Budget carriers unite to cut costs (QF/JQ/D7 getting friendly?)

[medhead]

Budget carriers unite to cut costs | The Australian

JETSTAR and AirAsia are about to announce an operational joint venture that could save hundreds of millions of dollars by enabling them to jointly buy aircraft, parts and other goods.

The two airlines would still compete for passengers and the deal does not involve equity.

It aims to cut costs through economies of scale.

Sounds like something that mining companies tried to do about 10 years ago. Not sure that worked at the time.

 

[serfty]

Qantas confirms that its wholly owned subsidiary, Jetstar, and AirAsia have entered discussions regarding a potential cost saving joint venture.

http://www.asx.com.au/asxpdf/20091218/pdf/31mtfq9v4t9rql.pdf

 

[oz_mark]

Apparently a press conference on the 6th

PETALING JAYA: The proposed partnership between AirAsia Bhd and Jetstar is nearing fruition after a year of talks and the deal will be announced in the first week of January.

A media conference has been scheduled for Jan 6 in Sydney where both parties and Qantas will announce the details of a strategic agreement and how these parties will work “innovatively together’’ so as to drive greater cost efficiencies across AirAsia and Jetstar.

AirAsia-Jetstar tie-up is on

 

[thewinchester]

QF/JQ/D7 getting friendly?

Just posted on Plane Talking this morning:

Qantas/Jetstar/Air Asia about to get friendly

A critically important tie-up between Qantas/Jetstar and Air Asia is about to be announced.

The founder and CEO of Air Asia, Tony Fernandes, the founding CEO of Jetstar as well as current CEO of Qantas, Alan Joyce, and his successor at Jetstar, Bruce Buchanan, will hold a joint press conference tomorrow morning in Sydney.

While no details have been officially released the parties are known to have been talking to each from time to time over the last year or so. Last week there were informed reports of a cost-sharing alliance between Jetstar and Air Asia, which is by a large margin, Asia’s most successful and extensive low cost carrier, based in Kuala Lumpur and with franchises in Thailand and Indonesia.

 

[oz_mark]

Re: QF/JQ/D7 getting friendly?

Ben's running a bit late with this news: http://www.frequentflyer.com.au/community/travel-news/budget-carriers-unite-cut-costs-20743.html

 

[david870mdg]

Re: QF/JQ/D7 getting friendly?

Ben's running a bit late with this news: http://www.frequentflyer.com.au/community/travel-news/budget-carriers-unite-cut-costs-20743.html

About time.
JQs fares are hardly "Low Cost" for what they offer.

 

[Alanslegal]

Re: QF/JQ/D7 getting friendly?

About time.
JQs fares are hardly "Low Cost" for what they offer.

there there, JQ offers some super ridiculous low cost fares - you just have to keep a look out for them

Some fares I've managed to book;

Sydney to Honolulu return for $295 all inclusive of taxes,food and baggage in November 2008

Sydney to Honolulu return for $520 all inclusive of taxes,food and baggage in August 2009.

Sydney to Saigon return for $275 all inclusive of taxes, food and baggage for February 2010.

It is very low cost to me, but it isn't low cost offering from JQi

 

[Natt]

Re: QF/JQ/D7 getting friendly?

How friendly I wonder?

Friendly enough that Air Asia Passengers out of the Gold Coast could use the Jetstar lounge maybe?

I know thats an odd question - but I am doing the trip soon, and you never know :shock:

 

[Natt]

Hmm

just a random thought

If Jetstar and Air Asia can share facilities, then Air Asia can use the Jetstar facilties in Japan

opening the much coveted budget Kuala Lumpur/Singapore to Japan link

(been talked about for years!)

 

[docjames]

Jjust released by QF to ASX.

Essentially:
- sharing of parts sourcing / spares provision
- working together to improve specification of "next-generation" of short haul a/c, including combined purchasing to get better pricing
- arrangements to assist each other if a/c go tech and pax need alternative arrangements made
- sharing ground services in SIN and other mutual ports


So, basically what they told us a few months ago......

 

[gilby08]

Doesn't really seem too exciting at all, especially all the hype surrounding this 'media release'.

 

[docjames]

nonews linky .....

Jetstar and AirAsia form alliance | News.com.au

 

[Mrmaxwell]

Time for a new LCC frequent flyer program/alliance - some naming suggestions:

Budget World
One Pleb World
Star Asia
Cheap Charlie Alliance

And my personal fave...

Great Expectations

Any others?

 

[dajop]

Any others?

How about Sly team? or Shun world?

 

[anat0l]

LCC - standing for Los Cheapo Choices?

Tacky sounding, true to word and matches with a known abbreviation...

 

[thewinchester]

Can I get away with using the word Scum, if so:

• Scum World
• Spar Alliance (because you'll always be fighting them no matter what the outcome)

 

[anat0l]

Can I get away with using the word Scum, if so: Scum World

Don't see why the word is wrong - after all, everyone knows what QF SG stands for? (Of course, the W in QF WP appears to be verboten on the boards... )

Spar Alliance

That more reminds me of a supermarket.

In any case, the portrayal would be pretty accurate.