As AirAsia X switches from Tianjin to Beijing, Asian alternative airports face uncertain future

[flee 5]

AirAsia X has received final clearance to move its five weekly flights from Tianjin to more centrally located Beijing Capital International Airport, only 30km from the city compared to 80km at Tianjin. The move from Tianjin, considered an alternative airport to Beijing Capital, leaves Scoot as the sole foreign LCC at Tianjin. When the move is made on 22-Jun-2012, AirAsia X will join fellow low-cost, long-haul competitor Jetstar at Beijing.

 

The move raises the matter if it is in a carrier's financial interest to serve a cheaper yet less convenient airport but possibly forgo revenue by alienating some passengers and reducing options for connectivity, which is increasingly becoming common as carriers pursue hybrid paths. Demand in the region is still relatively strong, eliminating the need to incentivise the market by passing on savings from alternative airports. What the region's LCCs do want are low-cost terminals, which Tokyo Narita and Melbourne Tullamarine will soon offer, while Kuala Lumpur and Singapore Changi will construct new ones.

 

Beijing capital always a target for AirAsia X, before and after MAS share swap

 

AirAsia X had always been interested in serving Beijing Capital but due to restrictions from the Malaysian Government, which wanted to protect national carrier Malaysia Airlines (MAS), AirAsia X was blocked from Beijing, as well as other airports including Shanghai and Sydney. The Malaysian Government in Jun-2011 said it would end those restrictions but final network approvals took considerable time; AirAsia X launched its Sydney service in Apr-2012.

 

Dovetailing with AirAsia X's network intentions has been the share swap, since cancelled, between MAS and AirAsia, which also involved AirAsia X. The two intended to cooperate in certain areas under the original Aug-2011 agreement and since the reversal have agreed to continue the cooperation.

 

The share swap had raised the matter if AirAsia X would still pursue serving primary airports or would concentrate on alternative airports to avoid any possible cannibalisation of MAS' routes, especially since MAS this year introduced a second daily Kuala Lumpur-Beijing service as part of its turnaround strategy. But MAS and AirAsia X have been running their own course. In the under-served Kuala Lumpur-Beijing market (Air China, the only other current carrier, will have a four times weekly Boeing 757 service in summer 2012) there is room for MAS and AirAsia X to both operate, especially given different market segmentation.

 

Full Analysis here: http://www.centrefor...in-future-73234

Edited May 8, 2012 by flee

[flee 5]

Related Article: http://www.chinadaily.com.cn/bizchina/2011-04/29/content_12420353.htm

[flee 5]

Tianjin flights to be moved as of 20 June 2012

 

Last update: 10:00 hrs [GMT+8], Friday 11 May 2012

 

 

Effective 20 June 2012, AirAsia X flights will no longer be operating from Tianjin but will move its operations to Beijing instead. This move is to facilitate the ever growing demand for flights in the China region.

 

Flights that have been purchased after this date will be routed to Beijing that will commence its operations on 22 June 2012.

 

Guests that have booked flights to Tianjin after 20 June 2012 may opt for any one of the choices below:-

1. Free route change from Tianjin (TSN) to Beijing (PEK) to/from Kuala Lumpur.
   Choose any flight of your choice; subject to seat availability.
   
2. Refund
   Full refund of fare paid.
   
3. Credit Shell
   Conversion of fare paid to Online Credit Shell to be used for any other AirAsia transactions.
   
4. Date change
   Change your flight dates within 90 days from the scheduled departure date; subject to seat availability.
   

Affected connecting AirAsia flights may also opt for above options 2, 3 or 4; subject to seat availability.

 

Full details: http://www.airasia.c...reschedule.page

Edited May 11, 2012 by flee

[J. Suri 0]

Scoot will start flying there and with their competitive price, there are less things to be worried about

[flee 5]

I don't think it has anything to do with Scoot commencing services to TSN. The KUL-PEK route was approved by the Malaysian govt. in June 2011 and, like KUL-SYD, it took some time for D7 to organise the whole thing. The main problem with PEK is slots and the schedule has D7 departing and arriving after midnight. Looks like there are no more daytime slots.

[flee 5]

KUALA LUMPUR, June 25 (Bernama) -- AirAsia X, the long-haul and low fare affiliate of the AirAsia Group recorded 90 per cent passenger load both on the outbound trip to Beijing and return flight to Kuala Lumpur.

 

In a statement Monday, the airline said it was an encouraging sign for the company which has shifted its operations from Tianjin to Beijing.

 

The airline said from August 6 onwards, it would also be increasing the number of flights from four times a week to daily services from its hub in Kuala Lumpur to Beijing Capital International Airport.