This morning, Iceland’s WOW air launched a
one-way air ticket for transatlantic flights between London and Boston and Washington
DC priced at just £99. No one doubts this is an amazing price. But, of course,
there’s a snag. The flights all require a stopover in Reykjavík, adding between
two and five hours to each leg.
Iceland's WOW air.
And just over a week ago, it was reported in
the UK press that a major – although unnamed – ‘US legacy’ airline is
considering introducing an ‘economy minus’ cabin that could feature even
tighter gaps – just 30 inches – between passengers’ seats. If this goes ahead,
it will also no doubt result in cheaper airfares. But is it also proof in point
that cheap is not always cheerful?
In the business travel industry, there is
undoubtedly still pressure on travel buyers to cut costs. Nearly a third of
respondents in the annual Business Travel Show survey claimed their 2013
budgets were lower than in 2012 and 24pc said their airline spend would be
reduced for 2014, which has led to strong demand for budget offerings.
This was reflected in the news in May when
easyJet reported a 6.3pc increase in its first half-year revenue pointing to
its success in the business travel market as the cause: 12 million business
passengers had flown with easyJet in the 12 months to 31 March for the very
first time.
In August, Ryanair also announced it was
entering the business travel market with its ‘Business Plus’ ticket, which
includes flexible ticketing, priority boarding and a ‘premium’ seat.
However, and this is where I think things get
interesting, The Daily Telegraph polled its readers about this announcement
asking, ‘Would you ever fly Ryanair for business?’ Of the 2,216 readers that
responded, 28pc said yes, they would, because price is that important, but 73pc
said no, comfort and service take priority.
Ryanair for business.
The reason I find this interesting is because
it shows that, when it comes to the business travel industry – yes, there is pressure
on travel managers to get more for their money, but they are also under
pressure to keep travellers happy, and balancing both is a fine art, which
means cost cannot always come first, and the likes of WOW air will always lack
the wow factor in business travel.
