Analysis for Asia
Is a true all-LCC option on the horizon for the Australia-London market? AirAsia X’s potential Gatwick relaunch and a Norwegian-Jetstar partnership could make it possible
AirAsia X is planning to resume services on the Kuala Lumpur-London Gatwick route –perhaps as early as late this year if it decided to acquire 777s but at the latest in 2018 as it takes delivery of new A330-900neo aircraft.
Australia has been the testing ground for the long haul low cost model over the last decade and the market has benefited from a disproportionate amount of long haul low cost capacity. Australia still accounts for more than 20% of global long haul low cost capacity even though the sector continues to expand and make inroads in other regions such as Europe and the Americas.
The CAPA-ACTE 2017 Melbourne Aviation & Corporate Travel Summit is just around the corner, scheduled for 30-May-2017. Let’s take some time to learn about some of the incredible speakers scheduled for the event.
“If governments and other stakeholders are serious about safeguarding mobility, it’s time to kill monopolies.” Those were the words of respected low-cost airline guru Tony Fernandes, founder and group chief executive officer of AirAsia in a paper presented to the World Economic Forum earlier this quarter.
Each month the Bureau of Infrastructure, Transport and Regional Economics (BITRE) monitors the punctuality and reliability of major domestic airlines operating between Australian airports.
Singapore Airlines Group Part 3 – The Canberra-Wellington “Capital City” route highlights the SIA-Virgin-Air NZ partnership discords
Singapore Airlines’ initial performance in the Canberra market has been above expectations with the load factor between Canberra and Singapore particularly encouraging. The average load factor on the Canberra-Singapore and Singapore-Canberra sectors in the first five months of the operation was above 80%, fuelled by strong local demand.
Singapore Airlines Group Part 2 - Long haul LCC Scoot to deliver good news for Australian travellers and tourism as it links long haul destinations
The SIA Group has until now failed to capitalise on the potential for linking its range of intra-Group operations. That will change, which is good news for Scoot, as well as for travellers. Another piece of good news comes as Scoot expands its range of long haul destinations to serve over its Singapore hub. Athens is first to be added, in Jun-2017.
Singapore Airlines Group Review Part 1 - SIA has grown its Australia traffic by 50% in five years; launch of Scoot has not impacted parent airline’s performance or growth
The Singapore Airlines (SIA) Group has grown its passenger traffic to and from Australia by 50% over the last five years. SIA the parent airline has grown by 21% while new long haul LCC subsidiary Scoot has accounted for most of the remaining growth.
Indonesia shows a flicker of its tourist potential as Garuda increases focus on Australia-Jakarta routes
Although Indonesia has a population of 250 million people and sits only a few kilometres off Australia’s coast, the massive market is a tiny player in tourism rankings. The number of Indonesian tourists to Australia - at 178,000 in the year to Feb-2017, according to the Australian Bureau of Statistics (ABS) - was less than half the number of Singaporeans (population under 6 million). The good news was that was up 20% year on year, but there’s still a long way to go.
Philippine Airlines (PAL) has emerged as one of the most aggressive competitors on the kangaroo route between Sydney and London since rescheduling some of its Sydney flights in late 2015 to connect with London. PAL could potentially further increase its market share in the highly competitive Australia-Europe market in 2018 as it adds more flights to Australia and launches a second European destination.