A Few Takeaways From Last Night's [27 March 2017] GGL Event
Mar 28, 2017, 9:49 am
#61
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When some of us met Alexandre de Juniac he and his senior management team told us they had never travelled on other carriers at all. Perhaps now that AF P is considered the best F class in Europe they tried a few others since then. Come to think of it, I don't recall Carsten Spohr having any serious knowledge of the products outside LH group and whether he (and others) flew them. I remember Oliver Wagner telling me he hadn't tried BA CW (which was at the time significantly better than LH C).
So its really not unusual. It would require real money to try other carriers, who would sign off on that?
So its really not unusual. It would require real money to try other carriers, who would sign off on that?
Mar 28, 2017, 10:04 am
#62
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You make a circular argument though, because if I didn't have a blog I wouldn't meet IAG execs and therefore couldn't tell you what they tell me .....
Mar 28, 2017, 10:07 am
#63
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So I think they know they need to invest in the seat, I suspect the plan is still the same (launch it with the A350) and they simply don't want to give the game away. Because, as we've seen, even if you talk to a group of 30 "important" customers - stuff makes it onto the internet.
Last edited by Raffles; Mar 30, 2017 at 2:03 am
Mar 28, 2017, 10:25 am
#64
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Sounds plausible to me :-)
Even if BA wanted to fix boarding, they'd still have to face the #1 issue. AA, for example, now has countless boarding groups and in my experience meticulously calls them in order. But the path to the gate is inevitably physically blocked by crowds of huffing and puffing DYKWIAs who have placed themselves right in front of the gate 45 mins ago and are loudly complaining how stupid this boarding process is and that it is them who should be boarding first.
Even if BA wanted to fix boarding, they'd still have to face the #1 issue. AA, for example, now has countless boarding groups and in my experience meticulously calls them in order. But the path to the gate is inevitably physically blocked by crowds of huffing and puffing DYKWIAs who have placed themselves right in front of the gate 45 mins ago and are loudly complaining how stupid this boarding process is and that it is them who should be boarding first.
By the way, I was amazed at the difference of boarding a BA A380 at LHR, and boarding one in LAX. The difference was night and day and I dont think I need to tell you which one was far superior!
Bless 'em, the youngsters. You'll learn :-)
Here is a good test. Ask when they last flew another airline in J or F. The most senior IAG person I know (senior enough to get his photo in the accounts) has never flown Qatar for example. They genuinely have no practical experience of what is happening elsewhere.
Here is a good test. Ask when they last flew another airline in J or F. The most senior IAG person I know (senior enough to get his photo in the accounts) has never flown Qatar for example. They genuinely have no practical experience of what is happening elsewhere.
I really feel that BA feel they have no direct competition overall. They will say that VS network is too small overall, their FFP is rubbish, and basically no other UK airline flies out of LHR!
So I feel these events are mainly to allow staff to enjoy a few drinks at Fortnum and Mason on the company account and to make some GGL's feel 'important.'
Mar 28, 2017, 11:21 am
#65
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Honestly I think there are enough high quality trip reports out there to keep a competitive intelligence team busy full time. 
If you know your product is below the standards of the competition in many ways, you don't really need to spend money to confirm that unless you plan to spend money to make improvements.
For the most part I think BA know the biggest complaints that they are prepared to address (direct aisle access for all CW seats, IFE available at all times, better meals and bedding, a bit more storage space), and those that they will not.
I was talking years ago with a very high member of the management team from a US carrier who had never flown international business or first class on any carrier including his own. It made it interesting for him to try to evaluate the ideal new seat for their business class. FWIW, they chose well in my opinion. The point is that smart people can do good research based on information available, so I would undervalue compared to others the importance of trying out the competition.
If you know your product is below the standards of the competition in many ways, you don't really need to spend money to confirm that unless you plan to spend money to make improvements.For the most part I think BA know the biggest complaints that they are prepared to address (direct aisle access for all CW seats, IFE available at all times, better meals and bedding, a bit more storage space), and those that they will not.
I was talking years ago with a very high member of the management team from a US carrier who had never flown international business or first class on any carrier including his own. It made it interesting for him to try to evaluate the ideal new seat for their business class. FWIW, they chose well in my opinion. The point is that smart people can do good research based on information available, so I would undervalue compared to others the importance of trying out the competition.
