MH lifts on trade support

MALAYSIA Airlines is seeing strong growth in its Australian yields and passenger load factors, with ceo Peter Bellew attributing the performance to engagement with local travel agents.

Bellew is in Sydney to speak at the CAPA Centre for Aviation Summit today, and told Travel

Daily since he took over as MH ceo a year ago the company had undergone a “180-degree switch” in its approach to the trade.

“The strategy of my predecessor was to target direct bookings and unbundle fares... now we have gone to the marketplace to work very closely with travel agents.”

Bellew said MH had no intention whatsoever of unbundling its offering and would continue to offer baggage, food and in-flight entertainment at no additional cost, adding “we’re not going to skim people for these things”.

He said the carrier aimed to regain its position as a “five star premium airline,” with travel agents a key part of the strategy.

Since making the changes the carrier has seen a double-digit increase in Revenue per Available Seat Km out of Australia and a 9% lift in load factor, while business class revenue is also up 9%.

Bellew said the carrier was working on relaunching flights to Brisbane, but was constrained by aircraft availability as it pursues rapid expansion in China where MH will this year launch a whopping 11 new destinations.

A return to Darwin is definitely off the agenda, Bellew added, saying the DRW-KUL route had not been profitable.