Originally Posted by
Nuster
Never understood why BA never had say 3 rows of 2x2 to be sold as "First Europe", follow it up with Club Europe as now etc. For the 24 inches they would lose are they thinking they could not recoup that or is it just a lack of strategic thinking?
They wouldn't recoup it.
Do the maths: An A320 with 12 seats in First Europe would turns a 168 seater aircraft down to something like 140+12 = 152 seats. If you think BA can fill 168 seats at £150 averaged, then to simply break even the 12 seats would have to go for £500 averaged, which is infeasible in the Europe market. And laughable at the domestic turnaround. In reality such a change would require a fair bit of investment, and given say a 15% ROACE you're looking at £700 plus, so £1400 return.