Wednesday, January 10, 2018

Airlines line up discounts on fares as lull season begins

The flyers are making the most of low airfares with bookings rising by 35%. This is despite a surge in the price of aviation turbine fuel (ATF) as airlines are dealing with higher capacity and the lean traffic period.

In certain cases, the fares are marginally lower than the prices that prevailed during the same period last year.

According to a research report released by ICICI Securities on Tuesday, ATF prices have seen a year-on-year (Y-o-Y) growth of 13%.

As a result of the fall in airfares, ticket bookings have surged by about 25-35%, reveal the industry sources. Most of these bookings have been made around the 16 long weekends falling in the calendar year.

Aloke Bajpai, CEO and co-founder of ticket marketplace ixigo, said, "Comparing fares to the same time last year, the ongoing offers have led to a clear dip in prices."

With the peak season for travel well over, airlines are coming up with discounted fares in order to stimulate the demand, said John Nair, head - business travel, Cox & Kings.
10/01/18 Shahkar Abidi/DNA