Originally Posted by
RadioGirl
Ding ding, we have a winner!. This is exactly what it's meant to do - project an image which, while you consciously know you're not getting the shower, flat bed or JA (sorry) - makes you feel "good" about the airline overall, and even willing to pay more for economy to be "closer" to the glamour product.
There's a name for that in marketing but I'm an engineer and don't remember just now what it is. (aspirational marketing)
The example I read (some years ago) is that someone goes to the store to buy a gas barbecue, expecting to just get a basic one for $200-$300. At the entrance of the BBQ store, there's a deluxe unit priced at $15,000 with rotisserie, built-in fridge, wine cooler, microwave oven, marble countertops, gold-plated blah blah, etc etc. Just inside the store is one that doesn't have quite as many features and is "only" $4000. As you go further into the store, there's the $1000 bbq with marble counters and the rotisserie. The $200-300 ones are at the back, poorly marked and under a layer of dust.
Here's the thing. No one ever buys the $15k BBQ. Ever. It's just there to (re-) set your price expectations and tempt you with the level of luxury available. A number of people will buy the $4000 one because "it's almost as good as the $15000 one and less than a third the price." A lot of people will pay at least $1000, because the feeling of "bling" rubs off from the ultra-deluxe version.
Not sure if I quite agree. Your dogmatic statement that no one ever buys a $15K bbq is like saying no one buys a Bugatti Veyron, or no one would buy the Porsche 918 (all 918 made were sold) at an average cost of $1M.
People buy EK F every day of the week. True, some are savvier than others about where they ticket from, but the product exists because there is a real, quantifiable demand for it.
I did 50+ revenue F sectors in a year once (SIN-MEL-SIN). I'm not rich, but the cost of the EK F product was cheaper than SQ/QF J product at the time and all my travel was being funded by a client.