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Skywest jump into bed with Qantas

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Old 6th Feb 2003, 05:11
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Skywest jump into bed with Qantas

SKYWEST ANNOUNCES AFFILIATION WITH QANTAS
Skywest Passengers Eligible to Earn Qantas Frequent Flyer Points
Major Boost for Western Australian Tourism

Skywest Airlines today announced a new affiliation with Qantas Airways.

From 15 April 2003, Qantas Frequent Flyer members can earn points and redeem Award flights on Skywest¹s regional WA network.

Also, passengers departing from any Western Australian regional airport flying Skywest will be able to have their seats and baggage booked through to their final Qantas domestic or international destination, making it easier and more convenient to travel to and from regional WA.

Skywest Chief Executive Officer, Mr Scott Henderson, said the affiliation with Qantas would provide a significant benefit for customers.

"While this is of significant importance to Skywest, it is also a huge boost for WA tourism. International and domestic tourists booking through Qantas can book all the way through to Skywest¹s regional destinations on the one Qantas ticket."

Mr Henderson said Qantas would market Skywest¹s destinations nationally and internationally.

"Additional to our own marketing initiatives, the new arrangements are certain to increase the WA tourism market.

"In addition to the Frequent Flyer benefits, and through check-in of customers and their baggage, we are currently reviewing our schedule to ensure smooth, convenient and timely connections between Qantas domestic and international flights and Skywest¹s regional destinations.

"This is the best news for Western Australia¹s travellers and tourism industry in a long time," Mr Henderson said.

does this mean that they will go for the red tail with the white kangaroo soon? maybe this is why they are holding off on a new livery...
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Old 6th Feb 2003, 06:39
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What publication is this from?
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Old 6th Feb 2003, 07:43
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Question

Does this affect National Jet???
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Old 6th Feb 2003, 08:47
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??? why would it affect them...

it's an excerpt from a skywest media release

does this mean that they will go for the red tail with the white kangaroo soon? maybe this is why they are holding off on a new livery...
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Old 6th Feb 2003, 14:14
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Well that about it then. Floodgates will open, the Skippers of this world will flood the small routes with the metros, Skywest will call them unprofitable and we will have a mini Ansett WA shedding services again.

I honestly thought that Skwest may have had the balls to go it alone and have a crack at the Kimberley and Pilbara routes, but QF has thrown the trump out effectively ensuring the monopoly.

And what will happen to NJS in the west? Will we see a pig exodus and a return of the flying klog? One thing is for sure, there will be no opposition on the routes into the north.
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Old 6th Feb 2003, 16:36
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Fri "The Australian" 7/2/03

Qantas deal to hurt: Virgin
By Vanda Carson
February 07, 2003

TRAVELLERS to Kalgoorlie and Broome would be losers under Skywest's plan to link-up with Qantas, according to the airlines' main competitor, Virgin Blue.

The deal will allow the state's regional airline to use the Qantas booking system and Qantas frequent flyer members will be able to earn points and redeem award flights from April 15.

The former Ansett subsidiary serves 11 destinations across the state, but only competes with Qantas on two routes - to Kalgoorlie and Broome.

Virgin Blue's commercial manager, David Huttner, said the decision would create an "effective monopoly" on the two shared routes.

"Regardless of what (Qantas) say, it will become just as much of a monopoly as New Zealand will if the Qantas-Air New Zealand deal goes through," he said.

Skywest chief executive Scott Henderson denied the deal would stifle competition and added he did not expect ticket prices to change.

Passengers departing from any West Australian regional airport flying Skywest would be able to have their seats and baggage booked through to their final Qantas domestic or international destination, he said.

It is understood shareholders pressured Mr Henderson to make an agreement, following the company's recent financial difficulties.

Mr Henderson also approached Virgin Blue for informal discussions but Qantas's booking systems and pricing structures were considered a better match, Mr Huttner said.

"Hopefully Qantas will be able to work with Skywest to offer the travellers the same low fares that they offer where they have competition from us," he said.

Mr Henderson said the relationship with Qantas would benefit customers and boost local tourism.

Qantas has similar agreements with nine other airlines around the nation, including two in Western Australia.
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Old 6th Feb 2003, 17:00
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Talking mmmmmm................

The former Ansett subsidiary serves 11 destinations across the state, but only competes with Qantas on two routes - to Kalgoorlie and Broome.
me no think so Vanda. when was the last time she flew to Broome with Skywest? Ahhhhhh newspapers. Next we'll have G.T claiming he knew all about it.

And as for NJS? heard the Murrin contract is up for grabs and that Skywest are sniffing. Not to mention what lies ahead for the 'gas chamber'. interesting time ahead in WA?

