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Old September 1st, 2004, 12:33 PM   #341
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Old September 1st, 2004, 01:21 PM   #342
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This story was printed from TODAYonline

SilkAir unlikely to be mauled by Tiger

Airline's unique role will ensure survival, say experts

Wednesday • September 1, 2004

Tay Tsen-Waye
[email protected]

Budget carrier Tiger Airways promised the lowest airfares: At least 40 per cent less than the average lowest fare in Singapore.

Yesterday, the affiliate of Singapore Airlines (SIA) proved that it was a force to be reckoned with in the budget travel market.

A $1 online promotional airfare to Bangkok or Phuket or Hat Yai went on sale at 9 am for a limited period, with the remaining two-thirds of tickets going for between $40 and $140 each way.

And the public showed its appetite for budget travel, flooding the carrier's reservation website and recording 4.5 million hits by 7pm yesterday.

With Tiger up and running, the SIA group's three-carrier strategy is finally operational, with SIA defending its traditional bastion at the top-end of the market and Tiger shoring up the bottom.

What is less clear, however, is the role of SIA's regional carrier, SilkAir.

Those less optimistic about SilkAir's future in the region point to its "strange position" sandwiched between the premium and budget carriers. The situation becomes even more awkward as both Tiger and SilkAir will be flying to the popular Thai tourist resort of Phuket.

National Association of Travel Agents of Singapore CEO Robert Khoo said he did not see much difference between SilkAir and the budget carriers.

"SilkAir has to decide if it wants to go the upper end or the lower end. It's tough to be in between," he said.

Rebutting these criticisms, SilkAir said it considered itself "an integral part of the Singapore Airlines groups' network".

"Unlike Tiger, SilkAir is a network carrier and as such carries more interline passengers from SIA and other international carriers," a SilkAir spokesman told Today.

SilkAir takes delivery of its eleventh aircraft from France today. The network carrier's future deliveries provide for an annual 10- to 15-per-cent growth in capacity through to 2009.

Sharing this view was Mr Wong Soon Hwa, chairman of the Singapore chapter of the Pacific Asia Travel Association, who said that SilkAir complements SIA's international network.

"Tiger will be somewhat different because it operates from Terminal 1 which would make transferring from one airline to another very difficult for passengers arriving at Terminal 2," said Mr Wong.

"If you pride yourself on quick turnaround, there are challenges when feeding long-haul passengers into Tiger Airways to destinations like Phuket."

This specialist role was reason enough for SIA to keep SilkAir alive for at least another two years, said Mr Shukor Yusof, editor of Standard and Poor's Asia MarketScope.

Mr Nicholas Ionides, regional managing editor (Asia) of The Flight Group, said that SilkAir has a unique leisure route network that low-cost carriers would not be able to sustain due to the low volume.

"Low-cost airlines are not going to fly to most of SilkAir's destinations because the demand isn't there and low fare airlines need the frequency in order to keep costs down," said Mr Ionides.

However, now that Tiger is flying to Phuket three times a week, he finds it "difficult to see" how SilkAir could maintain the Phuket route.

"SilkAir would be more suited for services to China and India because it has a middle of the road product. When you're talking about flying four or more hours, passengers are going to require some amenities on board, such as complementary meals and drinks."

Copyright MediaCorp Press Ltd. All rights reserved.
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Old September 1st, 2004, 03:52 PM   #343
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Hmm...yeah. Silkair flies only about 3 times a week to Medan from Singapore. Will there be a sustainable level of market expantion if we introduce budget aviation as what AirAsia has done?
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Old September 2nd, 2004, 10:15 AM   #344
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Business Times - 02 Sep 2004

Who will survive the nasty budget airfare war?

Some say those with the deepest pockets, while others wager on the ones with lowest costs

By VEN SREENIVASAN

(SINGAPORE) Asia's newborn low-budget carriers are circling the skies like vultures, waiting to see who'll be the first to go into a tailspin.

The latest manoeuvre - Tiger Airways's aggressive $1 tickets - gave a new meaning to the phrase bruising battle. And the fight for supremacy in the low-cost air travel market in the region will only get nastier from here on as existing competitors drop fares and new players like Qantas' associate Jetstar Asia and Thai Airways' associate Nok Air join the fray.

