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jetstar goes regional

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jetstar goes regional

Old 9th May 2005, 00:22
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jetstar goes regional

jetstar just announced that It will fly to regional short haul destinations including bali and new zealand, I wonder what this means to australian/qantas,

have a look at this link, http://smh.com.au/news/Business/Jets...?oneclick=true

with AO crew accepting the new eba by 64% what does it mean to all of us crew in mainline QANTAS Longhaul and Shorthaul.....
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Old 9th May 2005, 00:35
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Days Numbered?

AO makes very little profit and has withdrawn form a number of destinations.This EBA is AOs last shot at profitabiltiy.Rumour is it may be shut if it doesnt meet expectations.With Jetstar entering the fray any thing can happen.Viable destinations are limited by bilateral aviation agreements(or lack of them)
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Old 9th May 2005, 01:41
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correct me if i'm wrong but you have to remmeber thou that Jetstar will probly only do those runs where it will not compete with Qantas/Australian. Meaning either Qantas will stop operating some routes to allow Jet* to operate or Jet* will do these runs from a regional airport.
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Old 9th May 2005, 02:38
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Defcon 4 - From recent posts you seem to keep pushing the point about AO being not profitable. I strongly disagree with your comments and I have not heard ANY rumours of AO being shut down - totally ridiculous.

Ansett Intl took 3 years to turn a profit. Australian Airlines turned a profit in first year operations - this was even during the SARS period. Just because the 6th a/c has been put on hold it does not mean an airline is shutting down. In fact....it is a smart business move to further improve the utilisation of the current fleet, rather than focus on destinations which are facing a downturn in passenger numbers due tsunami etc.

JQ can not operate A320 services ex CNS to Japan, Hong Kong etc so there is no way AO would be shut down. Who would operate these flights then ? Especially when loads to Japan are always FULL.

I suggest you get your rumours from somewhere else.

BTW - IN SMH and Courier Mail two week ago they reported that an australian consumer survey gave results of 'Australian Airlines' being best Australian airline. Something to think about
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Old 9th May 2005, 04:05
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Survey

Depends on who was surveyed.As Dixon says ...it has not yet covered its cost of capital.Any rumours regarding aviation are not ridiculous.Anything is possible.It is also likely rhat NGO will be handed back to QF mainline.Japanese people like to relate to established brands...AO is not an established brand, QF is.
I didnt say no profit...I said small profit.

Last edited by DEFCON4; 9th May 2005 at 07:46.
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Old 9th May 2005, 06:32
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Defcon4 - My apologies - I got you confused with another PPRuNe member named DEFCON 4 who has posted thoughts on AO in another thread

DEFCON4 writes - I can see a time when AO flies into lots of old QF destinations....ATH FCO YVR TPE maybe even the gulf.If they want to remove the east west time zone constraints you can bet that they are broadening their options.
I don't wish to hijack this thread but I still stand firmly committed to my statement that your rumour is ridiculous.

Australian HAS become an established brand in Japan. Just because you don't see it on TV here in oz it does not mean that in Japan it is very popular. From my own experience the Japanese do know who we are. Brand recognition is improving and AO is even the sponsor of the Aichi world expo in NGO. If you say that AO are not recognised then why are the flights full ?

I have heard a rumour that QF will start a 330 service from SYD to NGO. Nothing about sending expensive QF crews back on to routes now flown by AO. As Dixon would say.....'it's not sustainable'.
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Old 9th May 2005, 06:40
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Maybe AO will become Jet Star International, stranger things have happened??? It certainly wouldn't be a pleasant or short trip from Auz to Asia on an A320!!!!
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Old 9th May 2005, 07:38
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AO..established?

By established I mean Louis Vuitton,Prada,Moet Chandon.My wife is Japanese and my inlaws live in Japan.They wouldn't fly AO if their lives depended on it because it is unknown.They know Qantas,JAL,ANA etc.These are established brands.AO has been here for a minute.What is the demographic mix..Australian and others cf.Japanese.
Also I stand corrected this is my second post regarding AO.A thousand pardons.
A paint job is an option..ie AO to Jetstar,if profitability does not improve.It is about resource allocation.They go where profit is greatest.Small profit at AO,bigger profit at Jetstar then thats where resources will go.
Also you buy a QF ticket and get shunted onto AO..thats why flights are full.
QF longhaul also operate Airbus on international routes.

Last edited by DEFCON4; 9th May 2005 at 07:59.
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Old 9th May 2005, 07:47
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I heard the last 3 deliveries (aircraft) will be A321's and have heard many strange (at first seemed strange but now i'm not so sure) rumours.

