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Oasis Hong Kong - Low-cost Goes Long-haul!  
User currently offlineBDKLEZ From Ireland, joined Jun 2005, 1735 posts, RR: 10
Posted (7 years 9 months 2 weeks 3 days 12 hours ago) and read 12874 times:

Oasis Hong Kong Airlines to start LGW-HKG in October!

http://www.travelmole.com/stories/109568.php?mpnlog=1


Trespassers will be shot; survivors will be shot again!
55 replies: All unread, showing first 25:
 
User currently offlineDutchjet From Netherlands, joined Oct 2000, 7864 posts, RR: 57
Reply 1, posted (7 years 9 months 2 weeks 3 days 11 hours ago) and read 12758 times:

Low fares on long haul flights.....this news is enough to give lots of airline executives some sleepness nights. Its unclear if the cheap fare will be a teaser, but low cost flights on a popular route like this could wreck yeilds on premium business routes like London-Hong Kong. This could be a very big deal, or much ado about nothing, its too soon to tell but certainly something to watch.

The London-Hong Kong is becoming a very crowded route......is Air New Zealand doing the right thing by operating its new London-Auckland via Asia service with a stop at HKG? I always thought that there were better opportunties elsewhere and that NZ was making a mistake getting into the London-HongKong competition......this piece of news makes the situation even more difficult.


User currently offlineBDKLEZ From Ireland, joined Jun 2005, 1735 posts, RR: 10
Reply 2, posted (7 years 9 months 2 weeks 3 days 11 hours ago) and read 12701 times:

I for one think it's a great development that could really shake things up. If they can emulate the Cathays and others from that part of the world then they should have done their homework and as such will have a sound business plan in place. I have no doubt that this could be a success, but what will the BA, VS reaction be? We shall have to wait and see.

Good luck  bigthumbsup   bigthumbsup 



Trespassers will be shot; survivors will be shot again!
User currently offlinePe@rson From United Kingdom, joined Jan 2001, 19097 posts, RR: 53
Reply 3, posted (7 years 9 months 2 weeks 3 days 10 hours ago) and read 12436 times:

Get a 747-400 in a dense one-class layout (over 500 seats). Fly it regularly, punctually, conveniently, simply on routes which have a lot of VFR traffic, like LON-ACC, LON-LOS and LON-NBO, and on which fares are very high, normally well over £500, and on which the flight times aren't too long, at 5.5-8 hours, and I bet it'd make a killing. London-Accra from £9.99 one-way excluding tax. A maximum one-way of £249.99.

What about LON-NYC in the summer, when it's seemingly very difficult to get a non-stop (or even connecting) flight for less than £400+?

It would have been ideal for, say, LON-DEL and LON-BOM, but with the ever-increasing amount of competition, and the resulting lower prices, I wonder whether it's viable nowadays.

I travel 14-15 hours per week by train. I don't get any refreshment unless I pay for it seperately, even on long trips. So, then, why not in the air? It's simply a matter of taking the lead, of being unique (on longer trips), of trying it out, of taking a stand.

[Edited 2006-07-05 15:05:58]


"Everyone writing for the Telegraph knows that the way to grab eyeballs is with Ryanair and/or sex."
User currently offlineAntonovman From United Kingdom, joined Mar 2001, 719 posts, RR: 1
Reply 4, posted (7 years 9 months 2 weeks 3 days 10 hours ago) and read 12403 times:

Get a 747-400 in a dense one-class layout (over 500 seats). Fly it regularly, punctually, conveniently, simply on routes which have a lot of VFR traffic, like LON-ACC, LON-LOS and LON-NBO, and on which fares are very high, at normally over �500, and on which the flight times aren't too long, at 5.5-8 hours, and I bet it'd make a killing. London-Accra from �9.99 one-way excluding tax. A maximum one-way of �249.99.

in other words if you want to become a millionaire by running an airline, start off with 2 million,,,,,


User currently offlineShamrock350 From Ireland, joined Mar 2005, 6273 posts, RR: 14
Reply 5, posted (7 years 9 months 2 weeks 3 days 10 hours ago) and read 12403 times:

Good luck to them! Oasis Hong Kong Airlines will use two former SQ 747s but a few months ago I heard they were going to use a new A330.

