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Virgin Blue & Impulse- Good Idea In Hindsight?

Mon Jan 28, 2002 6:47 pm

I'd like to know your opinion on the launching of the 2 discount carriers long ago- one of which has survived- DJ. Do you think in the long run it was a good plan to try to topple the duopoly of AN and QF, or do you think it would have been better to leave the big two alone and preserve the jobs- such as those lost at Impulse and Ansett?

Do you think it is a very good airline market {if Ansett had not been resurrected} to have one airline offering a premium service- Qantas, and a "no frills" airline offering a discount service- Virgin. Getting "from A to B" aside, QF and DJ have different products- and if Ansett had not been resurrected, QF and DJ would have had monopolies on their respective products.

Would you choose to fly DJ over QF? While Qantas does not rate as highly as Ansett for me, flying DJ would not beat Qantas, chiefly because I like to travel on different aircraft- a one way trip of 2 or three flights would be less interesting if all were made on B733 a/c but would be more enjoyable with a mix like B733/B762/3 or A320.

However, there are advantages to airlines such as DJ.
How many people can attest to having to be somewhere a long way away with a notice of perhaps 2 days given- such as having to visit a relative in hospital because of illness, or having to attend to an important job interview, or go to a funeral? Granted there are "compassion" fares available- but how many people would know about those fares anyway- and in my experience, they are not as cheap as a flight on DJ. Do you think there is a need for airlines like DJ?

This is a very contentious question, and I do not know if there is a definitive answer- just assertions made because of your situation and/or ideas about the airline industry. Anyway, I'd like to know your thoughts.

SixStarAnsett
 
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VapourTrails
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RE: Virgin Blue & Impulse- Good Idea In Hindsight?

Mon Jan 28, 2002 7:54 pm

A lot of (good) questions there!

Do you think in the long run it was a good plan to try to topple the duopoly of AN and QF, or do you think it would have been better to leave the big two alone and preserve the jobs - such as those lost at Impulse and Ansett?

It has been very good for Australian domestic airline passengers! that part I can comment on. I don't work in the aviation industry, if I did I would most likely have a very different answer! and I would be a lot more directly affected by events of the past approx. 18 months or so. DJ entering the domestic market - & Impulse and Kendell Airlines expanding their operations in 2000 - IMHO is all progress. Also on the positive side a lot more people have been able to travel by air that couldn't before, simply because it was not affordable in 'the good old days'.

Would you choose to fly DJ over QF?

Yes because I have yet to fly with them, and there is a big difference in some of their fares. They also claim to be 'different' than the other airlines!

Do you think it is a very good airline market (if Ansett had not been resurrected) to have one airline offering a premium service - Qantas, and a "no frills" airline offering a discount service - Virgin. .. QF and DJ would have had monopolies on their respective products.

In short, yes I think it would be very good to have that kind of choice - like other countries have had for some time. I for one do not mind saving $200 dollars flying between capital cities on relatively short flights because I chose the no-frills service over the premium one.

Do you think there is a need for airlines like DJ?
Definitely! (for reasons mentioned above). They have proved they can do it, they are still here, and they are a success. I really admire them for that.

=
From Australia. Qantas - Spirit of Australia.
 
IndianicWorld
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RE: Virgin Blue & Impulse- Good Idea In Hindsight?

Mon Jan 28, 2002 8:09 pm

What many fail to see is that Ansett was doomed in the long run anyway, as it had far too many inefficiencies. It even lost money many years even in the duopoly position. It had too many faults, and one was the inefficient workforce numbers, being massively overstaffed and running a fleet of motley varieties. Not a good move.

Impulse was a strong regional, and many would have seen it expanding had it not been for Virgins entry. It had a large network of regional routes, and the intercity routes were doing well until they outdid themselves with the cheap fares. That was all a competitive gimick that went too far....

ciao
 
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RE: Virgin Blue & Impulse- Good Idea In Hindsight?

Mon Jan 28, 2002 8:09 pm

Thanks for your response! I am very interested in thoughts about how the airline industry should be structured. And you really hit the nail on the head- hats off to DJ, they certainly have followed through with the promises.
 
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VapourTrails
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RE: Virgin Blue & Impulse- Good Idea In Hindsight?

Mon Jan 28, 2002 8:14 pm

My response?? If so, thanks! .. I'm no Peter Harbison!  Big grin
From Australia. Qantas - Spirit of Australia.