How low can you go, Brett?
SYDNEY – As Singapore’s Tiger Airways continues to build up towards its launch of domestic operations in Australia, the incumbent airlines are starting to show signs of panic.
Brett Godfrey, chief executive of Virgin Blue, has confirmed a “super low cost” subsidiary could be in place within three months – around the time of Tiger Airways’ planned Australian launch.
The carrier would operate B737s and offer “extremely” cheap fares.
Qantas offshoot Jetstar has vowed to offer customers travel vouchers if they find a cheaper flight advertised.
And Qantas CEO, Geoff Dixon, has reiterated the airline would defend its 65% domestic market share “no matter what”.
Tiger Airways may also face extra competition on the Singapore-Australia route. The airline currently flies to Perth and Darwin.
Regional Australian carrier Skywest has flagged ambitions to expand its routes to Singapore from the Western Australian pearling town of Broome.
Skywest is owned by Advent Air, a Singapore-based, London-listed company.
Ian Jarrett
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