User currently offlineBeaucaire From Syria, joined Sep 2003, 5252 posts, RR: 25
Reply 6, posted (7 years 9 months 2 weeks 3 days 10 hours ago) and read 12357 times:

It has been mentioned by EK's Clark that Lowcost products from UK to Downunder using A380's might be a new venue...
The traditional arguments against Lowcost applications on long flights( no short turn-arround benefit,many short flighs,no-frill,no service etc..) are slowly being put aside for medium -distance applications.
If Easyjet and/or Ryanair are considering flights to the Middle East ,it's not a typical Lowcost segment neither.Oasis are just implementing radically the same concept but on new segments.It will come and sooner as some might think...



Please respect animals - don't eat them...
User currently offlineBMIFlyer From UK - England, joined Feb 2004, 8810 posts, RR: 60
Reply 7, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12310 times:

Crazy Idea.

I wish them luck anyway.



Lee



Sometimes You Can't Make It On Your Own
User currently offlineCornish From United Kingdom, joined Feb 2005, 8187 posts, RR: 54
Reply 8, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12310 times:

But of course Oasis are taking a slightly different approach with a really quite large business class component at 83 seats. And they are proper previous generation business class seats/cabins, not premium economy.

Interesting.....



Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
User currently offlineBennett123 From United Kingdom, joined Aug 2004, 7200 posts, RR: 3
Reply 9, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12296 times:

Not sure how they can make money at £75.

User currently offlineAeroWesty From United States of America, joined Oct 2004, 20322 posts, RR: 63
Reply 10, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12296 times:

Quoting BDKLEZ (Reply 2):
but what will the BA, VS reaction be?



Quoting Pe@rson (Reply 3):
Get a 747-400 in a dense one-class layout (over 500 seats). Fly it regularly, punctually, conveniently, simply on routes which have a lot of VFR traffic, like LON-ACC, LON-LOS and LON-NBO, and on which fares are very high, normally well over £500, and on which the flight times aren't too long, at 5.5-8 hours, and I bet it'd make a killing. London-Accra from £9.99 one-way excluding tax. A maximum one-way of £249.99.

This is deja vu all over again. It's exactly what Virgin set out to do in the mid-80's, but it became a big carrier with big prices, too. BA survived VS, and has reacted well to short-haul LCC competition, so I've the feeling they know what to do. EK may have more to worry about as Oasis will be overflying their hub with a plane full of the cheap seats, exactly one of the markets they've been hoping to build, retain and expand.



International Homo of Mystery
User currently offlineCornish From United Kingdom, joined Feb 2005, 8187 posts, RR: 54
Reply 11, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12263 times:

Quoting AeroWesty (Reply 10):
EK may have more to worry about as Oasis will be overflying their hub with a plane full of the cheap seats, exactly one of the markets they've been hoping to build, retain and expand.

and you've hit the nail exactly on the head AeroWesty. They aim to take passengers from the one stoppers like EK and Qatar, rather than aim for the big hitters flying directly on the route.

also bare in mind they will be the only carrier flying directly on the route into LGW. This is a big plus point for them in my view....



Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
User currently offlineLuv2fly From United States of America, joined May 2003, 12090 posts, RR: 50
Reply 12, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12263 times:

Quoting AeroWesty (Reply 10):
This is deja vu all over again. It's exactly what Virgin set out to do in the mid-80's, but it became a big carrier with big prices, too. BA survived VS, and has reacted well to short-haul LCC competition, so I've the feeling they know what to do. EK may have more to worry about as Oasis will be overflying their hub with a plane full of the cheap seats, exactly one of the markets they've been hoping to build, retain and expand.

Well said!

It is funny how many people forget that VS started with this concept and see what happened with them.



You can cut the irony with a knife
User currently offlineDutchjet From Netherlands, joined Oct 2000, 7864 posts, RR: 57
Reply 13, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12219 times:

Quoting Luv2fly (Reply 12):
It is funny how many people forget that VS started with this concept and see what happened with them.