This is how observers see the battle over the South-east Asian skies panning out after Singapore Airlines' 49 per cent-owned budget carrier announced its arrival this week by selling tickets for up to a third of its seats on its inaugural flights to Bangkok, Phuket and Hat Yai at just $1. It sold out the entire allotment of over 3,000 tickets in just over a day at this giveaway price.

And it has committed itself to keeping its fares 40 per cent below that of competitors like Valuair and Thai AirAsia.

But the competitors are already fighting back. Air Asia, for example, has said it will drop its Singapore-Bangkok return fare to just $40. SIA itself is selling return tickets to Bangkok at under $150, while its regional subsidiary SilkAir has reduced its return fares to Phuket to $130.

Qantas associate Jetstar Asia too, is expected to offer killer rates when it starts point-to-point regional services out of Singapore in November. Jetstar, which is 49-per cent owned by Qantas, is said to be eyeing Bangkok, Chiangmai and Phuket as its first three destinations. It is also expected to fly to Indonesian destinations such as Bali and Jakarta.

BT understands that Thai Airways's low-cost associate, Nok Air, is already planning Bangkok-Singapore flights later this year, and could start flights by November. Nok, which is 39 per cent owned by the Thai national carrier, currently flies between Bangkok and other Thai cities of Chiangmai, Udon Thani and Hat Yai.

Analysts see a ferocious battle brewing in the next few months over the skies between Singapore and Thailand.

But S&P Asia MarketScope's Yusof Shukor sees Tiger Airways as being in a strong position to survive the impending battle.

'Given their pedigree, they could become the market leaders with their range of price offerings,' he said, referring to its shareholders. 'But this is just the beginning.'

Besides SIA, Tiger Airways' other shareholders are Temasek Holdings, Indigo Partners and Ryanair founder Tony Ryan's Irelandia Investments.

But at least one of Tiger Airway's competitors has dismissed that airline's giveaway fare as a shortlived gimmick.

Valuair's new chief executive Sim Kay Wee said that while there could be a knee jerk reaction from other players, rationality would ultimately prevail.

'Any reasonable person knows that $1 doesn't get you anywhere, not even into a taxi,' said the 34 year ex-SIA veteran. 'Ultimately we will see fares catering to three segments of the market - the premium travel market, the mid-market and the low-end no frills market.'

He likened Valuair to the mid-market. 'It is like buying watches, for example,' he explained. 'Some will buy a Rolex, others will go for Swatch, while yet others will go for Casio. We, at Valuair, are the Swatch of this industry.'

Unlike Tiger Airways and AirAsia, Valuair offers guaranteed single price, allocated seats with more legroom, simple meals and higher baggage allowance. Its fares to Bangkok start at $138 for early birds and $168 for normal bookings.

Meanwhile, Cathay Pacific's Singapore country head Olivia Wong dismissed the notion that full service carriers (FSCs) will be inclined to compete with the LCC players.

'Full service carriers like us have networks to service, and yield management is very critical,' she said. 'They have to carefully work out the sums and breakeven levels.' However, she conceded that FSCs could still drop their fares significantly, if they chose to do so. 'I suppose a Singapore-Bangkok return could be pegged at between $40 and $140, depending on how they manage their yields.'

But analysts dismiss the possibility of prolonged predatory pricing. 'Ultimately its about your cost structure,' said an analyst who declined to be named. 'If you are a Thai-based LCC, you would be in a position to sell more of your seats at the lowest fares over the longest period of time. But if you are an Australian or Singapore player, your cost structure is bound to be higher.'

So who will survive? Observers are divided on this issue. While some feel that players with the deepest pockets (read: Tiger Airways, Jetstar Asia) have the ability to ride out the battle longer, others felt that players with the lowest cost structures, like Thai AirAsia or Nok Air, would still be standing when the dust settles.

Copyright © 2004 Singapore Press Holdings Ltd. All rights reserved.
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Old September 2nd, 2004, 10:35 AM   #345
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SEPT 2, 2004
All 3,000 $1 air tickets sold out

TIGER Airways has sold out all 3,000 $1 tickets that it offered for one-way flights to three Thai destinations.

Singapore's latest low-cost carrier made an eye-popping debut on Monday by offering $1 air tickets to Bangkok, Phuket and Hat Yai for a week each in the month of September.

As tickets could only be purchased online, the resulting flood of buyers crashed its booking website on Tuesday.

The budget airline said 5.8 million hits were registered on the website between 9am and midnight that day.

Travellers who missed out on the offer will have to pay between $40 and $140 for tickets.

