Sponsor Message:
Civil Aviation Forum
My Starred Topics | Profile | New Topic | Forum Index | Help | Search 
NZ To Cut Domestic Fares?  
User currently offlineFlyjetstar From Australia, joined Feb 2006, 956 posts, RR: 0
Posted (7 years 10 months 2 weeks 10 hours ago) and read 2790 times:

From this mornings New Zealand Herald:

Air New Zealand will today announce big cuts to its domestic fares in an attempt to entice more people to travel by air.

The Herald understands the airline will make cuts of more than 15 per cent on its cheapest fares on many routes, including the main trunk routes and regional routes.

The price of a cheap Auckland-to-Wellington flight, for example, could go down from $89 to $76.


Complete article here.

Not quite FR at 1c a seat but good to see a move to freshen up the domestic market as well as keep on the front foot with the public and against a possible DJ entry into the market that Richard Branson hinted at this week in CHC.

The article goes on to note that Tasman and long-haul announcements later.

14 replies: All unread, jump to last
 
User currently offlineZKSUJ From New Zealand, joined May 2004, 7110 posts, RR: 12
Reply 1, posted (7 years 10 months 2 weeks 6 hours ago) and read 2747 times:

I freakin hope so. Its not a nice feeling paying $120-$150 (and up to $250 in the most expensive ticket class) for a ride up to AKL from PMR.

User currently offlineAxio From New Zealand, joined Jul 2006, 317 posts, RR: 0
Reply 2, posted (7 years 10 months 2 weeks 6 hours ago) and read 2736 times:

Quoting ZKSUJ (Reply 1):
Its not a nice feeling paying $120-$150 (and up to $250 in the most expensive ticket class) for a ride up to AKL from PMR.

Got one of those cheap fares recently... $39 is a nice price for that trip  Smile

Nice to hear they're not overly abusing their monopoly status.

ax



Time for a new viewing deck at AKL!
User currently offlineAerohottie From Australia, joined Mar 2004, 802 posts, RR: 3
Reply 3, posted (7 years 10 months 2 weeks 4 hours ago) and read 2705 times:

Air NZ are in a position where they can't abuse their monopoly... if they do competitors would enter the market so fast it would make your head spin


What?
User currently offlineZKSUJ From New Zealand, joined May 2004, 7110 posts, RR: 12
Reply 4, posted (7 years 10 months 2 weeks 3 hours ago) and read 2682 times:

Quoting Axio (Reply 2):
Nice to hear they're not overly abusing their monopoly status

Nice use of the word 'overly'  Wink Because we all know that at the moment, they are to some extent abusing it.


User currently offlinePilotdude09 From Australia, joined May 2005, 1777 posts, RR: 4
Reply 5, posted (7 years 10 months 1 week 6 days 14 hours ago) and read 2587 times:

From TVNZ: Video also available;

http://tvnz.co.nz/view/page/411749/963280

Quote:
Air New Zealand has slashed the cost of its domestic airfares in a bid to stimulate demand.

The cheapest fares, lead in fares, on main trunk routes are falling by up to 23% but the airline denies that it is connected with falling fuel prices or the threat of increased competition.

Air New Zealand says its new domestic fares compare favourably with those charged in 1980.

Chief executive Rob Fyfe says the lead-in fare from Auckland to Christchurch was $92, against the $99 announced on Friday, 27 years later.

The new lead-in fare from Auckland to Wellington is now $89, down 23%. Auckland to Christchurch drops 18% to $99. And Christchurch to Wellington falls 15% to $79,

The biggest regional saving is the 26% drop between Nelson and Palmerston North.

Air New Zealand says the arrival of new aircraft has made cheaper fares possible.

"And this initiative is designed to stimulate more travel to fill the seats on those new aircraft," says Fyfe.

Lead-in fares apply to about a third of available seats, and the travel industry says it is great for consumers.

"We're delighted to see fares coming down, that's a great option," says John McGuinness of
Flight Centre Communications. "We're really pleased to see that and hopefully more New Zealanders will get to see a lot more of New Zealand.

But Air New Zealand denies that the discounts are driven by falling fuel prices and says the surcharge reduction by Qantas was purely symbolic.

"We're not trying to gamble and second guess...where oil is going to move. It could just as easily go up in the next six months," says Fyfe.

However travel agents believe the threat of increased domestic competition is a factor.

"Air New Zealand's obviously sending a very strong signal to it's competitors that the New Zealand market is a very competitive market," says McGuinness.

However, Air New Zealand has dismissed Virgin Group chairman Sir Richard Branson's comments this week about domestic competition. Branson said he expects to launch domestic air services in New Zealand "at some stage".

The government has signalled it is looking for a cornerstone shareholder in Air New Zealand and Branson also said he is open to the possibility that he might buy into the main rival of his Pacific Blue airline.

But Fyfe is not convinced Branson's ideas will materialise.

"I'm not holding my breath in terms of expectation for when any of his predictions will actually come to pass," Fyfe says.




Qantas, Still calling Australia Home.........
User currently offlineZKSUJ From New Zealand, joined May 2004, 7110 posts, RR: 12
Reply 6, posted (7 years 10 months 1 week 6 days 6 hours ago) and read 2544 times:

It's on their website as well. Up to 26% decrease.