Anyone know where the plan for Skywest and the jet operation is headed?
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Old 6th Feb 2003, 22:58
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dodgy bro

I honestly thought that Skwest may have had the balls to go it alone and have a crack at the Kimberley and Pilbara routes, but QF has thrown the trump out effectively ensuring the monopoly.

you obviously have little understanding of how marginal air routes in WA are, a decision of this nature had to be expected, similar to the previous agreement with AN.

i think the newspaper article should have referred to Karratha and Kalgoorlie, not Broome...


talk of skywest running head to head with QantasLink is pure rubbish, this announcement will not change anything in the way Skywest operates at all, it's a sensible move designed to give them a bit more stability.

as for the F100s Skywest have publicly stated they will only be using it for charter work, whether this remains the case will be interesting to see..
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Old 7th Feb 2003, 00:54
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It didn't take long for Virgin to start whinging again. Skywest talked to Virgin but got the better deal from Qantas. Maybe if Virgin was more giving they may have linked up with Skywest.
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Old 7th Feb 2003, 11:23
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Smile

I heard the Murrin run is up for grabs as well, and that Skywest is sniffing very hard. Might try to amalgamate it into the SOG run into YLEO to make it profitable.
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Old 7th Feb 2003, 14:09
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Thanks topend 3, I understand that some routes in regional WA are marginal. Routes such as Newman, Paraburdoo and Port Hedland, but Broome, Karratha and Kalgoorlie can sustain competition and to strengthen this theory the Dotrs have released reports to support this.
In the time imediately following the demise of Ansett, Skywest were 'actively encouraged' to get a jet asap by Woodside as they could see QF jacking prices into Karratha beyond their budgeted levels. Unfortunately for Skywest, the AN administrators would not approve the expenditure. (of any sort!)

As for competition in regional WA, former QF CEO James Strong was quoted in 1995 in saying that QF only introduced Airlink services into regional WA stop AN using excess profits on their eastern states trunk routes against QF, the same excess profits it seems will be used to fight Virgin off.

Is the traffic there to sustain competition? The aforementioned destinations chave the numbers, I would like to have seen the F100 service do the old AN392/3 run PER-BME-DWN, although Bridgey might have something to say against that.
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Old 7th Feb 2003, 22:51
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very true dodgy bro, the dpi reports do list kalgoorlie, karratha and broome as likely destinations that would support competition, though they do go on to say it is doubtful whether two operators flying jet rpt services into these destinations could do so profitably.

the old AN392/3 service was not a money generator for AN using a 146, hence they handballed it to Airnorth a year out from the big collapse. Would be good to see a direct Broome Darwin service though as trucking through KNX on a Bras must be the pits...maybe an option here for Skywest or Alliance even???
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Old 8th Feb 2003, 00:06
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Devil

Step one has been implemented.
Step two, rationalise Skywest check-in and ground handling services. No point having a duplication of equipment and terminal space.
Step three rationalise staff, we already have plenty at QF.
Step four new livery and change of letter heading............

Feel a bit sorry for the ones given the flick but hey the ones kept on will do ok...
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Old 10th Feb 2003, 02:19
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Talking

Yes, inaccurate reporting yet again. I think that's why i don't read papers any more. Anwser: If you chose KG and KA as the two destinations that Skywest fly to against QF.... you'd be right!

Virgin are crying sour grapes again. Never heard an bigger bunch of wingers. As for the arrangement, It makes good sense to be able to offer XR passengers F/F program, and for QF passengers to use their points on XR as well as the great convenience of checking bags and getting ticketed all the way through to their destination. As for air fairs, that pricing is XR's descision, not QF's. And their won't be a red tail on them unless something major changes that. I believe that XR still want to have their own brand, product, independance and WA identity.

It will be great for QF, XR and the pax.

As for the routes being palmed off or what have you, having an arrangement with QF wont change the ports that XR go to.

Thermo,

Jumping the gun if you think people will lose their jobs over this?

There is no room at QF and the XR system of operaion is different to XR. Their check-in and ground services, catering etc are different to QF, cost wise and in other ways.

No red tail on the a/c that's for sure!
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Old 10th Feb 2003, 05:22
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Devil

Stick Pusher

Old son, have a talk to the KA ground crew they have been told to expect it. Same system ... throw the bags on trolley then throw in aircraft....QF have enough ground crew next door and are cheap contractors, what is the sense of trying to compete on this route. The economic masters know that it makes perfect sense to have one set of ground equipment, check-in space etc.

Give it till xmas and see who owns the majority of the shares... sad but true..



I hear S.B. is already applying elsewhere
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Old 13th Feb 2003, 06:11
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Top3 and Dodgy, having flown into KA,BRM and KG with the great white rat, I can tell you those ports were marginal at best pre. AN737s and downright WOFTAMS after the intro of the light twin.

From memory average load factors into/out of KA were well below 50% ( normal to carry between 10 and 30 pax ) , KG was a bit better ( not much ) and BRM was not bad, but mainly in the winter. Part of the reason QF stuck with it was the oncarriage to the East coast, that and the hope that one day they could get a contract ( in KAs case )
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Old 13th Feb 2003, 06:35
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hey stupid,

you echo my previous sentiments regrding this topic,

as for skywest under total control from qf i don't think it would be worth their while (qf's that is)
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