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UK-Nigeria And Europe-Nigeria Yields  
User currently offlinePe@rson From United Kingdom, joined Jan 2001, 19199 posts, RR: 52
Posted (10 years 5 months 3 weeks 4 hours ago) and read 2030 times:

BA's and VS's airfares from LHR to LOS are extremely high - normally above £500 - which obviously leads me to believe that the year-round yields on that route are very high indeed. This can be confirmed by BA apparently saying that this route is one of its most profitable. But while the UK-Nigeria link produces such high yields and profits, what about from Nigeria-UK and from Nigeria to the rest of Europe, like CDG, FRA, FCO, etc? Are the yields between Nigeria and the rest of Europe and vice-versa similarly high as between the UK and Nigeria?


"Everyone writing for the Telegraph knows that the way to grab eyeballs is with Ryanair and/or sex."
17 replies: All unread, jump to last
 
User currently offlineLJ From Netherlands, joined Nov 1999, 4405 posts, RR: 0
Reply 1, posted (10 years 5 months 3 weeks 4 hours ago) and read 2009 times:

I've heard many rumours that yield on AMS-ACC are also extremely high. not only because of the high fares for local traffic (it's very difficult to get a AMS-LOS ticket on KLM for less than EUR 1,000 during the summer season), but also connecting traffic (mainly ex UK or USA) appears to have a high yield (it's one of KLMs "golden" routes).

BTW the same appiles to Ghana


User currently offlinePe@rson From United Kingdom, joined Jan 2001, 19199 posts, RR: 52
Reply 2, posted (10 years 5 months 3 weeks 4 hours ago) and read 1988 times:

Yeah, it's very interesting. I suspect all services from Europe to Nigeria produce high yields. Indeed, it seems that all fares from Europe to west Africa are high to very high.


"Everyone writing for the Telegraph knows that the way to grab eyeballs is with Ryanair and/or sex."
User currently offlineSr176 From Switzerland, joined Feb 2001, 409 posts, RR: 0
Reply 3, posted (10 years 5 months 3 weeks 3 hours ago) and read 1965 times:

Thats why I absolutely don't understand why LX dropped Lagos and Accra

User currently offlinePe@rson From United Kingdom, joined Jan 2001, 19199 posts, RR: 52
Reply 4, posted (10 years 5 months 3 weeks 3 hours ago) and read 1955 times:

A number of airlines operate between Europe and Nigeria, many of which providing connections from the US, Canada, etc. Perhaps LX's service to LOS was inappropriately timed thereby not allowing quick and easy connections, or perhaps it suffered from a lack of passengers in view of the competition. Who knows?


"Everyone writing for the Telegraph knows that the way to grab eyeballs is with Ryanair and/or sex."
User currently offlineSonic From Lithuania, joined Jan 2000, 1670 posts, RR: 1
Reply 5, posted (10 years 5 months 3 weeks 3 hours ago) and read 1945 times:

If the yields are so high that they raises prices to high levels, why they doesn't increase frequency or fly a bigger plane instead? Such flights, albeit on cheaper prices, would easily compete out other airlines as it seems. Or is Nigerian government putting some restrictions on number of flights per week/per day? Or is there some trouble with slots at Nigerian airports?

User currently offlinePe@rson From United Kingdom, joined Jan 2001, 19199 posts, RR: 52
Reply 6, posted (10 years 5 months 3 weeks 3 hours ago) and read 1928 times:

'Why they doesn't increase frequency or fly a bigger plane?'

Services between LOS and Europe include:

1) LHR - BA 744 daily and VS 343 daily;
2) FRA - LH mix of 343 and 332 daily;
3) CDG - AF 332 daily; and
4) MXP - AZ 762 four-times weekly.

It's obvious that most of the airlines serving LOS from Europe do so quite regularly and with widebody aircraft.



"Everyone writing for the Telegraph knows that the way to grab eyeballs is with Ryanair and/or sex."
User currently offlineDonder10 From Canada, joined Oct 2001, 6659 posts, RR: 21
Reply 7, posted (10 years 5 months 3 weeks 3 hours ago) and read 1907 times:

Sonic,
Nigeria is quite a restricted market so that explains the high yields on the supply side.


User currently offlineBehramjee From Canada, joined Aug 2003, 4756 posts, RR: 44
Reply 8, posted (10 years 5 months 3 weeks 2 hours ago) and read 1888 times:

Alitalia now flies B 772s 4 times a week and not B 763ERs!!!

How are the yields on the US-LOS-US sector? How well do SAA do the daily A 346 LOS-JFK-LOS sector yield wise? And how much are their Eco and J class prices for this route?


