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onebir
Joined: 17 Nov 2007
Posts: 48
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 Posted: Sat Jan 19, 2008 1:08 pm Post subject: Air Asia plans Hainan & Guilin routes for March & Ap |
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"AirAsia Bhd plans to launch two new routes from Malaysia to China as well as increase flight frequencies to Guangzhou by year-end.
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We hope to launch new routes to Hainan in March and Guilin in April. "
Judging by their distance, the pricing on these routes should be similar to that for Guangzhou-KL.
Launching these particular routes next seems strange.
1) Why fly Malaysia-China instead of Thailand-China & time the flights to allow connections on the BKK-KL route?
2) Why these destinations ahead of the others mentioned? Hainan and Guilin are both holiday locations in China - not particularly densely populated. Airasia's potential passengers are for the most part Malaysian Chinese. That's about 8m people - across the whole country. Less than the population of the Chengdu, & far less than Chongqing.
It's more than the population of Kunming, but Kunming's a gateway to scenic spots in Yunnan, which are far more varied than Hainan & Guilin. Both the Chinese & Malaysian ends would provide potential passengers, rather than just the Malaysian end under current plans.
I guess the factors pushing servicing the Malaysian end first are
a) brand recognition (which must be pretty low for AirAsia in China for the moment)
b) relative wealthiness &
c) ethnic links with China - which Chinese don't particularly feel with Malaysia.
Anyway, full story here |
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Konangrit
Joined: 27 Nov 2007
Posts: 61
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| Posted: Mon Jan 21, 2008 3:39 am Post subject: |
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| Quote: | | 1) Why fly Malaysia-China instead of Thailand-China & time the flights to allow connections on the BKK-KL route? |
I don't think it's an either/or thing. If the two new routes are successful I would expect Thai AirAsia to start flying them from Bangkok once they have the capacity and slots. The article mentions that they plan to start flying to Guangzhou from Bangkok this year. They're awaiting delivery of more A320s, so probably don't have as many options to expand until they arrive.
| Quote: | | 2) Why these destinations ahead of the others mentioned? Hainan and Guilin are both holiday locations in China - not particularly densely populated. Airasia's potential passengers are for the most part Malaysian Chinese. That's about 8m people - across the whole country. Less than the population of the Chengdu, & far less than Chongqing. |
I think it's just about which slots they can get, these new routes more than likely aren't their first choices, just what's available at this moment in time.
| Quote: | | Traffic in China was “tight” and AirAsia would have to wait for approval to increase flight frequencies there, she added. |
KL is a major SE Asian hub for many foreign tourists too, so I don't see their potential passengers being restricted to just ethnic Chinese Malaysians. I can see the popularity of Hainan increasing substantially once the new Spaceport is built there, plus they're planning a space-science theme park too. I think it's wise of AirAsia to get in there early. If Thai AirAsia start flying the Hainan route they'll get some business from me at least anyway.
| Quote: | I guess the factors pushing servicing the Malaysian end first are
a) brand recognition (which must be pretty low for AirAsia in China for the moment) |
Well, they already fly to several Chinese cities, and their sponsorship deals with Manchester United and Formula 1 team Williams must give them a fair amount of exposure.
I see they're also planning to fly to Hong Kong in the first half of 08, and also to Guangzhou from East Malaysia (I assume Kota Kinabalu). |
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attitudetravel
Joined: 15 Nov 2007
Posts: 242
Location: London, UK
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| Posted: Mon Jan 21, 2008 3:58 am Post subject: |
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| Quote: | | Why fly Malaysia-China instead of Thailand-China... |
I suspect Konangrit is right and more routes to China will subsequently be added from Bangkok as well.
However we shouldn't forget that, for the next year or two, Air Asia X will be based primarily out of Malaysia.
Thus, if Air Asia plans to connect the rest of the world to holiday destinations in China, it makes sense to establish routes to Hainan and Guilin from KL first, before any other Southeast Asian hub.
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Alan Lansdowne
Editor, attitudetravel.com |
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Konangrit
Joined: 27 Nov 2007
Posts: 61
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| Posted: Mon Jan 21, 2008 4:12 am Post subject: |
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Good point Alan.
I'm going to think up a few questions for the Asia Pacific Low Cost Airlines Congress thread, I'm particularly interested in East Asian routes, and Tiger's South Korean plans. |
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onebir
Joined: 17 Nov 2007
Posts: 48
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| Posted: Mon Jan 21, 2008 7:40 am Post subject: |
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| Quote: | | Thus, if Air Asia plans to connect the rest of the world to holiday destinations in China, it makes sense to establish routes to Hainan and Guilin from KL first, before any other Southeast Asian hub. |
That only makes sense when AAX has lots of other routes from outside China. At the moment it doesn't, and AFAIK, no timings for these routes have been announced.
I also expect BKK routes to be added to these destinations, but given the current state of the network, adding these shorter cheaper routes, with perhaps more potential passengers &/ more knock on benefits for other AA routes (eg BKK-KL), seems to make more sense. Guess it was the slots... |
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