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London and return for $250 on Air Asia

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Old 8th Jun 2010, 09:14
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London and return for $250 on Air Asia

I am aware that the previous Asia Air thread (http://www.pprune.org/dg-p-reporting...don-378-a.html) was closed (otherwise I would have posted there), probably because of 'drift'. But this The Age report hints at even lower fares!!


AirAsia offers return fares to London for under $250
ANDREW HEASLEY - The Age
June 8, 2010


Air Asia is offering return flights to London for $217 from the Gold Coast or $240 from Melbourne, airport taxes and charges included.

In the latest salvo in air fare wars, AirAsia is offering return flights to London for $217 from the Gold Coast or $240 from Melbourne, airport taxes and charges included.

AirAsia has been making headlines recently with ultra low- or no-fare flights: the airline offered free flights from some Asian ports to Bangkok to help restore tourism after the recent civil conflict there and earlier last month with one-way $378 Australia-London flights.

But Melbourne-Kuala Lumpur (KL)-London return for $240? That's probably unprecedented.

The rock bottom special fare is part of a network sale that starts at 2am on Wednesday, June 9 and runs for 48 hours.

The sale fares are for travel between October 11 to 14 November 14, 2010 only.

Of course the usual airline caveats apply: seats are limited and some methods of payment may attract additional charges

The fares are purchased as discrete sectors: travellers from Melbourne or Perth to KL will pay $73 one way, but only $23-$27 on the return leg.

From the Gold Coast it is $56 to KL but only $21 coming back.

Once in KL the options broaden significantly with $10 flights to London and a host of Asian destinations, including India, and $26 to $130 back to KL.

While the fares might be easy on the hip pocket, history shows they're not as easy to book.

The last time AirAsia had a big sale its website ground to a halt, unable to cope with the volume of internet hits.

AirAsia recently reported a net profit after tax of $A81.23 million (224.11 million Malaysian ringgit) for the first quarter of the year, up 10 per cent on a year ago, and a 17.1 per cent increase in passengers, to 3.7 million carried.

One secret to its financial result is that the low-cost airline charges extra for things others include in ticket prices, such a meals, beverages, in-flight entertainment and extra baggage.

Those "extras" — from so-called "unbundling" of services — accounted for 16 per cent of the airline's revenues.

Domestically, Tiger Airways has announced more Avalon routes — to Adelaide for $25 and Perth $95 one-way, with fares on sale now.

The Adelaide flights start on November 10 and to Perth on November 12.
These two new routes come after flights to the Gold Coast were announced last week.

Avalon airport is Tiger Airway's second Victorian base.
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Old 8th Jun 2010, 09:39
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Clearly they are just buying load factor
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Old 8th Jun 2010, 09:57
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... to support/gain traffic flow for their intention to go through across the Tasman to Christchurch. et all.

(They're not stupid and are very switched-on!)
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Old 8th Jun 2010, 11:18
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I dont care what they are doing that is a give away . Marketing and load factor I think
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Old 8th Jun 2010, 11:23
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Please can you post the link of the orginal news item so i can send it to a friend.

Many Thanks
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Old 8th Jun 2010, 11:44
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It's not the first time AirAsia has done this. It's great for the consumer.

No wonder their pilots are on PTF. I dread this is fast becoming the financial model forward for all airlines in future.
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Old 8th Jun 2010, 13:30
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My Staff travel taxes are bigger then that for the same flight
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Old 8th Jun 2010, 13:35
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FN-GM - here is the link: AirAsia offers return fares to London for under $250
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Old 9th Jun 2010, 03:18
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Sooner they go broke the better!
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Old 9th Jun 2010, 04:46
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Another side of the story

This was reported in today's The Age . . .


AirAsia anger: $240 London fares cause angst
ANDREW HEASLEY – The Age
June 9, 2010


Travellers' anticipation at snaring a $240 Melbourne to London fare on AirAsia has turned to anger among those who missed out.

The rock-bottom fares advertised by AirAsia yesterday went on sale at 2am this morning but were sold out within an hour.

Fairfax has received heated calls today from disappointed travellers complaining about AirAsia, angered that they could not access the sale fares — offers that were still being promoted on AirAsia's website at 2pm today.

One disappointed customer, whose booking ended up costing thousands of dollars — rather than hundreds — has vowed complain about AirAsia to the Australian Competition and Consumer Commission.

But a public relations agent for AirAsia defended the sale, saying that among the various fares in the sale as many as 4000 seats from Australia (exiting Melbourne, the Gold Coast or Perth) to its Kuala Lumpur hub — the first leg of the trip to London — were offered.

"There were a lot of people waiting online last night," the spokesman said.
"It's been a popular sale."

Another 1500 sale seats from Australia to KL were added today in response to customer demand but they too had probably been snapped up by now, he said.

Travellers today complained that the sale fares were still being advertised on the AirAsia website, despite the fares having sold out.

The airline was in the process of uploading a "sold out" banner on its site, and had already pulled web sale ads on third-party websites, the spokesman said.

In Kuala Lumpur yesterday, no sooner had AirAsia announced its ultra-low sale fares than the carrier's chief executive Tony Fernandes advised the Malaysian stock exchange of the parent company's intention to spin-off its subsidiaries.

It intends to list its long-haul operation, AirAsia X, as a separate entity, rather than keeping the airline under the one corporate umbrella of its parent company AirAsia Berhad.

AirAsia X would be offered for listing, subject to market conditions, in the second half of next year, he said.

The aggressive manoeuvres being played out in the skies underlines the pressure being felt by carriers such as Virgin Blue, which has warned investors that its profits are being eroded in the market by low-cost carriers.

Virgin Blue's new chief executive John Borghetti seeking to change the trajectory of the airline group's offerings to chase lucrative government and business travellers, rather than rely on bread-and-butter leisure travellers.

Jetstar's direct Singapore-Auckland flights announced today add more pressure on the proposed tie-up between Virgin Blue and Air New Zealand on New Zealand services.
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Old 10th Jun 2010, 04:24
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Air Asia's certificate to operate to Australia is reportedly under serious consideration by Australian authorities for operational reasons.
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Old 10th Jun 2010, 10:30
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Good for consumers? Think again!

AirAsia X listing under study

AirAsia X may list in HK or US

The 4 individuals that hold Aero V are using AAX as a vehicle to make big bucks for themselves riding on AAsia's fame. Assuming 48% stake in AAX is shared among all four equally,12% each. Virgin group,AA only 16% each. Orix and Manara only 10% each.AAX is using AA infrasture in all ways. Engineering equipments,pax reservation systems,etc. Oh yes, how about Tune money,Tune hotels,Tune talk.....guess who own these companies that using AA as a brand and use AA customers base to establish these companies?

They're gonna list overseas because easy money compare to local stock market. They want big money!! Not giving you a free seat!! If they want to benefit the travelling public, they'd give more free seat!! Dishing out a couple of cheap seat which otherwise would have gone unoccupied actually attracts all rush snap up the seats allocated for lower fares. Thus filling the a/c fuller and the higher fare seats get sold too!!

Their pilots are not following FTL scheme base on CAP371 recommanded by DCAM. I sure hope DCAM wakes up to this soon before someone losses their lives!!

....and some still think this is good for consumers!!
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