Copyright @ 2004 Singapore Press Holdings. All rights reserved.
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Old September 3rd, 2004, 06:34 PM   #346
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Business Times - 03 Sep 2004

Cebu Air may reopen Singapore service

Philippine airline expects capacityto double after refleeting

By AL LABITA
IN MANILA

CEBU Pacific Air, which pioneered budget flights in the Philippines, plans to reopen its Singapore-Manila route after it sealed a US$670 million purchase-and-lease deal with French aircraft maker Airbus.

'Our refleeting programme has given us the option to consider reopening the Singapore-Manila route,' Cebu Pacific (CEB) president Lance Gokongwei, the son of tycoon John Gokongwei, told a news conference shortly after the signing of the deal with senior Airbus officials in Manila on Wednesday.

He said, however, that CEB officials have yet to review the Singapore-Manila route which was stopped last year due to poor passenger load factor which made the airline company, the country's second largest carrier after the Philippine Airlines, uncompetitive.

Using the 179-seater Boeing 757, CEB booked only a 30-35 per cent load factor, forcing it to incur a 60 million pesos (S$1.83 million) loss in its first two months of operations. CEB launched the service last Oct 1, 2002, making Singapore its third foreign destination then.

Under the new purchase deal, CEB would purchase 12 Airbus 319 aircraft and lease two A320s from Airbus to replace the airline's existing DC-9 and B757 aircraft. 'Once our refleeting is completed by early 2007, we shall have the youngest fleet in Asia and make CEB the country's No 1 domestic carrier in five years,' Mr Gokongwei said.

Mr Gokongwei said CEB's buying of the new aircraft was spurred by the company's rapid growth after only eight years of service with an annual 20 per cent revenue growth based on an almost 40 per cent share of the airline passenger and cargo market.

'We are growing fast and this would double our capacity in terms of more seats and flights,' the official said. CEB transported two million local and foreign passengers last year and the number is expected to rise to 2.5 million by year-end.

Mr Gokongwei said CEB will remain an 'on-time carrier' which, he said, 'is among the best in the world and way above the international norm'.

'We want CEB to be equated with punctuality wherever we fly,' he added.

Copyright © 2004 Singapore Press Holdings Ltd. All rights reserved.
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Old September 3rd, 2004, 07:32 PM   #347
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Quote:
Hmm...yeah. Silkair flies only about 3 times a week to Medan from Singapore. Will there be a sustainable level of market expantion if we introduce budget aviation as what AirAsia has done?
Huaiwei, Silkair flies daily from medan to singapore so the implication is really serious to Silkair when tiger decided to fly daily from Singapore to Medan.

I myself dont understand, why SIA is not using silkair instead for their budget carrier or at least swap the fleet with tiger airways, so therefore they can save the cost?

A lot of question but anyway..here is tiger pic i taken when i landed in Changi from Melbourne.

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Old September 4th, 2004, 03:51 AM   #348
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Time is GMT + 8 hours
Posted: 03 September 2004 1832 hrs

Budget airline price war might claim at least one carrier: analysts
By Paul Dekkers, Channel NewsAsia

SINGAPORE : With Singapore Airlines' budget carrier Tiger Airways entering market, the skies are becoming increasingly crowded.

The question now is, will the new budget airlines grow the market or take from the established players?

The consumer is a sure winner, with fares slashed -- at least for the time being.

How long a price war will last and what impact that will have on established carriers like Singapore Airlines is as yet unclear.

Most analysts see Singapore Airlines as relatively well protected, in the short-term at least.

They suggest a similar story unfolding in Singapore as had happened in Australia and Malaysia, when budget airlines were introduced there.

In those markets, new budget airlines grew the market, largely catering to a "new breed" of budget travellers.

Budget airlines also cater only for short-haul flights, so SIA's core long-haul business should be largely unaffected.

However, that view is not shared by all.

Kevin Scully, managing director of NRA Capital, said, "I think the obvious competition is in the short haul, but if the budget airlines allowed the passengers to move to other cheaper hubs in the region, such as Malaysia, Kuala Lumpur or even Bangkok, it could even effect the long-haul routes.

"So I think that airlines like Singapore Airlines, with the bulk of their ticket sales from Singapore, could be affected. I think that Singapore Airlines is the one that could be quite badly affected by the budget war."

While it is still early days, what is clear is that there will be winners and there will be losers.