It is a great point......I remember when Virgin launched their bargain flights to Newark.....Virgin was then considered in the same category as Peoplexpress and Laker. Virgin grew up with the help of media-happy Sir Richard - and, as pointed out, so did their fares.


User currently offlineCornish From United Kingdom, joined Feb 2005, 8187 posts, RR: 54
Reply 14, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12219 times:

Quoting Bennett123 (Reply 9):
Not sure how they can make money at £75.

Well that'll be because there will only be a few 75 pound lead-in "headline" fares. Most passengers will pay somewhat more than that - and of course 83 business seats will have a higher charge again....



Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
User currently offlineAeroWesty From United States of America, joined Oct 2004, 20322 posts, RR: 63
Reply 15, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12164 times:

Quoting Cornish (Reply 14):
and of course 83 business seats will have a higher charge again....

This is what I think is the smart thing they're doing. It's clear there's a market segment willing to pay something extra for a bit more room and service on long haul, without having to go full board for Business or First. BR fills their Deluxe Economy section across the Pacific using nothing other than what you'd find in First on domestic U.S. flights. NZ has had to expand their Premium Economy just months after introducing an entirely new interior. If they can fill these seats, just like VS did with their first-generation Upper Class, they've a lot less to worry about in the back of the plane, without the risk of having to fill the entire plane with Business travelers like Eos or Maxjet.

It'll be interesting to see where they price the better seats on this route.



International Homo of Mystery
User currently offlineLuv2fly From United States of America, joined May 2003, 12090 posts, RR: 50
Reply 16, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12091 times:

Quoting AeroWesty (Reply 15):
This is what I think is the smart thing they're doing. It's clear there's a market segment willing to pay something extra for a bit more room and service on long haul, without having to go full board for Business or First. BR fills their Deluxe Economy section across the Pacific using nothing other than what you'd find in First on domestic U.S. flights. NZ has had to expand their Premium Economy just months after introducing an entirely new interior. If they can fill these seats, just like VS did with their first-generation Upper Class, they've a lot less to worry about in the back of the plane, without the risk of having to fill the entire plane with Business travelers like Eos or Maxjet.

It'll be interesting to see where they price the better seats on this route.

The thing is though with these type of long haul flights will not appeal with loyal FF's as you are losing a chance to earn a slew of miles.......



You can cut the irony with a knife
User currently offlineCornish From United Kingdom, joined Feb 2005, 8187 posts, RR: 54
Reply 17, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12073 times:

Quoting Luv2fly (Reply 16):
The thing is though with these type of long haul flights will not appeal with loyal FF's as you are losing a chance to earn a slew of miles.......

But there is also a large market out there that aren't serious FF types. I don't think for a minute they are expecting to get the loyal frequent BA,CX and VS flyers into their aircraft.

and ultimately if you are offering a ticket price that is substantially better than any benefits from a FF programme it will appeal to many - especially the less frequent travellers, the backpacker market, small businesses etc, etc.



Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
User currently offlineAeroWesty From United States of America, joined Oct 2004, 20322 posts, RR: 63
Reply 18, posted (7 years 9 months 2 weeks 3 days 9 hours ago) and read 12066 times:

Quoting Luv2fly (Reply 16):
The thing is though with these type of long haul flights will not appeal with loyal FF's as you are losing a chance to earn a slew of miles

That's very true, but BR is still filling literally hundreds of seats per day in Deluxe Economy from points in the U.S. and Europe into Taipei, without the market draw of Hong Kong, or major FF tie-ins. If I had a choice of flying a bit better while giving up FF miles, it'd be a hard choice to make. Oasis will be offering fewer than 500 of their deluxe seats per week in each direction, in a non-stop market that can handle ~7 daily 747's.

