The EK strategy thread

Old Dec 16, 16, 1:00 pm
  #1  
Ambassador: Emirates Airlines
Original Poster
 
Join Date: Sep 2004
Location: Manchester, UK
Posts: 15,699
The EK strategy thread

There have been a few posts in NOIR's excellent DXB/DWC thread about the future EK strategy.

Maybe we should have a separate thread? Hopefully it won't get to the Emirates Scam thread levels...

In the words of a famous FT'er...

Let the speculation begin...
DYKWIA is online now  
Old Dec 16, 16, 1:01 pm
  #2  
Ambassador: Emirates Airlines
Original Poster
 
Join Date: Sep 2004
Location: Manchester, UK
Posts: 15,699
Oh, and just to say, I have bugger all insight, so I'll leave it to the experts.
DYKWIA is online now  
Old Dec 16, 16, 1:58 pm
  #3  
 
Join Date: Nov 2013
Posts: 5,156
Is this in response to someone stealing the wishlist thread off you again
eternaltransit is offline  
Old Dec 16, 16, 2:44 pm
  #4  
 
Join Date: Oct 2015
Location: Economy, mostly :(
Programs: Skywards Gold
Posts: 7,782
Originally Posted by eternaltransit View Post
Is this in response to someone stealing the wishlist thread off you again
I was about to say the exact same thing. He has to have some kind of sticky thread :P

Don't you know who he is?
skywardhunter is offline  
Old Dec 16, 16, 3:50 pm
  #5  
 
Join Date: Apr 2015
Posts: 430
So, What is EK's strategy?
avcritic is offline  
Old Dec 18, 16, 6:28 pm
  #6  
Xlr
 
Join Date: Feb 2011
Location: San Francisco, CA
Programs: Amex Platinum, Chase Sapphire Reserve
Posts: 746
I noticed anecdotally that more and more people in the US - even from here in California - are traveling overseas. The data confirms this: http://travel.trade.gov/research/monthly/departures/ - it's been over 5% annual growth since the recovery. I have friends who took their families overseas to visit Japan for Thanksgiving break (!!), preferring to meet relatives for Christmas instead.

On the other hand, it's becoming cheaper than ever to fly abroad, and as discussed elsewhere, low-cost macro environments are not a purely good thing for Emirates. Here at SFO, Emirates now has to compete against not only against the usual suspects like Etihad, but also nonstops from China and even Air India (made possible in part by the low oil prices).

It seems like every market in the world has these issues, but the intensities differ, and that's where the opportunities may exist for Emirates to move quickly to make money in this environment. They've done well to launch MCO and FLL.

EK's long-haul A380 product is still a very good asset and better than most of the competition, despite uncertainties in the future of that aircraft.
Xlr is offline  
Old Dec 21, 16, 10:03 am
  #7  
 
Join Date: Jul 2009
Location: BWI
Programs: HHonors Diamond, SPG Gold
Posts: 745
Originally Posted by Xlr View Post
I noticed anecdotally that more and more people in the US - even from here in California - are traveling overseas. The data confirms this: http://travel.trade.gov/research/monthly/departures/ -
I think with the rising dollar (and with a more rosy economic growth forecast in the US vis a vis other established economies, an ever higher dollar in the near-term future) you will see more companies trying to capture share in the US TPAC/TATL market. Both because you can charge higher prices with increased US travel demand (and you can get away with it), but as well as not having to dilute your overseas earnings into your dollar-pegged dirham/riyal/etc.
pokeable is offline  
Old Jun 1, 17, 11:09 pm
  #8  
 
Join Date: Mar 2011
Posts: 540
Flydubai and Emirates merger?

