Who takes revenue risk for BoB?

Old Sep 1, 2017, 5:17 pm
  #1  
Original Poster
 
Join Date: Jul 2017
Programs: Mucci Chevalier des Internautes Amables; BAEC
Posts: 912
Who takes revenue risk for BoB?

Very interesting moment today. Neighbour bought the BoB pretzels, then wanted to exchange for crisps when she realised they were chocolate-coated. The general BoB kerfuffel caused her to suggest she would be happy with a straight (but - to her - inequitable) swap but CC wouldn't do because "the food isn't ours".

Later on I questioned (interrogated?!) the CC and they confirmed that BA take no commerical risk on the food sold i.e. If it doesn't sell it's M&S lose out. I find this hard to believe.

Does anyone with inside knowledge of BoB able to comment?
TheJayHatch is offline  
Old Sep 1, 2017, 5:23 pm
  #2  
 
Join Date: Jul 2011
Programs: BA Exec Club Gold, *G, EK Skywards Silver
Posts: 937
No inside info but it would be Tourvest, not M&S, if anyone.
surryson is online now  
Old Sep 1, 2017, 5:25 pm
  #3  
 
Join Date: Jan 2016
Posts: 116
Originally Posted by TheJayHatch
Very interesting moment today. Neighbour bought the BoB pretzels, then wanted to exchange for crisps when she realised they were chocolate-coated. The general BoB kerfuffel caused her to suggest she would be happy with a straight (but - to her - inequitable) swap but CC wouldn't do because "the food isn't ours".

Later on I questioned (interrogated?!) the CC and they confirmed that BA take no commerical risk on the food sold i.e. If it doesn't sell it's M&S lose out. I find this hard to believe.

Does anyone with inside knowledge of BoB able to comment?
You are taking most of the risk by flying Euro Traveller.
lhrpete and kaffir76 like this.
frenzie01 is offline  
Old Sep 1, 2017, 5:27 pm
  #4  
Moderator, Iberia Airlines, Airport Lounges, and Ambassador, British Airways Executive Club
 
Join Date: Feb 2010
Programs: BA Lifetime Gold; Flying Blue Life Platinum; LH Sen.; Hilton Diamond; Kemal Kebabs Prized Customer
Posts: 63,025
Completely correct, the entire process is outsourced to Tourvest. In fact it even says so in the small print at the back of the BoB brochure.

There is more about this in the depths of the three main BoB threads, but the long and short of it is that this was the deal struck between BA and Tourvest. The key point here is that Tourvest controls BA's customer reputation without much accountability. Ultimately they could be fired however, and this has been advocated by many FTers.
corporate-wage-slave is online now  
Old Sep 1, 2017, 5:42 pm
  #5  
Original Poster
 
Join Date: Jul 2017
Programs: Mucci Chevalier des Internautes Amables; BAEC
Posts: 912
So on this basis BA are hostages to fortune? I now see why they can't offer coffee or whatever when running late. What a shocker!
Worcester likes this.
TheJayHatch is offline  
Old Sep 1, 2017, 5:50 pm
  #6  
Original Poster
 
Join Date: Jul 2017
Programs: Mucci Chevalier des Internautes Amables; BAEC
Posts: 912
Originally Posted by frenzie01
You are taking most of the risk by flying Euro Traveller.
Looking at CE prices I'm pretty happy flying ET and keeping the extra cash in my pocket!
TheJayHatch is offline  
Old Sep 1, 2017, 6:21 pm
  #7  
 
Join Date: Dec 2010
Location: LHR
Programs: Accor PLT,Thai Silver, HH Dia, SPG Titanium (LT Gold), Aegean Gold, BA Silver
Posts: 5,102
No one takes the risk as therre is never enough perishables to satisfy demand
jday and Jrunway like this.
ExpatSomchai is offline  
Old Sep 1, 2017, 8:31 pm
  #8  
 
Join Date: May 2014
Posts: 126
Do Tourvest also control the amount of stock on each flight then (presumably based on load)?
john205 is offline  
Old Sep 2, 2017, 12:57 am
  #9  
Original Poster
 
Join Date: Jul 2017
Programs: Mucci Chevalier des Internautes Amables; BAEC
Posts: 912
Originally Posted by ExpatSomchai
No one takes the risk as therre is never enough perishables to satisfy demand
This is probably at the heart of BoB's problem.

