WHAT’S NEW IN BUDGET FLIGHTS
The low-cost changes coming in 2020
EVERYONE LOVES A BARGAIN, which goes some way to explaining why travellers have embraced low-cost carriers (LCC).
Last year, Scoot made headlines for its super-low, one-way fares from Australia to Europe starting from $339.
With new aircraft soon to be taking to the skies requiring less fuel, there could be a price war later this year, and AirAsia X’s Benyamin Ismail has set down a challenge on fares for his airline’s impending routes to Europe: “I think we can do much better than that!”
The Asia-Pacific region is now the world’s largest low-cost carrier market and, in 2018, Australia accounted for more than 15 per cent of global, long-haul, LCC capacity.
And this year, there’s change in the air as the LCC in Aussie skies – Jetstar, AirAsia, Scoot, Cebu Pacific, Malindo Air and Tiger – are rolling out new destinations, better aircraft, increased seating options and booking systems, to grab a slice of the traveller market.
Expedia’s Demi Kavaratzis says the innovation will be a positive shift for travellers. “As LCCs continue to reach their capacity of short-haul traditional routes, the only way for them to remain relevant is to offer alternative short- and long-haul international routes, meaning an increase in options for Australian travellers.”
And with less being spent on fuel on soonto-arrive aircraft, fares are expected to be at a better price. “Expedia data reveals a decrease of over 5 per cent in the average ticket price in 2019 compared to the previous year for LCCs, providing more affordable options,” she adds.
NEW DESTINATIONS
AirAsia X is looking to fly into Adelaide again, along with Canberra, Sunshine Coast and Newcastle and, in March, Jetstar’s direct flights three times a week between Melbourne and Busselton in WA will open up the wine region of Margaret River.
AirAsia X has Europe in its sights to Prague, Barcelona and Vienna for late this year, with flights from Australia connecting through either Kuala Lumpur or Bangkok. London is back on the agenda, eight years after AirAsia stopped the route due to fuel costs.
“The demand was always there and, once we have more efficient planes to work with, London will be back, either into Gatwick or Stansted,” Benyamin says.
Scoot will also be expanding, taking over six Indonesian routes previously flown by
SilkAir. Jetstar recently began flying directly from the Gold Coast to Seoul, with the route being watched for the possibility of expanding it to other Australian cities.
CHANGING THE RULES
Get set to be hearing a lot about the gamechanging Airbus A321neo XLR aircraft. This craft is quieter, far more fuel efficient and has a longer range, which means the airlines can afford to open up new routes. Jetstar is expecting arrival of the new planes in August, with AirAsia and Scoot’s new craft due by the end of the year. Cebu Pacific is also awaiting delivery of the new A330neo craft.
The A321neo XLR will be the widest singleaisle cabin in the sky and while the cabin fitout will vary between carriers, it’s expected they will carry 232 seats. The craft also offers a significant reduction in nitrogen oxide emissions and lower carbon dioxide output.
“Combining a smaller environmental footprint together with wider, ergonomic seats, greater stowage and in-flight streaming for personal devices, we think customers are going to love them,” Jetstar Group CEO Gareth Evans says. He added that as the aircraft will use less fuel, it could make travel more affordable.
GETTING INTO THE GAME
Vietnamese low-cost carrier VietJet has signed agreements to fly from Ho Chi Minh City to Brisbane and Melbourne Avalon, but there have been few details of either route since, leaving Jetstar’s direct flights from Sydney and Melbourne to dominate the lowcost route between the two countries.
THE ONE TO WATCH
The slow grower in the LCC market is Malaysia’s Malindo Air, which began flying to Australia in 2015 into Perth, and has expanded to Brisbane, Melbourne, Sydney and Adelaide in just five years. Malindo’s main point of difference is the standard 81cm seat pitch for economy class – the largest in the local LCC market and bigger than some full-service carriers.
ANOTHER PREMIUM-STYLE CABIN?
Premium seating on LCC already takes a variety of forms – from the flatbed on AirAsia to premium economy-styled cabins in Jetstar business, and ScootPlus. But could an additional premium cabin be about to sneak into the mix?
The child-free economy Quiet Zone on AirAsia is being looked at with new interest to see how it can be further maximised. “With our new A330neo aircraft on order, we are looking at potential modifications to the (flatbed) cabin including flatbed configuration and enhancing our existing Quiet Zone to provide greater comfort,” Benyamin confirms.
BYO SCREENS
Both Scoot and Cebu Pacific have scrapped movie and TV services entirely. Scoot has Wi-Fi packages, starting from $7.40 for 20MB to $48 for 200MB, while on Cebu Pacific, it’s $7.50 for 25MB and $15 for 50MB.
A recent Scoot passenger survey claimed 80 per cent preferred Wi-Fi for in-flight entertainment, with many airlines reporting an increasing number of passengers travelling with their own devices already containing downloaded screen entertainment. Jetstar, AirAsia and Malindo Air continue to offer screen entertainment and, while AirAsia and Tiger both have Wi-Fi, Jetstar is yet to include the service.
MAKING NEW CONNECTIONS
Jetstar has just combined low-cost with full-service on a single ticket itinerary for passengers on the Dutch carrier KLM, connecting in Denpasar in Indonesia.
KLM passengers with itineraries for travel beyond Denpasar will be able to switch on to Jetstar to Adelaide, Melbourne, Perth and Sydney. Meals, refreshments and other services are included for KLM customers as part of their ticket.
Malindo Air also offers codeshare deals on to Turkish Airlines, with connections in KL to European capitals such as London and Copenhagen.