Wirraway
14th Apr 2004, 18:24
Thurs "The Australian"
Qantas flies into 'cheap fare' row
By Ashleigh Wilson
April 15, 2004
QANTAS was forced to declare its allegiance to the Gold Coast yesterday after it was accused of treating Australia's fastest-growing city like "Hicksville".
Gold Coast community and business leaders were fuming after the airline announced it would cut its business-class flights between Melbourne and the Gold Coast, and substitute budget carrier Jetstar. The no-frills service also will take over some Qantas business-class flights to Sydney.
Qantas was forced on to the back foot after The Gold Coast Bulletin accused it yesterday of treating the nation's seventh-largest city like a "no-frills Hicksville" and declared in its front-page headline: "Damn you, Qantas."
The newspaper even offered readers a free trip to Sydney - flying Virgin Blue - for the best response to the decision.
Rob Gurney, head of sales and distribution at Qantas, defended the changes and said the airline was increasing capacity to the Gold Coast by 20 per cent.
"Qantas has never been more committed to the Gold Coast," he said. "We're putting a significant additional investment with more capacity to the Gold Coast, which to us is a pretty strong indication of the value we place on the market."
Mr Gurney said business-class travel to Melbourne was not "economically sustainable" because only two or three seats per flight were taken.
"The (Melbourne) market is heavily skewed towards leisure, which is more price-sensitive, so what we're doing is providing more seats at lower prices which is good for tourism," he said.
But that argument did not wash with new Gold Coast Mayor Ron Clarke, who said he "hasn't been on a Qantas plane that wasn't packed", and called for the decision to be reconsidered.
"If Qantas was marketing a second airline, that's fine, but they're marketing it as a cheap airline, which I think reflects on the destination," Mr Clarke said.
"It says that well-heeled people won't go to the Cold Coast."
Gold Coast Combined Chamber of Commerce chairman John Witheriff said the decision could reduce the amount of business tourism to the city.
"We want to work with Qantas to bring back business class," Mr Witheriff said.
"A number of travellers who come to the Gold Coast choose to travel business class and, whether it's fair or unfair, good or bad, that does impact on the decision of some travellers."
Queensland Premier Peter Beattie said he would "reserve my judgment until we see how it works".
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Qantas flies into 'cheap fare' row
By Ashleigh Wilson
April 15, 2004
QANTAS was forced to declare its allegiance to the Gold Coast yesterday after it was accused of treating Australia's fastest-growing city like "Hicksville".
Gold Coast community and business leaders were fuming after the airline announced it would cut its business-class flights between Melbourne and the Gold Coast, and substitute budget carrier Jetstar. The no-frills service also will take over some Qantas business-class flights to Sydney.
Qantas was forced on to the back foot after The Gold Coast Bulletin accused it yesterday of treating the nation's seventh-largest city like a "no-frills Hicksville" and declared in its front-page headline: "Damn you, Qantas."
The newspaper even offered readers a free trip to Sydney - flying Virgin Blue - for the best response to the decision.
Rob Gurney, head of sales and distribution at Qantas, defended the changes and said the airline was increasing capacity to the Gold Coast by 20 per cent.
"Qantas has never been more committed to the Gold Coast," he said. "We're putting a significant additional investment with more capacity to the Gold Coast, which to us is a pretty strong indication of the value we place on the market."
Mr Gurney said business-class travel to Melbourne was not "economically sustainable" because only two or three seats per flight were taken.
"The (Melbourne) market is heavily skewed towards leisure, which is more price-sensitive, so what we're doing is providing more seats at lower prices which is good for tourism," he said.
But that argument did not wash with new Gold Coast Mayor Ron Clarke, who said he "hasn't been on a Qantas plane that wasn't packed", and called for the decision to be reconsidered.
"If Qantas was marketing a second airline, that's fine, but they're marketing it as a cheap airline, which I think reflects on the destination," Mr Clarke said.
"It says that well-heeled people won't go to the Cold Coast."
Gold Coast Combined Chamber of Commerce chairman John Witheriff said the decision could reduce the amount of business tourism to the city.
"We want to work with Qantas to bring back business class," Mr Witheriff said.
"A number of travellers who come to the Gold Coast choose to travel business class and, whether it's fair or unfair, good or bad, that does impact on the decision of some travellers."
Queensland Premier Peter Beattie said he would "reserve my judgment until we see how it works".
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