CX New strategy rollout in 2017
#241
Join Date: Nov 2007
Location: Hong Kong
Programs: CX, UA, Shangri-La, Hyatt, Starwood
Posts: 7,708
It's true, I pay up for nonstops.
But Where CX loses the plot is that I can do business in Japan, Korea and most definitely Singapore. Dubai. Even Taiwan too. So if a competitor offers a "connecting" fare where I can stopover, I really can do two trips for one. EK even has some decent F fares ex-HKG who h allow this. I've been faced with this logic before: spend 6k USD on CX nonstop to Europe in J, or spend 8k on EK F which will include one of my annual business trips to Dubai AND Europe, and offer me total flexibility on my return city from Europe plus usually a much greater number of flights. Note to CX: I didn't pick you.
The launching pad is a real thing. CX just needs to wake up a lot of their fares aren't competitive ex HKG, although they are darn competitive from a lot of outports.
I really wish CX would offer those of us in HKG some better cash F rates. As in, those of us who pay the bills and don't work for someone paying on our behalf (in many cases, with deep corporate rates negotiated). Maybe that's better for CX but they are leaving money on the table with me for sure as a result.
#242
Join Date: Oct 2016
Posts: 291
I don't agree. Plenty of passengers place a monetary value on non-stop versus 1-stop. A large price gap results in a significant slice of the market switching. I have a HKG/LHR return in J coming up which I booked for HK$26k which is only marginally more expensive than a non-stop upgradeable PEY on CX.
It applies to cathay also. Cathay always offer very attractive fare to stopover customers.
I think Cathay clearly feel that now and have a large scale lay-off to lower the fixed cost.
#243
Join Date: Oct 2016
Posts: 291
Yea, something I'll add about SQ is those cheap biz fares sometimes allow a stopover. Even more expensive SQ J fares to Europe ex HKG are in the 4-5k range. Well, what I can do is arrange one of my required Singapore trips and link it up with a Europe trip.
It's true, I pay up for nonstops.
But Where CX loses the plot is that I can do business in Japan, Korea and most definitely Singapore. Dubai. Even Taiwan too. So if a competitor offers a "connecting" fare where I can stopover, I really can do two trips for one. EK even has some decent F fares ex-HKG who h allow this. I've been faced with this logic before: spend 6k USD on CX nonstop to Europe in J, or spend 8k on EK F which will include one of my annual business trips to Dubai AND Europe, and offer me total flexibility on my return city from Europe plus usually a much greater number of flights. Note to CX: I didn't pick you.
The launching pad is a real thing. CX just needs to wake up a lot of their fares aren't competitive ex HKG, although they are darn competitive from a lot of outports.
I really wish CX would offer those of us in HKG some better cash F rates. As in, those of us who pay the bills and don't work for someone paying on our behalf (in many cases, with deep corporate rates negotiated). Maybe that's better for CX but they are leaving money on the table with me for sure as a result.
It's true, I pay up for nonstops.
But Where CX loses the plot is that I can do business in Japan, Korea and most definitely Singapore. Dubai. Even Taiwan too. So if a competitor offers a "connecting" fare where I can stopover, I really can do two trips for one. EK even has some decent F fares ex-HKG who h allow this. I've been faced with this logic before: spend 6k USD on CX nonstop to Europe in J, or spend 8k on EK F which will include one of my annual business trips to Dubai AND Europe, and offer me total flexibility on my return city from Europe plus usually a much greater number of flights. Note to CX: I didn't pick you.
The launching pad is a real thing. CX just needs to wake up a lot of their fares aren't competitive ex HKG, although they are darn competitive from a lot of outports.
I really wish CX would offer those of us in HKG some better cash F rates. As in, those of us who pay the bills and don't work for someone paying on our behalf (in many cases, with deep corporate rates negotiated). Maybe that's better for CX but they are leaving money on the table with me for sure as a result.
#244
Join Date: Nov 2007
Location: Hong Kong
Programs: CX, UA, Shangri-La, Hyatt, Starwood
Posts: 7,708
To be fair, the SQ discounted fares are never as cheap (IMO) as the cheapo CX outport fares. And they aren't available as regularly. But the ex homeport fares for both airlines are similarly outrageous. I don't know the precise data but I buy all sorts of premium tickets, and it seems to me the disparity at CX in fares is greater than SQ. Basically CX has some super cheapo fares in J (and apparently F ex-Europe too!) which I at least have never seen at SQ.
#245
FlyerTalk Evangelist
Join Date: Dec 2004
Programs: CX Green, QF Platinum, BAEC Silver, Hyatt Glob
Posts: 10,780
It's also only slightly higher than the ex-tpe/icn/tok fares.
