Premium airlines will fail if they sell on price

Eos couldn’t make all-business work from London to New York, Silverjet is struggling with New York – London – Dubai, but a new operator hopes to drive a profit from a premium class airline flying within the Middle East.

Elite Jets, in partnership with Jet Aviation, says it can compete with legacy carrier’s first class offers, running smaller jets off-schedule from points around the Gulf, Egypt and Lebanon. It says its hourly rate, with seven people on board, comes in under a first class fare.

They may be right, and the venture has our best wishes, but at this level of the market it’s best not to hark on about price. The target audience – VIPs, CEOs and corporate execs – is much sought after, but doesn’t often pay for travel out of its own pocket. Who cares it it’s cheap, is it good? Plus, the legacy carriers’ loyalty schemes and air miles can be a lock-in.

Much better to promote the uniqueness of the service - the speed, the connectivity, the convenience, the club-like feel of being a airline industry pioneer. All the things the legacy carriers can’t buy.