Jetgo - have they gone?
Do you mean ROM / SY in 1 hour 20 rather than ROM / BN
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An interesting response.
The smiley ngarr ngarr crap is indicative of the level of maturity of the poster. My posts regarding Jet Go are only targeted at the ill informed that blather on about them being an airline or RPT when they were a charter organization an the unethical "consultant" that revealed how much he has overcharged the operator. In another area I have congratulated the operator on their achievements because they should be congratulated. I continue to wish them every success. No, I don't have a job application in with them. I don't need to. Thank you.
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noted their proving run yesterday they did ROMA SYD in under an hour and twenty minutes... the dirty old dash would still be going round the holding pattern getting into BNE when these guys are on short
As has been said before JetGo have been methodical in their set up, have good financial backing and the right aircraft type for their business model. It's going to be great watching them shake things up when they hit full swing
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The problem with their business model is their future completion. If Qantas and Virgin notice they are carrying full loads on the SYD -ROM, SYD-BUD etc, Qantas will put a Q400 on the route and Virgin will put a Ejet or F100 on the route. If you think back about 8 years, Alliance was operating RPT on the TVL-BNE route, however once Jetstar and Virgin ramped up there services, Allisnce couldn't compete and reverted back to charter and they currently only operate one RPT route.
Remember the US regionals tried to use the E135/140/145 etc on bypass routes in the states and look how well it turned out. Within 10 years most of the aircraft have been retired from service, hence Jetgo has been able to pick them up at a good price.
So yes it good to see another operate gve it a go, but in the last 10 years there have been far two many airlines who stepped up from charter to RPT and failed.
Remember the US regionals tried to use the E135/140/145 etc on bypass routes in the states and look how well it turned out. Within 10 years most of the aircraft have been retired from service, hence Jetgo has been able to pick them up at a good price.
So yes it good to see another operate gve it a go, but in the last 10 years there have been far two many airlines who stepped up from charter to RPT and failed.
If Quaintarse or Virgin had any brains (yes, I know there is an irishman at the helm of one of the biggest loss-making airlines), they would quietly hop into bed with Jetgo on a codeshare basis, or just buy some capacity off them. Both Q and V know they haven't got the right aircraft for those routes, and rather than watch Jetgo take their potential customers, they should at least get a bite out of the business.
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From the outside in:
Looks like a great product. The struggle will be when QLink dump seats on any and all routes. And they will. They definitely will. If Jetgo can achieve hosting in the VA system they'll go well.
Looks like a great product. The struggle will be when QLink dump seats on any and all routes. And they will. They definitely will. If Jetgo can achieve hosting in the VA system they'll go well.
If Jetgo can achieve hosting in the VA system they'll go well.
The ERJ/CRJ aircraft types need high yielding fares to survive. In the USA the airlines that flew them mostly had a deal to provide the aircraft on an ACMI basis to the majors. Cobham do that here for QFLink...
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This guy did a trip report on a test RPT flight that Jetgo did.
http://cqplanespotting.********.com....rom-jetgo.html
Edit: Ok I don't know how to insert links in this Vbulletin board from the 90s. So just copy and paste the link.
Edit 2: So for some reason the link just won't work so I have posted the shortened version. If you think its dodgy then follow this tweet. That's where I got it from. https://twitter.com/cqplanespotting/...05157691084800
http://t.co/ztdZXYLQkV
http://cqplanespotting.********.com....rom-jetgo.html
Edit: Ok I don't know how to insert links in this Vbulletin board from the 90s. So just copy and paste the link.
Edit 2: So for some reason the link just won't work so I have posted the shortened version. If you think its dodgy then follow this tweet. That's where I got it from. https://twitter.com/cqplanespotting/...05157691084800
http://t.co/ztdZXYLQkV
Last edited by deadcut; 31st Aug 2014 at 04:50. Reason: fixed link
Thread Starter
It seems from the US, at least anecdotally, that ERJ operations have shown to be vulnerable. The right airframe, whilst a very important component to success in aviation, is only part of the recipe. What can these guys do that will safeguard them from the majors' potentially aggressive counter attack? After all, when you want a piece of the on carriage action via a new-start hub bust operation, expect more than just a little heat!
The founder of one of Australia's most successful and significant regional airlines told me some years ago, you can't start a regional these days - the majors just won't let you! This guy was shrewd, he was influential and he grew his fleet to what I recall was 28 aircraft prior to sale.
They can be a success for sure, but as a long term independent operation they had better have a plan which keeps the majors at bay or, be prepared to grow quickly (beyond just 5 airframes!) to the point where it is simply not economical for the majors to try to shut you down/ contain your growth. If they can expand existing markets instead of poaching, they may just be left alone. For how long is a whole other question.
The timing could not be better as both majors reportedly retreat from dumping capacity into the market but I still don't see their point of difference. What will Jetgo do which the majors can't?
For mine, they need to form an alliance very fast with whomever they can.
The founder of one of Australia's most successful and significant regional airlines told me some years ago, you can't start a regional these days - the majors just won't let you! This guy was shrewd, he was influential and he grew his fleet to what I recall was 28 aircraft prior to sale.
