Jet naked

[timel]

http://business.financialpost.com/2014/ ... ederated=1

A group of seasoned air travel executives is raising money to create a new no-frills Canadian airline they’ve dubbed Jet Naked.

Jet Naked says it expects to offer fares at less than 60% of those currently offered by Air Canada and WestJet.

The company aims to follow in the footsteps of ultra-low cost carriers like Ryanair, Spirit Airlines and Air Asia by unbundling all the services typically built into an airfare, including food, drinks, carry-on and baggage. Passengers will be able to choose whether they want to pay for these services or opt for a bare-bones experience.

Cheap cheap cheap...

[Legacy]

Again? Frig, Tim give it up already. Revenge Air v2 is what it should be called.

[timel]

Ultra Low cost is never going to work in Canada. Not enough population, wide land cover.

[DanWEC]

I can see how a a deleting a meal and a carry-on can equate to a 60 percent reduction per seat.... Most of the current carriers' ticket cost goes to that organic whale semen that's garnishing the rack of unicorn. Medium rare of course.

[flyinhigh]

What is the deal with Morgan anyway?

Was he forced out of Westjet, or did he just leave on his own?

I cannot see why a guy would want to start another company when his other company (enerjet) is doing so good. That said, it says they have a fleet of 3 737's already ready to go. Could it be that enerjet is going bye bye, and that the folks that work there are going to fly for this venture.

[Calin Robandfistyou]

Probably will just be an extension of Enerjet if it does get to fruition. Also remember when Enerjet was first starting up they called themselves "NewAir and Tours", expect the same here, JetNaked is most likely just a working name for now. Anyone know when their contract with Transat expires? Perhaps this is the plan to re-deploy the 37's.

[YYCDavid]

I don't think anyone there knows what's going on, probably on panic mode since Air Transat will soon no longer need Enerjet as sub charters with the new AT 737-800s coming onboard and the competition heating up on oil sands flying. I saw an Enerjet 737-700 parked at the terminal in YYC Saturday, it looked dirty being all white. I don't get what they are doing anyway.

[brooks]

With Canadian North looking at NGs in the near future I think Enerjet will just go the way of Flair and bid on Suncor flying etc. once AT gets enough 737NGs the gig is up on that end. From what I understand Enerjet is living off on AT flying and Sub-Charters through CDN. With Encore and the their cost effectiveness it wouldn't take long to run any super low cost carrier into bankruptcy.

[timel]

http://www.cbc.ca/news/world/jetlines-c ... 15?cmp=rss

Canada Jetlines Ltd. of Vancouver recently announced plans to raise $10 million to list on the TSX Venture Exchange, on the heels of an announcement by another low-cost carrier, Jet Naked, which is hoping to raise $30 to $50 million to operate out of Calgary.

The airlines will be trodding a well-worn discount runway of dead airlines such as Canada 3000 and JetsGo.

"Those airlines went head-to-head with the full-service airlines," Jetlines president David Solloway told CBC News on Friday. "We don't plan on doing that."

Instead, Jetlines plans to carve out a niche in the ultra low-cost segment, where the airline can keep base fares as much as 40 per cent lower than the incumbents by flying to underserved airports and connections, while charging for extras such as carry-on baggage, beverages and seat selection.

"We call it à la carte," Solloway said.

The low-cost carrier, set to launch in the spring of 2015, plans to service primarily airports west of Winnipeg, but also a few select others in Central and Eastern Canada. Solloway says he doesn't want to reveal specific routes until after the appropriate Transport Canada approvals have been granted.

Official data show Canadians took only about one per cent more flights this year, and airfares increased by about 1.5 per cent. But those numbers hide the true demand for cheap travel because they don't include the estimated 5 million Canadians a year who travel to U.S. airports to save money on flights.

Data show that some 960,000 people from B.C. travelled to airports in Washington state last year to travel, Solloway notes.

"Competition is good because low-cost airlines stimulate the market," he said.

