elitetraveler

Pretty basic info from a P+L -- these are revenue numbers - Ryanair doesn't breakout the COGS (cost of goods sold) for their BOB - and they lump commissions from BOB into salaries so you can't specifically figure out how much they make or lose selling BOB products. That said, total sales are Euros 156 million from BOB and total revenue is Euros 6.9 billion. Their profit before tax was Euros $1.4 billion. In other words, it is relatively small - I would take a wild guess and say BOB contributes Euros 15-30 million in annual profit.

Lite

I actually need to read this forum properly for my own benefit once in a while to work out how best to use my accumulated Avios.

CatchThePigeon

I think CC will initially find it incredibly frustrating.

A fair percentage of passengers will look rather confused when asked to pay for the items they've asked for. Many will then phaff around with cash only to be told it's cards or Avios only. During which they'll complain to CC about how terrible it is that they're being asked to pay. All in all a chore for all concerned.

corporate-wage-slave

Yes, I think you make a good point here. There are some entrenched positions to be had on this subject, which is fair/fare enough, but it is also not unreasonable to watch what happens, see how it works out, and see how passengers and company react. The current menu and set-up won't last forever, BA will at least evolve this area, and customers too in their behaviours.

One interesting point is that BA's operational cabin crew is generally one less than easyJet, so that will share the dividend more generously. Consequently on the longer runs we may see more than the current one or two trolley runs and more overt over the galley sales. There will also be tremendous pressure on management to keep get the stock management right, otherwise BA, cabin crew and consenting passengers will all miss out. And that's not always the case at the moment.

Prospero

A side discussion about the catering product has been moved over to the http://www.flyertalk.com/forum/briti...hort-haul.html thread, allowing us to focus on the crew angle established in this thread's discussion.

Prospero
Moderator: BA forum

SvenAge

i did used to like these pigs. i do wonder whether too much sugar on flights is a good thing though. i used to eat these at work to keep me awake!

Sam Bee

I thought below was an interesting table I hadn't seen before from http://www.telegraph.co.uk/travel/li...-in-the-world/

Really goes to show how much opportunity BA has to gather in extra monies from BOB and additional extra charges.

Came across it trying to see if there was a legal definition of "What is a Low Cost Carrier" - there isn't really, but according to most metrics BA is a Budget Carrier now (" To make up for revenue lost in decreased ticket prices, the airline may charge for extras like food, priority boarding, seat allocating, and baggage etc

From Law Dictionary: What is BUDGET AIRLINE? definition of BUDGET AIRLINE (Black's Law Dictionary))"

Can I help you

We will get commission on Avios sales.

SvenAge

i hope they have some signage and videos to help staff deal with all the aggro.

Nuster

Will this make SH more attractive versus LH which will not have commission do you think?

jonas123

Do mixed fleet have an option on bidding for LH vs SH? Are WW crew a bit annoyed about not having the chance to get commission? (although saying that i'm sure i'd rather be on a WW contract than MF or EF)

Ber2dca

I fly AerLingus a lot. I don't think I've ever been on a flight where more than a handful of pax ordered anything. Mind you these are short hops to LHR or AMS, it's probably significantly more on longer leisure routes to the Med where there's going to be more children annoying their parents and the flights take 3-4 hours rather than 60-90 minutes.

I would say that their workload is still significant because they still have to *offer* everyone the food, drink and duty free stuff. If there's a reduction in workload compared to a short-haul with snack and drink service, it's relatively minor.

orbitmic

it's my experience too on EI, U2, etc. I don't even think length makes a big difference but the one exception are early morning flights when more people seem to get tea or coffee and sometimes something to eat. Still I can't remember a BoB flight where crew have to serve more than a person/group every 4th-8th row.

FlightDetective

Not really, easyJet don't have Business Class so if you account for Club Europe earning nothing it probably means the commission slice would be similar.

To be fair, I can understand why the crew are looking forward to it. BA pay the same as other airlines for the Mixed Fleet crew, yet the other airlines generally all do BoB and offer commission so their crew actually earn more in real terms.

I think BoB is going to work out just fine for BA.

UKtravelbear

but they can only sell 1 packet to save some for the flight back!