FlyerTalk Forums - View Single Post - CX 77W to Australia (confirmed)
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Old Jul 25, 14, 12:38 am
  #13  
QRC3288
 
Join Date: Nov 2007
Location: Hong Kong
Programs: CX, UA, Shangri-La, Hyatt, Starwood
Posts: 7,655
Originally Posted by fakecd View Post
Q.E.D.
To elaborate on fakecd's logical points; CX should raise pricing on OZ flights before you see introduction of 77W. Premium prices to Australia - esp since many Australia seats are transit pax, in discounted I and D from outports - are not expensive compared to other places in the CX network. Australia J class fares (even those ex-HKG) are much better "deals" for long-haul hours flown/$ than USA ports like JFK, LAX etc, which are served by the 77W.

The back-end translation is that yields need to be higher to Australia to justify the bigger frame.

Pricing - and hence, yield - is an excellent predictor if more capacity is needed. Sometimes there are other competitive factors as well, like SQ facing down EK (which I post below).
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