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View Full Version : EK plans on eating into more Australian market


1a sound asleep
18th Jan 2011, 00:41
Word is that EK plans on opertaing into Darwin, Adelaide and possible Cairns in the next 12 months. Dont expect automatic daily service into these airports at first. I can see EK's strategy (and it's not good for QF). Think of a single connection between the above Australian airports and any destination in the EK network.

For example try getting from Adelaide to Amsterdam on QF with 3 stops in SYD, SIN and LHR before transfer to BA to AMS. EK will be either 1 stop in DXB or at worse 2 stops if the route goes via DRW and DXB or SIN and DXB. VA getting in bed with Etihad makes more and more sense everyday

VBPCGUY
18th Jan 2011, 00:53
VA getting into bed with EY is perfect sense, gets into EY's hub and doesnt directly expose VA to all the 'winter blues' that europe often throws up so wont hurt the bottom line, QF are seriously kidding themselves.

standard unit
18th Jan 2011, 01:56
QF are seriously kidding themselves.

Ah, but you see the smartest guys in the room [they run Qantas] have a secret weapon designed to claw back lost market share and the high yield premium passengers lost to our full service competition over the last 10 years.

Jetstar international. :{

topend3
18th Jan 2011, 03:16
nice thought but I wonder how viable DXB-DRW would be? Unless it's an add on to SIN

Chock
18th Jan 2011, 04:01
Singapore Darwin (or Adelaide) A332 and Bali Cairns.

1a sound asleep
18th Jan 2011, 04:56
There's a heap of options here, just to name a few. Service 3 weekly and a number of routes are ripe for a chance

DXB-DRW-CNS
DXB-DPS-ADL
DXB-DRW
DXB-ADL
DXB-DPS-DRW-ADL
DXB-SIN-DRW-ADL
DXB-SIN-ADL
DXB-SIN-CNS
DXB-CNS-AKL
DXB-KUL-DRW
DXB-BKK-CNS
DXB-SIN-CBR
DXB-ASP-AKL

I dont support EK and their quest for world domination, but look out QF/JQ/VA/DJ. Whilst you are asleep they are creeping in like a swarm of insects

ferris
18th Jan 2011, 05:08
It's not DRW-DXB. It's DRW to pretty much anywhere in the world. Thats what a punter sees. Yes, it's all via DXB, but If you are ex DRW to say, Europe, you are looking at least 2 stops anyway. Whilst the route might look thin, there is plenty of money in the top end (especially with the mining boom), and there is a great freight demand for consumables into the middle east. All that Ord capacity etc.

Looks like a smart move to me. (love the 'smartest guys in the room' comments; so true.)

1a sound asleep
18th Jan 2011, 05:20
This is the whole EK strategy - one stop via DXB. NOT 3 or 4 stops with QF and partners

Have a look at the EK destinations, in case you've forgotten. Emirates destinations - Wikipedia, the free encyclopedia (http://en.wikipedia.org/wiki/Emirates_destinations)

http://news.airtreks.com/wp-content/uploads/ARMs_EK.jpg

Wizofoz
18th Jan 2011, 05:41
I'd be interested in your souce for this, 1a.

Long term I think there will be more EK destinations in Australia, but I seriously doubt the 12 month time frame. Expansion plans are currently focussed on the Americas, and will take up all the extra aircraft and training capacity we have for the next two years.

After that, who knows?

1a sound asleep
18th Jan 2011, 06:46
Rumuor comes from Snr 777 driver. The have 75 more A380's and 50 777's to come - most of this is for route expansion. Later there's another 100 or so a 350's (more expansion and replacing the A330/A340/early 777 fleet).

So 150 or so in the fleet as of now and another 200 (less a few replacements) or so yet to come. So medium term there will be a fleet of 200-300 a/c

FFG 02
18th Jan 2011, 08:00
Yes it is interesting 1a, but pop on over to the Middle east forums and have a look at how many pilots they require vs how many they are losing.

Be interesting to see if they T&C's alter to attract the numbers they will require.

Maybe they'd open up Australian bases-would really put the cat amongst it!!!

