Tyler Brule on Airline Alliances

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I think alliances can be beneficial if status and FF points are important to you. In some ways alliances or agreements can also have a negative effect where choice and competition suffers.

Classic example is BA and QF. Slowly we have seen BA decrease the number of services to Australia down to 2 routes. In April QF will introduce premium economy on the route and already we have seen BA airfares sky rocket to the level set by QF. I just wonder if QF and BA were not in the same alliance whether BA would still fly to Australia, offer competitive airfares and not consider pulling out alltogether. The so called kangaroo route is very popular as can be seen by the desire of Emirates, Qatar, Etihad and others offering very competitive airfares and wanting to increase capacity.

The other one is the Pacific route which has been left alone to QF. It operates as one of the most expensive routes per kilometre in the world.
 
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JohnK said:
Classic example is BA and QF. Slowly we have seen BA decrease the number of services to Australia down to 2 routes.

Absolutely - and since the code-share arrangements there is no incentive to go the extra mile as it were. Tyler makes the point about this well, and points out the reduced standards in lounges, check-in etc. Let's face it, providing good service and, dare I say it, a good experience in travelling requires effort and potentially cost. Most of the airlines are resolutely reducing cost as quickly as possible, apparently with Ryanair as the model. As noted JohnK, there's no dividend form the likes of BA or QF for their cost savings!:shock:

Frankly I think we'd all be happier if we got the service we think we're paying for!
 
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