Jetlines will be facing competition not only from Jet Naked but from WestJet's new regional carrier, Encore, and Air Canada's recent spin-off, Rouge.

Jetlines still needs $40 million in order to launch. It has hired Euro Pacific Canada to help reach its goal.

Fuel is more expensive. Taxes are always higher and higher. But they can make it 40% cheaper.

When the pilots and FAs accept to take a 40% cut in their salaries, pay for trainings, so that people can travel cheap the same people who will still require a four star service on board.

Mother Theresa will be back on earth and pilots will be saints.

[trey kule]

Fuel is more expensive. Taxes are always higher and higher. But they can make it 40% cheaper.

"Base fares". You gotcha read the weasel words. Taxes..."fees and surcharges". Are extras.....and fees and surcharges, for the most part, are nothing more than regular business expenses...just a marketing issue.

I would anticipate the real cost of a ticket about 10 % lower...unless you agree to help clean the plane at the end of the trip for a further 1%. , loyal customer discount.

[timel]

Fuel is more expensive. Taxes are always higher and higher. But they can make it 40% cheaper.

"Base fares". You gotcha read the weasel words. Taxes..."fees and surcharges". Are extras.....and fees and surcharges, for the most part, are nothing more than regular business expenses...just a marketing issue.

I would anticipate the real cost of a ticket about 10 % lower...unless you agree to help clean the plane at the end of the trip for a further 1%. , loyal customer discount.

I guess I agree.

I think Low cost like Ryanair have been able to start in Europe due to heavy subventions that they have received because they were creating jobs and developing smaller airports. Also Irish regulations are very permissive and good for business profits. So far not much subventions for the new arrivals.

At Ryanair if you forget to print your boarding pass they make you pay like 70£ and it happens a lot. Extra luggages fees, limitations are so restrictive people end up paying. Fuel, pilots have to carry what they just need enough for the flight to reduce weight, it got them into troubles a few times. Plane barely get cleaned on turns. Everything you get you pay. Copilots pay for their trainings and they were barely paid few years ago. Don't know how it is now. Flight attendants pay for their training and they only get paid when aircraft is wheels up.
I think it's important to know what we accept and what we don't want.

Still it is a business plan I do not understand.

[cdnpilot77]

Copilots pay for their trainings and they were barely paid few years ago. Don't know how it is now

All their pilots pay for their training which includes paying their own hotels and transportation to the training facilities if required etc. Additionally, as if that wasn't enough, if they have layovers on their schedule, the pilot picks up their own hotel tab at a negotiated rate by the company. How generous of the company to negotiate a decent rate for their pilots to pay while on a company roster. Ridiculous!

[trey kule]

Flight attendants pay for their training and they only get paid when aircraft is wheels up.

I dont know how it is now, but it seems to me that one of Canada's beloved airlines used to only pay their Owner/FAs from door closed to door open,,,,a case of degree, rather than difference.

And I am not defending Ryan Air. Personally I think they are the slimiest of the slimiest....but you know what? They have a market as people are willing to be treated like that so they can save a few pounds...and pilots for the privilege of calling themselves airline pilots.

[pelmet]

They have a market as people are willing to be treated like that so they can save a few pounds...and pilots for the privilege of calling themselves airline pilots.

Sounds like a bit of a scam where people think they will fly cheaper but once you pay all the unexpected fees, you didn't save nearly as much as you thought you would.

[trey kule]

Of course its a scam.. A legal one.
Ever go on a website to rent a car...9.95 a day ends up being 400 a week after all the add ons.
Remember the "activation fee" the cell phone folks were charging. Or the car dealers who add on a $75 registration fee.

The fact is people are stupid. There I have said it.

People still believe Westjet is cheaper than Air Canada.

[cdnpilot77]

the car dealers who add on a $75 registration fee.

