How would you run Qantas?

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Doesn't Jetstar work on low costs?

All airlines need lower costs, and yes LCC's have fuel as a higher percentage of their costs. But that justs highlights the problem with management, Jetstar is getting the priority.

Air Asia seems to make the 330's work.

Not enough to fill 300 seats/day. And even if there were, one route isn't going to save QFi

I don't think there are many new routes left that would fill 300 seats a day. I was more just trying to highlight the contrast between the current use of 787's and the potential use under different management or strategies.
PER has recently lost (6 weekly?) QF services, and many of those customers completely. QFi flights are diminishing from ports around the country. An innovative strategy could help reverse this, accompanied by other changes across the company.

It depends what QF management has as it's goal.
 
All airlines need lower costs, and yes LCC's have fuel as a higher percentage of their costs. But that justs highlights the problem with management, Jetstar is getting the priority.

No, it highlights the irrelevance of the point you stated re Jetstar customers not caring what plane they fly on.

Air Asia seems to make the 330's work.

And Air Asia to Jetstar is an apples to apples comparison? Otherwise, this is irrelevant too.

PER has recently lost (6 weekly?) QF services, and many of those customers completely. QFi flights are diminishing from ports around the country. An innovative strategy could help reverse this,

The only strategies that will "reverse this" are profitable ones. It doesn't matter how "innovative" they are if they don't make money.

So that's the first thing that needs to be addressed here - how does QF actually make more profit?
- cut costs by less than the resulting decrease in revenue
- increase revenue by more than corresponding costs

Been reading these types of threads for years, and yet posters are perpetually disappointed that QF isn't doing what they want. But maybe, just maybe, that's because the fundamental issue isn't being addressed.

So, here's my suggestion: start being flexible about the "65% of domestic market share", because that signalling/threat to competitors isn't working anymore, and all that's happening at the moment is overcapacity and unsustainably low prices (much as low prices benefits me personally, the thread's about running QF)

It depends what QF management has as it's goal.

Making money for shareholders. All the rest is secondary to that.
 
Making money for shareholders. All the rest is secondary to that.

Lol - sorry but I think it's abundantly clear that management are in this for themselves otherwise they would have all left given how much shareholder value they've destroyed!
 
Lol - sorry but I think it's abundantly clear that management are in this for themselves otherwise they would have all left given how much shareholder value they've destroyed!

Shareholders can either sell up, or petition to wind up the company, if they believe that their capital is being wasted. Ultimately it's up to a shareholder to do something with their funds if they believe that management's wasting it.
 
Shareholders can either sell up, or petition to wind up the company, if they believe that their capital is being wasted. Ultimately it's up to a shareholder to do something with their funds if they believe that management's wasting it.

I can't believe shareholders' patience with the QF Board. A dividend hasn't been paid on any of the the last 9 schedule dates and the share price is almost a third of the $3.13 it was trading at on Oct 1 2008, just before Joyce became CEO.

But then, I was advised many years ago never to invest in an airline .... sage advice I've stuck to!!

Regards,

BD
 
I'm not a Shareholder but a Loyal Qantas F/Flyer .... I have been down that path with another Company a few years ago & hubby & I lost a lot of money that was our " Nest Egg"....It's like "running a Dead Horse"....with no returns....I was shocked to read in the papers that Qantas Shares are considered " Junk Shares".... How tragic compared to what it use to be....Get rid of the Board, "Hangers On" and Mr Joyce !!!! - Jetstar has priority & there are so many complaints from Passengers about Jetstar & it's service... why not concentrate on Qantas and build her reputation up to what it use to be even with the Fuel Prices so high... Now I'm beginning to get edgy about the Qantas Cash Card.... should I get worried ???? you tell me...

Cheers.
Grandma's Wings.
 
Thinking about this, I'd convert any land QF owns or leases around our major airports into carparking, , buy Skybus in Melbourne and Coachtrans in Brisbane, buy up and operate food concessions at our major airports, and then just use the airline to support these ancilliary businesses. :p

I jest, but look at what has happened over the last 10 years or so, airfares have never been cheaper and anything else related to air travel (such as airport shops, airport parking, airport transfers, airport hotels) has never been more expensive (and that's without mentioning airport operators), all supported by cheaper air travel which drives demand. Simplistically, the losses made by airlines are driving profitability in related businesses.
 
1. Customer, Customer, Customer
2. No Executive bonuses, staff receive bonuses based on more bums on seats and better service.
3. Aircraft swap with JQ; old QF Aircraft go to JQ; newer aircraft at QF
4. Cabin Quality; have the best cabins in the sky, period.
5. Focus where the demand is:
a. Coast to coast - international quality flights.
b. Golden triangle - be more competitive on price
 
Despite all the hype about the 787, if a route is not profitable for an A330, I think it would be marginal at best for a 787 (unless you really needed that extra range).

There is no easy way back to profit. Even slashing cost is a short term measure - it doesn't generate growth. So whatever QF do to increase business, it will inevitably mean a loss, at least until they rebuild the travelling public's trust and confidence in the quality of service offered for the price.

Oh, and the correct answer to the OP's question is "I wouldn't" !!!
 
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787s all go to QF. JQ can use the A320s sitting idle in France. Old 737s and 767s from QF to JQ - cram them in like sardines. The JQ demographic doesn't care. Scoot runs on old SQ 777s. Heck, JQ can have the old QF planes for FREE so the capital cost is zero since they're all paid off!

Then change the JQ timetable so there are no conflicts with QF flights.
 
