003, and if airlines weren't going to offer on-time guarantees then, they certainly won't do so now.
Frankly, I don't think it's high oil that is hurting the airlines, because they can (and almost certainly do) hedge against this by buying oil futures. I think the collapse of demand for first-class and last-minute seats is hurting them. The fussy rich people who used to demand 1st class, and were willing to pay 4x the regular price for 50% more space, now prefer to fly chartered or private planes. If you have a pilot's license, taking a family of four in a small plane is comparable in cost to 1st-class commercial. Also, the growth of videoconferencing is causing a massive decline in short-notice business travel, formerly a source of demand for overpriced late tickets.