APD Virgin initiative
Congratulations to Virgin in asking their customers about APD. There are two points that seem to escape the Governments thinking and should be addressed. 1. PED (Price Elasticity of Demand) as every marketeer and economists knows will know that once a price increases a % reduction of demand will follow. Whilst taxing the Brit’s the Government also shoots itself in the foot as demand for UK airport use will fall along with all the associated industries. 2. Does the Goverment realise that we are a multi-racial society. By using APD in the same way as a tax on smoking or alcohol the Government assumes air travel is an habitual thing which it is not. People travel from and to the UK because they have to for family reasons, essential business trade development because of the type of society we are. I am sure the Virgin customer survey will share these feelings. Paul Foster Managing Director, Paul Foster Public Relations
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