A number of analysts say at least one carrier won't survive the battle, and that price war is set to intensify as the market becomes even more crowded.

Qantas' Jetstar starts flying in November and Thai Airways may be planning to further crowd the Bangkok-Singapore route. - CNA

Copyright © 2004 MCN International Pte Ltd
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Old September 4th, 2004, 02:31 PM   #349
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Time is GMT + 8 hours
Posted: 04 September 2004 1715 hrs

Underprivileged children take to the skies in Valuair's flight to nowhere
By Asha Popatlal, Channel NewsAsia

SINGAPORE : Underprivileged children are benefiting from the emergence of budget carriers.

120 of them took to the skies in the second flight to nowhere in a week, this time by Valuair.

Last Saturday, 80 underprivileged children had taken a Tiger Airways' flight to nowhere.

But this time, there were also some very special guests, as President SR Nathan and Mrs Nathan mingled with the children, beneficiaries of the MILK Money organisation.

The group takes care of children who have fallen through the cracks of public financial assistance.

The children became even more excited when they started boarding - many going onto a plane for the first time.

The loudest squeals of pleasure were reserved for when the plane took off, and continued throughout the hour-long flight - especially when the fun and games started.

It was an experience few were likely to forget.

President Nathan said, "It's more the thrill of being in the plane - every movement of the plane gave them a new thrill and I don't think they slept last night and I don't they'll sleep tonight." - CNA

Copyright © 2004 MCN International Pte Ltd
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Old September 7th, 2004, 07:34 AM   #350
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September 07, 2004

Thai AirAsia “to offer sub-$1 fares’

By Chua Kong Ho

Tit for tat. Or should it be dollar for dollar?

The region’s first budget carrier, AirAsia, is believed to be getting ready to offer fares to Bangkok at under $1, in the wake of newcomer Tiger Airway’s promotional offer of 3,000 tickets to the same destination at that price.

Its Thai unit, Thai AirAsia, will sell some of its seats at under a dollar for travel from mid-September for a one-month period, a move aimed to coincide with Tiger Airways’ Sept 15 launch of service to Bangkok, sources told Streats.

Tiger Airways last week sold out 3,000 tickets to Bangkok, Hat Yai and Phuket at $1.

But Thai AirAsia’s one-month offer will trump Tiger’s minimum post-promotion one-way fare of $40 on the Bangkok-Singapore route.

Details are expected to be unveiled tomorrow.

An AirAsia spokesman would not confirm the single-digit fare when contacted by Streats yesterday, other than to say: “We do have something up our sleeve. Just wait and see. After all, we are an unconventional airline.”

Tiger Airways last week grabbed headlines by offering fares from $1, which prompted thousands of Singaporeans to sit glued to their computers hoping to get some bargain-rate fares.

But the overwhelming response crippled Tiger’s website for two days, with 5.8 million hits on the first day of sales alone.

Tiger’s bold $1 gimmick prompted Thai AirAsia to reduce its minimum one-way fares on the Bangkok-Singapore route from $65.99 to $19.99, for travel between October and March.

Now it will raise the stakes even higher by lowering the fare to below a dollar, say sources.

Surprising as it seems, even this promotional airfare is not the lowest. That distinction goes to AirAsia, the Malaysia parent of Thai AirAsia, which is offering one-way fares between Johor Baru and Kuala Lumpur for 99 Malaysian sen.

Though dismissed by competitors that operate a flat-fare structure as gimmicky, some lucky travellers do get the low fares advertised. Thai AirAsia’s new promotion puts pressure not only on Tiger but also on the other carriers plying the busy Bangkok-Singapore route.

Valuair, which positions itself as appealing to the middle market of short-haul travellers, has so far dismissed the attention-grabbing fares as gimmicks.

Copyright © 2003 Singapore Press Holdings Ltd. All rights reserved.
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Old September 7th, 2004, 04:32 PM   #351
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Business Times - 08 Sep 2004

Tiger Air offers flights to Thailand for $40

It ties up with Visa to offer one-way fare for one month

By ANDREA TAN

AFTER its $1 offers, Tiger Airways is now offering a 'rock-bottom' fare of $40 to Thailand.

The latest entrant to the fiercely competitive budget air travel scene has partnered Visa to offer the one-way fare for one month.

The latest deal comes hot on the heels of Tiger's $1 tickets which were snapped up within hours and caused its website to crash. Tiger Airways will fly to Bangkok, Phuket and Hat Yai in Thailand.

