ROUTES ASIA: Juneyao Continues Low-Cost Growth to Macau

ROUTES ASIA: Juneyao Continues Low-Cost Growth to Macau

Posted 28/03/2011

Chinese low-cost carrier Juneyao Airlines plans to become the second budget operator in the country to inaugurate flights to Macau.  On April 8, Spring Airlines will add a daily Shanghai Pu Dong – Macau service and now Juneyao Airlines plans to follow with a daily schedule from June 2011. 

ROUTE ANALYSIS: Shanghai Pu Dong – Macau International (two-way O&D passengers)

Rank

Airline

Estimated Passengers

% Share

Average Fare

1

Air Macau

187,873

57.7 %

$218 - $226

2

Shanghai Airlines

116,154

35.7 %

$179 - $183

3

China Eastern Airlines

18,938

5.8 %

$197 - $199

OTHERS

7,350

0.8 %

$231

TOTAL

325,523

 

$206

Source: IATA BSP (February 2010 – January 2011)

They will compete with Air Macau and China Eastern Airlines which will offer seven and 14 weekly flights this summer, respectively.  Around 325,000 O&D passengers travelled on the route last year paying an average fare of $205 each way.  Juneyao Airlines and Spring Airlines will expect to stimulate demand by offering lower fares, which could lead to price-sensitive travellers moving away from the existing operators. 

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