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Comair to Reinvent Its Offering

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Comair to Reinvent Its Offering September 23 2015 I No. 2368 SOUTHERN AFRICA’S TRAVEL NEWS WEEKLY TRAVEL NEWS WEEKLY TNW7256SD NEWS NEWS FEATURE JOBURG-MAHIKENG THE BLUE TRAIN SAX launches scheduled flights SI to develop marketing strategy Exotic and affordable INSIDE Page 2 Page 4 Page 12 Comair to reinvent its offering DORINE REINSTEIN in discussions with international airlines to host their passengers in OMAIR plans to reinvent its the Slow Lounge at OR Tambo. product offering, following a Comair cited increased C17% drop in profits for the year competition and unsustainably low ending June 30, 2015. airfares as the reasons for the The airline will shift its focus to sharp drop in profits for 2015. the promotion of ancillary products, The airline is not expecting any as the airline “won’t be seeing growth for the time being as a result any growth from the sale of ticket of additional capacity in the market. fares”, Kirsten King, Comair’s “To retain our market share, we finance director, told TNW. Although need to keep our fares suppressed. Comair’s ancillary offering is However, we’ll continue with our currently still quite small and only fleet replacement strategy, which is contributes about 4% to the important in terms of fuel efficiency. airline’s revenue, Kirsten says this We can save up to about 15% in Proudly South African segment contributed 11% to the consumption. We’re also focusing airline’s profit. on keeping passengers happy In celebration of its 14th birthday, kulula.com surprised customers with on-time performance, tight with hampers filled with original South African products. Shaun Pozyn, schedules and shorter turnaround kulula.com head of marketing, described the airline as the “Nik Naks, “‘Branded’ fares are also times,” Kirsten said. Ouma Rusks and Mrs Balls of flying”. “We are as entrenched as other home-grown brands,” he said. Pictured, celebrating a truly South on the cards.” She added that that there would eventually be a “correction” in the African birthday, are (from left): kulula.com’s marketing manager market when it came to airfares, Bridgette Ramuluvhana; Shaun; and reservations team leader – The airline is looking at launching but said it was difficult to predict International, Liesl-Mari Mcilwraith. Photo: Shannon Van Zyl services such as priority boarding when that would happen. “Fares and extra leg-room. ‘Branded’ fares are currently 15% below what are also on the cards. Through the they should be, so passengers branded fares, clients will be able should expect an increase in fares There’s a new airline to buy a basic ticket, excluding of between 10% and 15%,” said luggage and other services. “Clients Kirsten. Durban routes were doing coming to SA… will also be able to buy combination “reasonably” well, but JNB-CPT, JNB- packages of a ticket with, for PLZ, CPT-PLZ and HLA-CPT were all DORINE REINSTEIN not been released yet, Derek Shanks, example, extra leg-room and added running at a loss, she said. commercial director of Mega Maldives flexibility. This new product will “You can incur losses for as long MEGA Maldives Airlines plans Airlines, told TNW it would be deploying make the fare offering much more as you can afford it. Comair is fairly to introduce a twice-weekly flight a Boeing 757 on the route, with variable,” Kirsten said. well positioned, so we can withstand between Malé and Johannesburg departures from Johannesburg on Comair’s lounges will also be it for some time but obviously not from November. The airline will also Saturdays and Tuesdays. upgraded. The airline has already forever. For now, we’re concentrating offer South African travellers good “We are very keen to develop the expanded its Cape Town Slow on retaining market share by looking connections to Thailand and India. route from Johannesburg to Maldives Lounge, with the ORT Johannesburg at efficiencies and introducing Although exact details of the as well as offer good connections lounge to follow suit. Comair is also ancillary products.” timetable and GDS availability have To page 16 TNW7257SD NEWS Top web stories SAX launches flights Task team to determine fate of dual citizens ‘No need to panic’, says SA govt over possible terror attack to Mahikeng ‘No reason to review dual citizenship’ – govt TNW pick: Domestic airfares – expect a rollercoaster ride DARISE FOSTER “For now, SAX is the only was part of the provincial airline to fly out of the airport,” government’s broader plan to What do luxury travellers want? CHEDULED flights North West province acting reposition the province with have recommenced head of communications, special focus on Mahikeng Sat Mahikeng Airport Brian Setswambung, told (formerly Mafikeng) as the in North West province. SA TNW. “We have not had any capital city. Express will operate flights other airlines communicate On September 7, SAX from Mahikeng to OR Tambo their interest in flying to the launched its Mahikeng- International