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Airlines and 'High Season'


gobbledonk

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Guys,

 

I was a little surprised to note that Airlines in the Asia-Pacific region are continuing to quote quite high airfares for the Dec-Jan 'High Season'. The questions that linger in my mind are :

 

1. Will demand return to 'normal' within 6 months ?

2. If it does, how many of these airlines will still be operating ?

 

Yeah, I know I'm being pessimistic, but I've always considered the whole 'High Season' thingto be profiteering at its worst, and I look forward to seeing what their stance is in in 3 or 4 months from now (June, 2003).

 

 

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Lowering airfares is no answer to the present crisis. Smart airlines take out capacity in order to keep the yields as high as possible.

 

Demand will certainly start to rise again once the fear of SARS has gone. This might take some 3 to 6 months from now.

 

How many airlines might survive the present crisis? That's very difficult to estimate. Most carriers outside of Europe are still receiving state subsidies. If all were equal (no subsidies) I think about 50 pct of airlines would have to exit the market.

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I am going to assume that you are referring to the cheap restricted economy class fare classes that you are currently seeing. I think the airlines are following their normal procedure. Generally airlines don't load their "real fares" until a couple of months in advance. Very diffficult to forecast the demand for Dec in June. You are more than likely looking at a very less restricted economy fare right now. Depending how demand goes you will either see the fares increse from current levels or decrease as the airlines have to sell the lower bucket seats to entice travelers.

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i just saw today a large advertisement of Thai Airways in local newspapers with promotional prices for return tickets from Bangkok (the advertisement is in thai):

 

Los Angeles: 28'000 baht

Sydney: 17'000 baht

several european destinations: 26'500 baht

etc.

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Says danish30:

I saw some ad from Singapore Airlines All without transit in Singapore, well except the Singapore flight I guess
:)

 

i think your guess is wrong! as Singapore is the Hub of Singapore Airlines, most flights from and to Bangkok go through Singapore (i know they have some flights from bangkok directly to other destinations (i believe japan) but NOT to oversea)

so the disadvantage of this is that you will be treated on arrival in Bangkok like somebody coming from a SARS country!!!

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yep; i have looked for the schedules on their homepage.

all mentioned destinations through Singapore

 

for Los Angeles it is even worse. there is a second stopover and for some of their flights from Los Angeles in... TAIPEI, where SARS is far from under control (other stopover destination is Narita/Tokio)

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Samak,

 

The Singaporeans have taken out full-page ads in the Australian newspaper to reassure the tourists among us that WHO has lifted the SARs advisory, and Singapore is once again the expensive, soulless shopping mall that it was before the panic set in :)

 

Wheeeeeeeeeee !

 

PS For all you Singapore fans out there, I know the island has more to offer than a few shops, but thats the target market in the ads we get down here ....

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