'Tiger Airways is dedicated to enabling more people to fly more often,' chief executive Patrick Gan said. 'Our partnership with Visa and the fantastic $40 fare is certain to achieve just that.'

The carrier said that besides the $40 offer, all other tickets will be priced in a tiered structure - similar to rival Air Asia.

Tickets range from $50-$140 for one-way travel to Thailand - excluding fees, insurance and taxes - with tickets booked earliest being the lowest priced.

It has leased two Airbus A320 aircraft, which can seat 180 passengers each, and expects to receive another two A320s by December. It plans to add four more planes in 2005 and 2006.

Tiger Airways has promised that it will offer fares at least 40 per cent cheaper than the average lowest fare in Singapore.

The carrier is 49 per cent owned by Singapore Airlines. Its other shareholders are Indigo Partners, Ryanair founder Tony Ryan's Irelandia Investments and Temasek Holdings.

Rival ValuAir, too, has a tie-up with Visa. According to ValuAir's website, Visa card holders get a $10 discount off each ticket.

ValuAir's 'early bird' return fare to Bangkok costs $138.

Copyright © 2004 Singapore Press Holdings Ltd. All rights reserved.

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Last edited by babystan03; September 8th, 2004 at 10:44 AM.
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Old September 7th, 2004, 06:07 PM   #352
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Originally Posted by Monkey
July 2004 figures - more good news for the world's fastest growing airlines:

Rolling 12 month passenger totals to July 2004:
EasyJet = 23,404,812
Ryanair = 25,028,520

Percentage increase in passengers since July 2003:
EasyJet = 19%
Ryanair = 22%

Load factor (ie percentage bums on seats) in July 2004:
EasyJet = 84.3%
Ryanair = 90%

Ryanair has also announced a Q1 profit increase of 21%, a net margin of 18%, as traffic grows 28%. From their site:

Ryanair, Europe’s No. 1 low fares airline, today (Tuesday, 3rd August 2004) announced record profits for Q1 ended 30 June 2004 of €53.1m. Passenger volumes grew by a record 28% to 6.6m passengers whilst yields declined by 6% during the quarter and, as a result, total revenues rose by 23% to €302.8m. Unit costs fell by 4% and in turn the net margin after tax remains stable at an industry leading 18%.
Rolling 12 month passenger totals to August 2004:
EasyJet = 23,879,509
Ryanair = 25,452,041

Percentage increase in passengers since August 2003:
EasyJet = 19%
Ryanair = 20%

Load factor (ie percentage bums on seats) in August 2004:
EasyJet = 84.4%
Ryanair = 92%
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Old September 8th, 2004, 04:21 AM   #353
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Quote:
Originally Posted by babystan03
September 07, 2004

Thai AirAsia “to offer sub-$1 fares’
Seems like the entry of tiger has spur a little price war.......
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Old September 8th, 2004, 10:52 AM   #354
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Business Times - 08 Sep 2004

Nok Air planning S'pore, M'sia services: report

Analysts say Thai airline has to expand markets to maintain growth

By VEN SREENIVASAN

(SINGAPORE) The skies between Bangkok and Singapore could get more crowded soon as Thai low-cost carrier Nok Air prepares to start services to Singapore.

Nok Air's chief executive Patee Sarasin was recently quoted in the Thai media as saying that his budget carrier was planning to operate routes to Asian regional destinations soon.

The Aug 23 issue of Siam Turakij, a Thai business bi-weekly, quoted Mr Patee as saying that his airline was planning to fly to destinations in Malaysia and Singapore 'before June 2005'.

However, a check with the Civil Aviation Authority of Singapore revealed that the carrier has yet to submit its papers to fly here.

Still industry observers think it could start services sooner, rather than later.

'They are competing in their home turf with One-Two-Go and Thai AirAsia,' said an analysts here. 'So they have to expand their markets to maintain growth.'

Singapore and Thailand having signed up to free skies, Nok Air could start services to Singapore before year-end, when it takes delivery of more planes.

Set up less than a year ago, Nok Air is a 39 per cent-owned associate of Thai Airways. Its other shareholders include Krung Thai Bank, Dipaya Insurance, Govt Pension Fund, Crown Property Bureau and various smaller financial institutions.

It started services in July this year and operates on domestic routes between Bangkok and Chiangmai, Udon Thani and Hadyai. By October this year, its network will expand to Phuket, Khon Kaen and Ubol Ratchathani.

