Analysis

Air Canada and Virgin Australia codeshare. Part 1: the partnership is good news for consumers – but competition is mounting

16 January, 2017

From early 2017 Air Canada and Virgin Australia introduce a tidy new partnership. Virgin Australia receives improved access to Canada – a market its existing JV partner Delta can’t sufficiently cover from their shared Los Angeles gateway.

Since Virgin fell out with Air New Zealand, the Australian airline has been looking to reassert itself in Australia-North America markets that it had quietly let Air NZ dominate. Looking to re-establish its turf previously handed to its former shareholder, Virgin has already announced plans to resume trans-Pacific services from Melbourne, which Air NZ had taken traffic from.

Tigerair’s regulatory headache; Indonesia’s ill-timed blooper

13 January, 2017

International aviation is little more than a highly regulated and commercially complex mishmash of a business – as approximately 2,000 passengers, affected by the forced cancellation of several Tigerair services between Australia and Indonesia, discovered the hard way this week. The arcane regulatory system that governs international flights makes the Mad Hatter look sane. That said, authorities have plenty of discretion in how they apply the rules. On this occasion, seemingly one or two Indonesian bureaucrats suddenly suffered discretion deficit.

On Wednesday 11-Jan-2017 Tigerair Australia, at the peak of the summer holidays, was forced to suspend all its services between Indonesia and Australia. A temporary reprieve has since been granted to airline to allow it to transport affected passengers in Bali back to Australia – until Monday 16-Jan-2017.

Air New Zealand gets a reprieve as United cuts back on seasonal Auckland service. But record capacity is good news for tourism – and tourists

12 January, 2017

In early Jan-2017 United Airlines announced plans to cut back its daily San Francisco-Auckland 787-8 service to operate only seasonally. It will suspend the service between 16-Apr-2017 and 28-Oct-2017. This is United's only flight to New Zealand, although it also has two daily flights to Sydney and one to Melbourne.

United started/resumed the service in Jul-2016. The flight operates under a joint venture with Air New Zealand. United's Australian services are excluded from the JV, at least for the time being. This may change for the duration of the Auckland suspension, but to a large extent the Australian services compete with Air New Zealand.

LCCs out to attract business travellers. Part 3: International and Long haul low cost

12 January, 2017

In the third and final article in this series, the Blue Swan Daily looks at long haul vs short haul LCCs. Is the feasibility of the LCC alternative for the corporate travel market limited only to short haul? Or can LCC’s effectively compete with full service carriers on the medium and long haul markets as well.

LCCs out to attract business travellers. Part 2: Looking behind the online fare

11 January, 2017

In Part 2 of Blue Swan Daily’s three part series on the increasing use of Low Cost Carriers by the business and corporate market, we look at we examine the commercial and practical feasibility of LCCs as an alternative to full service legacy carriers for corporate travellers and their travel managers.

Gulf carrier growth in Australia/NZ. Part 1: 2017 to be the largest ever capacity increase

11 January, 2017

As Qatar Airways prepares to launch direct services from Doha to Auckland, in competition with Emirates' existing Dubai – Auckland service, the Blue Swan Daily looks at the rise and rise of Gulf carriers in the Australia / NZ region.

LCCs out to attract business travellers. Part 1: How Qantas, Virgin and Air New Zealand have evolved

10 January, 2017

In a series of three articles, the Blue Swan Daily examines the increasing use of low cost carriers by corporate travellers and travel management companies. While they might be an attractive alternative, there are many details to consider, both by travellers and the LCCs.

Ministerial travel again under scrutiny

9 January, 2017

Ministerial travel entitlements have again come under public scrutiny: Health Minister Sussan Ley has faced calls to resign when it was revealed she had bought a property during a taxpayer-funded trip to the Gold Coast.

According to the Australian Financial Review, Minister Ley has repaid four travel expense claims for trips to the Gold Coast, including one when she bought an AUD795,000 apartment, and has submitted her travel for review by the Finance Department.

The Minister conceded that multiple trips did not meet ministerial standards and that Prime Minister Malcolm Turnbull had told her they were inappropriate. Finance Department guidelines are both generous and lacking in detail - often combined with a lack of transparency.

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Technology advancements top the list of what passengers want in 2017

6 January, 2017

As we move into another year of travel, IATA’s 2016 Global Passenger Survey reveals that passengers are, more than ever, looking towards technology to make their travel experience as smooth as possible.

IATA, the International Air Transport Association, which represents the majority of the world’s airlines, has again conducted its annual Global Passenger Survey, the results comprising the responses of nearly 7,000 passengers from more than 145 countries.

2017 set to become the 'Chinese Year of the Tourist'

5 January, 2017

According to the Chinese zodiac calendar, 2017 is the Year of the Rooster. But with promises of grand concerts promoting China’s finest musicians and food festivals showcasing the nation’s culinary diversity, the China National Tourism Administration (CNTAA) recently launched its ‘China – Australia Year of Tourism 2017’ campaign - making 2017 not just the Year of the Rooster but also unofficially the 'Chinese Year of the Tourist'.

The 'China - Australia Year of Tourism 2017' initiative comes off the back of a landmark free trade agreement entered into between the two nations (and trading partners) back in Dec-2015 with CNTAA stating that the aim of this new initiative is to encourage tourism as well as boosting political, economic, cultural and other bilateral relations so as to “make useful contributions for the sustainable development of China- Australia comprehensive strategic partnership”.

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