They can be a success for sure, but as a long term independent operation they had better have a plan which keeps the majors at bay or, be prepared to grow quickly (beyond just 5 airframes!) to the point where it is simply not economical for the majors to try to shut you down/ contain your growth. If they can expand existing markets instead of poaching, they may just be left alone. For how long is a whole other question.
The timing could not be better as both majors reportedly retreat from dumping capacity into the market but I still don't see their point of difference. What will Jetgo do which the majors can't?
For mine, they need to form an alliance very fast with whomever they can.
NS makes good points. A network affiliation is critical for a long term success. Point to point route pickings is fine however the support beyond a point like Sydney is essential. Pax from other parts of Australia do not like changing carriers therefore some form of through fare structure becomes necessary. The other issue is the fact that 80% of the population live around the Golden Triangle.
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QLINK gave the GLA-SY route a go for quite some time and that is not working out and will end in the near future. Why would routes such as ROMA-SY etc be any different? I am not aware of the demand but is there a large number of passengers that currently transit through BN from SY for regional QLD?
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you seem to have forgotten about FIFO's. FIFO's can go on RPT services, which can be underwritten by mining companies, just as charters are.
Being RPT allows the public access to these flights as well.
Maybe mining companies guarantee a certain % of seats & the rest Jetgo can sell to public.
Being RPT allows the public access to these flights as well.
Maybe mining companies guarantee a certain % of seats & the rest Jetgo can sell to public.
Thread Starter
My view remains, what business are they in? Trying to be everything to everyone doesn't work. Mining is reportedly on the decline and so the last few years for Jetgo's FIFO/ charter ops have been a great foundation for what's about to be their transition to RPT.
But if there's talk of a 'hybrid' RPT where the miners say cover the base operating cost and the public delivers the bonus/ profit - dud model! Getting creative in any industry to circumvent the true realities of the ruthless, unforgiving market forces is simply death.
Just do the basics really well, identify your point of difference and market and sell like no other and you'll have a chance. But number one, know what business you should be in, and what you should not.
From experience saying no in business is vastly more challenging than saying yes.
RPT operators don't make charter their core business. To win a marathon you don't concentrate on sprint training. Point is, with all the operational experience built up from charter & FIFO the flying bit will be easy. The hard part as always in aviation is getting enough seats 'bummed' (if I may use a little poetic licence) to make a profit.
From the website, every key person is an operations person. Not a head of sales and marketing to be seen. That's a key position to omit in a multi-million dollar venture. Granted, the person may in fact exist, but for mine it is a significant ommission and one they would be wise to promote.
But if there's talk of a 'hybrid' RPT where the miners say cover the base operating cost and the public delivers the bonus/ profit - dud model! Getting creative in any industry to circumvent the true realities of the ruthless, unforgiving market forces is simply death.
Just do the basics really well, identify your point of difference and market and sell like no other and you'll have a chance. But number one, know what business you should be in, and what you should not.
From experience saying no in business is vastly more challenging than saying yes.
RPT operators don't make charter their core business. To win a marathon you don't concentrate on sprint training. Point is, with all the operational experience built up from charter & FIFO the flying bit will be easy. The hard part as always in aviation is getting enough seats 'bummed' (if I may use a little poetic licence) to make a profit.
From the website, every key person is an operations person. Not a head of sales and marketing to be seen. That's a key position to omit in a multi-million dollar venture. Granted, the person may in fact exist, but for mine it is a significant ommission and one they would be wise to promote.
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REX was formed from the ashes of Hazelton and Kendell airlines. And yes they did start out as charter companies, but that was 40 plus years ago. Some with Eastern and Air North. The cost of doing business back then was cheaper and they started with piston aircraft, not jets.
Also for them to survive and grow they required help from the two domestic airlines (Ansett and TAA/Australian). Has the two domestic airlines withdrew their F27s they were replaced with the smaller (mostly piston aircraft initially) from Hazo's Kendell and Eastern/Sunstate/Southern.
In the case of Airnorth they have been hosted in the QF system for years and their recent expansion of routes has come about due to QF withdrawing from the routes and handing them over to Airnorth.
So history has shown that in order for a regional airline to survive and grow (in Australia, the USA and Europe) they need the backing/assistance of a larger domestic airline.
Also for them to survive and grow they required help from the two domestic airlines (Ansett and TAA/Australian). Has the two domestic airlines withdrew their F27s they were replaced with the smaller (mostly piston aircraft initially) from Hazo's Kendell and Eastern/Sunstate/Southern.
In the case of Airnorth they have been hosted in the QF system for years and their recent expansion of routes has come about due to QF withdrawing from the routes and handing them over to Airnorth.
So history has shown that in order for a regional airline to survive and grow (in Australia, the USA and Europe) they need the backing/assistance of a larger domestic airline.
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This is what happens when you aren't connected with one of the majors.
Skytrans cancels Toowoomba-Sydney route following Qantas announcement
Skytrans cancels Toowoomba-Sydney route following Qantas announcement