Austrian Airlines tests low cost short haul flights to Dubai – will customers go for it?

Would you fly to Dubai on the same short haul aircraft that takes you to Amsterdam or Berlin?

The lines between budget and full service airlines are blurring as legacy airlines resort to increasingly innovative ways to compete.

Austrian Airlines – which is part of Lufthansa Group, together with SWISS, Brussels Airlines et al – has just announced a new, seasonal winter trial.

Starting on 1st December, it will operate flights to Dubai five times a week. Rather than use the long haul twin aisle aircraft you would expect on this route, Austrian will operate a short haul configured A320neo.

Note that this is not the ‘Long Range’ variant of the A321neo, which many airlines are now flying with special long haul cabins.

These are standard short haul aircraft that feature the standard narrow seat pitch (leg room) and lightly padded seats with no in-flight entertainment – all things seen as acceptable on the shorter routes they typically fly.

The Dubai flights, which will operate on Mondays, Wednesdays, Thursdays, Saturdays and Sundays, will take between 5:30 and 6:30 hours depending on the direction.

In a self-aware move, Austrian is calling these flights the ‘Dubai Deal’ as it seeks to attract budget-conscious travellers and differentiate it from the rest of its longhaul network.

Return fares are being marketed from €314 in hand baggage-only economy or €374 with a checked bag. Eurobusiness class is priced at €699 return – less than half of what you’d expect to pay in a sale for a flat bed on this route.

The trial is an attempt to make better use of Austrian’s fleet. Austrian Airlines CEO Annette Mann says it will “deploy an aircraft that would otherwise be idle during winter.” With airline schedules typically busiest during the summer, winter marks a less efficient utilisation of aircraft.

“An aircraft in the air is always better than one on the ground – and at the same time, we want to offer our guests a compelling deal. We understand this route comes with strong and very comfortable competition.”

The new service blurs the boundaries between full service and low cost carriers. Up until now, it has largely been ultra low cost carriers such as Wizz Air that have launched long haul routes using short haul configured aircraft, such as its flights between London and Saudia Arabia.

Austrian Airlines is widely regarded as a full service legacy carrier and is not known for its low-cost services.

Rather than pitching these flights under a different brand (perhaps budget sister airline Eurowings?) Austrian is choosing to operate the Dubai service under it’s own name, potentially muddling its reputation.

It’s an interesting choice. Despite the upfront messaging it is still likely to confuse many passengers.

Will other airlines follow suit? Virtually all European carriers have a quieter winter season which is when scheduled maintenance is prioritised. As we’ve seen with the adoption of ’empty middle seat’ Eurobusiness class, where one airline leads many will follow.

Austrian Airlines will have to compete with Emirates with its ‘proper’ long haul economy, premium economy and business class cabins. Will cheap fares make this trial a success? Dubai, after all, is very expensive if you want a beach resort during the peak winter months, and if you can afford the hotel, you can probably afford to fly on a long haul aircraft.