Skip to main content

EP49 - Airlines

· 2 min read
david len
david len
Serial entrepreneur. Always maximizing shareholder value.

Im a humble shareholder of an airplane company worth $10B.

You think my business is flying people from NY to LA.

Every flight I operate loses money. Yet, I make millions of dollars in profit.

I dont think you understand.

I am not in the transportation business. I am in the business of manufacturing a currency.

It's called "miles." I create them from nothing.

But I sell this fictional currency to credit card companies for billions of dollars in real, actual cash.

The banks then hand out my worthless points to you as a "reward."

You, in turn, change your entire life's spending habits to chase a "free" flight you've already paid for a dozen times over.

The planes, the pilots, the crew... they are all just props.

A theatrical performance designed to get you into my high-margin financial ecosystem.

You think you're a passenger. You're a subscription service I tricked into paying for itself.

I don't own an airline. I own a bank that happens to have a fleet of planes as a marketing gimmick.

Follow me for more financial advice.

Context​

Wouldn't really call this a scam. But its a great business model nonetheless.

It's amazing how many people just get one-shotted by an airline offer.

Like every profitable deal -- never let people find out the real margins.