#246
Join Date: Aug 2011
Programs: Marco Polo
Posts: 546
Heard some rumors that CX is going to introduce something of a "low cost cabin" at the rear of the main Y cabin in order to offer fares similar to LCCs. Supposedly those rows will have reduced legroom and different catering than regular Y. Apparently will only be implemented on the regional network, there's a bit of chatter on this subject on PPRUNE, to be announced late 2017-implemented mid 2018.
If true, I think its a step in the right direction. Sure more cost cutting and the words "LCC" probably won't sit well with most on here however CX desperately need to do something about the LCC competition regionally and outright starting or investing in an existing LCC is definitely not on the cards for the next few years with their current financial state.
If true, I think its a step in the right direction. Sure more cost cutting and the words "LCC" probably won't sit well with most on here however CX desperately need to do something about the LCC competition regionally and outright starting or investing in an existing LCC is definitely not on the cards for the next few years with their current financial state.
#247
Join Date: Aug 2016
Location: Toulouse
Programs: TK*G
Posts: 283
Heard some rumors that CX is going to introduce something of a "low cost cabin" at the rear of the main Y cabin in order to offer fares similar to LCCs. Supposedly those rows will have reduced legroom and different catering than regular Y. Apparently will only be implemented on the regional network, there's a bit of chatter on this subject on PPRUNE, to be announced late 2017-implemented mid 2018.
I highly doubt the credibility of rumours.
#249
Join Date: Nov 2007
Location: Hong Kong
Programs: CX, UA, Shangri-La, Hyatt, Starwood
Posts: 7,708
CX is starting to break. J fares to Australia now start at $23k (slightly higher than QFs $20k which has been around for years). A CX fare at this price is a big backdown for CX which has only rarely been less than $30k in the last 10 years+.
It's also only slightly higher than the ex-tpe/icn/tok fares.
It's also only slightly higher than the ex-tpe/icn/tok fares.
Now, I wish CX would do the same for ex-HKG F class....if they would drop those fares near full fare J level, that becomes a whole new ballgame.
I don't fly in the US too often, maybe just 10-20 segments annually, but my impression from some of the blog posts (and fares I've bought) is that regular cash fares in domestic F are finally becoming pretty reasonable meanwhile awards are harder to come by. I'm certain about the cash fares because I usually buy them. For example, last time in the US I paid something like ~$800 for a Jetblue "Mint" class seat a few months ago to go from SFO to BOS. Years back, I remember paying something like $2-3k USD for a (horrible) AA "F" class experience on the same route. And I also see those bloggers seem to be complaining about horrible seat availability. I think these two factors are related.
Not that CX has ever been very generous with Asia Miles availability - usually barely, if not any better than partners - so perhaps it's a different can of worms for Cathay. Or perhaps CX finally sells more of the front seats for cash and culls the partner award conga train they've gotten addicted to.
#250
Join Date: Oct 2009
Location: ORD [formerly] + HKG
Programs: CX Diamond, AA exExPlat, BAEC exGold, HH Diamond, Hyatt Globalist, Starriott Titanium, GE
Posts: 2,966
I hope that trend sticks around. Those are finally some reasonable fares! It's a good thing for anyone who pays cash, although those fares are always a bad thing for award bookers.
Now, I wish CX would do the same for ex-HKG F class....if they would drop those fares near full fare J level, that becomes a whole new ballgame.
I don't fly in the US too often, maybe just 10-20 segments annually, but my impression from some of the blog posts (and fares I've bought) is that regular cash fares in domestic F are finally becoming pretty reasonable meanwhile awards are harder to come by. I'm certain about the cash fares because I usually buy them. For example, last time in the US I paid something like ~$800 for a Jetblue "Mint" class seat a few months ago to go from SFO to BOS. Years back, I remember paying something like $2-3k USD for a (horrible) AA "F" class experience on the same route. And I also see those bloggers seem to be complaining about horrible seat availability. I think these two factors are related.
Not that CX has ever been very generous with Asia Miles availability - usually barely, if not any better than partners - so perhaps it's a different can of worms for Cathay. Or perhaps CX finally sells more of the front seats for cash and culls the partner award conga train they've gotten addicted to.
Now, I wish CX would do the same for ex-HKG F class....if they would drop those fares near full fare J level, that becomes a whole new ballgame.
I don't fly in the US too often, maybe just 10-20 segments annually, but my impression from some of the blog posts (and fares I've bought) is that regular cash fares in domestic F are finally becoming pretty reasonable meanwhile awards are harder to come by. I'm certain about the cash fares because I usually buy them. For example, last time in the US I paid something like ~$800 for a Jetblue "Mint" class seat a few months ago to go from SFO to BOS. Years back, I remember paying something like $2-3k USD for a (horrible) AA "F" class experience on the same route. And I also see those bloggers seem to be complaining about horrible seat availability. I think these two factors are related.