An Emirates-flydubai merger is not the farfetched topic it was a few years ago. There would, of course, be integration matters to address: co-locating flydubai with Emirates, and moving flydubai more upmarket from its existing hybrid model (albeit one that already has inseat IFE and recliner business class seats). These are not easy, but nor are they insurmountable.

flydubai effectively gives Emirates a ready made narrowbody operation. flydubai would enlarge Emirates' network; allow Emirates to grow frequency on seat constrained markets (like India) by replacing widebodies with more numerous narrowbodies; and right size regional capacity that is suffering from overcapacity because of the large use of widebodies.
This CAPA article has an interesting proposal about the possibility of merging EK and FZ. I'm not all too convinced a merged EK and FZ would have any benefits. I think a closer operational agreement between the two airlines, specifically to reduce the overlapping between the two, would prove to be a greater strength than combining the two. Albeit, most strengths could only be achieved operating out of a single terminal.

I imagine that if the tables were turned, and EK operated an extensive narrow-body fleet simultaneously with wide-bodies, that there would be a proposal to spin off the narrow-body fleet into a separate fleet.


https://centreforaviation.com/insigh...lydubai-341033
CaptainEKAirbus is offline  
Old Jun 1, 17, 11:12 pm
  #9  
 
Join Date: Aug 2012
Location: MAN DXB ✈️
Programs: Skywards Gold
Posts: 6,530
Originally Posted by CaptainEKAirbus View Post
This CAPA article has an interesting proposal about the possibility of merging EK and FZ. I'm not all too convinced a merged EK and FZ would have any benefits. I think a closer operational agreement between the two airlines, specifically to reduce the overlapping between the two, would prove to be a greater strength than combining the two. Albeit, most strengths could only be achieved operating out of a single terminal.

I imagine that if the tables were turned, and EK operated an extensive narrow-body fleet simultaneously with wide-bodies, that there would be a proposal to spin off the narrow-body fleet into a separate fleet.


https://centreforaviation.com/insigh...lydubai-341033
Amazing imagine a downgrade from EK metal to FZ metal
m3red is offline  
Old Jun 1, 17, 11:22 pm
  #10  
 
Join Date: Mar 2011
Posts: 540
Originally Posted by m3red View Post
Amazing imagine a downgrade from EK metal to FZ metal
I think the lack of DP would be enough of a reason to avoid for you m3red
CaptainEKAirbus is offline  
Old Jun 2, 17, 12:05 am
  #11  
 
Join Date: Aug 2012
Location: MAN DXB ✈️
Programs: Skywards Gold
Posts: 6,530
Originally Posted by CaptainEKAirbus View Post
I think the lack of DP would be enough of a reason to avoid for you m3red
Well given the crazy prices I've been ending up with J flex plus seats for the same price that I paid for F last year 😥
m3red is offline  
Old Jun 2, 17, 4:09 am
  #12  
 
Join Date: Apr 2016
Location: Newcastle upon Tyne, UK
Programs: Starbucks Gold
Posts: 199
Originally Posted by CaptainEKAirbus View Post
I'm not all too convinced a merged EK and FZ would have any benefits. I think a closer operational agreement between the two airlines, specifically to reduce the overlapping between the two, would prove to be a greater strength than combining the two.
I'd agree with that. Flying long-haul on a narrow body is not much fun, and I'm not sure that sticking Emirates logos on FlyDubai metal is going to do much for their brand, especially in Western Europe and the Far East.

But operating closer together, with codeshares etc, to prevent duplication might well work. I can't see how flying a B773 or even an A380 from Dubai to Muscat is going much for them.
Arctic Troll is offline  
Old Jun 3, 17, 8:48 am
  #13  
 
Join Date: Nov 2007
Location: KYE
Posts: 4,146
Two words can sum up EK strategy: Tim Clark.

I hardly see any possibility of EK and FZ merging from different bases when TC himself said that moving FZ to DWC will free more slots for EK.

If by strategy we're talking 10 years and beyond, then, anything is possible. By then EK may or may not have TC on board, the aviation industry may or may not change significantly, and EK/FZ/EY/G9 may or may not find some synergy.
edy4eva is offline  

Thread Tools
Search this Thread
Search Engine: