Operator fluency on fresh ground

Frontier Group Holdings, Inc. (ULCC) — this company's answers

The model's full reasoning — Q1 2023 call → NOWe need to determine if the transcript shows the dynamic described. The question asks about a "recently emerged positive element of the business" whose meaningful contribution began only within roughly the last few quarters. Analysts probe it, and management responds with unhesitating, granular operational command, answering follow-ups with specific present-tense working detail, while conveying that the element's contribution is still early. Looking at the transcript, the recently emerged element could be the GoWild Pass. It launched last fall (so within the last few quarters). Analysts ask about it. Specifically, Shannon Doherty asks: "Barry, I appreciate the details that you gave in the script about the GoWild Pass and saw that you recently put Summer Pass on sale, I think for 499. I just wonder whether that was demand driven or if you're just trying to sell even more? And like do you hit a limit in the number of passes that you can sell, maybe unlike a credit card, just thinking about fleet growth and capacity." Barry responds: "Well, there -- they're actually -- I mean, ultimately there's a limit. We want to -- we want GoWild to be the highest NPS product that's out there. We want to sell it at favorable prices, but ultimately there is a limit, just like there's a limit on how many seats you can sell. And even I think credit cards would actually eventually have a limit to people because they only have so much capacity. But no, we're really excited about it. It's probably been the best received product that we've ever launched. And I think -- if I recall, I think you were personally interested in it yourself. So, hopefully, you've taken advantage of the great deals and we're really excited about it. But yes, there is ultimately going to be a limit. And we've said this before publicly, and that's why I said, it could be a couple points in load factor is look, we had 6 million seats that were going to potentially go empty. We've said if we could just fill a third of those, that's 2 million seats. This isn't tough math, right? That's several points in load factor. And so you can kind of back into there -- yes, there will be a limit based on how many times they fly, and how much the usage is, is how many we could actually sell. And so -- but we don't believe we've hit that yet." This is a single exchange.

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