Posts Tagged ‘Jetstar Japan’


[The Economist] THE world’s busiest train route, and one of the busiest air routes, is between Tokyo and Osaka, Japan’s two biggest metropolitan areas. On that corridor, the shinkansen, as Japan’s bullet trains are known, were born in 1964. They whizz 120,000 passengers a day smoothly from one place to another, on trains that leave every ten minutes.

Bullet Trains whizz 120,000 passengers a day smoothly from one place to another, on trains that leave every ten minutes

Bullet Trains whizz 120,000 passengers a day smoothly from one place to another, on trains that leave every ten minutes

Although humans, not robots, are at the controls, the average delay is a miraculous 36 seconds. To take all those passengers by air would require 667 aircraft, each with 180 seats, or five times Japan’s fleet of Boeing 737s, estimates Macquarie, an investment bank.

Undeterred, between March and August three low-cost airlines will have started operations in Japan. It would be a miracle if they could help hammer down train and plane fares in Japan, which are excruciating. For example, a one-way shinkansen ticket from Tokyo to Osaka costs ¥14,000 ($170), and there are no discounts for return fares or for booking early. But compared with Europe and other parts of Asia, where budget airlines have quickly gained market share, in Japan the low-cost model is expected to take time to take off.

There are three main reasons for that, analysts say. First, all three newcomers have established parents. Peach, which started flying in March, and Air Asia Japan, which starts in August, are part-owned by ANA, one of Japan’s two main carriers. Jetstar Japan, which launches operations in July, is one-third owned by Japan Airlines (JAL). Such ties have usually hobbled low-cost airlines elsewhere: incumbents hate to cannibalise their…..

Read the full story at The Economist….


Apr 28th 2012 | TOKYO | from the print edition


Advertisements

Low-cost carriers will likely occupy a prominent place in Japan’s aviation industry from now on as major airlines enter the LCC market.

There are nearly 100 airports in Japan, but many of them are suffering from a low utilization rates

There are nearly 100 airports in Japan, but many of them are suffering from a low utilization rates

Peach Aviation, in which All Nippon Airways has invested, started domestic flights in March and will begin international flights in May to and from Kansai airport. Jetstar Japan, which is affiliated with Japan Airlines, will launch domestic flights in July and international flights next year using Narita airport as its base. AirAsia Japan, linked to ANA, will start domestic flights in August and international flights in October, and will also be based in Narita.

There are nearly 100 airports in Japan, but many of them are suffering from a low utilization rates. The government hopes to introduce the private sector’s capital and management knowhow to revitalize these airports. It also should consider inviting LCCs to utilize these airports. Local governments and businesses near airports should make greater efforts to attract tourists.

To make their air fares cheaper — about half that of major airlines — LCCs feature more seats on their planes than full-service airlines and have minimalist in-flight services. LCC users should be aware of the chance of possible instability in LCC flight operations due to their use of a relatively small number of airliners. For their part, LCCs must do their utmost to ensure flight safety.

In Europe and North America, LCCs enjoy a market share of about 30 percent. They attract young people who can’t afford high ticket prices as well as members of the rising middle class from the emerging Asian economies.

Read this full editoial from The Japan Times Online….


Wednesday April 18th, 2012
Japan Times Editorial



The enthusiasm among passengers was palpable on Peach Aviation’s Flight MM153, as the low-cost carrier made its way from Osaka’s Kansai International Airport (KIX) to Fukuoka early last month.

Peach, which began operations on March 1, is the first of three low-cost carriers to arrive this year in Japan

High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article.

After the cabin attendant thanked the passengers on one of the first flights for the fledgling airline, spontaneous applause erupted, with one excited customer even calling out, “ganbatte-ya”, or “Good luck,” in the Osaka dialect.

Peach, which began operations on March 1, is the first of three low-cost carriers to arrive this year in Japan, the third-largest domestic air market in the world but virtually virgin territory for budget airlines. High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article.

n July it will be joined by Jetstar Japan and in August by AirAsia Japan, providing domestic travellers with greater choice and lower prices in flights between some of the country’s busiest destinations, such as Tokyo and Sapporo in the north. All three airlines are joint ventures between foreign investors and Japanese airlines, since foreigners can only own up to one-third of a Japanese domestic airline.

The simultaneous arrival of the three low-cost carriers is a direct result of the government’s policy to stimulate the domestic air travel market.

Competition in Japan’s air travel market has long been restricted by a lack of landing slots at major airports, high landing fees and, until deregulation in 2008, restrictions on the amount of discounting allowed….. cont…

Read the full story at The Financial Times…..


By Michiyo Nakamoto in Tokyo
Financial Times