LCCs rushing to run side biz amid pandemic difficulties
The country’s low-cost carriers (LCCs), which have been struggling with worsening finances caused by the prolonged COVID-19 pandemic, are actively operating side businesses in a desperate effort to overcome the crisis.
Jeju Air, the nation’s biggest budget carrier by sales, opened “Jejuair on the Table,” a cafe where the carrier’s flight attendants sell and serve food, on the first floor of the AK&Hongdae shopping center in Seoul’s Mapo District, on April 29.
The air carrier is selling coffee and popular in-flight meal-themed meals on a tray, so visitors can feel like they are on a plane. The cafe will be open until July 28.
The company selected flight attendants tasked with operating the cafe and offered them coffee making education before opening. Many flight attendants, who have had to take leave of absence from work due to reduced flight operations from the pandemic, applied for the work, according to the company.
Jeju Air also began operating Sunset Garden, a rooftop bar located on the seventh floor at Holiday Inn Express Seoul Hongdae, June 18.
The bar, which will be operated until the end of August, sells food such as fried chicken and French fries as well as draft beer. Visitors can enjoy unlimited draft beer for 10,000 won ($8.80) per person.
Jin Air launched an online shopping mall called Jini Store last December, selling its in-flight meals and various other products, such as air purifiers, cosmetics and fruit.
At Jini Store, the budget carrier is also selling home meal replacement products, called “JINI Kitchen the REAL,” in a bid to offer unique experiences to people who are stuck at home and unable to travel abroad amid the public health crisis.
The meal is comprised of bread, entree and dessert, similar to
But budget carriers are continuing to take desperate measures as they have do to something to overcome the ongoing crisis.
in-flight meals offered on international flights. Its packaging is also similar to in-flight meal boxes.
Consumers can enjoy the meal by simply cooking it in the microwave for three to four minutes, or heating it in boiling water for seven to eight minutes.
T’way Air has been operating a flight attendant experience program called T’way Crew Class, at first for university students studying in majors related to the aviation industry, but in March it expanded the program to the general public.
Participants in the program can experience an emergency escape and other emergency situations that could occur on a flight.
LCCs have also enhanced their cargo transport business amid a rapid fall in the number of passengers.
Jeju Air is operating cargo planes on routes from Incheon to Taipei and Ho Chi Minh City, while T’way Air is operating its planes on routes from Incheon to Ho Chi Minh City, Hanoi and Hong Kong.
These efforts, however, have not been that helpful for budget carriers financially.
“Profits generated from selling in-flight meals or operating cafes is not that big,” an official from one of the LCCs said on condition of anonymity. “But budget carriers are continuing to take desperate measures as they have do to something to overcome the ongoing crisis.”