The Jetstar v Qantas conundrum down under

Jetstar-Qantas.jpgHere’s another thing about this morning’s press conference – they really show that Jetstar (EBIT of A$121 million) is becoming the star of the Qantas Group, with the full-service flagship Qantas Airways making only half of that at A$60 million.

The traffic figures bear this out, with Jetstar posting significantly stronger growth in RPKS and actual passenger numbers. Qantas is also facing strong competition on key route such as those to Los Angeles and London.

Sure, Qantas would say that full-service carriers everywhere were devastated by the economic crisis. However, the Group’s two-brand strategy increasingly appears to be Jetstar leading and Qantas following.

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