Friday, June 18, 2021

Filipino travelers helped boost low-cost carriers' revenues: Official

CEBU. Civil Aeronautics Board (CAB) executive director and lawyer Carmelo Arcilla believes that Filipinos' love for low-budget travel is helping stimulate the market for low-cost carriers. (Johanna Marie O. Bajenting)

BECAUSE Filipinos are price-sensitive, low cost carriers in the country continue to earn high revenues in the airline industry, an official of the Civil Aeronautics Board (CAB) said on Monday, March 11.

Lawyer Carmelo Arcilla, CAB executive director, said low cost carriers (LCC) in the country has the biggest penetration in the market.

"The global penetration of LCCs is 31 percent but in the Philippines, in domestic, it's 64 percent penetration while international is at 32 percent. The Philippines is only second to India in being the most attractive to the LCC markets," he said in an interview during a Routes Asia 2019 session.

Arcilla said low fare promos are popular among travelers in the country so LCCs have the advantage in luring in passengers compared to high cost ones.

"Filipinos are price sensitive so the LCCs are able to stimulate traffic. We have so many first time travelers because of the LCCs," he said. (JOB)


SunStar website welcomes friendly debate, but comments posted on this site do not necessarily reflect the views of the SunStar management and its affiliates. SunStar reserves the right to delete, reproduce or modify comments posted here without notice. Posts that are inappropriate will automatically be deleted.

Forum rules:

Do not use obscenity. Some words have been banned. Stick to the topic. Do not veer away from the discussion. Be coherent. Do not shout or use CAPITAL LETTERS!

Create your own user feedback survey