Mar 28, 2017, 11:28 am
#66
Join Date: Mar 2014
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Honestly I think there are enough high quality trip reports out there to keep a competitive intelligence team busy full time. If you know your product is below the standards of the competition in many ways, you don't really need to spend money to confirm that unless you plan to spend money to make improvements.
For the most part I think BA know the biggest complaints that they are prepared to address (direct aisle access for all CW seats, IFE available at all times, better meals and bedding, a bit more storage space), and those that they will not.
I was talking years ago with a very high member of the management team from a US carrier who had never flown international business or first class on any carrier including his own. It made it interesting for him to try to evaluate the ideal new seat for their business class. FWIW, they chose well in my opinion. The point is that smart people can do good research based on information available, so I would undervalue compared to others the importance of trying out the competition.
If you know your product is below the standards of the competition in many ways, you don't really need to spend money to confirm that unless you plan to spend money to make improvements.For the most part I think BA know the biggest complaints that they are prepared to address (direct aisle access for all CW seats, IFE available at all times, better meals and bedding, a bit more storage space), and those that they will not.
I was talking years ago with a very high member of the management team from a US carrier who had never flown international business or first class on any carrier including his own. It made it interesting for him to try to evaluate the ideal new seat for their business class. FWIW, they chose well in my opinion. The point is that smart people can do good research based on information available, so I would undervalue compared to others the importance of trying out the competition.
Mar 28, 2017, 12:46 pm
#67
Join Date: Jun 2012
Posts: 160
If you think about it, saying they don't fly with competitors is far easier. Else the conversation goes like this:
GGL: Have you flown QR
BA: Yes
GGL: So what did you think of it?
BA: It's great but we're more profitable and because we have a virtual monopoly out of Heathrow you suckers will have to continue to change in Doha at 6am or midnight until the third runway gets built and we actually have to pull our fingers out
GGL: Have you flown QR
BA: Yes
GGL: So what did you think of it?
BA: It's great but we're more profitable and because we have a virtual monopoly out of Heathrow you suckers will have to continue to change in Doha at 6am or midnight until the third runway gets built and we actually have to pull our fingers out
Mar 29, 2017, 2:02 am
#68
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I'm not entirely sure why there isn't a 'third runway' discount built into the BA share price. BA has already been told it isn't getting many slots, which is why Willie turned against the idea. Admittedly existing bilateral treaties stop Virgin gaining much long haul but plenty of foreign airlines will take the chance to pick up their full treaty quota.
Mar 29, 2017, 3:12 am
#69
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That was pre-Brexit, when EU rules required priority to be given to new entrants. With Brexit, the UK would be free to change the system of slot allocation. This, however, depends of the extent to which the UK wants to "take back control" or, on the other hand, negotiate to participate in the Common European Aviation Area or some other form of close cooperation in this field.
Mar 29, 2017, 4:36 am
#70
Join Date: Aug 2004
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BA is, and always has been, reliant on LHR as their base. My opinion, as others have said, is they will continue to cut costs and count on their monopolistic position at LHR. With Brexit in full swing this will only strengthen this strategy.
I understand this strategy, but it is very short term looking.
I understand this strategy, but it is very short term looking.
Mar 29, 2017, 3:50 pm
#71
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Mar 30, 2017, 2:06 am
#72
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That was pre-Brexit, when EU rules required priority to be given to new entrants. With Brexit, the UK would be free to change the system of slot allocation. This, however, depends of the extent to which the UK wants to "take back control" or, on the other hand, negotiate to participate in the Common European Aviation Area or some other form of close cooperation in this field.
As BA does not own its slots it couldn't stop HAL taking a chunk back to redistribute.
Mar 30, 2017, 2:11 am
#73
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Couldn't it get a lot worse for BA though? What if the EU insisted, for example, on equal access to Heathrow by country? So if BA had 10 daily departures to Austria, Austrian or other LCC carriers operating from Austria must have 10 slots?
As BA does not own its slots it couldn't stop HAL taking a chunk back to redistribute.
As BA does not own its slots it couldn't stop HAL taking a chunk back to redistribute.
Mar 30, 2017, 2:15 am
#74
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Mar 30, 2017, 2:16 am
#75
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Couldn't it get a lot worse for BA though? What if the EU insisted, for example, on equal access to Heathrow by country? So if BA had 10 daily departures to Austria, Austrian or other LCC carriers operating from Austria must have 10 slots?
As BA does not own its slots it couldn't stop HAL taking a chunk back to redistribute.
As BA does not own its slots it couldn't stop HAL taking a chunk back to redistribute.