777236ER From , joined Dec 1969, posts, RR: Reply 1, posted (11 years 6 months 1 week 5 days 23 hours ago) and read 1109 times:
Yeah, i heard that. Could be interesting, cos they have the infrastructure and routes that easyJet, GO-fly and Buzz can only dream of.
Very difficult to achieve though. 1. Their customers are used to with-frills ( ) airlines perks 2. they are set up as a normal airline, not a low-coster 3. lufthansa might have something to say about this...
Ikarus From United Kingdom, joined Jan 2001, 3524 posts, RR: 2 Reply 2, posted (11 years 6 months 1 week 5 days 23 hours ago) and read 1098 times:
I don't really see it happening. Would be a giant restructure (especially if they want to standardize their fleet, which currently includes Airbus 321/321, Boeing 737-300/500, ERJ, Fokker 70/100 and A330). The idea of a low-cost airline is to operate at low cost, and thereby offer low prices. BMI is not exactly fitting the standard pattern for a low-cost airline.
I wonder what their Star Alliance partners would say about this. And I really wonder how they would like to enter a market that is already being served by 4 airlines in England...
Contact Air From Germany, joined Apr 2001, 1154 posts, RR: 14 Reply 3, posted (11 years 6 months 1 week 5 days 23 hours ago) and read 1091 times:
I don't think that this is very likely to happen:
1. BMI is a member of Star Alliance. I think they would have to leave the alliance if they decided to become a low cost airline because the other Star Alliance airlines are not low-cost and code-share flights for example with Lufthansa wouldn't be possible with no in-flight service.
2. What would happen to their long-haul flights? They would be the first low-cost airline on long distances.
3. All British low-cost airlines start from STN or LTN. BMI is at LHR, the most expensive of all London airports. I think they would have to move to an other airport if they wanted to be competitive
4. There is already a large number of low-cost carriers in the UK: Easyjet, Go, Buzz, Ryanair (actually Irish but present at STN). It would be very difficult to find new routes and get pasengers.
Ikarus From United Kingdom, joined Jan 2001, 3524 posts, RR: 2 Reply 5, posted (11 years 6 months 1 week 5 days 22 hours ago) and read 1045 times:
According to the article Singapore_air posted in another thread, they are just restructuring to cut costs, but not heading for low-frills. So the entire fuss is a press bubble..
Nevertheless, I cannot help thinking that actually, a low-cost airline based in LHR is not that bad an idea. First, you'd save the GBP 20 for train (or GBP 12 for bus) to get to Stansted / Luton. This would almost neutralize the higher airport tax. Then, you also save time (if you live in central London), and so the extra 5 or 10 pounds won't matter that much. The only problem I see is the need for low turnaround times and the difficulties associated with a long waiting pattern that burns more fuel than needed and costs valuable time. Certainly, it would be hard to maximize aircraft utilization out of Heathrow. But all in all, it's not impossible to do.... the only obstacle is the shortage of slots, of which BMI owns quite a few. So they are not in that bad a shape to try it - should they ever feel the need.
David_itl From United Kingdom, joined Jun 2001, 7144 posts, RR: 14 Reply 9, posted (11 years 6 months 1 week 5 days 7 hours ago) and read 967 times:
From the bmi website:
bmi CEO says UK airlines will need to reinvent themselves
bmi CEO Austin Reid has told delegates at the Institute of Economic Affairs Ninth Annual Conference in London that airlines will need to reinvent themselves by examining closely the financial models on which they operate.
Austin Reid said:
“For the past 2 months in particular the whole of the world’s airline industry has been looking carefully at its future and how it can operate successfully.
“Success will come through stronger competition facilitated by reduced levels of regulation. By reducing costs airline operators will create environments where they can prosper. In particular close examination is needed in costs relating to labour, aeroplane manufacturers and airports. Success will also be brought about by improved sales distribution channels, productivity and network alliances.
“bmi remains and will continue to remain a full service airline and we have no intention to become a budget carrier. We pride ourselves on the quality of our service.
“However, it is vital that if we are to survive in the current climate we have to continually examine the cost of the operation as a whole. We will be applying low cost principles to our business, both long and short haul, as we see this as the way forward for the UK, and indeed, global airline industry.”
Sponsor Message: 
From United Kingdom, joined Mar 2000, 136 posts, 
) airlines perks 2. they are set up as a normal airline, not a low-coster 3. lufthansa might have something to say about this...
From Germany, joined Apr 2001, 1154 posts, 
From Belgium, joined Nov 1999, 5264 posts, 
From UK - Scotland, joined Jun 2000, 24621 posts, 
From Canada, joined Oct 2001, 6659 posts, 
Printer friendly format 
