Eight low-cost airlines came together to form the world’s biggest alliance when it comes to low-cost transportation.

  19 Mei 2016 10:46

Brilio.net/en - Three airline alliances already exists around the world: Star Alliance, the world's largest global airline alliance, Skyteam and OneWorld. Since May 16th, Value Alliance can be added to the list.

Eight low-cost airlines came together to form the worlds biggest alliance when it comes to low-cost transportation. Value Alliance will cover one third of the planet surface thanks to an air fleet made of 176 aircrafts and 160 destinations available.

The alliance includes: Scoot and Tiger Air from Singapore, Tigerair Australia, Cebu Pacific (including subsidiary Cebgo) from the Philippines, Nok Air and NokScoot from Thailand, Vanilla Air from Japan and Jeju Air from South Korea. Last year, they carried a total of 47 million of travellers together and they are now aiming to reach a market share of 10% of the overall Southern-Asiana market.

Working together will allow them to reduce costs and offer better services to their customers. The main goal is to facilitate the bookings, the payment process and the transfers from the customers, through a web portal, serving as a common desk. The travellers will thus be able to view, select and book their flights from any of the eight member companies, in just one single and simple transaction.

Two main Asian companies are missing from the alliance, for our own strategic reasons according to Campbell Wilson, chief executive of Scoot.

AirAsia alone represents an air fleet of 200 aircrafts and its share on the Asian budget travel market is about 15%. With about 9%, Jetstar flies to 17 countries with an air fleet of 122 aircrafts. It seems indeed obvious that the alliance of all those smaller companies will now have more weight in the very competitive Asian market. Indeed, the aerial market in Asia is the most dynamic in the world, with a number of travellers increasing every year strongly and representing thus great business opportunities.

Source: smh

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