The latest from the domestic air fare blood bath this morning is a Tiger Airways offer of $19.95 one way fares between Sydney and the Gold Coast for flights in parts of August and September.
The details will be on their web site.
However since the fare appears to be close to the fees, taxes and levies applied to any airline flying a passenger between those points, it really means Tiger is saying ‘fly free*’, with the asterisk standing for the money it must pass on for using terminals and air space and security and maybe a noise levy too.
All that is left for Tiger, or any airline prepared to lose money in pursuit of a strategy, is to directly bribe the market by putting cash in an envelope handed to each passenger on check-in, or as a direct credit to the payment process you would have used to complete the booking, and of course, pass the various fees on from its own pockets, no doubt to the delight of the airport owners.
Note: Tiger didn’t say ‘fly free*’ in relation to this offer. But that’s the offer amounts to, so it’s been said for them. It would also like you to buy a drink, a snack, or fail to meet its check-in deadline, so that it can at least make as much money from the extras or penalties as a school tuck shop or sandwich stand.