Airlines In The Philippines IV

[filipinoavgeek]

Arianespace wrote

filipinoavgeek wrote

@Arianespace

Regarding PR's plans to launch ORD, why ORD?

Good question. That is the only route left in the US PAL never managed to come back to since the 1999 bankruptcy. Meaning, it was a legacy route for them supported by large Filipino diaspora.

The greater Los Angeles, San Francisco, New York, San Diego, and Chicago metropolitan areas had the largest Filipino immigrant communities. These five metro areas were home to 38 percent of Filipinos in the United States. Filipino immigrants accounted for 8 percent of the total population of the greater Honolulu metropolitan area, more than any other comparable city.
https://www.migrationpolicy.org/article/filipino-immigrants-united-states

Do you see PR joining or at least applying for Oneworld under Nutall?

[Arianespace]

Solblanc wrote

Didn't they give KE their slots? With the KE/Asiana merger, isn't it easy for them to ask KE for their slots back?

DL traded their slot to KE. DL lost the grandfather rights left by NW since they ceased operation in May 2021. I would like to think that your view should be a good part of PR retort against DL opposition to get their desired slot back.

[Arianespace]

filipinoavgeek wrote

Do you see PR joining or at least applying for Oneworld under Nutall?

Not at this time. According to Stan, PR is more interested into code sharing than joining alliances because the overhead cost is low. Please don't forget alliances do have standards to be met, and PR latest choice of cabin does not meet one. Richard may be great, but he still have to present convincingly the BOD that it is the right direction. But I doubt he would argue now. Give him 4 years and we would know their direction.  

[Solblanc]

Arianespace wrote

filipinoavgeek wrote

Do you see PR joining or at least applying for Oneworld under Nutall?

Not at this time. According to Stan, PR is more interested into code sharing than joining alliances because the overhead cost is low. Please don't forget alliances do have standards to be met, and PR latest choice of cabin does not meet one. Richard may be great, but he still have to present convincingly the BOD that it is the right direction. But I doubt he would argue now. Give him 4 years and we would know their direction.

There is still the mechanism of “oneworld connect” which Fiji Airways was once part of before they graduated as a full member. You only need to be sponsored by three oneworld carriers for this, and you get cross benefits with the sponsor carriers. PAL can get sponsored by AA, AS, and QR, as they’re already partners.

With DL and UA flying to MNL, PAL needs to up their game in the US market with good partnerships.

[Eatkonomics]

Im curious with PR's relationship with CX, is it good? Frenemies? Can CX sponsore PR's entry to oneworld?  Given the history, im also curios as they did not expand codeshare like with SQ.

Also i would.like to thank everyone for your contributions here. I always visit this site everday and wait for new comments lol. Exciting times ahead for PH aviation!

[seven13]

Arianespace wrote

filipinoavgeek wrote

Do you see PR joining or at least applying for Oneworld under Nutall?

Not at this time. According to Stan, PR is more interested into code sharing than joining alliances because the overhead cost is low. Please don't forget alliances do have standards to be met, and PR latest choice of cabin does not meet one. Richard may be great, but he still have to present convincingly the BOD that it is the right direction. But I doubt he would argue now. Give him 4 years and we would know their direction.

I would rather have PR strengthen and expand its codesharing and interline agreement rather than joining an alliance. JX is rumored to be joining OW this year or next year given CX will not veto its application.

OTOH, CA is planning to start flying CKGMNL this May using a B738 aircraft. I wonder why is PR not trying hard enough to grow its Greater China region and only has MF as codeshare partner. It baffles me why isn’t PR expanding its codeshare agreement with MF beyond XMN and JJN, likewise MF not expanding its codeshare agreement with PR beyond MNL to CEB/DVO/GES

[filipinoavgeek]

It feels so weird to me that Starlux, an airline that is only six years old, is already going to join an alliance in the near future, yet PR, one of Asia's oldest surviving airlines, still isn't. It's also weird when all the other major Southeast Asian flag carriers are already in an alliance.

[Arianespace]

Not weird at all. Sponsor is not also the problem. The market and infrastructure is.

Like what I said alliance membership has certain associated expense, ie implementation and integration cost, and high standards (putting 10ab seats on 35k is not one of them duh) which is rather expensive for the airline to maintain. The basic example of that is revenue splitting from passenger when clearly 98% of their market are Filipinos. Alliance has tremendous benefit if you have plenty of connecting passengers. PAL had few because of inadequate airport infrastructure. SJX and all other alliance members has plenty. Its just basic math.

[filipinoavgeek]

Arianespace wrote

Not weird at all. Sponsor is not also the problem. The market and infrastructure is.

Like what I said alliance membership has certain associated expense, ie implementation and integration cost, and high standards (putting 10ab seats on 35k is not one of them duh) which is rather expensive for the airline to maintain. The basic example of that is revenue splitting from passenger when clearly 98% of their market are Filipinos. Alliance has tremendous benefit if you have plenty of connecting passengers. PAL had few because of inadequate airport infrastructure. SJX and all other alliance members has plenty. Its just basic math.

I don't think Fiji Airways has that many connecting passengers either, it's mainly OD. Though for PR, I wonder if things will change once NMIA comes online, since that will be a lot more conducive for connections.

[Arianespace]

Oh you didn't hear. FJI has substantial traffic to OZ from North America. That is actually their bread and butter.