VA to 'Tigerize" some shorthaul international routes

[Standby]

Looks like the AGM will be the place to announce some "enhancements" to some INT routes. The last paragraph also interesting as indicates
a possibility of widewodies for TT

Virgin Australia struggles with international routes as it plots Tigerair entry

 

[smit0847]

If MEL-DPS isnt shifted to TT I will eat my hat. Im amazed VA are still operating it. Its the wrong plane with the wong product for the wrong route.

 

[Zerosignal]

Wonder when this will be effective, I have a flight on Virgin booked for Bali in December.

 

[woodborer]

Does the current ownership structure of TT enable it to operate international routes?

 

[TomVexille]

Does the current ownership structure of TT enable it to operate international routes?

I believe that it does

 

[yohy?!]

so what are the odds for which routes? i think we will see TT taking over DPS/NAN/HKT from non-triangle capital cities to start with plus some Trans Tasman action also to replace VA.

might be the start of a new price war (which we can only pray ends with the closure of both TT and JQ!)

 

[moa999]

Does the current ownership structure of TT enable it to operate international routes?

It's a good question given Tiger never had an international sub.

I assume that Virgin could just create a new Tiger Int sub within that artificial Virgin Int structure

 

[anat0l]

The thing that took me by surprise is the loss making international division at VA. What the? I thought they were doing pretty well for a small operation; good ply on the lucrative Trans-Pacific market, strategic partnerships with key international airlines, and most of the rest of short haul international isn't so bad.

Then I read a little further and they seem to be only speaking of the short haul international routes, and more or less specifically some very leisure destinations in HKT, DPS and NAN.

It wouldn't surprise me if they flick these routes over to TT. I don't know how they would manage it, e.g. one flight taken over from VA by TT, no codeshares so no cross-selling from either carrier (unlike JQ and QF). It would be interesting to see TT, which is the "most" LCC of all carriers in Australia, work these routes. As alluded, will probably mean an opening salvo involving rock bottom prices.

However, these are only noises, not pledges. I would still see it as a surprise if it were implemented.

 

[Mattg]

I just had a look at VA's load factor stats to Bali, and they're not pretty. Clearly something will have to give.

Stats for recent months on routes to/from Bali (respectively) are as follows:

April 2015: 55.9%/55.2%
March 2015: 70.2%/67.2%
February 2015: 74.7%/68.0%
January 2015: 64.6%/86.9%

This is compared to Jetstar:
April 2015: 78.4%/76.8%
March 2015: 84.5%/79.8%
February 2015: 78.4%/76.5%
January 2015: 75%/90.9%

 

[Cool Cat Phil]

I just had a look at VA's load factor stats to Bali, and they're not pretty. Clearly something will have to give.

Stats for recent months on routes to/from Bali (respectively) are as follows:

April 2015: 55.9%/55.2%
March 2015: 70.2%/67.2%
February 2015: 74.7%/68.0%
January 2015: 64.6%/86.9%

This is compared to Jetstar:
April 2015: 78.4%/76.8%
March 2015: 84.5%/79.8%
February 2015: 78.4%/76.5%
January 2015: 75%/90.9%

Ouch!
Statistics like this have Tigerair written all them for VA.

 

[smit0847]

I just had a look at VA's load factor stats to Bali, and they're not pretty. Clearly something will have to give.

Stats for recent months on routes to/from Bali (respectively) are as follows:

April 2015: 55.9%/55.2%
March 2015: 70.2%/67.2%
February 2015: 74.7%/68.0%

If MEL-DPS isnt shifted to TT I will eat my hat. Im amazed VA are still operating it. Its the wrong plane with the wong product for the wrong route.

.............

 

[anat0l]

What's going on with that? VA have an integrated product, a better brand name, arguably a better Business Class (although may be difficult to find enough travellers plying that route to fill Business Class on either carrier)... maybe 737s aren't the best product to run between Australia and Bali, but then most of what the competition is running is also narrow body aircraft - what happened to that pie in the sky idea of running 332s between BNE and DPS (or something like that)?

Who is to think that putting TT on the route instead will be better? Maybe it will lose less money, but I'm not sure about wresting market share or improving load factors, unless they also run lots of rock bottom fares.

 

[smit0847]

What's going on with that? VA have an integrated product, a better brand name, arguably a better Business Class (although may be difficult to find enough travellers plying that route to fill Business Class on either carrier)... maybe 737s aren't the best product to run between Australia and Bali, but then most of what the competition is running is also narrow body aircraft - what happened to that pie in the sky idea of running 332s between BNE and DPS (or something like that)?

Who is to think that putting TT on the route instead will be better? Maybe it will lose less money, but I'm not sure about wresting market share or improving load factors, unless they also run lots of rock bottom fares.

Because TT have a much lower cost base so can offer lower prices. Compared with the competition, VA offer neither the lowest prices nor the best product. Its lose lose.

 

[moa999]

What's going on with that? VA have an integrated product, a better brand name, arguably a better Business Class .

A few dollars (or hundred dollars) saving equals a lot more Bintangs

 

[yohy?!]

A lot do with the perceived value of the 787s - cleverly marketing a narrowbody product in a widebody

 

[smit0847]

A few dollars (or hundred dollars) saving equals a lot more Bintangs

Exactly. Price is the sole consideration for most Bali travellers. Why do you think theyre now saying theyve run out of money because of the ash cloud?

 

[docjames]

Does the A320 have the legs for MEL-DPS?

 

[mannej]

Does the A320 have the legs for MEL-DPS?

By the Airbus page, yes it does.

 

[docjames]

By the Airbus page, yes it does.

yes but with viable payload?

We know it struggles JFK-LAX (given headwind component) in winter, and distance is 300-440mi LESS than MEL-DPS and SYD-DPS....

Great Circle Mapper

 

[dajop]

yes but with viable payload?

We know it struggles JFK-LAX (given headwind component) in winter, and distance is 300-440mi LESS than MEL-DPS and SYD-DPS....

Difficult to find LCC's that operate over those distances using A320, and of course LCC's don't want to waste payload carrying fuel to maximise the range. JetBlue does SFO-BOS using A320, wonder how that goes with headwinds? It's only 15 miles shorter than MEL-DPS.