(Although for balance the champagne is pretty good - far better than what I've had in CE. Lots of fruit, and wonderfully fine bubbles, so you can actually taste something other than acidity at 30,000ft...)
TheJayHatch is offline  
Old Sep 2, 2017, 1:58 am
  #10  
Ambassador, British Airways Executive Club, easyJet and Ryanair
 
Join Date: Sep 2011
Location: UK/Las Vegas
Programs: BA Gold (GGL/CCR)
Posts: 15,810
Originally Posted by TheJayHatch
This is probably at the heart of BoB's problem.

(Although for balance the champagne is pretty good - far better than what I've had in CE. Lots of fruit, and wonderfully fine bubbles, so you can actually taste something other than acidity at 30,000ft...)
You prefer the Monopoo over the Castelnau? The Monopole was much scorned in these parts when it was offered in Club. I don't mind the Castelnau (if chilled properly) I think it works at altitude and it pairs well with much of the short-band Club catering.
Tobias-UK is offline  
Old Sep 2, 2017, 2:02 am
  #11  
FlyerTalk Evangelist, Ambassador, British Airways Executive Club
 
Join Date: Jun 2008
Location: Somewhere between 0 and 13,000 metres high
Programs: AF/KL Life Plat, BA GfL+CCR, Aclub Plat, Hilton Diam, Marriott Gold, blablablah, etc
Posts: 30,126
Originally Posted by Tobias-UK
You prefer the Monopoo over the Castelnau? The Monopole was much scorned in these parts when it was offered in Club. I don't mind the Castelnau (if chilled properly) I think it works at altitude and it pairs well with much of the short-band Club catering.
I don't really like either but I actually slightly prefer the Monopole over the Castelnau. I distinctly prefer the Pommery (CE's pre-Monopole iteration) to both of the above.
Tafflyer likes this.
orbitmic is offline  
Old Sep 2, 2017, 3:02 am
  #12  
Original Poster
 
Join Date: Jul 2017
Programs: Mucci Chevalier des Internautes Amables; BAEC
Posts: 912
Originally Posted by Tobias-UK
You prefer the Monopoo over the Castelnau? The Monopole was much scorned in these parts when it was offered in Club. I don't mind the Castelnau (if chilled properly) I think it works at altitude and it pairs well with much of the short-band Club catering.
I know - shoot me

I don't like it generally as a rule but in the air I find the Castlenau too acidic whereas the Monopole has more flavour and works better when lukewarm On the ground I wouldn't bathe in it, mind!
Tobias-UK likes this.
TheJayHatch is offline  
Old Sep 2, 2017, 3:44 am
  #13  
 
Join Date: Sep 2013
Location: London
Programs: BA Gold; FB Silver; SPG; IHG Gold
Posts: 2,932
So there is nothing in it at all for BA? No commission or margin.
South London Bon Viveur is offline  
Old Sep 2, 2017, 3:51 am
  #14  
Ambassador, British Airways Executive Club, easyJet and Ryanair
 
Join Date: Sep 2011
Location: UK/Las Vegas
Programs: BA Gold (GGL/CCR)
Posts: 15,810
Originally Posted by Southlondonbonviveur
So there is nothing in it at all for BA? No commission or margin.
I'm sure BA will be getting a slice of the pie ... and of course it will save the cost of the hitherto free bar, snacks and Y catering on longer routes.
Tobias-UK is offline  
Old Sep 2, 2017, 4:28 am
  #15  
 
Join Date: Nov 2008
Location: Thames Valley
Programs: BAEC, LHM&M, and even a dusty KLFB!
Posts: 892
Originally Posted by Tobias-UK
I'm sure BA will be getting a slice of the pie ... and of course it will save the cost of the hitherto free bar, snacks and Y catering on longer routes.
Yes, BA must be getting a cut, otherwise it wouldn't be worth their while in terms of the extra work for the crew, extra fuel to carry the stuff etc etc etc. But that does beg the question, how much are they actually getting, given that Tourvest seem to be under-catering as much as possible. I wonder what sales level the business case was based on...
DrBernardo is offline  

Thread Tools
Search this Thread

Contact Us - Manage Preferences - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service -

This site is owned, operated, and maintained by MH Sub I, LLC dba Internet Brands. Copyright © 2024 MH Sub I, LLC dba Internet Brands. All rights reserved. Designated trademarks are the property of their respective owners.