Not that CX has ever been very generous with Asia Miles availability - usually barely, if not any better than partners - so perhaps it's a different can of worms for Cathay. Or perhaps CX finally sells more of the front seats for cash and culls the partner award conga train they've gotten addicted to.
As for transcon market...the competition is too tough B6 is taking the lead in driving fares down with their innovative concept of premium cabin on an LCC. However AA no longer has (fake) "F" class for their premium transcons, they're all full 3-class (FJY) flights nowadays, although service is of course a mixed bag...
#251
Join Date: Dec 2001
Location: China
Posts: 1,553
Yep - on the Delta boards here they are complaining about "monetisation" (Delta's term) of domestic F. Basically, Delta now aim to price domestic F class at "market clearing" levels (often with upgrade for cash offers) dramatically cutting upgrade/ award chances.
Especially when you take into account needing to pay for bag/ seat reservation for non elite flyers in economy, these upgrade offers are attractive (but more so to non elite members than elite members, as elite get free check in bag/ preferential seat in EY anyway)
Especially when you take into account needing to pay for bag/ seat reservation for non elite flyers in economy, these upgrade offers are attractive (but more so to non elite members than elite members, as elite get free check in bag/ preferential seat in EY anyway)
#252
Join Date: Feb 2005
Posts: 7,156
Which alternative carriers are these?
I travel regularly between Australia and Asia. The only airlines I have seen offering business class for similar prices to CX PEY are the likes of Scoot and Jetstar, and that's because their "business class" is more like PEY on a premium airline.
Even with the likes of China Eastern, business class is still only ~AUD$1000 cheaper than CX business class, and still double the price of CX PEY. And I would much prefer to pay the extra to travel CX, if only for safety reasons.
I travel regularly between Australia and Asia. The only airlines I have seen offering business class for similar prices to CX PEY are the likes of Scoot and Jetstar, and that's because their "business class" is more like PEY on a premium airline.
Even with the likes of China Eastern, business class is still only ~AUD$1000 cheaper than CX business class, and still double the price of CX PEY. And I would much prefer to pay the extra to travel CX, if only for safety reasons.
(14/11/2017 YYZ-HKG with return on 21/11/2017 HKG-YYZ)
CX (as well as AC) J is significantly more expensive than several other options including MU, HU, BA/AY combo, TK, AA and KE. The only difference is that CX (and AC) are direct non-stop. That's a huge premium for this convenience.
Many companies now require their employees to fly the cheapest fare on the most logical itinerary. 1-stop vs. non-stop is often not in the consideration so long as the departure and arrival times to be "acceptable".
The 10-hour layover in IST may be "painful" but TK offers free local tours for long transit passengers.
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Last edited by Clipper801; May 23, 2017 at 8:29 pm
#253
Join Date: Aug 2011
Programs: Marco Polo
Posts: 546
Here's a comparison of J fares for YYZ-HKG for mid late November 2017.
(14/11/2017 YYZ-HKG with return on 21/11/2017 HKG-YYZ)
CX (as well as AC) J is significantly more expensive than several other options including MU, HU, BA/AY combo, TK, AA and KE. The only difference is that CX (and AC) are direct non-stop. That's a huge premium for this convenience.
Many companies now require their employees to fly the cheapest fare on the most logical itinerary. 1-stop vs. non-stop is often not in the consideration so long as the departure and arrival times to be "acceptable".
The 10-hour layover in IST may be "painful" but TK offers free local tours for long transit passengers.
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(14/11/2017 YYZ-HKG with return on 21/11/2017 HKG-YYZ)
CX (as well as AC) J is significantly more expensive than several other options including MU, HU, BA/AY combo, TK, AA and KE. The only difference is that CX (and AC) are direct non-stop. That's a huge premium for this convenience.
Many companies now require their employees to fly the cheapest fare on the most logical itinerary. 1-stop vs. non-stop is often not in the consideration so long as the departure and arrival times to be "acceptable".
The 10-hour layover in IST may be "painful" but TK offers free local tours for long transit passengers.
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#255
Join Date: Feb 2005
Posts: 7,156
I have excluded the 2 stops itinerary in my earlier YYZ-HKG comparison example. When one does not mind making 2 stops, BA/AY, AC/UA/KA combos are available at very attractive prices also. I have not flown but I have ready good things about UA's new Polaris service.
At the end, there are cheaper alternatives and the traveller needs to decide individually whether the CX premium is worth it. This is what CX is facing.
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