Business fares down as economy rises

Business fares down as economy rises
By admin

Falling domestic business fares coincided with a rise in economy fares over the 12 months to January 2013, new government figures have revealed.

The domestic business airfares index declined to an index of 63.2 in January from 78 in January 2012, when Virgin Australia introduced its business class product across the majority of its routes. Since then, domestic fares have continued to tumble, although January's figure marks a slight increase on the December index of 63. The index is measured against July 2003 fares, set as an index of 100.

Meanwhile, economy fares climbed to 120.7 in January 2013 from 109.9 in January 2012, when Virgin Australia also removed its premium economy class fare at the time of its business class roll out.

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