But the carrier is fighting a tough battle against incumbent Thai AirAsia, which has sewn up a strong following in key domestic routes after it set up operations in Thailand late last year. Thai AirAsia is 51 per cent owned by Thai Prime Minister Thaksin Shinwatra's Shin Corp, with the remaining 49 per cent controlled by Malaysia's aggressive and fast growing budget carrier, Air Asia.

But unlike Thai AirAsia, Nok Air offers business class seats for additional 500 baht. Besides Malaysia and Singapore, Nok Air is also eyeing destinations in neighbouring IndoChina.

Its fleet currently comprises of two wet-leased 149-seater 737-400 planes, but it plans to add one more aircraft in the next few months. Its pilots are from Thai Airways.

The carrier sells its tickets primarily via its call centres and website. But tickets are confirmed upon payment being made by travellers at 7-Eleven stores or via direct fund transfer at Siam Commercial Bank's auto-teller machines.

But by the time Nok Air starts services between Bangkok and Singapore, it will be in competition with at least four other low-cost carriers - Thai AirAsia, Valuair, Singapore Airlines' associate Tiger Airways and Qantas' Jetstar Asia. Then there are the 'big boys' like SIA, Thai Airways and Cathay Pacific which have also joined the fray with cheap tickets.

Copyright © 2004 Singapore Press Holdings Ltd. All rights reserved.
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Old September 8th, 2004, 01:15 PM   #355
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Business Times - 09 Sep 2004

Thai AirAsia answers Tiger with a louder roar

It offers 5,000 Singapore-Bangkok tickets at just 49 cents each

(SINGAPORE) Thai AirAsia has picked up the gauntlet thrown down by Tiger Airways.

Its response to Tiger's $1 tickets to Bangkok, Phuket and Hatyai came in the form of one-way tickets from Singapore to the Thai capital at less than the price of a bus ticket.

It has just announced that the tickets will be priced from S$0.49 starting from today.

And the crazy fare is no gimmick. The budget carrier's Bangkok-based chief executive officer Tassapon Bijeveld said the carrier had set aside 5,000 seats at the special fare.

'Special offers, and low fares, are something fundamental to AirAsia,' he said. 'At $0.49 or 11 baht one way, we are offering one of the lowest air fares in the market.'

The Thai AirAsia offer comes on the heels of Tiger Airways' sale of 3,000 tickets to its three Thai destinations at $1 each. Having sold out those tickets within two days, Tiger has now tied up with credit card giant Visa to offer one-way fares at $40 to its three Thai destinations.

Meanwhile, if you can't get hold of a 49-cent ticket to Bangkok on Thai AirAsia, you can always travel to Kuala Lumpur for as little as 45 cents on its Malaysian unit. But you will have to drive to Senai airport for the flight.

Thai AirAsia's Malaysian partner, AirAsia, is currently selling tickets between Senai and Kuala Lumpur International Airport at just RM1. The Senai-KL offer is valid until June 2005.

Meanwhile, SilkAir has just joined the fray with return tickets between Singapore and Phuket at $88. The Singapore Airline subsidiary, which is feeling the heat from the low-cost carriers, is offering more than 900 tickets for flights between the two destinations until Oct 31. It has also lowered its return fares to other Thai destinations. It now costs only $130 for a return ticket to Krabi and $160 to Chiangmai. SilkAir also announced that it would increase its flight frequencies to Phuket, Krabi and Chiangmai from a total of 27 currently to 30 from Oct 31.

Meanwhile, Valuair has dropped the price of its Singapore-Bangkok flights to $138.

The battle in the skies will intensify in the coming months when more players enter the scene. Qantas associate Jetstar Asia takes to the air in November, while Thai Airways associate Nok Air has indicated that it would start services between Bangkok and Singapore before the middle of next year. And AirAsia itself has set up a Singapore unit, and is believed to have applied for an Air Operators Certificate here.

There's never been a better time to be a regional jet-setter.

Copyright © 2004 Singapore Press Holdings Ltd. All rights reserved.

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Last edited by babystan03; September 9th, 2004 at 09:24 AM.
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Old September 9th, 2004, 02:49 PM   #356
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This is just getting crazy...why dont they offer free flights instead?

