Benefits of a monoply
Sep 9, 2014, 9:04 pm
#1
Original Poster
Join Date: Aug 2014
Programs: Air NZ Elite
Posts: 3
Benefits of a monoply
Am planning a trip to the US at beginning of next month for a few days. Was looking at business class fares and note that AKL - LAX - AKL is ~$8100 NZD.
Have colleagues travelling from Australia. Air NZ has a fare SYD-AKL-LAX return for ~$5300 AUD travelling same dates. Even Perth - AKL - LAX return is $6500 AUD business class on same dates.
So I guess another case of a monopoly and lets gouge the locals while discounts abound in a competitive market in Oz. Similar action in the regional NZ market.
Have colleagues travelling from Australia. Air NZ has a fare SYD-AKL-LAX return for ~$5300 AUD travelling same dates. Even Perth - AKL - LAX return is $6500 AUD business class on same dates.
So I guess another case of a monopoly and lets gouge the locals while discounts abound in a competitive market in Oz. Similar action in the regional NZ market.
Sep 9, 2014, 9:48 pm
#2
Join Date: Dec 2009
Location: New York, NY
Programs: AA Gold. UA Silver, Marriott Gold, Hilton Diamond, Hyatt (Lifetime Diamond downgraded to Explorist)
Posts: 6,776
That's the reality. So why not grab a cheap hop across to SYD and join your friends? EK, VA, QF and many others fly the route. A cheap ticket runs about $220 USD and a night in a hotel or with friends easily keeps the price under 6k$.
Last edited by Yoshi212; Sep 9, 2014 at 10:06 pm
Sep 9, 2014, 11:14 pm
#3
Join Date: Feb 2007
Programs: NZ Koru
Posts: 6,415
Its pretty well know that NZ isn't interested in the price sensitive market, for that they have economy class.
Sep 9, 2014, 11:30 pm
#4
Join Date: Jan 2011
Posts: 646
Sep 10, 2014, 1:50 am
#5
Join Date: Apr 2013
Location: Australia
Programs: QF Gold, NZ *G, TK Elite *G
Posts: 186
Am planning a trip to the US at beginning of next month for a few days. Was looking at business class fares and note that AKL - LAX - AKL is ~$8100 NZD.
Have colleagues travelling from Australia. Air NZ has a fare SYD-AKL-LAX return for ~$5300 AUD travelling same dates. Even Perth - AKL - LAX return is $6500 AUD business class on same dates.
So I guess another case of a monopoly and lets gouge the locals while discounts abound in a competitive market in Oz. Similar action in the regional NZ market.
Have colleagues travelling from Australia. Air NZ has a fare SYD-AKL-LAX return for ~$5300 AUD travelling same dates. Even Perth - AKL - LAX return is $6500 AUD business class on same dates.
So I guess another case of a monopoly and lets gouge the locals while discounts abound in a competitive market in Oz. Similar action in the regional NZ market.
Sep 10, 2014, 2:48 am
#6
Join Date: Apr 2013
Location: New Zealand (most of the time)
Programs: Air NZ Elite *G, Honors Gold, IHG Platinum Elite
Posts: 6,131
Are NZ fill their BP cabins with their current pricing so there is no need to offer cheaper pricing.
It's like people who look at Jetstar and think it's great that their pricing is so much cheaper than Air NZ. From a purely business perspective it shows how poorly they are infact doing if they can only get $129 for same day seats when Air NZ is selling that same identical product for $299
Sep 11, 2014, 5:21 pm
#8
Join Date: May 2014
Location: Nelson
Programs: NZ*GE
Posts: 43
I'm taking the family (6pax) to LAX end of this month all flying economy and the price difference between AirNZ and Virgin Australia was extreme.
The difference will pay for hotels for 3 weeks and 4 day disney tickets for all of us.
The total fares CHC -> LAX -> CHC for 5 adults and 1 child was less than $7k. Stop-over in Sydney on the way over and Brisbane coming back. The Brisbane stop over is quite long so will allow us a day out to catch up with friends.
The difference will pay for hotels for 3 weeks and 4 day disney tickets for all of us.
The total fares CHC -> LAX -> CHC for 5 adults and 1 child was less than $7k. Stop-over in Sydney on the way over and Brisbane coming back. The Brisbane stop over is quite long so will allow us a day out to catch up with friends.
Sep 11, 2014, 6:11 pm
#9
Join Date: Jun 2014
Programs: NZ*E, QF Gold
Posts: 23
I'm taking the family (6pax) to LAX end of this month all flying economy and the price difference between AirNZ and Virgin Australia was extreme.
The difference will pay for hotels for 3 weeks and 4 day disney tickets for all of us.
The total fares CHC -> LAX -> CHC for 5 adults and 1 child was less than $7k. Stop-over in Sydney on the way over and Brisbane coming back. The Brisbane stop over is quite long so will allow us a day out to catch up with friends.
The difference will pay for hotels for 3 weeks and 4 day disney tickets for all of us.
