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@BA744fan. You mention that “some properly channelled investment in customer service would go a long way”.
Well maybe, and maybe not. If they invest in Customer Service then they have to see a return. On Tirana1’s particular route I doubt a lot of competition exists, and thus prices will be high but the pressure on the business to deliver excellent customer service will be low. If Tirana1 were to fly say London – New York they would have the choice of at least six airlines for a direct flight with probably thirty flight departures.
If I was BA I would concentrate my customer service where competition is highest, not necessarily where margins are highest.
I am guessing London – Almaty has two airlines with one flight a day each. So BA have a 50% chance of getting Tirana1’s business, whereas if they were flying London New York their chances are only 15% or so.
Bottom line is, resources will go where competition is highest, because even though margins are smaller, overall turnover is much higher. Thus I am figuring their flight was in the bottom quartile of where BA needs to be competitive. I know there is a lot of guesswork in my post, but hopefully you can see the gist.
That said Tirana1 was charged for a product they did not get, and thus they should be adequately and properly compensated.