TruemanQLD From Australia, joined Feb 2007, 1335 posts, RR: 0 Posted (5 years 11 months 6 days 19 hours ago) and read 1936 times:
With Tiger Airways soon to begin service in Australia Jetstar will be under enormous pressure to lower there already low fares. One, in the end has to become the biggest and succeed the other. Australia only has 20 million people and with QF & DJ already firmly in the market I very much doubt Australia can have an extra 2 low cost carriers of great size. I dont see one leaving the market but I think that one will succeed and become a bigger airline. With JQ already having been around for 3 years and having a over 28 aircraft they do have an advantage. But TR have lower fares. I personally seeing JQ succeeding as it is Australian owned and I would say JQ will use this to there advantage.
QantasAirways From Australia, joined Mar 2001, 1261 posts, RR: 4 Reply 1, posted (5 years 11 months 6 days 19 hours ago) and read 1922 times:
Quoting TruemanQLD (Thread starter): I personally seeing JQ succeeding as it is Australian owned and I would say JQ will use this to there advantage.
That's an interesting point, but I think at the end of the day, passengers will go to the airline that delivers cheap fares. The market JQ and Tiger are attracting are passengers who probably wouldn't normally fly - so maybe there is room for Tiger to come in.
Personally I hope Tiger wins and JQ is reduced or absorbed back into QF. Wishful thinking, I know.
QantasAirways From Australia, joined Mar 2001, 1261 posts, RR: 4 Reply 3, posted (5 years 11 months 6 days 17 hours ago) and read 1826 times:
Quoting TruemanQLD (Reply 2): Why do people have this thing about hating JQ and not TR? TR is going to be crapy and I would prefer not to go on a holiday than have to fly with TR
Why would I hate Tiger when I have no grounds to dislike it? Didn't you ask for an opinion?
Why do people have this thing about hating Tiger and not Jetstar considering Tiger hasn't even started yet?
6thfreedom From Bermuda, joined Sep 2004, 3265 posts, RR: 22 Reply 4, posted (5 years 11 months 6 days 16 hours ago) and read 1771 times:
Quoting TruemanQLD (Reply 2): Why do people have this thing about hating JQ and not TR? TR is going to be crapy and I would prefer not to go on a holiday than have to fly with TR
Have you ever flown TR? I have, and its product offering is no different to JQ.
Actually, TR gives pax more 'choices' than JQ claims.
I am a QF Club member, but why would I be loyal to a QF Group company where I get NO benefits to fly with them. i can't even choose to buy an exit row! TR will do well.
However, think the end game is that DJ will suffer more than TR or JQ, as they have positioned themselves in no mans land.
I think there's a much bigger game going on, and if it works out, SQ is the smartest of them all.
SQ unleashed TR into Australia, knowing it will hurt DJ more than anyone.
DJ suffers, and Toll decides to offload there 67% shareholding.
SQ steps in as the happy owner, and converts DJ to a full service carrier, with lounges, FF program, and low operating base.
You then end up with:
2 mainline carriers; Qantas (oneworld) and Virgin Blue (star)
2 LCCs; JQ (qantas) and Tiger (SQ camp).
HanginOut From Austria, joined May 2005, 545 posts, RR: 0 Reply 5, posted (5 years 11 months 6 days 11 hours ago) and read 1678 times:
Quoting 6thfreedom (Reply 4): I think there's a much bigger game going on, and if it works out, SQ is the smartest of them all.
SQ unleashed TR into Australia, knowing it will hurt DJ more than anyone.
DJ suffers, and Toll decides to offload there 67% shareholding.
SQ steps in as the happy owner, and converts DJ to a full service carrier, with lounges, FF program, and low operating base.
You then end up with:
2 mainline carriers; Qantas (oneworld) and Virgin Blue (star)
2 LCCs; JQ (qantas) and Tiger (SQ camp).
I know that SQ is a very well run company and if this is indeed their strategy, then good for them, but I believe that SQ would prefer to get the go ahead to run their own services out of Australia to the US than have to buy DJ (why spend money buying another company if you could use the money to buy more aircraft - to be able to meet the demand for flying to the US from Australia).
If SQ really wanted to be a mainline carrier for Australia, then they would be asking the Australian Government to be allowed to operate as if they were an Australian company. However, SQ is only interested in flying to the US and accordingly is only asking to operate US bound flights. While SQ may not like it, it is not unreasonable for the Government to want another Australian international carrier and with DJ stepping up to the plate, why not help them out. If they succeed - good for them - if they fail - then open up the market to SQ and others (e.g. Air Canada wanting to fly SYD-LAX). All in all the Australian Government is in a good position. Champion another international carrier for Australia with DJ and if it doesn't work out, go with other international carriers in a few years time.
6thfreedom From Bermuda, joined Sep 2004, 3265 posts, RR: 22 Reply 6, posted (5 years 11 months 6 days 6 hours ago) and read 1625 times:
Quoting HanginOut (Reply 5): I know that SQ is a very well run company and if this is indeed their strategy, then good for them, but I believe that SQ would prefer to get the go ahead to run their own services out of Australia to the US than have to buy DJ (why spend money buying another company if you could use the money to buy more aircraft - to be able to meet the demand for flying to the US from Australia).
The SQ buy of DJ would have little to do on the LAX sector.
It would be to provide domestic feed on SQ services to SIN and beyyond, and to provide an alternative to QF for Star and non-aligned carriers.
TruemanQLD From Australia, joined Feb 2007, 1335 posts, RR: 0 Reply 7, posted (5 years 11 months 6 days 6 hours ago) and read 1613 times:
Quoting 6thfreedom (Reply 4): However, think the end game is that DJ will suffer more than TR or JQ, as they have positioned themselves in no mans land.
QantasAirways From Australia, joined Mar 2001, 1261 posts, RR: 4 Reply 9, posted (5 years 11 months 6 days 3 hours ago) and read 1530 times:
Quoting 6thfreedom (Reply 4): SQ unleashed TR into Australia, knowing it will hurt DJ more than anyone.
DJ suffers, and Toll decides to offload there 67% shareholding.
SQ steps in as the happy owner, and converts DJ to a full service carrier, with lounges, FF program, and low operating base.
Really interesting interpretation there.. I didn't think about SQ being after Virgin at all. I really wouldn't mind these state of affairs - SQ has a very strong management
Supercilious From Australia, joined Dec 2005, 10 posts, RR: 0 Reply 10, posted (5 years 11 months 5 days 15 hours ago) and read 1398 times:
Quoting 6thfreedom (Reply 4): Have you ever flown TR? I have, and its product offering is no different to JQ.
I've flown TR and JQ (albeit on international routes for both). I'd argue there are some differences. For example, TR enforces the 'no outside food' rule as a way of driving sales of F&B onboard - whereas JQ allows passengers bring their own food. JQ also offers some kind of inflight entertainment on most flights such as the multi-channel Jetsounds audio package - while TR doesn't have any entertainment. I'll readily acknowledge that these are small issues - but if I have a choice of a similar fare on both airlines - I'd prefer the opportunity for some distraction if my iPod battery runs out and avoid being harassed by a flight attendant when you bring out your own snack. Seat pitch difference is marginal - but having sat for hours in both - I personally thought the JQ was more comfortable. This will probably be less of an issue when it comes to shorter domestic flights.
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