Originally Posted by
lamax
Since learning to fly in 1965 I've observed for around 20K hours the Australian aviation landscape from the front window of regional aircraft. In that time many dreamers have come and gone in trying to establish an airline in what they see is the great south land of undeveloped and undiscovered city pairs ripe for exploitation. In reality we are not the USA with dozens of Canberra sized cities scattered throughout our states and territories. All profitable city pairs in OZ that support medium sized jet transports are well serviced with little potential for extra capacity. There are many reasons for new entrants to fail in Australia, just one is that there are no further opportunities in terms of new markets to deploy 737/A320 sized aircraft at a viable utilization rate and load factor which would return a profit to investors.
excellent summary.... the Australian population is just too concentrated for a booming aviation market... imagine if there were say 200K ppl living in Bairnsdale, another 200K in Mildura, 250K in Bendigo and 250K in Albury/Wodonga, the aviation industry even just within Victoria will be so much more 'vibrant'