Aer Lingus Gold Circle Club - Aer Lingus 2011 First Half Results and Alliance update

Aer Lingus have released their 2011 first half results (http://www.aerlingus.com/media/aerlinguscom/content/pdfs/corporate/H12011_results_analyst_presentation_final_300811.p df):

Key points for travellers:

- No immediate joining of an alliance (too costly)
- Actively pursue bilateral partnerships on selected routes
- Investigate Anti-Trust Immunity on North Atlantic
- Explore global alliance membership over longer term
- Longhaul capacity will remain unchanged for 2012 with seven A330 aircraft in service

New fare initiatives:

- “Flexfare”(lounge,flexible traveloptions,etc.) already in place since November2008
- “Bestfare”(bundled product including bag,advance seat assignment,etc.) to be launched in late 2011
- “Farefamilies”to support virtual business class cabin

I wonder what "virtual business class cabin" means?

I must say...I'm somewhat disappointed that the prospect of joining an alliance seems to have retreated.

Purely for personal reasons, though. I don't fly enough on Aer Lingus to have any hope of becoming a Gold Circle member. But if EI were in ANY of the other alliances, it would be a boon for requalification in the relevant alliance program that I already have status with - and would presumably mean having those benefits extended when flying EI.

:(

In a strategic update on alliances, Aer Lingus says that it undertook a detailed review to assess the merits of joining a global airline alliance at the present time. It conclusions are that:

"The costs of joining an alliance outweigh the benefits over the short term and the impact of alliance membership on our cost base is inconsistent with Aer Lingus' ongoing focus on achieving lower operating costs. For this reason, Aer Lingus will not prioritise alliance membership over the short term unless the conditions and costs of alliance membership change significantly in the intervening period".

"Growth through bilateral agreements with selected partner airlines should be prioritised as the primary means to achieve profit improvement with minimised cost and risk".

"Aer Lingus will, however, re-visit the topic of alliance membership in 2012, particularly if a North Atlantic bilateral relationship using anti-trust immunity (i.e. the legally permissible full coordination between Aer Lingus and another airline on scheduling, pricing, revenue management, marketing and sales on selected routes) appears viable at that stage"

This is the first mention I've ever heard of EI looking for anti-trust immunity with a partner on transatlantic flights.

I assume that United would be the most obvious choice of partner for such a bilateral relationship? Which would then make *A the most likely alliance?

EI pulled out of oneworld because the costs were much too high against the return. They've signalled that alliance costs are still too high.

It will, of course, be UA/CO as the bilateral partner, but I don't see this speeding up any decision to enter an alliance; it just means if they do eventually make that decision, it will of course be *A.

EI A350/A330 v. UA 757/765 - discuss. :D

I wonder what "virtual business class cabin" means?

Something like bmi's Economy Flex? Lounge access, priority check in, baggage included, maybe a free snack and seating up front - but no dedicated cabin or divider and no blocked middle seat perhaps.

Something like bmi's Economy Flex? Lounge access, priority check in, baggage included, maybe a free snack and seating up front - but no dedicated cabin or divider and no blocked middle seat perhaps.

This reference is specifically related to the Long Haul product.

Commencing in the very near future, EI will begin to trial the option of allowing Y Passengers to buy higher quality, or more substantial meal offerings, that would include a starter, main choice and dessert option for example. The emphasis will be upon allowing Y pax to trade up to more advanced options, that would be akin to normaally being a central component of the Business cabin service. There are moves afoot to facilitate the pre-selection of these choices as part of the booking process. Amenity kits for purchase for example also fall under this category.

Keep an eye out for other changes that will be coming on stream in the near term. In particular, significant changes to the Business Class product offering should be in place through Q1, 2012, with longer term more fundamental changes also planned.

There are another few key points from today's announcement as I see them:

• The IAD-MAD Joint Venture will remain in place for the present time.
• EI are now focused upon more portable capacity management.
• There are no plans for the addition of Regional Jets to the fleet in the medium term and beyond.
• EI are more than happy to remain with the A320 family and source additional capacity via leasing when needed.
• EI are unhappy with several aspects of T2, as it is more labour intensive than envisaged at the outset.
• There are no plans for the launch of any Eastbound Long Haul routes.