1a sound asleep
18th Jan 2011, 08:37
Low cost salary model would never all them to pay Australian base wages. Whilst there are pilots who cant get jobs EK will always find willing employees/slaves. No it's not a great place to live but there are streams of pilots always looking for work. Just look at the long lines of redundant pilots in the USA, for example. I know it's not right but that's just the way it works.

EK pays cabin crew realtive peanuts, Flight crew on hard contracts, concessions via parent company on various costs and they scew a/c makers to the wall. Many hope they would just go broke, but that is yet to be the case

PPRuNeUser0198
18th Jan 2011, 09:13
try getting from Adelaide to Amsterdam on QF with 3 stops in SYD, SIN and LHR before transfer to BA to AMS.

Qantas - ADL/SIN (QF81)/Qantas - SIN/LHR (QF9/31)/British Airways - LHR/AMS (BAxxx).

Two stops...

Wizofoz
18th Jan 2011, 09:34
FFG,

You might notice it's the same names in the ME forum who have been "Going to leave" for the last several years!!!

Attrition is currently around 3%. More than they want and there is a ground-swell that conditions will improve next fiscal year, but it isn't anything like a crisis yet.


1a,

I'm in training at EK and have not had a new-hire who was unemployed prior to joining for the last two years.

The last four guys I trained came from BA, Aerlingus, easyJet and Royal Air Maroc via Ryanair. We currently have hundreds of applicants, and a recent change in requirements (2500hrs on modern, EFIS jets) has meant a swath of young, European short-haul guys applying.

If they paid me the cash equivelent of my salary package (salary, training pay, housing plus schooling) in AUD, it would amount to $230K- a year ago that would have been $280 with the Aussie at 82 cents- Not as much as an equivelent guy in QF, about the same or a little more than a VA 777 trainer- BUT they pay tax and I don't. Several guys left EK for the VA start up, all went knowing it would cost them money.

Believe me, if they wanted an Aussie base offering no more than they now pay, there'd be a stampede to accept. That's not why they won't do it.

A first year FA gets paid accomodation, transport to and from work, and around $2 800AUD a month tax free. No, not a fortune, but again all in probably better than a VB hostie. Many of our Asian crew have husbands and children back home and support their entire families on that, as it is four or five times what they could earn at home.

I don't love Dubai, but we have a nice life-style, travel a lot and the kids are getting a very good education.

Your mates figures on deliveries are correct, but that still won't mean new Aus routes in the next twelve months (don't get me wrong, 4 day lay-over in Darwin or Adelaide? Bring it!! Just not realistically going to happen in that time-frame.)

StallBoy
18th Jan 2011, 09:44
The only thing that surprises me is that they haven't removed the seats from all Emirates aircraft:confused: and replaced them with stools.:eek: Emirates would have to have the most uncomfortable aircraft in the world. One return trip to Europe was definately enough with this airline. :mad:

Sonny Hammond
19th Jan 2011, 04:11
Good contribution stallboy.

Logical, well thought out and definitely relevant.

Aviation and the pilot profession needs more thinkers like you. (this is a professional pilots rumour network)

Chocks Away
20th Jan 2011, 22:37
Ferris: BINGO!
...there is a great freight demand for consumables into the middle east. All that Ord capacity etc.

Funny how the topic is "eating into more Aust..."
Emirati (correct term?) have been tooling around this part of the globe for the last 10 months trying to buy up swaths of land for generating consumables, which they could easily freight back in their cargo holds.
The Ord river project is one such gold mine, if only they could find enough pickers to harvest the ripe crops! It is able to double in farming capacity and has incredible amounts of fresh water flowing out to sea but needs the staff. The Fitzroy river project is another such "food-bowl" concept, further west.
They have also been over in NZ (Hamilton) trying to get access to fertile growing lands and have been dealing with the Maori.
Foxes' plan for Avalon with huge market gardens right next door is another, on the same concept.
EK get huge $$ from freight and as demand for fresh produce increases, this is one massive market to serve and good reason to expand into "food-bowl" areas.