Gen Y doesn't care about Qantas

[rechoboam]

Good point - So news limited is using articles like this to convince me to pay for their news service huh? Well they have another think coming if they think I'll part with my hard earned to read cough like this.

Gen Y doesn't care about NEWSPAPERS.

 

[harvyk]

Gen Y doesn't care about NEWSPAPERS.

Very true, I can't think of the last time I sat down and actually read a newspaper. Over sized things which get in other peoples way when folded out properly...
Tablets (eg iPads) are a much better way to read news...

 

[markis10]

Tablets (eg iPads) are a much better way to read news...

Not from top of descent!

 

[Justchecking]

The 'backpacker market' (which I think what the article is really about) are generally (and again generalising) looking to save money on transport/acccomodation so they can spend more on experiences/food/alcohol etc.... and are fairly risk tolerant so care less about maintenance/pilot standards etc.

QF just doesn't target this market.
VA/DJ is also moving out of it.

JQ is Qantas's Youth brand

I'm very happy to see both QF & DJ no longer targetting the backpacker market. Just look at anywhere in Aus that has catered in a large part to the backpacker market and you'll see where chasing a low yield, transient market gets you. Why anyone thought backpackers were the way to go is beyond me, it's had it's day (around about 2001) and we all should have moved on quickly from that little bubble well before now. It's fun and exciting to cater to the youth crowd but at the end of the day their disposable income is limited to how many credit cards they can get before the debt collectors move in. The yield has always been with the middle aged, established careers, savings, and a taste for quality. That's been true for just about forever. Who really cares if your brand appeals to 20 somethings or not, unless of course you want to capture their future income by being a brand they trust. Luxury clothing brands understand this and that is why they always have a 'cheap' range to hook the 20 somethings and then move them up to their couture lines later on.

 

[markis10]

The yield has always been with the middle aged, established careers, savings, and a taste for quality. That's been true for just about forever. Who really cares if your brand appeals to 20 somethings or not, unless of course you want to capture their future income by being a brand they trust. Luxury clothing brands understand this and that is why they always have a 'cheap' range to hook the 20 somethings and then move them up to their couture lines later on.

Not sure I would agree with that perspective, second largest liquor outlet in terms of sales in Australia is a backpackers venue. While their disposable income may be limited, they spend 2x the amount of any other visitor from overseas, they account for 10% of the international visitor market and 25% of the international visitor nights! Maybe from an airline perspective they are low yield, but can an international airline afford to ignore 10% of the market??

Why anyone thought backpackers were the way to go is beyond me, it's had it's day (around about 2001) and we all should have moved on quickly from that little bubble well before now.

The facts say otherwise:



http://www.ret.gov.au/tourism/Documents/tra/Snapshots and Factsheets/Backpacker_09_FINAL.pdf

 

[whatmeworry]

Wherever I go fishing/camping I see backpackers. During the summer months you see them all around the great ocean road, during Autumn you see plenty around the Murray River chasing the harvest trail. Similar to the restaurant game, too much focus on the top end of the market by some Airlines neglecting the bulk of the market.

 

[amaroo]

too much focus on the top end of the market by some Airlines neglecting the bulk of the market.

J* seems a perfect fit for that & a few other markets.

 

[harvyk]

Similar to the restaurant game, too much focus on the top end of the market by some Airlines neglecting the bulk of the market.

What you'll find is it's actually mid market which will become neglected. Luckily in AU, we still have a decent option for those mid class people, who can't afford the higher classes, but don't want to be treated like cattle. In places like the US, Y = LCC even on legacy carriers. J \ F is now the entry level for those who still want to be treated as a person.