The total fares CHC -> LAX -> CHC for 5 adults and 1 child was less than $7k. Stop-over in Sydney on the way over and Brisbane coming back. The Brisbane stop over is quite long so will allow us a day out to catch up with friends.
Sep 11, 2014, 9:21 pm
#10
Join Date: Apr 2013
Location: Australia
Programs: QF Gold, NZ *G, TK Elite *G
Posts: 186
I'm taking the family (6pax) to LAX end of this month all flying economy and the price difference between AirNZ and Virgin Australia was extreme.
The difference will pay for hotels for 3 weeks and 4 day disney tickets for all of us.
The total fares CHC -> LAX -> CHC for 5 adults and 1 child was less than $7k. Stop-over in Sydney on the way over and Brisbane coming back. The Brisbane stop over is quite long so will allow us a day out to catch up with friends.
The difference will pay for hotels for 3 weeks and 4 day disney tickets for all of us.
The total fares CHC -> LAX -> CHC for 5 adults and 1 child was less than $7k. Stop-over in Sydney on the way over and Brisbane coming back. The Brisbane stop over is quite long so will allow us a day out to catch up with friends.
The only reason I booked Air NZ AKL-LAX for Novemeber was to use my RU's for a business upgrade. Paid $1600 return for 1, could have booked VA AKL-SYD-LAX-SYD-AKL on the exact same dates for $799 return.
Sep 11, 2014, 10:53 pm
#11
Join Date: Aug 2007
Location: New Zealand
Programs: *A NZ Gold Elite for over 20 years previously SQ PPS and UA 1K
Posts: 282
You can also travel on an LH ticket on NZ metal to Europe via the US for a lot lower fare.
No one ever accuses airlines of common sense or long term thinking when setting fares!
No one ever accuses airlines of common sense or long term thinking when setting fares!
Sep 11, 2014, 11:24 pm
#12
FlyerTalk Evangelist
Join Date: Nov 2004
Location: Melbourne
Programs: ►QFWP/LTG►VA WP►HyattExpl.►HiltonGold►ALL Silver
Posts: 21,995
- that what make these fare 'monopolistic'.
A bit like fares for Qantas ex OZ have been over the years.
It make sense for companies (such as airlines) to charge what the market will pay.
(How much will a iPhone 6 cost puchased in NZ when compared with the relative cost of the same item purchased in the USA?)
Sep 11, 2014, 11:34 pm
#13
Join Date: May 2005
Location: Sydney, Australia
Programs: NZ*G ELT, VA-G
Posts: 3,608
It's more the case of the 'common sense' not being held by many NZ residents.
- that what make these fare 'monopolistic'.
A bit like fares for Qantas ex OZ have been over the years.
It make sense for companies (such as airlines) to charge what the market will pay.
(How much will a iPhone 6 cost puchased in NZ when compared with the relative cost of the same item purchased in the USA?)
- that what make these fare 'monopolistic'.
A bit like fares for Qantas ex OZ have been over the years.
It make sense for companies (such as airlines) to charge what the market will pay.
(How much will a iPhone 6 cost puchased in NZ when compared with the relative cost of the same item purchased in the USA?)
Sep 12, 2014, 12:22 am
#14
FlyerTalk Evangelist
Join Date: Nov 2004
Location: Melbourne
Programs: ►QFWP/LTG►VA WP►HyattExpl.►HiltonGold►ALL Silver
Posts: 21,995
Exactly like iPhone 6. You can get a better phone for cheaper, eg Sony Xperia Z3 or Samsung Note 4 but the majority will still go for the iPhone. I think NZ is enjoying similar status as Apple. It's almost become a cult for some people but I don't think it will last forever. Think Nokia.
).Kiwi iPhone6 16GB list price is NZD999 (~USD816).
USA iPhone6 16GB list price is USD649 (~NZD794).
Sep 12, 2014, 12:51 am
#15
Join Date: Mar 2014
Location: bne
Programs: Velocity Gold, AIRNZ Elite, Qantas Silver ,Hilton Diamond
Posts: 1,320
Cost of travel to lax
I'm taking the family (6pax) to LAX end of this month all flying economy and the price difference between AirNZ and Virgin Australia was extreme.
The difference will pay for hotels for 3 weeks and 4 day disney tickets for all of us.
The total fares CHC -> LAX -> CHC for 5 adults and 1 child was less than $7k. Stop-over in Sydney on the way over and Brisbane coming back. The Brisbane stop over is quite long so will allow us a day out to catch up with friends.
The difference will pay for hotels for 3 weeks and 4 day disney tickets for all of us.
The total fares CHC -> LAX -> CHC for 5 adults and 1 child was less than $7k. Stop-over in Sydney on the way over and Brisbane coming back. The Brisbane stop over is quite long so will allow us a day out to catch up with friends.
I brought a flight to lax (for next month) and the difference between airnz and virgin was $49 return (airnz $1000 virgin $1049)
Managed to get the sectors upgraded to PE as A class was available