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You are here: Home  >  Travel Magazine  >  Executive Travel  >  Airline Briefing  > Qantas Airways enduring icon of Oz 090108.
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Qantas Airways: enduring icon of Oz



January  2008

The past few years have not been the best in the history of the Australian flag carrier. But innovations this year should return the airline to its winning ways, says Jonathan Hart

Initially, it comprised little more than a curtain separating the bulk of passengers from a select few. But that was almost 30 years ago; it was the world's first Business Class and the pioneer was an airline whose colourful history and achieve-ments continue to be the fuel of bar room banter for aviation and trivia anoraks alike.

No such pioneering firsts can be claimed this time by the now 88-year-old Qantas, which this month is launching Premium Economy cabins, and in the summer the first of its delayed 20 Airbus A380s. Other airlines stole the march this time.

Yet both launches mark significant milestones for a carrier that since its privatisation in the mid-90s has remained profitable but, unusually, below the pioneering horizon, flying through troubled skies, staff upheavals and investor uncertainty.

It has been a period during which the world's second-oldest airline – perhaps best known for its remarkable safety record – has undergone drastic, not to mention painful, internal surgery, battled    the external consequences of 9/11, absorbed the advent of low-cost airlines, and survived the transformation of Australia's domestic and regional markets into a fiercely fought battleground      strewn with the corpses of other legacy carriers.

A period in which the airline famously born as an Outback puddle jumper, originator of the Flying Doctor service, and pioneer of the Kangaroo Route to Europe 60 years ago, has also seen off a takeover bid to remain the majority owner of the instantly recognisable symbol of everything that's proudly Australian. As well as continuing to be the chief sponsor of the country's national sporting prowess on the rugby and soccer fields.

A leaner and greener but still bullish Qantas emerging from this decade or more of challenges is today poised to ride the crest of a revived aviation wave that promises to see passenger numbers double globally in the next 15 years, according to Qantas chief executive Geoff Dixon.

"We are working our assets harder and smarter than ever," he claims. The airline's various businesses have been segmented, new services established, others outsourced, and overall operating costs have been lowered. And armed with a clear dual-brand strategy and better than expected carryings and profits over the past year, the Qantas Group is entering a new growth paradigm with renewed confidence.

A primary key to this is teaming Qantas, the legacy carrier, with Jetstar Airways as the low-cost model, and outfitting both with the latest fuel-efficient aircraft. Another key is for the group to expand and optimise services in conjunction with newly established associate carriers or partners in its home Asia/Pacific region, predicted to be the world's largest single passenger market within the next few years.

Huge investment, estimated to be more than A$35billion (€21 billion), has been made in new generation aircraft. Alongside the Airbus A380s, the first of a 115-strong fleet of Boeing 787s also comes into service (with Jetstar) this summer.

At the same time, Qantas appears to be back to its familiar pioneering ways with a raft of new ground and in-flight services, including internet and e-mail connectivity aboard new aircraft.


What you get with Qantas
Brands: Qantas (founded 1919) and Jetstar Airways (founded 2004). Also, QantasLink (a partnership of domestic Australian carriers), and JetConnect (New Zealand domestic and TransTasman services)
Affiliates: Jetstar Asia (Singapore), Valuair (Singapore), Pacific Airlines (Vietnam), Air Pacific (Fiji)
Fleet: 213 aircraft, including 34 Boeing 747s, 29 Boeing 767s, and 10 Airbus A330s
On order: 126 aircraft, including 20 Airbus A380s, 65 Boeing 787s, 68 Airbus A320/321s, 31 Boeing 737-800s, three Airbus A330-200s
Hubs: Primary – Sydney, Melbourne; secondary – Brisbane, Perth, Adelaide, Darwin, Singapore
Destinations: 81 globally
New routes planned: Santiago, Dubai
New product: Premium Economy aboard Boeing 747-400s and Airbus A380s, a 32-seat budget Business Class with dedicated check-in, 40-42in. seat pitch, and advanced entertainment/ meal/drinks services
Alliance: oneworld
Loyalty scheme: Qantas Frequent Flyer, offering points earning and redemption compatible with all oneworld airlines, plus partners, including car rental, hotel and credit card companies. Points validity is three years. Entry tier is bronze, rising to silver, gold and platinum. A compatible loyalty scheme is planned for Jetstar Airways
Lounges: new First Class lounges recently opened in Sydney and Melbourne. New or upgraded First and Business Class lounges opened in Bangkok, Los Angeles and elsewhere. Additional lounge access available with selected oneworld partners
Website: www.qantas.com

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