[Edited 2006-07-05 16:12:59]


International Homo of Mystery
User currently offlineJacobin777 From United States of America, joined Sep 2004, 14968 posts, RR: 60
Reply 19, posted (7 years 9 months 2 weeks 3 days 8 hours ago) and read 11955 times:

Quoting Beaucaire (Reply 6):
If Easyjet and/or Ryanair are considering flights to the Middle East ,it's not a typical Lowcost segment neither.Oasis are just implementing radically the same concept but on new segments.It will come and sooner as some might think...

They are expanging to thos places because they have to out of necessity...

Quoting BMIFlyer (Reply 7):
Crazy Idea.

 checkmark 

Quoting BMIFlyer (Reply 7):
I wish them luck anyway.

 checkmark 

besides the aforementioned carriers, there are charter carriers who pack their planes to the brim, offering cheap seats with no amenities....yet one doesn't see them taking over the industry...

Its not as if this concept has happened before....will Oasis be a success where many have failed? Have they put together the perfect business plan? We'll know in due time....



"Up the Irons!"
User currently offlineStarGoldLHR From Heard and McDonald Islands, joined Feb 2004, 1529 posts, RR: 1
Reply 20, posted (7 years 9 months 2 weeks 3 days 8 hours ago) and read 11939 times:

I think this route will create it's own market space amongst the poorer folk who wouldnt otherwise have been able to afford the £400+ tickets with BA/CX etc..

People who can afford £400 will remain paying with BA/VS etc as the service and product is good.

Those who have never been to HKG will consider it as a once in a life time holiday when they see a fare of around £250 (inc taxes) coupled with some cheap hotels.

I have my doubts about business class being viable though.



So far in 2008 45 flights and Gold already. JFK, IAD, LGA, SIN, HKG, NRT, AKL, PPT, LAX still to book ! Home Airport LCY
User currently offlineBA380 From United Kingdom, joined May 2004, 1466 posts, RR: 8
Reply 21, posted (7 years 9 months 2 weeks 3 days 6 hours ago) and read 11170 times:

the thing is, £75 single = £150 PLUS tax... and how many seats will actually be available at that rate...? £200 return all in is a lot less than 389, but once the 200 rate has gone, I wonder how price sensitive people are, and whether they might be happy to pay 100 quid more for full service?


cabin crew: doors to automatic and cross-check...
User currently offlineAeroWesty From United States of America, joined Oct 2004, 20322 posts, RR: 63
Reply 22, posted (7 years 9 months 2 weeks 3 days 5 hours ago) and read 11060 times:

Quoting BA380 (Reply 21):
I wonder how price sensitive people are, and whether they might be happy to pay 100 quid more for full service?

Good point, however, can you buy the £389 return price on the major carriers as one-way or short return tickets?



International Homo of Mystery
User currently offlineFxmd11 From Thailand, joined Aug 2004, 184 posts, RR: 0
Reply 23, posted (7 years 9 months 2 weeks 3 days 5 hours ago) and read 10948 times:

Quoting Dutchjet (Reply 1):
this piece of news makes the situation even more difficult.

I am always very patient with these news and hesitate to give my 5cent to it.
Not sure if some remember, but a couple of years ago there was this so called
backpacker airline, which was supposed to serve Australia, Bangkok and Munich(?). It never took of. We had an airline here, called Phuket Air, and they offered pretty cheap flights to LON too, but then they were grounded. Sure the ex SQ 744 seems to be nice equipment and probably well maintained too, but I just do not see it happening.


User currently offlineShamrock350 From Ireland, joined Mar 2005, 6273 posts, RR: 14
Reply 24, posted (7 years 9 months 2 weeks 3 days 5 hours ago) and read 10632 times:

The airline has further routes planned for Italy, Germany and North America. I'm going to watch this airline with some interest.
The chief executive said that Oasis Hong Kong Airlines will be the first airline to offer "low-fare, high-quality long-haul flights". So does that mean that the aircraft will have a great in-flight service but for only £75  Confused