1. Jetstar will fly from secondary ports to New Zealand ie. Hobart Newcastle and the Gold Coast
2. Gold Coast - Fiji and Soth Pacific
3. Darwin Perth Cairns - Bali

and even more recently.... some mainline routes to NZ
Bne - Akl - Syd : Dep Bne 9pm Arr Syd 6am

Yes I've even heard that perhaps AO and JQ Asia may be taken under the Jetstar wing.. (maybe thats why a senior manager from JQ is overseeing the goings on in these areas!)...

mmmm...
Interesting times
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Old 9th May 2005, 09:37
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RJGG is going back to mainline next year. This is in the latest 3 year plan.

Nagoya is not a 'holiday' port. It is now and always has been a business destination. Pulling J class out cost QF millions per year via the loss of the Toyota contract.

None of this is the fault of the hardworking AO cabin crew who I have personally found to be excellent.

On the upside for AO, a senior manager recently told me that when services to Pek recommence (next year) it will be done by AO.

Pvg will remain mainline as business class is regular overbooked by full fare payers.
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Old 9th May 2005, 09:46
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what is PEK?

So if Jetstar are to fly out of Perth to Bali then they will be competing with AO-interesting.

Oz
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Old 9th May 2005, 09:59
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It's hard to make a profit on DPS from any port - especially when operating on behalf of the QF group.

DPS has always been a 'frequent flyer point' destination. So it is impossible to make money when people are flying for free. Putting the cheapest carrier on the route would be a smart idea....I.E - JQ.

AN INTL crew use to operate A320 flights MEL-DPS-MEL as a day trip. Lookout JQ crew ! AO crews currently do a day shuttle ex DPS to PER and back. However flights from SYD and MEL are one way and then crew overnight.

DEFCON4 - I fly the NGO route regulary. Large leisure tour groups are always on our flights and I don't see that QF has lost any business at all. The pax love AO. We are photographed regularly by the public when walking through the terminals in Japanese ports and our AO merchandise we have on board sells like hotcakes. To become established takes time....I agree that QF is an established brand ( I have worked for them previously for 5 years ) however, I never witnessed the excitement that takes place when the Japanese hop on our aircraft. The word is spreading !
QF are still getting a 767 filled at a cheaper cost base. QF operating a 330 ex SYD with J class would be a great idea for the committed J class customer. But to remove AO would become costly for QF.
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Old 9th May 2005, 10:07
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OZcabincrew,

PEK = Beijing
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Old 9th May 2005, 11:43
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bottom line

Compare AO profit with Jetstar.AO will be lucky to make $2m profit this year.Not a good return on capital...thats the bottom line for survival.
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Old 9th May 2005, 15:35
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thanks Nihao!

PER short haul used to operate DPS return twice a week, but that has since been given to AO and PER short haul now operate a CGK (Jakarta) return four times a week (thats what it originally was, it may have gone down to 2 or 3 services a week now?) DPS returns were feral flights. Always full and always crazy, having the extra crew member taken off didn't help either.

Last month, PER short haul operated A330 services to SIN, one leaving pretty much every day, this month PER L/H are doing them and PER S/H have now taken over the A330 services to HKG and NRT on a permanent basis by the look of it.
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Old 10th May 2005, 00:30
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My two cents ...

If i can add my two cents into the circle:

- JQ will be taking A321s to supplement the 320s

- Jetconnect operations will be scaled back effective Nov this year with JQ operating domestic NZ and some trans-tasman

- JQ sees no value in south pacific operations as you can't make a dollar there (look at Pacific Blue ), also note the relationship QF has with FJ

- JQ will be establishing a PER base later in the year or early 06 to operate to SIN (Valuair is apparently doing rather well ex PER and is looking to move into other Aussie markets)

- Rumours are circluating about JQ and AO been merged into the one operation ... how true this is who knows ... story is definately doing the rounds ... wouldn't surprise me to see AO scaled back to the original operation ex CNS operating soley for inbound Asia with outbound tourist flights from Aus been operated by JQ

As per usual, nothing stays the same

Cheers
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Old 10th May 2005, 01:07
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from what i've been able to hear, is that the duty hours will increase allowing us to fly the longer sectors so no overnite but the total monthly hours will not increase. it'll be interesting come EBA time
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Old 10th May 2005, 03:07
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Amalgamation

Makes sense to combine Jet* and AO..better and more effcient use of resources.Also the Jet*model works much more effectively.
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Old 12th May 2005, 05:50
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has anybody herd the rumour that they will open a NZ Base so they can do the NZ runs?
Any truth to this rumour
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Old 12th May 2005, 12:38
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I have heard the story that much of the planned JQ flying in NZ will actually be domestic sectors as the Jetconnect operation is scaled back, with some trans-tas sectors trown in to cycle the aircraft throught maint ...

Whether or not this will be operated by Aus or NZ crews who knows???

Cheers
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