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Low Air Fares To Stay..

 
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Old 10th Nov 2001, 01:51
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Post Low Air Fares To Stay..

Low air fares to stay

By Jamie Walker
10nov01

WHATEVER happens to Ansett MkII, the good news for Australia's long-suffering flying public is that low air fares are set to stay for Christmas and most likely well beyond.

While the longer-term outlook is problematic – especially with Qantas dominating the domestic market – Australia's biggest travel franchise, Harvey World Travel, predicts the deals will still be available in the lead-up to next Easter.

Virgin Blue yesterday announced a five-day internet sale of 100,000 discounted fares.

They include one-way fares of $66 on Brisbane-Sydney, Sydney-Melbourne and Melbourne-Adelaide routes, and $99 one-way between Sydney-Adelaide and Brisbane-Melbourne.

Investigations by The Australian this week established that discount seats are plentiful – even at short notice – provided you are flexible with travel times.

Budget Christmas flights can still be booked to most high-volume destinations. But pick a route where the competition crashed with Ansett and you will pay a hefty premium.

"We really can't see these low fares disappearing in the short term because the domestic airline industry is in the process of re-inventing itself post-Ansett Mk I," said Harvey World Travel's Australian franchise manager, Mark Williams.

Internet booking, direct buying to the airlines and traditional travel agent deals will produce varying outcomes, depending on the destination and timing.

All three major domestic carriers push booking on the web, but this is not necessarily the most flexible or cheapest option.

Booked by phone on Wednesday, Qantas still provided a relatively cheap weekend return between Sydney and Melbourne. Leaving this morning from Kingsford Smith and back Monday evening, the fare came to $176, plus $28.45 in taxes (which were not initially disclosed by the sales operator).

By contrast, Harvey World Travel's best Sydney-to-Melbourne return fare this weekend was $160, plus taxes.

Ansett's return fare, as available on its website as of Thursday night, was $143 plus taxes.

Virgin Blue's Sydney-Melbourne return fare was the most expensive at $338, exclusive of taxes.

The tourism industry, rocked by the one-two punches of the September 11 terrorist attacks in the US and Ansett's collapse, has factored cheap fares into its recovery strategy.

The chief executive of Cairns's Tourism Tropical North Queensland organisation, Ian Kean, said that city had lost 40 per cent of its air services when Ansett crashed and, with September 11, half of its US business, which usually accounts for 14 per cent of international arrivals.

Qantas had since lifted its share to about 80 per cent of domestic services, while Virgin Blue would start a daily flight from Brisbane on November 28, with a second service to be added from December 20.

In the interim, Qantas has the market to itself – and it shows. Yesterday, Qantas's best internet fare departing Melbourne on December 22 and returning from Cairns on December 26 was $836.08, including taxes of $106.08.

Contrast that fare, flying on the same dates, with $140 for the Sydney-to-Melbourne return (Qantas and Virgin Blue), $478 Melbourne-to-Gold Coast return (Virgin Blue) and $570 Sydney-to-Perth return (Qantas).

One trap is the escalating taxes and charges being tacked on to air fares, including the Government's $10 Ansett levy. In some cases, these can approach the cost of a full flight sector – $350, for example, on a Sydney to Darwin and Perth return.
 
Old 10th Nov 2001, 04:46
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Oh sure that is great......

As long as Qantas can sell seats from say LAX to JFK for $50 to fill their aircraft...
 
Old 10th Nov 2001, 04:52
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Tried to get one of the $440 trans continental fares with AN recently ( just after they announced them ) could'nt get anything within a week either side of when I wanted to travel. Of course when I phoned them, they were more than happy to help me out at around double that.
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Old 10th Nov 2001, 05:14
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Tried to fly ML - CNS with QF recently anytime in a 2 month window, $1750.00.

Thanks but no thanks, I'll go round the world instead for that and take my tourist dollars with me.
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Old 10th Nov 2001, 05:32
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Maybe one of the airline blunts might be able to answere the pricing of tickets for us. For example I have just paid $1200AUD for an 8hr international return sector (QF), so why is it so expensive to fly a 4hr sector within Aust?
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Old 10th Nov 2001, 05:35
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I have found that it is sometimes cheaper to get a holiday package with accommodation.

Case in point the cheapest internet fare DRW/SYD return is $666.46 whereas on exactly the same flights/days that particular airline was offering return airfares plus 1 night at the Gazebo Hotel for $583.00 return.

If you are checking fares with the airlines ask to be transferred to the holiday travel dept to check it out.


http://www.pprune.org/cgibin/ultimat...&f=12&t=007629

[ 10 November 2001: Message edited by: Miss Behaviour ]
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Old 10th Nov 2001, 05:46
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JMJ,

Despite what people think, the actual "full fare" prices don't fluctuate very often at all.

Lets say for arguments sake that the full PH-SY return fare was $1200.00 (not far from the truth). Well the airlines obviously are not going to sell all of the seats on the aircraft at that price, so they offer fares with restrictions at lower prices, e.g. you can often get a 21 day advanced purchase fare for 50% of the full fare - when added to by taxes etc, that comes out at around $650.00, and the same goes for 14 day and 7 day advance purchase fares, although they increase to maybe 60% or 75% or maybe more. But they are all based on the full fare.

However, even if you call 2 months ahead, the airline might not be able to give you that cheap 50% fare, because they have already sold the number of predetermined seats at that price.

You can also often find that on the day of departure the fares come back down toward the 50% level, so that the airline can sell those seats off rather than have them empty.
I hope that my fairly long winded answer makes sense.

Now to put it all into perspective in the current local aviation market, that is why you have had people whinging about QF putting fares up because AN collapsed. Not technically true, they have simply sold all of the preallocated cheaper seats, and the next available fare is what they have been quoted.

Take It Easy,

OneDotLow
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Old 10th Nov 2001, 09:35
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Several years ago I had to go to BKK urgently for a couple of days on business ex PER, I got quoted a very expensive fare, but ended up getting a package for 8 nights plus airfare for 75% of quoted stand-alone airfare, then I just changed my return flight once in BKK to return earlier - no problems.

Now to me the airline concerned (they no longer fly the route) must have been selling that same fare to the wholesaler for at least 40-50% of the price I paid.
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