Regards,

EI Premier

Commencing in the very near future, EI will begin to trial the option of allowing Y Passengers to buy higher quality, or more substantial meal offerings, that would include a starter, main choice and dessert option for example.

KLM trialled something similar on 8 long-haul routes departing from Amsterdam over the past year, and it must have been deemed a success; the so-called "A La Carte Menu (http://www.klm.com/travel/ie_en/prepare_for_travel/on_board/dining_on_board/alacarte_menu.htm)" option is being rolled out on all L/H departures (except 4 routes) from Amsterdam from September 14 next.

......Keep an eye out for other changes that will be coming on stream in the near term. In particular, significant changes to the Business Class product offering should be in place through Q1, 2012, with longer term more fundamental changes also planned........

Why do I get a sense of foreboding doom when I read this? :eek:

I've only recently discovered the absolute delights of travelling "up front" with EI across the Atlantic. "Mrs Kered" & I were blown away by our experience & consider their product to be superb & one that other airlines could learn a thing or two from in terms of food & service delivery, in their J cabin & for that matter in their F cabins too it must be said.

The combination of price, convenience of a single flight, excellent on board service, food & overall cabin ambience when travelling with EI, is to my mind second to none. So much so, that on the MCO,ORD,BOS & JFK routes, we will look at no other option than EI in the future, having historically flown extensively on these routes with both BA & VS.

I would hate to think that just as we've discovered EI's J product, that it is about to "enhanced away". I would hope that these forthcoming changes will be for the better, (although I can't see how it can be much better) but when I see phrases such as "fundamental changes" & "significant changes" being used, I get very nervous :(

BestFare was trialled on a couple of routes out of ORK last year. Problem is it's just way too high in comparison to LowFare.

What EI really needs is an option on its website for "lowest fare accruing Gold Circle points". Its three lowest fare buckets don't accrue, but often the difference between a non-accruing and an accruing fare is only €20 or so.

If EI rejoined OW or joined *A I would find this highly agreeable.

BestFare was trialled on a couple of routes out of ORK last year. Problem is it's just way too high in comparison to LowFare.

What EI really needs is an option on its website for "lowest fare accruing Gold Circle points". Its three lowest fare buckets don't accrue, but often the difference between a non-accruing and an accruing fare is only €20 or so.

If EI rejoined OW or joined *A I would find this highly agreeable.

I travelled DUB-BCN using Best Fare and it was a much cheaper option than the standard fare when baggage charges etc. are accounted for. The fare also accrued Gold Circle points in both directions.

The current situation with 'W,Z,A' fares being the norm is an effort to minimise the amount of points that GC passengers will accrue. It's intentional in many respects.

I agree though, that EI need to launch a fare type similar to that mentioned above.

Regards,

EI Premier

My experience was that when you allow for the baggage and other charges, the best fare was only a little more expensive. I would gladly pay a little extra to get the GC points, but at the moment it is too much hassle.

It will, of course, be UA/CO as the bilateral partner, but I don't see this speeding up any decision to enter an alliance; it just means if they do eventually make that decision, it will of course be *A.


None of that is written in stone. If IAG buys the govt share of EI, you can forget about *A membership and the UA partnership because its almost guaranteed that they will be looking to buy FR's share(and more) shortly after.

...because its almost guaranteed that they will be looking to buy FR's share(and more) shortly after.

None of that is written in stone. ;) :D

None of that is written in stone. ;) :D

If BA buys the govt shares, intent for a purchase of FR's shares will be carved into a granite tablet at BA HQ. ;)

What would be the point of buying the govt shares (28%) without aquiring a controlling percentage?

Does Aer Lingus have personal tvs in economy JFK-DUB and return? Seat Guru is ambiguous about this. Also hard to tell if A330-200 or A330-300 equipment?

Doesn't matter which, all the A330's have AVOD in both cabins.