User currently offlinePe@rson From United Kingdom, joined Jan 2001, 19199 posts, RR: 52
Reply 9, posted (10 years 5 months 3 weeks 2 hours ago) and read 1867 times:

They don't operate 772s on their MXP-LOS service according to Amadeus, and they won't, it would seem, during the summer season.

AZ don't operate 763s, only 762s.

[Edited 2004-02-15 00:21:03]


"Everyone writing for the Telegraph knows that the way to grab eyeballs is with Ryanair and/or sex."
User currently offlineTrident2e From , joined Dec 1969, posts, RR:
Reply 10, posted (10 years 5 months 3 weeks 2 hours ago) and read 1859 times:

There are several large UK companies with big operations in Nigeria. They help to keep the planes full and the fares high.

User currently offlineMAH4546 From Sweden, joined Jan 2001, 32629 posts, RR: 72
Reply 11, posted (10 years 5 months 2 weeks 6 days 23 hours ago) and read 1817 times:

AZ don't operate 763s, only 762s.

It is the other way around, though the aircraft come up at 767 in Amadeus, rather than 763.



a.
User currently offlineETStar From Canada, joined Jan 2004, 2103 posts, RR: 7
Reply 12, posted (10 years 5 months 2 weeks 6 days 22 hours ago) and read 1792 times:

Behramjee,
The SAA deal that was struck with Nigeria Airways no longer exists, and according to Amadeus there are now no direct flights between LOS and JFK. World Airways had started operating the route a few months ago, but that also stopped due to some disagreements with the travel agency that was in charge of selling these tickets... this latest event had some hundreds of pax stranded for weeks, and airlifted by Ghana Airways at the request of the Nigerian goverment.

All routes out of Nigeria are lucrative to airlines, including those that do not fly to the US or Europe. As long as there is instability in Nigeria with their national carrier, these foreign airlines will keep exploiting the market.


User currently offlinePat From Belgium, joined Aug 2000, 110 posts, RR: 1
Reply 13, posted (10 years 5 months 2 weeks 6 days 12 hours ago) and read 1745 times:

Hi there,

I think we somehow mix a lot of different things.
The yield out of / to Nigeria is not that high (compared to other african routes). The market is indeed huge but to achieve some profitability on that route (EUR-Nigeria) you need to be an airline providing connections (on your aircrafts) to the US (nigerian expats homebase) and also UK.

The market is huge but so is the concurrence as well ... AF, BA, AZ, KL, EK, SA, KQ, ...
Only major airlines.

Believe me, if it was that profitable LX and SN would never have dropped the route. Especially LX looking for every single penny and SN trying to maximize its network.

BA and KL might be profitable on that route but as for the others, I don't think it is a real goldmine (still if you look at it in a african profitability perspective).

Cheers,


Pat



User currently offlineAirGabon From Switzerland, joined Dec 2003, 880 posts, RR: 2
Reply 14, posted (10 years 5 months 2 weeks 6 days 11 hours ago) and read 1722 times:

For AF all services from CDG to Central and West Africa (including Nigeria) produce high yields. All fares from CDG to Africa are very high (in particular Luanda in Angola, and Libreville in Gabon).

The cheapest fares to Africa with AF are to Dakar, Senegal (Tourism: daily B772).

The most profitable route for AF (worldwide) is CDG-ABJ (Abidjan, Ivory Coast) with a daily B772.


User currently offlineDonder10 From Canada, joined Oct 2001, 6659 posts, RR: 21
Reply 15, posted (10 years 5 months 2 weeks 4 days 8 hours ago) and read 1590 times:

The most profitable route for AF (worldwide) is CDG-ABJ (Abidjan, Ivory Coast) with a daily B772.

On a PER flight basis is Luanda apparently.Do you reckon LBV will be upgraded to the 772 when AF 330/340s become 2-class?It was a 340 route not too long ago.


User currently offlineJGPH1A From , joined Dec 1969, posts, RR:
Reply 16, posted (10 years 5 months 2 weeks 4 days 8 hours ago) and read 1579 times:

LOS/ABV are HUGELY profitable for BA - Nigeria is their single biggest moneyspinner in terms of yield per pax, last I heard. Hence VS being so keen to operate the LOS and PHC routes.

User currently offlineDonder10 From Canada, joined Oct 2001, 6659 posts, RR: 21
Reply 17, posted (10 years 5 months 2 weeks 4 days 8 hours ago) and read 1581 times:

The problem for VS is that the LHR-LOS flight is an overnighter so it relies more on O&D traffic(which is still immense)

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