Air Fares Take Flight

Sydney Morning Herald

Tuesday March 28, 2006

Peter Vincent

Fierce competition has made domestic air travel cheaper than ever - if you know where to book. By Peter Vincent

Cherry-pick cheap air fares and you can afford to make merry in another town.

Price wars on domestic air fares allow you to have Saturday brunch in another capital city, take in a show, paint the town red and be back at work by Monday.

Heavily discounted flights mean you no longer need to think local when it comes to shows, shopping, dinning and socialising.

And the cheap fares are largely at your fingertips through the internet, but you need to follow a few basic rules to stay out of trouble.

Colin Bowman, the marketing manager for Flight Centre, says discount fares carry many terms and conditions that can catch you out if you ignore them.

"These conditions are all usually available, but you need to be absolutely sure that you take the time to read and understand them," he says.

"For instance, if you fly on a discounted fare with Jetstar or Virgin Blue, you will have to pay for in-flight service, whereas you will get at least a snack with Qantas."

On Jetstar, a sandwich, coffee and a muffin will cost you $10.50.

The condition you need to be most aware of, Bowman says, relates to changing your departure or return date. It can be done for a fee in most cases but with some heavily discounted fares it cannot be done at all - and the airline may refuse to refund what you have paid.

Virgin Blue charges $35 ($5 less if you do it via its website), plus the difference in the cost of the fares. But it will allow you to make the change only with at least 24 hours notice and it will not allow a change to the name on the ticket.

Jetstar does not allow passengers to change flights with less than 24 hours notice either, but it will change details - including date and time of flight and even the passenger name on the booking, for $10 plus the difference in cost of the fares.

Qantas doesn't allow you to change details on the day of the flight and has the highest charge - $38.50 to change itinerary, plus the difference between the cost of the fares and a telephone service fee.

Simon Westaway, the general manager of corporate communications for Jetstar, defends airlines' rights to charge fees for changing flights.

"There is a market in customers trying to manipulate cheap flights. If it was too easy to do, nothing would stop people from changing their flight from a Wednesday to a Friday evening flight so they can get the lower price for the high-demand fare," he says.

Lisa Tait, a spokeswoman for Choice magazine, acknowledges that airlines can offer discounted flights only because they set conditions which minimise the administration costs of changing dates. However, she says, the airline may create a situation where a refund is warranted.

Tait gives the example of an Australian woman who withdrew from a flight to Bali for a surfing holiday because the airline rescinded an agreement to take her surfboard when it ran out of hold space.

"The airline, in effect, changed the conditions of its contract with the woman, so she had to go with another airline," Tait says.

"We think blanket 'no-refund' provisions can be challenged under consumer protection laws. Just because you've ticked the box doesn't mean you have signed away all your rights."

Changing your own plans is one thing, but what happens when the airline changes its plans?

Tait warns that when an airline cancels a flight unexpectedly - for reasons such as industrial action and bad weather - it may have an unofficial "hierarchy" for how it deals with passengers.

"Airlines don't guarantee timetables and they reserve the right to substitute arrangements if something unforeseen happens," she says.

"Payments for things such as accommodation and meals are at the discretion of the airline, but usually they do help people.

"There is a kind of hierarchy to how they help you - it starts with first class, then business class, then full economy ticket holders, then frequent flyer passengers, then discounted economy passengers."

Spokesmen for Qantas, Jetstar and Virgin Blue maintain the type of economy fare a passenger purchases is not a factor in the level of customer assistance rendered in the event of a disruption.

But Tait says if you absolutely must be somewhere by a certain time, the lack of flexibility in a discount air fare is a risk.

"If you need to be across the country at a funeral the next day, I would suggest buying the most flexible fare in case your plans are changed unexpectedly," she says.

"At the very least, I would say this underlines the need to have travel insurance so you are covered for additional accommodation."

Bowman also points out that the lowest advertised prices will not always be available, because they may apply only to a short period or a non-peak period.

So long as you are not caught out by conditions, there are big savings to be made.

Qantas, for example, offers three levels of discounted air fares on its busiest route, Sydney to Melbourne. The cheapest, Red-E-Deals at between $112 and $115, are less than a third of the standard "fully flexible" fare, which is $383.

Jetstar has only one discounted air fare, its Jet Saver air fare. From Sydney to Melbourne its costs "from $79", although the airline refused to disclose how much discount fares can cost at busy times, other than to say it would cost less than its full economy fare, which is $199.

With Virgin Blue, a midweek flight from Sydney to Melbourne can cost $79, or $105 at the weekend, compared to $245 for the full economy fare.

Air fares are, as Westaway says, "complex commodities and as such are subject to supply and demand".

Put simply, if you want to fly at the same time as everyone else, such as a Friday night, you may find the most discounted air fares will probably sell out quickly or will cost more than flights on a quiet day.

Westaway says prices on domestic air fares in Australia can vary significantly during the year, as demand is seasonal on some routes. The more demand, the higher the cost.

"Tasmania is a boom tourist destination in summer, but not in winter. Cairns and Darwin are very popular in the dry season, but not in summer," he says.

"The Sydney to Melbourne market has seasonal nuances, but there is such a strong demand for travel between the cities that it overrides seasonal peaks and troughs.

"This is because most corporate headquarters are in either city, and because the flight is so short - one hour in the air - that it makes a weekend trip very achievable," Westaway says.

check extra COSTS

* Rescheduling fee

* Booking fee

* Credit card surcharge or fee

* A cancellation or refund fee

* Inflight service

* Airport taxes

* Excess baggage

CHEAP FLIGHTS - WEBSITES THAT HELP

* www.farehunter.com.au

* www.flightcentre.com.au

* www.harveyworldtravel.com.au

* www.jetstar.com.au

* www.lastminute.com.au

* www.qantas.com

* www.virginblue.com.au

* www.webjet.com.au

WHO LEFT THE DOGS OUT?

Choice spokeswoman Lisa Tait nearly had her holiday plans thrown into chaos when she booked a flight to Ballina last year. She planned to take her two dogs, Oogie and Jojo, with her to Byron Bay using her Qantas frequent flyer points. But when the airline switched her to Jetstar, the budget carrier told her she couldn't take the dogs because some of its aircraft did not have sufficient cabin pressure to allow pets on board.

Tait found a sympathetic Jetstar call centre manager who switched her to a different flight (to Coolangatta) on a plane that did allow pets. The change meant she had to hire a car to get from Coolangatta to Byron Bay, but it salvaged her holiday.

"They were within their rights to say 'bad luck' because I had not remembered to book my dogs," Tait says. "But my whole holiday was arranged around having the dogs with me. So I tried again and I was lucky. I think it shows that if you really need help, don't be afraid to ask."

FUN FACT

According to Simon Westaway of Qantas, the Sydney to Melbourne air route is "conservatively" ranked in the top five markets in the world in terms of passenger numbers, at more than 6.2 million a year.

© 2006 Sydney Morning Herald

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