KQ Permit to Fly Directly to the US - What Are the Expected Benefits?


#1

So yesterday we received news that KQ has been awarded the license to fly cargo and passengers to and from the US. So what are the expected benefits from this achievement?

Personally, I remember shipping my laptop before KENTEX et al. came into existence from the US and it cost me around $75 to ship 10kgs (laptop weight approx 2kgs + laptop package and shippers extra protective packaging and cushioning) and it took exactly 3 days to arrive from the time of shipping.

Problem is, my friend needed me to send his certificate from Kenya to the US ASAP and oooh my, the cheapest I could get is 5,500 ($55) to ship a letter that weighs mere grams? Tried to send a gift and it did cost me like $20 for something that weighed 0.35kgs for normal mail and it took nearly 2 months to arrive.

My expectations are the cost of shipping and sending mails to the US to drop. No more transiting through Europe. This move will create business to people who might want sale local items on Ebay to US consumers. I know of items such as Kericho Gold tea that are on huge demand in the US.

So those are my expectations only, apart from the decrease in cost and time of travelling to the US.


#2

Kenya Airways? I don’t think lowering cost is in their vocabulary. A few years ago I compared return flights to Frankfurt. Emirates (EK)-86,000 KLM $732 and KQ-140,000 don’t forget to add rude crew.


#3

I hope they will because this guys have the most expensive fares out there, coupled with overbooking, and they still end up making losses.


#4

If the license was granted to KQ alone then I don’t think you should expect much change. They are already expensive and this gives them monopoly status which they will use to milk people dry not only in Kenya but the entire region. No need to mention that their financial problems won’t go away. Where do they take all this money they make?


#5

This is hard to tell. Had a problem with them with an overbooked flight. Some friends of mine have experienced the same too. So I wonder, overbooked flights always and the astronomical losses they are making. Where does these money go to?


#6

I’ll tell you where the money goes…

It’s either misappropriated (read stolen), or put into a useless project that won’t yield any returns in like a hundred years.


#7

Like contracting the support staff at a cost of 120,000 per person yet the person is being paid 35,000. Surely, Kidero types of CEOs should not be allowed in any entity.


#8

well,they could monetize direct flights with the right business strategy…fortunately,new management will take advantage of this opportunity to grow passenger and cargo revenue


#9

Really hoping this means that more US e-commerce sites will support shipping to Kenya.


#10

i could be,i can see how guys like local startup vitumob can thrive from this…deliverys can be made within days or within a week from US E-commerce sites