TokyoTomo Travel Guide

Amadeus announced on September 10 that it has formed a partnership with AirAsia (AK) enabling the Amadeus-subscribing travel agencies to book flights for the customers on the AK Group flights. The introduction of “Ticketless Access,” which is the Amadeus technology solution for LCCs (low cost carriers), has achieved its implementation by AirAsia and all its subsidiaries including its long-haul affiliate, AirAsia X (D7) presently planning its service to Japan. The Amadeus Ticketless Access enables more than 102,200 travel agencies worldwide using Amadeus GDS to book the respective AK group flights in the same way as the system allows for a full-service airline.

As it has been observed, LCCs, in many cases, decline to participate in a GDS which levies booking transaction fee on part of airlines in order to slash costs. By introducing a global distribution system, however, LCCs will enjoy benefits of not only enhancing the market diversification but also attracting new travel demand including business traffic through GDS- subscribing travel agencies. At the same time, the GDS enables travel agencies to provide more flexibilities and choices to their customers who are particularly budget-conscious. The number of Japanese business travelers flying LCCs is not available for statistics in the Japan market. According to AirAsia, it is receiving positive responses from overseas markets, particularly from Europe.

For your information, AirAsia had first joined hands with Galileo back in January 2006 in a drive to boost its distribution channel

Source: Travel Vision

Travel Vision Inc. provides information on the travel industry in Japan via "Daily Travel Vision", a Japanese-language e-mail newsletter, and the "Travel Vision" website. There are nearly 110,000 people working in the Japanese travel industry, and Travel Vision is proud to be bringing travel news to more than 30,000 people through Daily Travel Vision.

According to a survey conducted by Appleworld, 77.5% of its website visitors knew about foreign low cost airlines (low cost carrier or LCC in short). Of all respondents, 83.0% of men and 71.5% of women replied in the affirmative. Many of the Appleworld’s site visitors like to travel abroad individually. In fact, 28.3% of those surveyed have actually used services of LCC and 96.1% of them replied that they would fly LCC again in the future. Out of those who have not experienced LCC service, 64.1% wishes to fly with LCC in the future. Only 10.3% of them had no experience with LCC and declined to use their services. In terms of an age bracket, 36% of those in 20s or younger have actually traveled on LCC while only 14.3% of senior travelers in 60s and over had a flying experience with LCC. The low cost airlines, LCC, indeed attract young travelers.

In terms of airlines used, Air Asia (AK) and Air Asia X (D7) were voted as top LCCs, registering a share of 20.1% in the survey, followed by a US carrier, Southwest Airlines (WN) with a 16% share. Appleworld analyzes that these LCCs attract both individual leisure and business travelers. JetStar Airways (JQ) which operates Japan routes ranked third with a share of 14.8%. Viva Macau Airlines (ZG) and Cebu Pacific (5J) had a share of 1.78% and 0.59% respectively.

Asked about their customer service, 59.2% of those surveyed said, “We want LCC to provide affordable fares as low as possible yet with standard in-flight service including seat pitch,” largely exceeding 19.7% of those respondents who demanded, “What we need is the cheapest possible fare, by all means.” On the other hand, the rest of 21.1% requested that, provided the fare is affordable, they would like decent customer service, including in-flight service and seat pitch, partly superior to the existing airlines. The survey concludes that LCC, when operating Japan routes, is required to offer customers attractive prices, yet with reasonable quality of service on board.

The survey was conducted at the “Appleworld.com” in the form of a questionnaire between November 19 and 25. Total of 360, specifically, 188 male and 172 female, in the age bracket of 20s to 60s and over, responded to the on-line questionnaires.

Source: Travel Vision

Travel Vision Inc. provides information on the travel industry in Japan via "Daily Travel Vision", a Japanese-language e-mail newsletter, and the "Travel Vision" website. There are nearly 110,000 people working in the Japanese travel industry, and Travel Vision is proud to be bringing travel news to more than 30,000 people through Daily Travel Vision.

Jetstar Airways (JQ) started a nonstop service on October 1, linking Osaka’s Kansai International Airport with the Gold Coast. Some 20 travel agent people left for a FAM tour by the inaugural flight.

Commenting on the Japan market, Mark Dal Pra, who is currently Group General Manager for Customer Service and Airport and has formally acted as Group General Manager of Longhaul, said, “The number of Japanese visitor arrivals (in Australia) during the past several years has declined. With the new nonstop service into the Gold Coast, we endeavor to revive the Japanese market and boost traffic there from.”

Asked about the route restructuring plan announced by Qantas Airways Group last June, Dal Pra explained, “It is one of our group strategies, thereby, Qantas is to focus business and premier leisure traffic segments while Jetstar is to focus leisure traffic and price-conscious customer segment,” adding that since 70% of the airline’s passengers travelling on the Kansai/ Brisbane route had actually stayed in the Gold Coast, Jetstar decided to switch its destination from Brisbane to the Gold Coast.

The route restructuring this time provides the customers shortened transfer time to a final destination with reduced transfer costs. The customer- friendly CIQ service at Gold Coast Airport will also enhance the travelers’ merit. Many of the travel agent people who participated in the FAM tour indeed voice that the market will welcome the change of the destination.

The new nonstop service will stimulate the travel demand and the low fares that only an LCC (low cost carrier) can provide will be able to boost the travel market, Dal Pra anticipated.

Source: Travel Vision

Travel Vision Inc. provides information on the travel industry in Japan via "Daily Travel Vision", a Japanese-language e-mail newsletter, and the "Travel Vision" website. There are nearly 110,000 people working in the Japanese travel industry, and Travel Vision is proud to be bringing travel news to more than 30,000 people through Daily Travel Vision.