ABBA - anyone but BA
#166
Join Date: Oct 2008
Location: London
Posts: 1,503
Its brand has always been at the more premium end. Or at best, definitely not a low-cost carrier.
This is the problem, and a fundamental one. While EasyJet, Ryanair and others bask in their LCC branding they're in the great position of starting low and building perceptions up from there, even if the actual ticket price isn't that low after all. BA just haven't operated like that before recently. And although economy would've always been seen as the 'good value for money' end of the brand, that's not the same as branding Y as LCC - while trying to have your cake and eat it by trying to sell the front of the plane as real luxury. A cut-and-shut aircraft with SQ at the front and EZY at the back? The brand identity is shot. And brand value is the one thing BA have historically done really well at.
This is the most fundamental flaw in Cruz and co's leadership; they just don't get this. How much does anyone seriously think Cruz genuinely cares about the brand value of BA?
Moreover, the answer of superfluous improvements (blanket, amenity kit) at the premium end with a too-vague date for rollout of a new hard product, is all too late. Especially when you think that people will still be flying on one of the three current versions of CW, what, ten years from now?
If BA doesn't want to make a serious play for the kind of luxury in premium classes that one can get with a number of other airlines now then that's no bad strategy, as long as it is a clear strategy and not pretending to be something it's not. In the meantime they'll just get found out by more people along the way.
#167
FlyerTalk Evangelist
Join Date: Mar 2010
Location: JER
Programs: BA Gold/OWE, several MUCCI, and assorted Pensions!
Posts: 32,146
Above points taken on board about "Brand Image" ... so how about ...
OK, I have no professional experience in this field. It's just a personal view.
Perhaps just re-branding short-haul services as BA Lite is the answer. That way it gets some reflected glow from the better long-haul service side of the house.
Fly the Best ... Cheaply
OK, I have no professional experience in this field. It's just a personal view.
Perhaps just re-branding short-haul services as BA Lite is the answer. That way it gets some reflected glow from the better long-haul service side of the house.
#168
Join Date: Jul 2011
Location: UK/France
Programs: BAEC Gold, Hertz Gold, Avis Preferred, Honours Silver, Marriott, Hyatt, IHG
Posts: 275
If the genuine intention is to go down both low cost and premium routes at the same time (as opposed to just making everything cheaper by the back door, which seems to still be the direction of travel to me!), it's quite clear that separate brands are required. The BA brand can't be both a budget and premium carrier at the same time.
#169
Join Date: Nov 2010
Posts: 5,596
Above points taken on board about "Brand Image" ... so how about ...
OK, I have no professional experience in this field. It's just a personal view.
Perhaps just re-branding short-haul services as BA Lite is the answer. That way it gets some reflected glow from the better long-haul service side of the house.
Fly the Best ... Cheaply
OK, I have no professional experience in this field. It's just a personal view.
Perhaps just re-branding short-haul services as BA Lite is the answer. That way it gets some reflected glow from the better long-haul service side of the house.
#170
A FlyerTalk Posting Legend
Join Date: Aug 2006
Location: Argentina
Posts: 40,211
You could all be right. If there really are enough customers out there willing to pay more for quality then they should go for it. I just won't be one of them as I don't want to pay extra on my ticket for a free drink and bag of nibbles on short haul flight in ET, a better quality amenity kit in CW or the 101 other improvements that get highlighted on here.
#171
FlyerTalk Evangelist
Join Date: Mar 2010
Location: JER
Programs: BA Gold/OWE, several MUCCI, and assorted Pensions!
Posts: 32,146
HIDDY, we need to differentiate here between short- and long-haul, I think. The subject about LoCo competition [financially] broadly affects the former, whereas the 'quality' aspects tend to belong with the latter. But you are right in highlighting the price difference for the receipt of 'baubles': I think the baubles should be much larger, and actually meaningful.
My mind, such as it is, tends to break it down into:
And, as Porky Speedpig implies above, don't even think about cutting back on the quality of the staff. They're the on-the-spot saviours of every situation, so invest MORE in Customer Services, not less.
That's my amateur Business Plan. But then I know nothing about running an airline.
My mind, such as it is, tends to break it down into:
s/h Economy ... pile it high and sell it cheap.
s/h Business ... make it miles better than a free meal in the same low-pitch economy seat. Forget the moving curtain, install a few rows of decent Business-class seats.
l/h Economy ... pile it high and sell it cheap
l/h Economy+ ... make it an affordable enhancement above WT..
l/h Business ... make a major effort to start competing with other carriers, both East- and West-bound with the hard and soft product. Those seeds are starting to germinate, albeit painfully slowly.