Airport and airport as yet.” Johannesburg-Pilanesberg Pilanesberg Airport. Speaking at the recent flights, which operate twice Fares range from R400 for official launch of the flight daily on Mondays, Wednesdays Mahikeng to Pilanesberg and schedule at the airport, and Fridays using a 50-seat from R600 for Mahikeng to North West Premier, Supra Canadair Regional Jet 200. Johannesburg. Mahumapelo, said the move See schedules below. Morning departures Monday SA1121 JNB-MBD 07h10-07h55 TNW6005SD SA1121 MBD-NTY 08h35-09h10 SA1121 NTY-JNB 09h50-10h30 Rubes® By Leigh Rubin Wednesday and Friday SA1123 JNB-MBD 07h10-07h55 SA1123 MBD-NTY 08h20-08h55 SA1123 NTY-JNB 09h20-10h00 Afternoon departures Monday, Wednesday and Friday SA1125 JNB-NTY 16h30-17h10 SA1125 NTY-MBD 17h50-18h25 SA1125 MBD-JNB 19h05-19h50 Dodgy dealings in duty-free DORINE REINSTEIN as alcohol and tobacco. no vendor has the right to Financial secretary to the pocket VAT, says Janine. IN THE UK, travellers are UK Treasury, David Gauke, The vendor’s only role is refusing to show their said: “The VAT relief at to issue a tax invoice to boarding passes at airport airports is intended to travellers, who then produce shops, after UK-based reduce prices for travellers, this at the time of departure newspaper The Independent not as a windfall gain together with the goods to revealed that many stores for shops. While many qualify for a refund. “There were asking passengers retailers do pass this is no refund payment by or to present their boarding saving on to customers it is to vendors at all,” she says. passes when making a disappointing that some are Janine adds that none purchase so they could use choosing not to. We urge all of the airport retailers in the information to claim airside retailers to use this custom-controlled areas the 20% VAT relief to boost relief for the benefit of their at Departures levy VAT their own coffers instead of customers.” as all goods are destined Founding Editors: passing on the savings to This would not be possible for export. “Travellers are John H Marsh (1914-1996) Leona Marsh (1923-2003) customers. in South African airports, entitled to zero-rated VAT The UK Treasury has says spokesperson for at airports in customs- EDITORIAL TRAVEL NEWS WEEKLY Group Editor: Natasha Schmidt [email protected] intervened and confirmed SARS, Janine Mqulwana. controlled areas, as they www.etnw.co.za Features Editor: Debbie Badham that it is not a legal South African regulatory are on their way out of the Contributors: requirement for passengers frameworks on VAT refund country. Therefore, the VAT Published by Tessa Reed Hilka Birns to show boarding cards works differently. By law, all exemption benefits are Travel & Trade Publishing (Pty) Ltd Max Marx Dorine Reinstein Printed by Juka Printing (Pty) Ltd when buying goods, other Carina Borralho Darise Foster VAT collected by vendors directly passed on to the Phone: (011) 327-4062 Photographer: Shannon Van Zyl than on duty-free items such is paid over to SARS and traveller.” Fax: (011) 327-4094 Production Editor: Ann Braun E-mail: [email protected] Web: www.nowmedia.co.za PUBLISHER Address: Now Media Centre, Kate Nathan [email protected] 32 Fricker Road, Illovo Boulevard, GROUP PUBLISHER Illovo, Johannesburg. Phakalane Airways stops scheduled flights David Marsh [email protected] PO Box 55251, Northlands, 2116, South Africa. ADVERTISING DORINE REINSTEIN Phakalane Airways to run but only as a non-scheduled Sales: [email protected] scheduled inter-provincial charter. Advertising Co-ordinator: PHAKALANE Airways has flights between Kimberley, Allan told TNW that the Anthea Lucas [email protected] discontinued scheduled flights Upington and Springbok and Phakalane Airways team PRODUCTION in the Northern Cape, just 18 unscheduled flights to De Aar, would now concentrate on Design Head: months after the service was Calvinia, Kuruman and Sishen. a flight training school they Dirk Voorneveld launched. Ceo of Phakalane Airways, had recently opened to “train SUBSCRIPTIONS In January 2014, the Allan Roebuck, told TNW the historically disadvantaged Circulation [email protected] Northern Cape provincial airline still offers flights on children in the Northern government appointed the Kimberley-Upington route Cape”. 2 n Wednesday September 23 2015 QUICK READ FOR DECISION-MAKERS TNW7243SD NEWS PillowTalk Advertorial A brief look at this week’s hotel news Sun International wins Blue Train bid Durban hotel undergoes R100m refurb THE Garden Court Marine Parade in Durban has been given a DANIELLA DI GASPERO Tourism, Thulani Nzima; similar to the one Transnet R110 million refurbishment. The renovations include touch-ups in Graeme Stephens, ce of Sun is trying to target,” said the hotel’s public areas, reception, conference rooms, guest toilets, RANSNET has chosen International; and Siyabonga Graeme. “Approximately 60% Sun International as the Gama, group ce of Transnet, of our room nights are sold lifts and lift foyers and corridors.
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