State hopes Tiger will pounce on Melbourne
A report in The Age this morning says that low cost carrier Tiger Airways could soon sink its claws into Melbourne’s domestic air fare market, with the Victorian State Government aggressively lobbying to snare the airline, with Minister for Industry and State Development Theo Theophanous meeting Tiger executives in Sydney on Friday to woo the carrier to base itself in Melbourne.
Mr Theophanous said the meeting was “positive” and the Government had offered an assistance package, adding that the Government, which lost the bid for Virgin Blue to Queensland, would also work on a marketing package to sell the airline to travellers while promoting in-bound tourism to Melbourne and Victoria.
A sponsorship deal with the Richmond Football Club was also mooted, drawing on the Tiger brand, with Mr Theophanous saying Tiger could become Melbourne’s airline, filling the gap left by Qantas and while Jetstar is based in Melbourne, most of its operations are from Sydney.
If Tiger decides to have its hub in Melbourne it will be the second new airline to fly from there after the Government secured flights from Indian Airlines with Mr Theophanous saying, “Melbourne and Victoria supports the liberalisation of the aviation industry and the increase in competition … what Tiger will find in us is an ally”.
The airline follows the same business model as other low-cost carriers, including Ryanair and Easyjet and an aviation source said Avalon Airport, near Geelong, would suit Tiger’s low-cost base.
If the airline takes off, it is expected to trigger a fierce price war with Jetstar and Virgin Blue, with flights likely to drop to as low as $10, plus fees and taxes.
The airline already offers non-stop flights from Singapore to Darwin and will soon fly to Perth earlier than planned.
Report by The Mole
John Alwyn-Jones
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