I would hope that savings in one area could be fed back to real enhancements in the other, rather than into shareholder profits.s/h Business ... make it miles better than a free meal in the same low-pitch economy seat. Forget the moving curtain, install a few rows of decent Business-class seats.
l/h Economy ... pile it high and sell it cheap
l/h Economy+ ... make it an affordable enhancement above WT..
l/h Business ... make a major effort to start competing with other carriers, both East- and West-bound with the hard and soft product. Those seeds are starting to germinate, albeit painfully slowly.
And, as Porky Speedpig implies above, don't even think about cutting back on the quality of the staff. They're the on-the-spot saviours of every situation, so invest MORE in Customer Services, not less.
That's my amateur Business Plan. But then I know nothing about running an airline.
#172
Join Date: Jun 2003
Location: London
Posts: 3,459
- The seat is to be introduced with the arrival of A350 - BA will show us the seat when they are ready to do so and when the final design has been approved
- The CCR upgrades have started and will be completed by the end of October (this is a revamp of the lounge with a major refurb of all LHR lounges due in the near future)
- The JFK refurb hit a minor logistical issue and has been delayed a few months.
It's not a game, is it? The FT and the Sunday Times have run well-researched articles documenting the relative decline of BA. The publicity coverage is disastrous. BA has installed the old seats, which I think I first flew in in 2000, in its latest aircraft. WW has publicly indicted that he wants to stick with that model. Vague promises about improvements to come don't cut it when you are getting this sort of publicity. And if the only tangible improvement is a new CW blanket its pretty pathetic.
Last edited by Disco Volante; Jul 24, 2017 at 7:25 am
#174
Ambassador, British Airways; FlyerTalk Posting Legend
Join Date: Apr 2012
Location: Leeds, UK
Programs: BA GGL/CCR, GfL, HH Diamond
Posts: 42,990
The design is not publicly available, but BA have already announced they will be coming on the new A350 and 787-10 when it is delivered. There's has been some recent comment that the speculated design in the article below may not be the final choice.
https://www.ausbt.com.au/british-air...-seat-for-2019
https://www.ausbt.com.au/british-air...-seat-for-2019
#175
Ambassador, British Airways Executive Club, easyJet and Ryanair
Join Date: Sep 2011
Location: UK/Las Vegas
Programs: BA Gold (GGL/CCR)
Posts: 15,930
#176
Join Date: Aug 2012
Posts: 2,676
Lexus is a premium brand which sporned from a humble beginning as a Toyota offshoot in the 1980's. At the time Toyota was producing many cheap as chips pretty boring cars and many felt that they were moving away from their core business and would crash n burn.
Financial data of Lexus operations are not disclosed publicly. However, automotive analysts estimate that the Lexus division contributes a disproportionately larger share of Toyota's profits, relative to its limited production and sales volume. Interviews with retired division officials indicate that depending on sales volume, vehicle product development cycles, and exchange rates, Lexus sales have accounted for as much as half of Toyota's annual U.S. profit in certain years.
However whilst this model does prove companies can run in two different markets at the same time doing it successfully on one airplane will take a whole new level of thinking I just dont see at Waterside.
Financial data of Lexus operations are not disclosed publicly. However, automotive analysts estimate that the Lexus division contributes a disproportionately larger share of Toyota's profits, relative to its limited production and sales volume. Interviews with retired division officials indicate that depending on sales volume, vehicle product development cycles, and exchange rates, Lexus sales have accounted for as much as half of Toyota's annual U.S. profit in certain years.
However whilst this model does prove companies can run in two different markets at the same time doing it successfully on one airplane will take a whole new level of thinking I just dont see at Waterside.
So we got Lexus and it became their way of providing the top end with a product. But it is two adverts, two brands, and to lot of people, two companies.
BA could start a LCC, lets call it 'Go' for arguments sake, and tackle the market that way if they wanted.
But mixing messages on a single brand is a recipe for disaster IMHO.
#177
Join Date: Jun 2014
Programs: Executive Club: Gold - Flying Blue: Gold
Posts: 1,382
You could all be right. If there really are enough customers out there willing to pay more for quality then they should go for it. I just won't be one of them as I don't want to pay extra on my ticket for a free drink and bag of nibbles on short haul flight in ET, a better quality amenity kit in CW or the 101 other improvements that get highlighted on here.
#178
FlyerTalk Evangelist
Join Date: Mar 2010
Location: JER
Programs: BA Gold/OWE, several MUCCI, and assorted Pensions!
Posts: 32,146
#179
Join Date: Jun 2003
Location: London
Posts: 3,459
The design is not publicly available, but BA have already announced they will be coming on the new A350 and 787-10 when it is delivered. There's has been some recent comment that the speculated design in the article below may not be the final choice.
https://www.ausbt.com.au/british-air...-seat-for-2019
https://www.ausbt.com.au/british-air...-seat-for-2019