Does Aer Lingus have personal tvs in economy JFK-DUB and return? Seat Guru is ambiguous about this. Also hard to tell if A330-200 or A330-300 equipment?

All the TATL planes have personal AVOD TVs at all seats. [There's one A330-200 that shows up on DUB-AGP from time to time, and I'm not sure if that is so equipped.]

OK, thanks. SeatGuru says "shared TV" on its layout of those flights, whatever that means.

It means a series of overhead (fold-down) and bulkhead TVs, showing two or three half-hour TV shows, a movie (or two on ORD flights), and then some more TV. Audio for these plus eight radio channels in the armrests.

This is of course not relevant any more since the A330s were all refitted!

Come on EI Premier....it's sounds like you have some inside info on the changes to the biz class product. Please, spill the beans. Also, for those of you looking for the cheapest accruing GC points eligible fare, call GC admin and they will look after you in my experience. They can ticket you accordingly. In relation to the proposed business class changes, I hope they don't dumb down the service as I manage a number of trips annually and I am already booked up the front for Q2, 2012. I'd hate to have to take my business elsewhere.

Come on EI Premier....it's sounds like you have some inside info on the changes to the biz class product. Please, spill the beans. Also, for those of you looking for the cheapest accruing GC points eligible fare, call GC admin and they will look after you in my experience. They can ticket you accordingly. In relation to the proposed business class changes, I hope they don't dumb down the service as I manage a number of trips annually and I am already booked up the front for Q2, 2012. I'd hate to have to take my business elsewhere.

I really don't think you'll have any reason to take your business elsewhere. I know that I won't be and certainly have no reason to. I'm more than encouraged by any improvement of the product. In fact, any changes that would be made are intended to be positive - specifically in terms of the passenger experience.

I think it's sufficient to say that the intention would be to enhance the overall on-board product offering. You should begin to see these service specific and on-board product offering improvements through early 2012.

I think that Aer Lingus are only too aware that any ''dumbing down'' of the product or otherwise would detrimental in the current environment.

EI Premier

Well that certainly helps address my concerns about the upcoming changes to the EI J product, I expressed up thread in post 8 :)

Mrs Kered & I are off to MCO this coming Saturday (8th) & are once again looking forward to flying up front & sure hope to have our past excellent experiences repeated ^

I’d like to back up “Kered” & “EI Premiers” comments on the EI J class product.

Myself & Mrs ABZ1C flew to & from JFK in the past two weeks & were pleasantly surprised by how good the overall experience was.

The lounge at Dublin is quiet & comfortable & having availed myself of the shower facilities whilst waiting for our connecting flight back to LHR I can confirm that they were of a high standard & the unit I was in came with good quality towels & amenities.

Pre Clearance at Dublin was not available when we flew out, I don’t know if this was because we were on the late afternoon flight. We were still through immigration & customs & in the car to Manhattan in under an hour on our arrival.

We found the cabin & seats extremely comfortable & both of us slept for a few hours on the overnight return sector.

The catering on the DUB – JFK sector was well presented, tasty & did not lack in quantity, MRS ABZ1C is a vegetarian & loved the veggie option she was offered, the hot & cold canapés are a nice touch & a great way to start the meal. We chose to skip the food on our return in order to sleep so cannot pass comment.
The crew on both outbound & inbound sectors were fantastic & were a real credit to EI.

Having previously travelled extensively across the Atlantic primarily on BA & Virgin (in both Y & J through the years) we both agreed that we would use the EI J product on our subsequent trips if available.

When time allows I do intend to do a full trip report of both flights.

As a side note, The Edge (The guitar player from U2) was on our return flight.

Pre Clearance at Dublin was not available when we flew out, I don’t know if this was because we were on the late afternoon flight.

Spot on. That's exactly why. Only the morning flights are processed at DUB.

Spot on. That's exactly why. Only the morning flights are processed at DUB.

Suspected as much, as I said not a major problem as we were first off & T4 at JFK was deserted when we arrived.
Couple of other minor points, bags off in first batch at JFK, no snob tags attached, but with snob tags on return, last off at LHR.