Originally Posted by
ukgooner
This forum is populated by people who get a certain pleasure from flying, enjoy the peculiarities of the loyalty scheme and dedicate a certain amount of time to discussing the minutia of flying. There is also a little bit of champagne tastes / lemonade budgets (after all, this forum is predominantly about gaming frequent flier schemes - or it lease it was until more and more energy has been devoted to discussing perceived service shortfalls or making endless comparisons to middle east alternatives*).
The majority of the market has other priorities - getting from a to b as cheaply and efficiently as possible, with as much comfort as their budget allows. BA doesn't have to be cheapest in Y - but does have to be comparable to the LCC headline fares. And there is perceived quality in the brand, the people, the Heathrow hub, and the choice of M&S as the BoB offer. The loyalty scheme and options to upgrade occasionally also help, not to mention the availability of lounges for those with status. The route network also allows corporates to make greater commitment, which helps to shift those higher flexi-fares.
*I take these with a punch of salt, as I imagine does BA.
This.
Moreover, many of these same people may be the "passenger" but not the "customer." They want to fly long-haul F/CW, but only when their employer, a FFP such as BAEC or a discount coupon pays for the ticket. If there were only 4 fares.
Indeed there is no such thing as a free lounge, a free meal, or free spirits. It is all about where the cost of these items is charged off. If one pays for these items personally, it may well make sense to have them included in a single ticket price. But, if one's employer is paying, why would the employer pay when the employer does not pay for these luxuries on a daily basis?
The market movers these days are large corporate customers. When they speak, BA listens. Their current speak is to provide a safe, secure and convenient product which moves people from A-B.
Above that, BA will likely be able to justify premium cabins. But, consider that DY is to offer US-EU Y fares in the $250 range, the question becomes just how much people can whinge about the champagne choices at BA lounges and whether the starter is served on a square or a round plate, before their employer suggests that the fare difference is not worth it.
So, why fly BA over DY? For the productive worker - schedules, reliability, IRROPS recovery (there really is a backup aircraft and crew somewhere), destinations, network (nothing is seamless, but between internal UK on BA short-haul and AA domestic, one can connect from almost anywhere to anywhere). In a world where time is money, most can manage on a plate of pasta and chicken across the Atlantic.