30 July 2010

Salt Air tackles Starfish

Source : http://www.northernadvocate.co.nz/local/news/salty-competition-for-starfish/3918262/

Air New Zealand's new Starfish discount card for frequent fliers will go head-to-head with the successful 10-fare discount voucher offered by its only commercial opposition in Northland, Salt Air, since 2008. The Starfish scheme, announced earlier this week, will entitle users to 30 per cent discounts on all regional airfares for an annual fee of $800. A 15 per cent discount costs $200. The discount is for all regional flights to and from regional destinations and all regional flights to a city, or from a city back to a regional destination. Grant Harnish, managing director of Salt Air, said Air New Zealand's Starfish card showed the value of competition for the consumer - although it was a completely different scheme from his company's 10-fare Flexifare voucher. Flexifare currently costs $1090 for 10 "sector" fares from Kerikeri and $990 from Whangarei. Also valid for one year, it includes the cost of the shuttle bus into the Auckland CBD from North Shore airport. "Consumers love the fact they always know exactly how much their fare costs whereas the Air New Zealand offer will be 15 or 30 per cent off the fare available on that day - but good on them. The competition is a great thing for the travelling public," said Mr Harnish. Air New Zealand group general manager Australasia Bruce Parton said customers had told him they wanted cheaper flights when the company visited 20 towns and cities looking for feedback. Starfish would stimulate growth and reduce the price of regional travel for frequent fliers.But United Travel Whangarei managing director David Moss said Starfish was "not necessarily about Air New Zealand being everybody's friend"."It is about trying to capture loyalty. If someone has your loyalty card, well of course they will use it. Loyalty cards are fantastic if you are happy to stick to one carrier."But users should make careful comparisons between what they will save with the discount, and what they may be missing out on in special deals."

No comments:

Post a Comment