SEPT 9, 2004

49 cents will get you an air ticket from S'pore to Bangkok

By Karamjit Kaur


AIR fares to Thailand will take a dive following Tiger Airways' $1 one-way air ticket promotion to Bangkok, Hat Yai and Phuket last week.

Two other carriers with Thailand on their routes announced new prices yesterday, with budget airline Thai AirAsia going one up - or rather down - on Tiger.

Flying from Singapore to Bangkok will be as cheap as 49 cents from next Wednesday, the same day Tiger starts flying to Bangkok.

Its 49 cents promotion is for a month, compared to the week-long promotion for Tiger's $1 ticket.

AirAsia said there are 5,000 tickets up for grabs.

Online bookings, which must be made at least five days before the date of travel, start today at www.air asia.com.

The airline which started flying to Singapore in February, now has two daily flights from Changi to Bangkok.

Chief executive officer of Thai AirAsia, Mr Tassapon Bijleveld, said in the statement that 'special offers and low fares are something fundamental to AirAsia'.

'At 49 cents, or 11 baht, one way, we are offering one of the lowest air fares in the market.'

After the one-month promotion period, the airline's minimum one-way fare for the Singapore-Bangkok route, will be $19.99, for travel between next month and next March.

Tiger has stated that the minimum one-way fare from Singapore to any of the three Thai destinations it will fly to, is $40.

This will be effective from Sept 22 for Bangkok, Sept 29 for Hat Yai and Oct 6 for Phuket, after the $1 promotion, which saw more than 1,700 tickets snapped up within two days.

Contacted yesterday for comments on AirAsia's offer, Tiger's chief executive Patrick Gan said: 'We have said from the very beginning that we are determined to be market leaders and events in the past week have clearly demonstrated that to be the case.'

The airline, he said, is committed to empowering more people to fly more often, adding: 'We welcome our competitors to follow our example in achieving that.'

Tiger will fly to Bangkok three times a day and once a day to Hat Yai and Phuket.

Not to be outdone, SilkAir, the regional arm of Singapore Airlines (SIA) yesterday unveiled its $88 round-trip deal to Phuket.

SilkAir's deal is for travel from today until the end of next month.

But bookings must be made at least five days in advance.

And there are only 900 $88 seats - less than 1 per cent of the total number of seats available during the promotion period.

The airline's chief executive Mike Barclay told The Straits Times that many of the flights are already heavily booked.

He said: 'It means that in the end, for the flights still available for booking, we are looking at 10 to 15 of the $88 seats per flight.'

A rush for the dirt-cheap fares is anticipated going by Tiger's experience, when overflowing numbers of people who went for the $1 deal jammed its online booking system.

Human resources officer Pooja Sharma, 27, said: 'Many tried for hours but never managed to log on. Yes, the deals are good but I'm sure it will be almost impossible to get the cheap tickets.'

FARE FIGHT TO THAILAND

Tiger Airways


$1 ticket to Bangkok, Hat Yai and Phuket, valid for one week from the start of the airline's maiden flights to the three destinations - from Sept 15 for Bangkok, Sept 22 for Hat Yai and Sept 29 for Phuket. About 1,700 seats all sold out. After the promotion period, a one-way ticket is $40.

AirAsia

Its 49-cent ticket to Bangkok will last for a month. There are 5,000 seats up for grabs. From next month to next March, a one-way ticket is $19.99.

SilkAir

$88 round-trip to Phuket. Today to end of next month. There are 900 seats available.
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Old September 9th, 2004, 02:50 PM   #357
babystan03
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Quote:
Originally Posted by huaiwei
This is just getting crazy...why dont they offer free flights instead?
Maybe thats what Tiger will do next....
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Old September 9th, 2004, 03:24 PM   #358
heirloom
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haiyar... its 50 cents one way mar to come back must pay full price
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Old September 9th, 2004, 05:24 PM   #359
David-80
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What the hell, 49 cents? Are they will drop the passengers off from the air instead of landing?

cheers
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Old September 9th, 2004, 05:47 PM   #360
huaiwei
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Quote:
Originally Posted by David-80
What the hell, 49 cents? Are they will drop the passengers off from the air instead of landing?

cheers
Hahaha...drop them off and then U-turn back immediate? Fastest turnaround time ever?
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"My Settlement of Singapore continues to thrive most wonderfully - it is all and everything I could wish and, if no untimely fate awaits it, promises to become the Emporium and the pride of the East" - Sir Thomas Stamford Raffles, 10th September 1820
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