That was a "legit" licensing fee...it's the "admin" fees for paperwork that are up to $600 at some places in the YYZ area now. Just bought a new van to haul around the little tax deductions and politely declined to purchase at any dealership that thoughtfully offered me such upgrades, but I digress

[Gino Under]

Well, if pilots haven't learned by now NOT to sign training agreements (even the government expects employers to pay for employee training), if pilots by now don't understand the abusive intentions and exploitive nature of the LCC, so-called airline, and the reasons why they should NOT work for them then they get what they deserve and deserve what they get.
I, for one, won't be wishing Jet Naked (you're sh*ttin' me with that name, right?) good luck anytime soon. If I were young enough, I wouldn't waste the time to even think about applying. Fortunately, I'm closer to retirement and sanity than most who would consider Jet Naked.
I sure hope there's a good number of pilots out there who give this and other LCC operators a miss.

Naw. Didn't think so.
Maybe I'm not as close to sanity as I imagine.
Where's Hooters airline when you need them?
http://m.airliners.net/photo/detail/id/2417196
They really kept abreast of things.

Gino Under

[brooks]

But those numbers hide the true demand for cheap travel because they don't include the estimated 5 million Canadians a year who travel to U.S. airports to save money on flights.

Data show that some 960,000 people from B.C. travelled to airports in Washington state last year to travel, Solloway notes.

How the hell does that make sense? You're going to fly within Western Canada and you pull this stat as evidence of demand?

[bmc]

Ryanair is dirt cheap. Took the family from Geneva to London one Christmas. $400 tax in, for a family of four, leaving from Isere-Grenoble airport. Parking for the week was $15. Eldest daughter flew from Oslo to Dublin for St. Patrick's day for EUR 30 tax in. So what if the seats don't recline? I'm typing this on a train from Geneva to Basel with seats that don't recline on this three hour ride that I paid $71.

Low cost grows the market. It's a known fact. Not only do they grab market share, they steal from roads and trains. Ryanair is a very successful airline offering great fares. You don't get a lot of service on Canadian carriers when you fly economy, so what's the big deal if you get no service? There ain't no pretty biscuit shooters on this morning's train.

As for pilot conditions, it's up to the guy taking the job whether the conditions are acceptable or not. Don't slam the airline because someone signed up for it. Unless, of course, pilots are not as smart as I have been lead to believe.

[whiteguy]

Flight attendants pay for their training and they only get paid when aircraft is wheels up.

I dont know how it is now, but it seems to me that one of Canada's beloved airlines used to only pay their Owner/FAs from door closed to door open,,,,a case of degree, rather than difference.

And the other pays brakes released to brakes set +15, same as the pilots. So does just about every other airline in the world....

[timel]

I'm not sure low cost can be successful in Canada like they have been in Europe. Sure a bunch of people will run like crazy to buy "cheap tickets" since airlines have been ripping them off for years.... Walmart style.


Ryanair made it out with heavy subventions. Other low cost are mostly like westjet encore sub companies. They are all starting and beating up on each others right now. Will see how it comes out in a few years.

I'm not against efficiency and results but quality remains an important factor in aviation. Ryanair is gone really low, and it's abusive. Their flight attendants do not even have RCR or medical trainings. They've had a few passengers with cardiac arrests, lucky they had passengers who knew what to do on board. They just asked the pilot to land asap and than stared at passengers who were performing RCR.

Training for pilots is expensive. Except if jet naked or what's so ever want to start their cadets program, when you have to go through 70k training end up with 250hrs no jobs, make it up 3500 hrs to end up copi in a 737 and do 40-45k in crappy airlines exausted by payments and sacrifices, it doesn't make any sens.

I mean bus driver in MTL, no college degree are getting paid like 60k and a good pension. Trains ain't that bad either I heard. My frustration when I hear about low cost is how pilots conditions will turn out. Europe has had it's fair share of horror stories. My hope is that no one will be willing to go back down if they are earning 50-85k doing 703-704 ops. That is why changes and salaries have to start from the bottom and not at the end.