Spanair enrolls in the price war

godking
19 December 2002 6:00am

Spanair president Gonzalo Pascual said that would the current situation go on, his company could start marking down prices to the level of low-budget carriers, though keeping up high quality and good service since their own reshuffling matches up with what these airlines have to offer. Mr. Pascual’s remarks were heard in the 2nd Congress of the Travel Agency Management Leaders (CAAVE) that took place in Lanzarote. In his personal opinion, other such spending as the increase of fuel costs or a currency change could cause a fare hike, yet Spanair is in a position right now to make very advantageous offers to its customers in the light of the ongoing situation.

On the other hand, Spanair’s president and chairman of the CEOE Tourism Council added the company continues to eye travel agencies as its top-priority distribution channel. In this respect, Mr. Pascual explained that the airline is willing to pay a proper commission for the agency “to make ends meet,” taking due account of the market’s competitiveness and freedom. Finally –on the issue of the Air Navigation Act draft bill- he said that despite it’s too soon to make any assessments, “the going is fine now,” and there are some matters in which improvement is possible. Mr. Pascual showed confidence that right now this is a good starting point and that what the company needs to do is reap profits with the funds raised by different political parties.

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