Travel Agents

Flight Centre unveils fresh travel research

Hotel rates rising and a change in airfare pricing are among some of the latest changes in the travel industry, according to research out of Flight Centre Travel Group.

Last week, Flight Centre released new data from its business travel consulting firm, 4th Dimension, saying Aussie flights are up there with the most affordable.

It comes despite another recent report that had contradictory claims that Australian air travel is actually one of the most expensive.

More data to come out of 4D’s recent report have now revealed what could be in store for Australian travel in 2017.

Demand for accommodation pushes prices up

4D research showed that in the second half of 2016, there was strong demand for accommodation in Sydney, Melbourne and Auckland, as leisure and business travellers arrived in huge numbers for work, conferences and holidays.

Now while the research suggested Aussie airfares were in a good position, with competitive prices keeping fares low, the opposite has been said for accommodation.

The upshot in demand for accommodation in these cities of Sydney, Melbourne and Auckland actually saw room rates skyrocket to two or three times more than what the traveller paid for flights.

Looking ahead to the second half of 2017 and into 2018, room bookings in these metro hot spots are expected to continue, causing demand to outstrip supply in some cases during peak periods.

What’s new and changing in 2017

Fare tracking conducted by 4D for first Quarter 2017 indicates a moderate increase of between three and five per cent in domestic Economy Class fares across both the corporate and leisure buying groups.

On top of this, both major Australian airlines introduced ‘Days of the Week’ fares late 2016, which has travellers on certain routes with certain ticket types paying a higher price to fly on Thursday and Friday.

The data collected suggests a real shift away from the long-held beliefs of travel buyers – that booking 14-21 days in advance delivers the best deal on the busiest routes.

With a likelihood of one in 10 tickets being changed by corporate travellers after a ticket is issued, 4D highlights that customers should consider the benefits of ‘flexible’ fares to avoid costly change fees.

The report shows the average cost of change charged by the airlines is $165. Globally, Australia has the seventh largest domestic travel market with around 1.5 million seats available weekly.

The Australia business traveller, for reference, takes on average over 3.8 trips every year.

Internationally, the big changes in 2017 include:

  • Start of non-stop Qantas flights from Perth to London
  • Virgin Australia expanding to Hong Kong and Beijing
  • The opening of Qantas’ flagship international lounge due to open at London Heathrow
  • Qantas adding services to Beijing and Tokyo (Narita) and;
  • Virgin Australia reintroducing a Melbourne to Los Angeles service

SEE WHAT PEOPLE ARE SAYING

Leave a Reply

Aviation

Three more Aussie cities “within flying range” for Cebu Pacific, says commercial chief

by Huntley Mitchell

Travel Weekly sat down with the Filipino carrier’s commercial VP to chat about its Australian expansion plans. And, much to our delight, he brought us some burgers from Jollibee.

Share

CommentComments

Tourism

Flavour of the Week: New country managers for Tourism Australia, Scoot and Tauck + MORE!

New country managers are the flavour of this week in the travel industry. Peruse all the latest hires here.

Share

CommentComments

Tourism

Virtuoso CEO cancels Aussie trip amid coronavirus concerns as travel ban extended

Matthew Upchurch was scheduled to speak at the MTA conference over the weekend, but cancelled his trip yesterday.

Share

CommentComments

Destinations

‘It’s Out There’: Destination NSW shines spotlight on Broken Hill and Central Darling region in new campaign

Destination NSW has embraced its inner drag queen to promote one of the state’s most ‘out there’ regions.

Share

CommentComments

Wholesalers

Contiki offers 29 per cent off 29 tours on 29th February

If you think Travel Weekly is only running this story to try and blag a free Contiki trip, you’d be absolutely, 100 per cent correct.

Share

CommentComments

Cruise

Sir Richard Branson rewards truckie with free cruise

The man sent a tweet to Virgin’s CEO asking if he remembered a good deed he performed for him a decade ago. His response has sent Twitter into a frenzy.

Share

CommentComments

Aviation

COOKIEGATE: United freaks out flying community by temporarily axing cult cookie

As avid cookie fans, we can totally empathise with the passengers’ concerns and would have written a strongly-worded letter had the airline not amended its mistake.

Share

CommentComments

Travel Agents

Agent Wrap: Wendy Wu’s mega-famil, AAT Kings gives back to locals, Flight Centre helps deaf community + MORE!

This week’s Agent Wrap is so full of famil opportunities and incentives that Travel Weekly staff are considering retraining as travel agents to get in on the action.

Share

CommentComments

Events

Tourism

The Women in Travel Awards are back!

Attention all talented and hard-working industry females: it’s time to start working on your entry for this year’s Women in Travel Awards!

Share

CommentComments

Aviation

Air New Zealand fires back at Qantas with new safety video of its own

by Ali Coulton

The Kiwi carrier just launched a new safety clip starring a little girl in gumboots, a large CGI bird, a robot, and a big fuzzy green guy. It’s equal parts cute and cringey.

Share

CommentComments

Destinations

Aloha Friday Wrap: Hawaii to host historic festival, Oahu hotels update, Hawaiian Airlines’ punctuality + HEAPS MORE!

Looking to avoid doing any actual work this afternoon? The Aloha Friday Wrap is the perfect alibi.

Share

CommentComments

Aviation

Hawaiian Airlines marks 16 consecutive years as most punctual US carrier

Hawaiian Airlines remained North America’s most punctual carrier in 2019, according to the US Department of Transportation.

Share

CommentComments