Hitches in SAA's "Brilliant" new low cost airline plan
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HITCHES IN SAA'S "BRILLIANT" NEW LOW COST AIRLINE PLAN
South African Airways, who are currently in thought about releasing a new low-cost airline to battle rivals like Kulula.com, 1Time, Nationwide and BA Comair have overlooked a hitch in their "ingenious" plan.
They were thinking that they would introduce the low cost airline as well as inside South Africa into Namibia with Johannesburg - Windhoek, Zimbabwe with Johannesburg - Harare and maybe even Botswana (johannesburg - Gabarone).
IMPOSSIBLE! The namibian goverment would never allow a low-cost airline in to their contry which, would automatically steal passengers from, and almost definatley bankrupt their national airline, Air Namibia, which is goverment owned. Especially, as people already approach SAA for flights to Namibia before Air Namibia itself. The same goes for Zimbabwe with Air Zimbabwe and Botswana and Air Botswana.
They were thinking that they would introduce the low cost airline as well as inside South Africa into Namibia with Johannesburg - Windhoek, Zimbabwe with Johannesburg - Harare and maybe even Botswana (johannesburg - Gabarone).
IMPOSSIBLE! The namibian goverment would never allow a low-cost airline in to their contry which, would automatically steal passengers from, and almost definatley bankrupt their national airline, Air Namibia, which is goverment owned. Especially, as people already approach SAA for flights to Namibia before Air Namibia itself. The same goes for Zimbabwe with Air Zimbabwe and Botswana and Air Botswana.
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If thats the case then why has Kulula launched services to WDH?
SAA's biggest problem at the moment is trying to stop their corporates from buying their tickets on flysaa.com as there is about a 50% price difference between the web and travel agents.
Me thinks a you will see a new brand in the market- simply to reduce the erosionary effect on full Y fares- why would a passenger pay double for the same seat? Athough dont expect to see too many aircraft in the new livery as SAA will use excess inventory currently allocated to the web to boost the capacity of the start-up.
SAA's biggest problem at the moment is trying to stop their corporates from buying their tickets on flysaa.com as there is about a 50% price difference between the web and travel agents.
Me thinks a you will see a new brand in the market- simply to reduce the erosionary effect on full Y fares- why would a passenger pay double for the same seat? Athough dont expect to see too many aircraft in the new livery as SAA will use excess inventory currently allocated to the web to boost the capacity of the start-up.
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Kulula have been restricted down to 1 flight per day on the Windhoek - Johannesburg route. The goverment allowed them to operate the route after careful investigation concluding it would not affect the passenger numbers for their own national airline, Air Namibia. However, South African Airways, a popular airline with a good reputation and a large fleet, who would want more daily fequencies on the route if they were to go low-cost, would clearly, in the Namibian goverment's eyes, be the inital carrier for the route and in that way, steal passengers from Air Namibia and "take over" the route. The Goverment will not let that happen.
