Qantas banking on fliers to pay $12,000 for 24-hour flights

Bloomberg

Wanted: Hundreds of people to sit in a plane for 20 hours. Must be willing to pay lots of money. Claustrophobes needn’t apply.
Conceived prior to the Covid crisis, Qantas Airways Ltd’s plan to operate the world’s longest nonstop commercial flights from southeast Australia to New York and London is being resurrected in a much-changed aviation landscape, with global carriers reeling from the pandemic and people wary about travel.
Qantas, which lost over A$22 billion ($15 billion) in revenue due to virus-related border curbs, is banking on passengers being willing to pay a premium to avoid layovers and get gargantuan journeys over and done with in one go.
But some regular fliers are balking at potentially paying 30% extra for a direct flight compared with a two-leg journey. While fares may differ by the time the flights start, a return nonstop Sydney-New York business class ticket could cost more than A$18,000 — enough to buy a new compact car — based on October flights listed on Kayak for the same route with a stop in Los Angeles.
And not everyone is ready to spend almost an entire day and night on a plane, especially in economy class. The “Project Sunrise” flights, which Qantas now plans to start in 2025 after the pandemic delayed their 2023 launch, will place unprecedented physical, mental and financial demands on passengers.
“There would be few circumstances where I’d be prepared to pay a hefty premium for a slightly shorter journey time,” said Nigel Lake, executive chairman of Pottinger Co, a corporate advisory business with operations straddling New York and Sydney.
Prior to Covid, Lake was a regular on Qantas flights stopping in Los Angeles, making him a strong candidate for the new ultra-long haul service. But he plans to stick with two flights to and from Sydney so he can have a shower in the airport lounge or take a walk before the second leg.

A New Era
Now that Australia has almost fully reopened, Qantas needs to win over travelers who for decades have broken their trips to the UK and parts of the US with stops in California, Texas, Southeast Asia or the Middle East.
Success could spawn a new network of nonstop services all over the world. Chief Executive Officer Alan Joyce has said the Sydney-based airline is considering flying direct to Paris, Chicago and Rio de Janeiro. The flights could ultimately add as much as A$641 million to Qantas’s market value, according to Jarden Research.

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