Originally Posted by
ScepticalOptomist
Im all for REX giving it a go, but when things get tough, I don’t see QF losing.
Yep.
Fuel jumps, Rex sinks. Tiger had SIA to cover these issues when fuel went to $130 a decade ago, QF and VA had profitable cores to offset.
Rex hasn’t really got anything. It’s not like they can raise prices or chase corporate contracts off the opposition.
Quote:
Originally Posted by getaway
think Rex will take market share on golden triangle mostly off qantas.
Don’t be so sure. Post Covid the Qantas and Virgin experience on say Melbourne to Sydney won’t change at all. The only thing Virgin is doing is dropping the free snack. It’s not changing it’s lounges, baggage, or frequency. Don’t underestimate the power of those two on the triangle. I would be very mindful reading into the Virgin fear that has been spread into the market from various uninformed experts and competitors. That’s what Rex wants to believe, reality will be different. Alan and Jayne are ruthless operators who won’t let some token operator like Rex get in their way.
Rex might get the Tiger traffic. They might perhaps get some Jetstar traffic should they bother to update the website, FF program and IT. However that costs money.