ASEAN airlines launch discounted airfares
ASEAN airlines launch discounted airfares
SINGAPORE (AFP): After months of talks, Southeast Asian airlines have agreed to offer standard discounted fares for tourists flying into the region in a determined bid to prop up shrinking tourism revenues.
The talks under the auspices of the ASEAN Tourism Association (ASEANTA) have led to the introduction of a special air pass entitling passengers to buy coupons at US$90 for travel to any single ASEAN destination.
"This is a big breakthrough because for one thing the ASEAN airlines, despite their diversity, have got together to promote ASEAN as a single destination," Nurdin Purnomo, treasurer of ASEANTA, said on the sidelines of the ASEAN Tourism Forum '99 which ended in Singapore Sunday.
"The other thing is that the coupon system is going to be very efficient for travelers, say from Europe or the U.S, because they get to see more places in ASEAN by taking advantage of the combined strength of the airlines," Purnomo said.
He expected a jump of between 10 and 20 percent in tourist arrivals in areas not frequented by specific ASEAN airlines with the implementation of the so-called "ASEAN Air Pass" this year.
"Before this air pass concept, tourists usually stick to one airline and not necessary that airline operates in areas which they wish to go. So we are having many gateways to the region now," Purnomo said.
A soft launch of the air pass concept was held in December and it was officially unveiled at the ASEAN Tourism Forum, Purnomo said, adding that ASEAN was also moving towards offering tourists a hotel pass and land transport pass along the same lines.
Officials said the air pass concept had been in discussions since May last year and the stumbling block had been to get airlines to agree on the price and concept.
"You need to put aside personal interest and focus on national issues. So, I think we have achieved that in that sense that all airlines have come into agreement to put ASEAN in front," said Patricia Auyeong, secretary-general of the Federation of ASEAN Travel Associations (FATA).
Officials said the ASEAN air pass was being marketed aggressively by airlines overseas to woo back tourists to the region hit by financial turmoil and air pollution due to forest fires since 1997.
According to the London-based World Travel and Tourism Council, total gross domestic product (GDP) generated in Southeast Asia from tourism in 1998 could have dropped 11 percent to $70 billion.
"The air pass will help to promote ASEAN as a single tourist destination by allowing different destinations in the region to be accessed at the same reduced fare," noted Singapore Trade and Industry Minister Lee Yock Suan.
"It is also a visible demonstration of ASEAN solidarity and cooperation among the participating ASEAN airlines," Lee said.
The Association of Southeast Asian Nations (ASEAN) comprises Brunei, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam. Cambodia is awaiting formal admission.
The key participants of the ASEAN air pass scheme are Garuda Indonesia, Singapore Airlines, Malaysia Airlines, Thai Airways, Philippine Airlines and Royal Brunei.
The air pass can be purchased by travelers flying into the ASEAN region on any of these national carriers and allows them to add on additional ASEAN destinations at a standard incremental fare of $90 per destination.
"It will be very attractive especially for long haul affluent travelers," said FATA's Auyeong. "It will be easy and simple to calculate the air fare because it is standard."
A minimum of three flight coupons at $270 must be purchased together with an international ticket for travellers to be entitled to the air pass.
"The coupons are interchangeable in the sense that travelers will be able to jump into any ASEAN airline," Auyeong said.