Tigerair Australia and seven other low-cost carriers have launched the Value Alliance, a development some say could trigger an airfare war throughout Asia.
Founding members of the Value Alliance are Tigerair Singapore, Thailand’s Nok Air and NokScoot, Japan’s Vanilla Air, Korea’s Jeju Air, Cebu Pacific of the Philippines, Tigerair Australia and the Singapore Airlines’ all-Dreamliner low-cost subsidiary Scoot.
Members consider their new pact will boost their market muscle and help them compete with rival low-cost carrier groups like Jetstar, AirAsia and Lion Air.
The Value Alliance’s biggest local competitor will be Jetstar.
The Value Alliance will let customers to view, select and book the best-available fares directly from the website of all airline members, according to publicity.
SBS quoted Tigerair chief executive Rob Sharp saying the creation of the world’s largest low-cost carrier alliance would “deliver significant benefits” to customers.
“Tigerair Australia customers will be able to view, select and book the best available fares and optional extras like meals and seat selection from any partner airline in a single transaction, directly from the Tigerair Australia website,” Sharp said.
He said Tigerair Australia would use the alliance to expand its existing network of 21 routes and 12 destinations to more than 160 destinations across the Asia Pacific region.
Tigerair plans to incorporate new technology developed by Air Black Box, which will let it sell connecting fares throughout the region in a single transaction.
Tigerair flyers will be able to choose their seat and meal, variable baggage allowances and other inflight features. The new booking capability should be available on the Tigerair’s website in “coming months”.
Written by Peter Needham