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Oil Route Competition  
User currently offlinePhilB From Ireland, joined May 1999, 2915 posts, RR: 13
Posted (12 years 1 month 1 week 4 days 10 hours ago) and read 793 times:

The question I answered about bmi's service from ORD and IAD raised the question of why a company based in Houston should use bmi for the ORD - MAN sector when Continental fly EWR - MAN
(I also am pre-empting the usual flag wavers wanting to know why a US company would use a British airline).

The answer is that bmi operate Aberdeen (which is the UK HQ) - MAN and offered the company rates for the whole journey which pretty much equated to giving the ORD- IAH sector for free.

For the flag wavers, all the tickets are issued by bmi in the UK with United flight numbers for the MAN - ORD and v.v. sector, as the flights across the pond are Star Alliance code share.





5 replies: All unread, jump to last
 
User currently offlineLeo From China, joined May 2006, 0 posts, RR: 0
Reply 1, posted (12 years 1 month 1 week 4 days 7 hours ago) and read 759 times:

PhilB:

Oil company executives will choose for airlines that link all oil/gas industry exploration locations and HQ's:

- Houston
- London (Shell, BP)
- The Hague (Shell HQ)
- Vienna (OPEC HQ)
- Aberdeen
- Stavanger
- Tehran
- Tripoli
- Dhahran
- Bahrein
- Doha
- Dubai
- Abu Dhabi
- Almaty
- Caracas
- Jakarta

Question which carriers serve all of these destinations ?

Your routing IAH-ORD-MAN-ABZ is a lot less attractive than IAH-AMS-ABZ, from 15 August 2002 your oil men can continue a day later, ABZ-SVG, to continue SVG-AMS-TIP, or CCS, or THR, etc.

So one of the true oil industry carriers = ...


User currently offlinePhilB From Ireland, joined May 1999, 2915 posts, RR: 13
Reply 2, posted (12 years 1 month 1 week 4 days 7 hours ago) and read 745 times:

Leo,

Fct of life:

They'll choose the carrier that offers the most attractive fare - which currently bmi are doing, at least, on ABZ-Houston for my son in law's company.

Continental used to like to think of itself as the oilman's airline, but I gather it has lost a deal of traffic to carriers keen to meet the oil industry's demand to keep expenditure low.

I gather that for many visits between Houston and the North Sea time is not normally of the essence
but keeping costs to a minimum is.

Strange really in an industry where a single piece of equipment can cost hundreds of thousands of dollars and only last a week or so before needing refurbishing or being dumped and where a drilling delay is only regarded as "an economic disaster" when the losses exceed $20 million a day!!


User currently offlineLeo From China, joined May 2006, 0 posts, RR: 0
Reply 3, posted (12 years 1 month 1 week 4 days 6 hours ago) and read 733 times:

PhilB:

Fully agree that aggressive pricing is part of the fun.


User currently offlineArrow From Canada, joined Jun 2002, 2676 posts, RR: 2
Reply 4, posted (12 years 1 month 1 week 4 days 4 hours ago) and read 711 times:
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Leo --

Add Calgary to that list. It's a big one.



Never let the facts get in the way of a good story.
User currently offlineSr3496 From Switzerland, joined May 2000, 792 posts, RR: 20
Reply 5, posted (12 years 1 month 1 week 4 days 4 hours ago) and read 694 times:

You should also add Lagos (or even better Port Harcourt) as well as Malabo...they are quite important, believe me.

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