SHARE
COPY LINK

COVID-19

European airlines cutting fares to woo back passengers

With the coronavirus crisis putting a chill on travel, European airlines are reducing fares to attract passengers and fill the planes that are still flying.

European airlines cutting fares to woo back passengers
Photo: AFP

Travel restrictions adopted by many countries to stem the spread of the disease have clobbered airlines, bringing air traffic to a near halt in the spring. And while traffic picked up during the summer, it is now falling off again.

According to Eurocontrol, which coordinates air traffic in Europe, traffic has been slowing over the past couple of weeks, and is now 54 percent below its comparable level last year.

A European airline trade association has put August traffic even lower, at just 30 percent of 2019 levels.

Eurocontrol is now more pessimistic about a recovery for the sector.

In the spring it had expected traffic to be 30 percent below 2019 levels in October, but it now sees a 57-percent drop.

While the pandemic has left airlines starved for cash, they have begun to cut fare prices.

According to ForwardKeys, a company which analyses the tourism market, airlines trimmed fares from Britain, France, Germany and the Netherlands to destinations in southern Europe by 15 percent in August compared with the same period last year.

In a study released Thursday it found that prices on some routes were down by more than one third.

'Entice travellers'

“You have to entice travellers to return to flying and price is a factor,” said Reginald Otten, deputy managing director for France at budget airline easyJet.

He said the airline had managed to reopen some routes during the summer and the planes it flew were nearly full.

“But we are nevertheless around 30 percent of capacity, which is a very, very low figure, and the summer is the most important, most popular (time) for people to travel,” he told AFP.

Lower prices also stimulate traffic, according to Eddie Wilson, head of Ryanair DAC, one of the two firms which operate flights under the Ryanair brand.

Ryanair, which has used a low-cost model to become one of Europe's biggest airlines, this week launched a brief buy-one-get-one-free promotion.

“At some stage you can't sit there and look out of the window and hope that things will be alright and wait for the politicians to do something,” he said.

Beyond cutting prices, airlines can and are focusing on their most profitable routes.

But the reimposition of travel restrictions and tighter quarantine and testing measures could quickly undo their planning and efforts.

European airlines earlier this month urged national capitals to coordinate measures to limit the spread of the virus, saying the current patchwork of restrictions is hobbling a return to regular travel around the EU.

Airlines are responding to the drop in demand for travel “with the tools they have in hand: reducing capacity and promotional offers, but they have no control over the evolution of the pandemic and policies on restricting travel,” said Oliver Ponti, vice president of ForwardKeys.

“The effect of low prices will thus be limited, especially as consumers remain worried about their plans being disrupted and rapid reimbursement of their tickets in case of cancellation,” he added.

Member comments

Log in here to leave a comment.
Become a Member to leave a comment.

COVID-19

French government votes to allow return of Covid tests at border

The French parliament has passed the controversial health bill which updates France's emergency provisions for Covid - and allows the return of negative Covid tests for all travellers at the border, if the health situation requires.

French government votes to allow return of Covid tests at border

The Loi sanitaire was eventually approved by the Assemblée nationale on Monday after several variations and amendments added on its passage through the Assemblée and the Senate. It was voted on and passed Tuesday, May 26th. 

The bill replaces the State of Health Emergency that has been in place since March 2020 and puts in place provision for government actions should the health situation deteriorate or a dangerous new variant of Covid emerge.

The original text had a provision for the return of the health pass at the border, but this has now been scrapped and instead the government has the right to make a negative Covid test a condition of entry for all travellers.

At present negative tests are required only for unvaccinated travellers, and the new test requirement would only be put into force if a dangerous new variant emerges.

The government will be able to implement the testing rule by decree for two months, but a further parliamentary debate would be required to extend it beyond that.

From August 1st the State of Health Emergency will be formally repealed, which means that the government no longer has the power to introduce major limits on personal freedom such as lockdowns or curfews without first having a debate in parliament.

The bill also allows for an extension of data collection required for the SI-DEP epidemic monitoring tools such as the contact tracing app Tous Anti Covid until June 30th, 2023 and Contact Covid until January 31st, 2023. 

The most controversial measure in the bill was the reinstatement of healthcare workers who were suspended for being unvaccinated – this actually only involves a couple of hundred people but medical unions and the medical regulator Haut Autorité de Santé (HAS) have both been against it.

However the bill allows for the eventual lifting of the requirement for Covid vaccination for healthcare workers, when the HAS judges it is no longer necessary and once the requirement is lifted, the suspended healthcare workers will be reinstated “immediately”.

The bill was approved on Monday evening with 184 votes to 149, the result of a joint committee that was able to harmonise the versions of the Assembly and the Senate.

The final vote passed the Senate on Tuesday.

SHOW COMMENTS