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Well, it had to happen sometime and may I suggest you make a note in your diary or in your Outlook calendar or wherever you put these things, that the announcement recently by Tiger Airways that they would commence Sydney to Melbourne services on 3 July and this morning that they will start flying between Adelaide and Sydney from 31 July, are the days that domestic aviation in Australia changed like we have never seen before.

Tiger Airways said this morning that Sydney is the seventh destination served by Tiger from its new Adelaide base, with one way launch fares now on sale for $48 including taxes and charges - plus a $5 "convenience fee" for booking online.

So, why do I believe that these dates are so significant?

Well, while Tiger has until now not really entered the really serious and highly competitive fray of operating in and out of Sydney. They have been operating rather on the periphery of it all, only operating on what you might call secondary routes and destinations, including to and from Adelaide, Alice Springs, Canberra, Hobart, Launceston, Mackay, Melbourne, Perth, Rockhampton, and the Sunshine Coast, while Sydney has been the missing piece of the jigsaw and especially the Qantas holy grail route of Sydney – Melbourne.

So, if we thought that prices were already competitive between Sydney and Melbourne, then I believe, as the song says “you ain’t see nothin’ yet”, with Jetstar and Tiger definitely going to go head to head on Sydney – Melbourne for starters and fares about to plummet.

Without question, in my opinion, this will also be the real market test for Tiger, with Sydney – Melbourne the route upon which the majority of start ups, and Tiger is hardly that now, failed.

The other issue is that Jetstar is the only other real low cost or budget carrier in Australia, with Virgin Bleu proclaiming to be a new age carrier, pitching against Qantas and even last year before the economic world turned upside down CEO Brett Godfrey saying that were considering starting a low cost carrier to come in below Virgin Blue.

Another thing that struck me is that while Jetstar makes a lot of noise about sales and special birthday offers, offering very cheap fares, the reality is that the majority of those are either so far in advance most people cannot think that far ahead well and also on routes, that it appears many people never want to travel on, while at least Tiger appears to offer their hot deals are across their network. Hey I may have to wrong, but that’s the way I see it.

So, as a result, I believe that we are in for some really interesting times in aviation, but the real questions is whether these carriers can survive slashing prices, trashing yield and revenue, with even Jetstar now under an even more detailed microscope now that it what was a cashed up Qantas is not doing so well either!

As I say it will be interesting and let’s wait and see what happens.
Source = e-Travel Blackboard: J.A.J

Oz Cruise Club members will definitely see a benefit in this news. How long can these low prices hold up?

The days of travel product prices followed by an asterisk may be over as the Australian consumer watchdog announces new legislation on what is and isn’t allowed when advertising the price of travel.

From the 25th of May this year, price advertisers will have to “prominently” display the total sum of a product, and no longer be able to quote prices with “additional taxes and fees” without specifying how much they are.

A “prominent single price” has been described by the Australian Competition and Consumer Commission (ACCC) as one that “stands out so that it is easily seen by a consumer” as well as “clear, eye-catching and very noticeable”.

“The new law will not only mean consumers have accurate price information, but also that businesses have a more level playing field on which to compete when it comes to price representations,” said Graeme Samuel, ACCC Chairman.

Oz Cruise Club says that it's about time.

“Under the current law a business that does the right thing by consumers and shows the total price they can expect to pay, may be disadvantaged if a competitor elects to feature only one part of the total price, along with a disclaimer or advice that other amounts (like statutory charges) will also be imposed. That will not be the case after 25 May.”

Component pricing will still be allowed for travel agents to break down the cost of a holiday into its different costs such as airfare, accommodation and transport, but agents will now have to also provide a total price which can be clearly seen by the customer.

Items which do not need to be displayed in the price are costs of optional extras, delivery charges, any sums which cannot be turned into a dollar amount, and any amounts which need to be paid to a third party that is not paid by the customer.

The ACCC also tightened laws on discount pricing, or two-price advertising, emphasising the ‘Now’ and ‘Was’ scenario discounts, where the ‘Was’ price must show the most recent sale price and a genuine comparison drawn.

“A ‘was’ or most recent price needs to be the price at which the travel advertised was readily accessible by consumers. It must be offered in a sufficient and reasonable number and for a reasonable time before being discounted–you need to be able to substantiate the offer,” says the ACCC.

Additionally it notes that discounts can only be made available for a limited time.
For more information on pricing, the full ruling along with examples can be obtained from the ACCC website at You must be registered to view this link
Source = e-Travel Blackboard: W.X

Tourism businesses and associations must stop working inisolation and begin serious dialogue to drive the industry forward, Carnival Australia chief executive Ann Sherry has said.
She called for all parts of the “supply chain” to work in unison or risk further fragmentation of the industry that will benefit no one – including visitors. Addressing what she described as the wider tourism community, Sherry urged businesses across all sectors to talk to each to improve the customer experience and also to talk to consumers themselves. “We need to get their point of view. What do they want?”, Sherry said.

Perhaps she needs to talk to Oz Cruise Club Members! I am surprised to hear that we are viewed as domestic travellers.

There is too much “disconnect” between parts of the supply chain, she said, leading to fragmentation. Citing the cruise sector, she said cruise lines, hotels, ports and shore excursion operators must have regular discussions to create a seamless experience. Sherry also said cruise passengers departing Sydney for Pacific Island destinations are
viewed as domestic travellers, and are considered less important than international tourists. There is less will to develop and improve port facilities because of this mindset, she said.

She said it was “no accident of timing” that Celebrity, Silversea, Royal Caribbean and Regency were investing in Australia. “All these ships are based in this market because of our growth,”
Source: Steve Jones Travel Today