New from Cheapflights.co.uk, the UK’s leading flight price comparison website, comes the first issue of quarterly Travelnomics report. Francesca Ecsery, General Manager at Cheapflights.co.uk: “From a round up of industry issues and upcoming events, to top ten destinations, Travelnomics is designed to act as the ultimate resource displaying travel trends and handy information for the upcoming quarter. Cheapflights.co.uk is the consumer champion and Travelnomics’ reporting of industry news will help both the trade and consumers make informed decisions, and provide…
New from Cheapflights.co.uk, the UK’s leading flight price comparison website, comes the first issue of quarterly Travelnomics report. Francesca Ecsery, General Manager at Cheapflights.co.uk: “From a round up of industry issues and upcoming events, to top ten destinations, Travelnomics is designed to act as the ultimate resource displaying travel trends and handy information for the upcoming quarter. Cheapflights.co.uk is the consumer champion and Travelnomics’ reporting of industry news will help both the trade and consumers make informed decisions, and provide an extra resource for keeping the industry in check.”
Aviation issues in Q1
The first part of 2009 has seen aviation dominate headlines. From expansion at London’s Stansted and Heathrow airports to the Competition Commission’s ruling on 19 March 2009 that BAA must sell three of its airports, 2009 is shaping up to be a year of change for the industry.
London Heathrow Airport was given the green light by the Government for a new terminal and 7,200 ft runway. Growth in capacity is essential for London Heathrow to remain a global leader and the expansion will be a catalyst for economic growth as it offers better connections between UK and international businesses. For consumers, a new terminal and runway will lead to more flights, which in turn breeds greater competition among airlines and cheaper fares for passengers.
The Civil Aviation Authority (CAA) announced a fall in passenger numbers at UK airports, the first time since 1991. The public is carefully watching their travel spend but airlines, including British Airways and Wizz Air, have reacted by offering flight sales. Travel is still affordable and there are bargains available for consumers who are flexible with dates, airlines or destinations.
In March, the Air Transport Users Council (AUC) released a study claiming passengers were not fairly compensated for lost luggage, especially if they do not have receipts for the contents of their suitcases. Some luggage has been irretrievable, usually due to no tags or identifiable marks on the bags. Consumers
have faced delays in their claims being processed as airlines act as insurance companies, putting the onus of proof back on the traveller.
Airline consolidation continues, with the recurring ‘will they, won’t they?’ dance between British Airways and Iberia taking centre stage. March saw the airlines discuss plans to create a single parent company, Topco, which would own the airlines and allow them to retain their individual brands. The impact of consolidation tends to push up fares but the proposed retention of the airlines’ individuality may lead a BA/Iberia merger to be the exception to the rule.
The Government also announced plans for ‘e-Borders’ where anyone departing the UK will have their trip recorded and stored on a database for ten years. The Government claims the new measures will tighten border controls and increase protection against the threat of international terrorism. Consumers will be adversely affected; reasons we are campaigning against ‘e-Borders’ include the scheme infringing on consumers’ civil rights, added stress and hassle for the travelling public, and concern about the security of the data stored.
The issue that caught the imagination of the consumer this quarter was hidden extras charged by airlines. From near nude ‘no hidden extras’ stunts in London, to another airline’s proposal of a £1 toilet charge, consumers are increasingly aware of the differences between no-frills airlines and full service carriers. With all airlines looking at maximising their revenue, the needs of consumers must not be overlooked, or else airlines face alienating their customer base entirely.
Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.
