The rise of cheap international airfares"CHEAP INTERNATIONAL AIRFARES"
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6/17/2002 INTERNATIONAL airfares have started to rise after tumbling some 40 per cent following the September 11 tragedy as consumer confidence recovers further, said travel experts. They said airfares to selected international destinations have gone up by at least 15 per cent, but still cheaper than they were pre-September 11. CHEAP INTERNATIONAL AIRFARES Royal Jordanian sales manager Wilson Chan said the air carrier has raised its airfares slightly since April this year, but they are still down 15 per cent compared to the time before the attacks. It currently offers two flights a week to Amman from Kuala Lumpur via Doha. Earlier reports showed that airfares from Kuala Lumpur to London dipped to RM2,100 last December from RM3,100.
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CHEAP INTERNATIONAL AIRFARES Since then, airfares between the two cities have improved. Today, a return economy class airfare from Kuala Lumpur to London via Doha and Amman costs RM2,425 on Royal Jordanian. A direct flight with Malaysia Airlines, meanwhile, costs RM2,430 and via Singapore with Singapore Airlines, RM2,250. Fares quoted exclude airport taxes and insurance surcharge. Chan said although load factors on most international flights have picked up, airfares from Malaysia to destinations in West Asia, Europe and the US have remained depressed as more people opted to travel a shorter distance. CHEAP INTERNATIONAL AIRFARES "More and more people are now choosing Australia, New Zealand, China and Indochina for a holiday, where you can find tour packages for less than RM3,000," Chan told Business Times. A random check with travel agents showed that a nine-day/eight-night tour package to China starts from RM1,488 to RM2,988 per person, and includes a return economy class ticket, airport transfers and accommodation. A six-day/five nights tour package to Melbourne and Sydney, meanwhile, costs RM2,888 per person. CHEAP INTERNATIONAL AIRFARES Chan said most airlines today are dictating their airfares according to their passenger load factors. "If their load factors are poor and they have ample seat capacity, then they would still have to bring down their airfares. "For instance, our airfares (from Malaysia to West Asia) are probably higher than Emirates' or Qatar Airways' because we only fly twice a week," he added. This, coupled with the fact that some 60 to 70 per cent of its seats are already filled by passengers from Jakarta, makes it possible for Royal Jordanian to do so. Royal Jordanian currently stops at Jakarta before arriving in Kuala Lumpur. CHEAP INTERNATIONAL AIRFARES KLM Royal Dutch Airlines (KLM) sales manager (Malaysia) Estee Ng concurs. The Dutch flag carrier reduced its airfares to Europe by some 20 per cent last December, but has since adjusted them upwards. In fact, its airfares are 5 per cent higher than what it was charging pre-September 11. Currently, a return economy class airfare to London costs RM2,730 on KLM. This will be further increased to RM2,940 from July onwards. Ng said the air carrier is able to offer such prices because it has a limited number of seats to fill in the first place as it shares its seat capacity with Manila. KLM currently operates five weekly services into Manila, which will connect with that of the services between Kuala Lumpur and Amsterdam.
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CHEAP INTERNATIONAL AIRFARES "Currently, our passenger load factor is some 90 per cent. Of this total, passengers from Manila fill 70 per cent while the rest come from Kuala Lumpur," she explained. Nonetheless, Ng said KLM has not stopped offering discounted fares for groups of four passengers and senior citizens. "Most airlines today are still maintaining their market fare levels. But occasionally they will also offer special fares to selected booking classes. So, I think you can still find great fares out there," she said. "But the onus is on the consumer now to find them," she added. For Asian Overland Services Tours and Travel Sdn Bhd managing director Anthony Wong, he thinks it is time for airlines to increase their airfares and recover some of their lost ground after suffering the dire effects of the September 11 attacks. Along with the airlines, businesses of travel agencies were also knocked by the crash. Wong agreed that airfares are now generally up by 10 per cent to 15 per cent. "I think this (increase) is necessary and healthy for the airlines. Nonetheless, there are still some bargains out there, but it depends on the time. No more like before . now airfares would move according to the market needs," said Wong...... Compare cheap international airfares here /cheap airfares home |