WestJet visibility poor in Eastern Canada
Jun 16, 2010, 6:14 pm
#1
A FlyerTalk Posting Legend
Original Poster
Join Date: May 2002
Location: YEG
Programs: HH Silver
Posts: 56,446
WestJet visibility poor in Eastern Canada
http://www.theglobeandmail.com/globe...rticle1606567/
WestJet Airlines Ltd. (WJA-T12.43-0.11-0.88%) is red-faced about its lagging market share in the lucrative Toronto-Ottawa-Montreal corridor and is vowing to strike back against upstart Porter Airlines Inc. with a new emphasis on the business traveller.
After 14 years of playing the role of underdog against much larger Air Canada, WestJet finds itself in the unusual position of trying to win back market share in Eastern Canada against a small, feisty competitor that has yet to celebrate its fourth birthday.
“I’m almost embarrassed to say that in the Toronto market, we have lower brand awareness than does Porter, a company with 20 small planes versus a company with almost 90 large planes,” WestJet chief executive officer Gregg Saretsky said Wednesday during an investment webcast from New York, organized by Merrill Lynch.
Calgary-based WestJet, founded in 1996, is “very much a Western Canada-focused company and so we have a much stronger presence there. We do suffer in Eastern Canada from a low top-of-mind awareness,” Mr. Saretsky said. He is counting on a new frequent-flier program, bundled fares and a loyalty credit card co-branded with RBC MasterCard to help woo key corporate customers.
WestJet Airlines Ltd. (WJA-T12.43-0.11-0.88%) is red-faced about its lagging market share in the lucrative Toronto-Ottawa-Montreal corridor and is vowing to strike back against upstart Porter Airlines Inc. with a new emphasis on the business traveller.
After 14 years of playing the role of underdog against much larger Air Canada, WestJet finds itself in the unusual position of trying to win back market share in Eastern Canada against a small, feisty competitor that has yet to celebrate its fourth birthday.
“I’m almost embarrassed to say that in the Toronto market, we have lower brand awareness than does Porter, a company with 20 small planes versus a company with almost 90 large planes,” WestJet chief executive officer Gregg Saretsky said Wednesday during an investment webcast from New York, organized by Merrill Lynch.
Calgary-based WestJet, founded in 1996, is “very much a Western Canada-focused company and so we have a much stronger presence there. We do suffer in Eastern Canada from a low top-of-mind awareness,” Mr. Saretsky said. He is counting on a new frequent-flier program, bundled fares and a loyalty credit card co-branded with RBC MasterCard to help woo key corporate customers.
Jun 16, 2010, 10:42 pm
#2
Join Date: Dec 2008
Posts: 797
http://www.theglobeandmail.com/globe...rticle1606567/
WestJet Airlines Ltd. (WJA-T12.43-0.11-0.88%) is red-faced about its lagging market share in the lucrative Toronto-Ottawa-Montreal corridor and is vowing to strike back against upstart Porter Airlines Inc. with a new emphasis on the business traveller.
After 14 years of playing the role of underdog against much larger Air Canada, WestJet finds itself in the unusual position of trying to win back market share in Eastern Canada against a small, feisty competitor that has yet to celebrate its fourth birthday.
“I’m almost embarrassed to say that in the Toronto market, we have lower brand awareness than does Porter, a company with 20 small planes versus a company with almost 90 large planes,” WestJet chief executive officer Gregg Saretsky said Wednesday during an investment webcast from New York, organized by Merrill Lynch.
Calgary-based WestJet, founded in 1996, is “very much a Western Canada-focused company and so we have a much stronger presence there. We do suffer in Eastern Canada from a low top-of-mind awareness,” Mr. Saretsky said. He is counting on a new frequent-flier program, bundled fares and a loyalty credit card co-branded with RBC MasterCard to help woo key corporate customers.
WestJet Airlines Ltd. (WJA-T12.43-0.11-0.88%) is red-faced about its lagging market share in the lucrative Toronto-Ottawa-Montreal corridor and is vowing to strike back against upstart Porter Airlines Inc. with a new emphasis on the business traveller.
After 14 years of playing the role of underdog against much larger Air Canada, WestJet finds itself in the unusual position of trying to win back market share in Eastern Canada against a small, feisty competitor that has yet to celebrate its fourth birthday.
“I’m almost embarrassed to say that in the Toronto market, we have lower brand awareness than does Porter, a company with 20 small planes versus a company with almost 90 large planes,” WestJet chief executive officer Gregg Saretsky said Wednesday during an investment webcast from New York, organized by Merrill Lynch.
Calgary-based WestJet, founded in 1996, is “very much a Western Canada-focused company and so we have a much stronger presence there. We do suffer in Eastern Canada from a low top-of-mind awareness,” Mr. Saretsky said. He is counting on a new frequent-flier program, bundled fares and a loyalty credit card co-branded with RBC MasterCard to help woo key corporate customers.
I'd rather be invisible and very profitable than visible and losing money all the time!
Jun 17, 2010, 12:49 pm
#3
A FlyerTalk Posting Legend
Original Poster
Join Date: May 2002
Location: YEG
Programs: HH Silver
Posts: 56,446
Jun 17, 2010, 3:08 pm
#5
Suspended
Join Date: Nov 2002
Location: Toronto YYZ UA-1K 1MM,QFgold
Programs: Royal Ambassador/ SPG Platinum 75/Marriott gold
Posts: 14,283
West Jet at some time is going to have to get YYZ to work for them. However its nice to have west jet lose money in YYZ so we get some of our western oil money back
Jun 18, 2010, 11:30 am
#6
FlyerTalk Evangelist
Join Date: Mar 2003
Location: Vancouver
Programs: AE
Posts: 10,566
Interesting strategy for WS. It works for Walmart, but will it work for air travel. If Saretsky is indeed signalling AC about seat sales, perhaps WS is finally moving into its mature company stage, where profits won't be driven solely by rapid expanison.