25 MalpensaSFO : Someone told me there is a un-named "other" airline that cannot fly London to Hong Kong non-stop behind a chunk of the funding. Could this be Emirate
26 Oakjam : Wow Go Oasis. Can't wait for the HKG-OAK-ORD route. It will be lovely to see that wide body in Oakland land soon.
27 Travelprpro : I have to note that Oasis will be utilizing Radixx International for its airline reservations and passenger management hosting services, and we're ver
28 Aither : If long range / "low costs" business models work, will the 747/A380 will be the workhorse like the 737/A320 are on regional markets ?
29 UN_B732 : I'm sorry 83/285, the economy pitch must be through the roof?
30 AeroWesty : About 200 less than Corsair stuffs in theirs in charter configuration. Can't be all that bad. How about we wait and see before jumping to conclusions
31 N754PR : A330's, Oasis did not mention A330's..... not that I've ever heard anyway. Anyway has TF-AMA left Iberia yet as I want to see what the Oasis scheme is
32 Tommy777 : 81 seats in C and 278 in Y. Pretty standard amount of seats for this aircraft. Don't see how they can make it without a route network (HKG is mostly a
33 VV701 : There is another (current) thread, 'Air Fares in Europe to Double', that discusses a proposed EU environment tax of £40 on every return ticket on int
34 Post contains images AirWillie6475 : It's just a matter of time before we will start to see LCC long haul airlines, here's one example. I'm all for it, especially since they are said to f
35 FlyboyOz : Does it mean they will have SQ's Y seats with PTVs and SQ's business class seats? Last time, Ansett Australia and Air Pacific leased/leases SQ aircra
36 ANother : Frankly, with $80bbl for fuel. This simply isn't possible. Oasis will burn what, 40k gallons each way between HKG and LON. At$2.12 a gallon thats $85
37 Agmyvr : I think they will success as long as they can keep their operating cost down, and it's easy for them since they are a new start up. wiith a 80+ old J
38 StarGoldLHR : I would imagine there would be an £80 tax on Long Haul..
39 Planemanofnz : Correct me if I am wrong but isn't this old news?
40 Drinkstrolley : Buy a car.
41 Cornish : I think you'll find they have the previous generation SQ business class seats. They are aiming to target strong O&D markets with large Chinese popula
42 Pe@rson : And then get endless traffic delays, cause far more polution, not be able to relax as much, be more tired, be more irritable, spend more in fuel... T
43 BDKLEZ : ...just as all carriers do, whether lo-co or full service.
44 Pe@rson : Not all, probably especially in developing countries.
45 Post contains images BDKLEZ : Well, apart from those ones then.....
46 Tod : It is easy to fit 300+ Y seats between door 2 and the back of the plane and maintain a minimum 31 inch seat pitch. Probably not. IIRC - The ex-SQ 744
47 Post contains links FlyboyOz : Tod, http://en.wikipedia.org/wiki/Oasis_Hong_Kong_Airlines Wow! Wikipedia has got an information of new reg of aircraft for B744s. They are B-LFA and
48 Cloudyapple : Oasis will operate with the following preliminary schedule for this coming winter season: 9x Weekly, EGLL/EGKK times are estimates O8 700 - VHHH/EGKK
49 Pe@rson : When will seats be bookable? If you get the £75 one-way deal, how much will tax, fees and other things total? What, then, will be the minimum all-inc
50 Cornish : Start of September I believe
51 Post contains images TGV : And they have a FF program of their own! I flew them 2 to 3 times a year between Europe and Asia (in Eco DeLuxe of course), and was able to get an aw
52 Post contains links Sky0000547 : Their website http://www.oasis-air.com is commenting of starting in October. I am keeping an eye for the first available booking as that is the time I
53 Pe@rson : Start of Sept. for Oct? The minimum one-way all-inclusive fare must surely be at least £150-200, depending upon the actual tax/fees/charges/surcharg
54 Post contains links and images BMIFlyer : Hmm, the airline is also planning service to Milan Berlin Cologne/Bonn (Germany) Oakland Chicago Interesting http://125.215.132.244/en/whatwedo.asp Le
55 Post contains images Cornish : Yep Expect around an absolute minimum all-in rock bottom fare of £300 for some seats. Cologne and Oakland would be next. Vancouver also on the list.
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