User currently offlineWorkFlyer From New Zealand, joined Dec 2006, 203 posts, RR: 0
Reply 7, posted (7 years 10 months 1 week 6 days 4 hours ago) and read 2517 times:

Funny how when Air NZ does something that is positive for the travelling public the usual suspects on here are not piping up. Is it because no negativity can be found in this news.

It is great for the travelling public, comparatively flights have never been cheaper.

Interesting move when Qantas is pulling back its services and Origin Pacific recently went bust.


User currently offline777ER From New Zealand, joined Dec 2003, 12282 posts, RR: 18
Reply 8, posted (7 years 10 months 1 week 6 days 3 hours ago) and read 2509 times:
AIRLINERS.NET CREW
FORUM MODERATOR

I'm really looking forward to the long haul price cuts announcements. Wonder how much I'll save on my up-coming USA trip. Its about time NZ dropped its fares thou

User currently offlineFlyjetstar From Australia, joined Feb 2006, 956 posts, RR: 0
Reply 9, posted (7 years 10 months 1 week 6 days 1 hour ago) and read 2492 times:

Quoting 777ER (Reply 8):
I'm really looking forward to the long haul price cuts announcements. Wonder how much I'll save on my up-coming USA trip. Its about time NZ dropped its fares thou

Word on the street is it might get you a couple of extra coffee's at Starbucks but not much more.


User currently offlineAntskip From Australia, joined Jan 2006, 936 posts, RR: 6
Reply 10, posted (7 years 10 months 1 week 5 days 23 hours ago) and read 2465 times:

Quoting WorkFlyer (Reply 7):
Funny how when Air NZ does something that is positive for the travelling public the usual suspects on here are not piping up. Is it because no negativity can be found in this news. It is great for the travelling public, comparatively flights have never been cheaper.

I agree entirely. Give NZ its due. They are cutting prices in a market with very little competition. Sounds like a good reason to complain.  Smile What would the response be if they increased prices instead ?


User currently offlineNZ1 From New Zealand, joined May 2004, 2270 posts, RR: 25
Reply 11, posted (7 years 10 months 1 week 5 days 19 hours ago) and read 2437 times:
AIRLINERS.NET CREW
FORUM MODERATOR

I knew Antskip would be one of the first to respond to WorkFlyer. I wonder why?  Smile

NZ1


User currently offlineKiwiandrew From New Zealand, joined Jun 2005, 8603 posts, RR: 13
Reply 12, posted (7 years 10 months 1 week 5 days 19 hours ago) and read 2435 times:
Support Airliners.net - become a First Class Member!

Quoting ZKSUJ (Reply 1):
I freakin hope so. Its not a nice feeling paying $120-$150 (and up to $250 in the most expensive ticket class) for a ride up to AKL from PMR.

you obviously have forgotten what the fares were like before the revamp of the fare structure several years ago - you could easily have doubled those prices under the pre-'express' regime



Moderation in all things ... including moderation ;-)
User currently offlineZKSUJ From New Zealand, joined May 2004, 7110 posts, RR: 12
Reply 13, posted (7 years 10 months 1 week 5 days 6 hours ago) and read 2393 times:

Quoting Kiwiandrew (Reply 12):
you obviously have forgotten what the fares were like before the revamp of the fare structure several years ago - you could easily have doubled those prices under the pre-'express' regime

Yea that is true, and I accept that it is better that what it used to be. However I was meaning in comparison to prices at the time of the revamp.


User currently offlineNoelg From , joined Dec 1969, posts, RR:
Reply 14, posted (7 years 10 months 1 week 5 days 5 hours ago) and read 2380 times:

Personally I have always found the domestic fares in NZ pretty reasonable - $80-$120 each way whenever I've flown on NZ between AKL, PMR, WLG and NSN. That's only about £30-40 each way including taxes, certainly cheaper than many domestic flights to the regions in the UK, and about the same as many flights to Europe on LCCs.

But any cut in price is a good one - as long as it doesn't involve a cut in NZ's excellent service on domestic flights.


Top Of Page
Forum Index

This topic is archived and can not be replied to any more.

Printer friendly format

Similar topics:More similar topics...
Air NZ To Cut 15% Staff posted Tue Oct 14 2003 07:27:57 by Wirraway
NZ To Cut 767s, Business Class On Regional Routes posted Fri May 3 2002 07:42:40 by Aussie_
JAL To Cut Routes: Now Domestic (10+) posted Mon Jan 1 2007 20:48:52 by Jimyvr
NZ To Bring Back Domestic "Frills" posted Tue Jun 20 2006 10:47:19 by 1Des1
Air NZ Threat To Cut Flights posted Tue Jun 13 2006 17:17:19 by Magyarorszag
UAL To Cut 12% Of Domestic Flights - Axe 68 Jets posted Wed Oct 6 2004 14:00:48 by BestWestern
QF To CUT Business Class To NZ posted Tue Sep 16 2003 16:46:27 by Aussieboggie
JAL To Reintroduce Domestic F Class Service posted Fri Jan 5 2007 04:11:49 by Ktachiya
EU Plan To Cut Aircraft Pollution - Carbon Permits posted Sat Dec 23 2006 16:33:49 by Zeke
FR To Cut 6 Routes posted Wed Dec 13 2006 12:21:36 by Airblue