To think any of us can answer the problems of a multi-billion dollar company with thousands of employees that is riddled with challenges at every level in just a paragraph or two is kind of ridiculous. But, that said the buck has to stop somewhere and in QF's case it's at the top, the board and management are failing and that is clear.
 
Thinking about this, I'd convert any land QF owns or leases around our major airports into carparking, , buy Skybus in Melbourne and Coachtrans in Brisbane, buy up and operate food concessions at our major airports, and then just use the airline to support these ancilliary businesses. :p .

LOL, given the jet base needs to be handed back as greenfield in three years at SYD, I suspect it will need as much land as it already had elsewhere for the facilities.
 
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I'm not a Shareholder but a Loyal Qantas F/Flyer .... I have been down that path with another Company a few years ago & hubby & I lost a lot of money that was our " Nest Egg"....It's like "running a Dead Horse"....with no returns....I was shocked to read in the papers that Qantas Shares are considered " Junk Shares".... How tragic compared to what it use to be....Get rid of the Board, "Hangers On" and Mr Joyce !!!! - Jetstar has priority & there are so many complaints from Passengers about Jetstar & it's service... why not concentrate on Qantas and build her reputation up to what it use to be even with the Fuel Prices so high... Now I'm beginning to get edgy about the Qantas Cash Card.... should I get worried ???? you tell me...

Cheers.
Grandma's Wings.

Look at the volume of complaints about Ryanair, and the number of people on this forum who refuse to fly them, yet somehow they are one of the most profitable airlines in the world.

Like it or not, although a lot of people here despise Jetstar, you would need to ask seriously, where would QFi be now of it were not for Jetstar. I think they would be gone altogether. QFi could not sustain it's losses with the large number of destinations or was serving while still paying it's huge running costs.

Jetstar is a savour for the QF group.
 
787s all go to QF. JQ can use the A320s sitting idle in France. Old 737s and 767s from QF to JQ - cram them in like sardines. The JQ demographic doesn't care. Scoot runs on old SQ 777s. Heck, JQ can have the old QF planes for FREE so the capital cost is zero since they're all paid off!

Then change the JQ timetable so there are no conflicts with QF flights.

That would be Scoot with 20 Boeing 787-9s being delivered fresh to it.
Scoot eyes Boeing 787 routes to Australia, China, India, Japan - Flights | hotels | frequent flyer | business class - Australian Business Traveller

Jetstar's are not the problem at QF, it goes fare deeper than that.
 
Scoot received SQ's oldest B777-200ERs (the first four were at least).


It now makes sense for Scoot to order brand new frames because it expects to be in a significant growth phase over the next few years and it can get 787s rolling off the production line. Scoot has also commented that the mix of B787-8s and B787-9s (prob 50:50) will give it flexibility for the routes it wants to fly (different tech specs with respect to range and payload). For many Asia-Pacific routes, the B777-200ER is not ideal. So by taking B787s, Scoot gets a common fleet of scale with greater efficiency and some adaptibility.


Now back to QF, proposing new fuel efficient aircraft for the premium carrier struggling to rein in its operating costs and struggling to maintain its significant price premium, what a novel idea. But then again, Qantas never makes fleet mistakes. Just look at the bullet it dodged when it decided not to order B777s, it would have been a disaster, Qantas international could have made some money. That really would have messed with the plans for Jetstar global domination :shock:
 
1. Customer, Customer, Customer
2. No Executive bonuses, staff receive bonuses based on more bums on seats and better service.
3. Aircraft swap with JQ; old QF Aircraft go to JQ; newer aircraft at QF
4. Cabin Quality; have the best cabins in the sky, period.
5. Focus where the demand is:
a. Coast to coast - international quality flights.
b. Golden triangle - be more competitive on price

Other than cutting management bonuses, all this seems to be about adding to costs. Yet, at the same time, you want them to be "more competitive on price", rather than "charging a premium to reflect the premium service and cabin". More wishful thinking IMHO
 
To think any of us can answer the problems of a multi-billion dollar company with thousands of employees that is riddled with challenges at every level in just a paragraph or two is kind of ridiculous. But, that said the buck has to stop somewhere and in QF's case it's at the top, the board and management are failing and that is clear.

I agree.

That said, most legacy carriers seem to be in the same boat. I'm wondering whether (from a shareholder/management perspective) just winding up the airline (and similarly for a bunch of the other legacies), until international over-capacity is sorted. If governments like Malaysia's and Italy's want to keep pouring their taxpayer's money into keeping planes in the air, then not our problem.
 
Two changes I would make immediately are:

1. Improve the website. Those huge boxes containing the seat prices are very annoying - in the past, much more information could be included on the screen. The boxes are a waste of space!

2. Improve the standard of English grammar and punctuation. As much as I love Qantas, I hate seeing misuse of semicolons, apostrophes, etc. This doesn't just apply to the website - it seems to be a quite general Qantas problem. Once, when I pointed out an error through the feedback section on the website, I received a reply containing more errors than the sign about which I was commenting, and Qantas seemed to show no interest in addressing the issue. As an example, take a look at the sign at the bottom of the escalator leading up to the Qantas Club at MEL domestic.

3. Related to this is ambiguous wording that Qantas uses in some of its promotional material. Recently I was sent a status credits offer that made a quite different statement to the one that I was fairly sure Qantas intended. When I called them they eventually agreed, but it seems that they had not already noticed the problem.

I am sure there are far more serious matters, but these are certainly amongst those that should be addressed.
 
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