FlyerTalk Forums - View Single Post - CX considering [confirmed] having 10 seats per row?
Old Aug 28, 2016 | 6:55 am
  #173  
mxr
 
Join Date: Feb 2011
Location: HKG, TXL
Programs: CX DM
Posts: 566
Originally Posted by QRC3288
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Anyway, the density increase might ironically help some of the softer aspects in Y class, because depending on the config CX could possibly get 35-55 more seats on a bird, which if you're flying to SIN one-way could be as much as $10k USD extra per flight to CX revenue. If CX keeps 2/3 of that for other purposes and reinvests 1/3 ($3300) on incremental costs per flight, spread across 400 pax that's another $8 USD they can spend/pax in-flight. Doesn't sound like a lot, but that $8 isn't that much less than what CX pays per Y passenger on that route in catering costs. So you could perhaps have an increase in 50-100% in your regional catering budget if you jam extra passengers in. Or, you could also see CX jam more passengers in and then drop prices further. Over the course of several months and quarters of testing pricing and what customers will "tolerate" (read: demand), they will find some equilibrium where demand matches what they're offering.

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I'm more curious to understand CX's cuts to J and F, as well as their MPC strategy not to really include PEY pax in the umbrella of "favored" passengers as J and F clearly are.
Actually I don't really understand your math. How would they make 10k USD more one-way with up to 55 more seats? Thats assuming a o/w ticket costs close to 180 USD right? Also you'd have to actually sell those consistently at such a high price. Doesnt sound like they would make that much more revenue to me...

I would love to see CX including PEY in the as you call it 'umbrella of favoured passengers' since it would definitely make me chose PEY over Y every time.

Also, could someone explain to me how CX's yields are so horrible considering that every-time I fly with them its usually overbooked and fares are actually ridiculously high ex-HKG. I just paid >450 USD for HKG-ICN return while I can find flights ex Europe for that price to cross the pond
The plane was pretty much at 80-90% load which should be a good number?

Question is whether all of it is going to fuel cost or management bonuses?

Maybe they should make a second survey and make management sit in 10 across for 9 hours straight - since thats what basically happenes on 12hour long-haul flights if you consider two bathroom breaks after take-off and before landing.
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