SILAY CITY -- Recognizing the huge tourism potential of Bacolod, low-cost carrier AirAsia has started flying to the Negros Occidental capital city as its 12th and only domestic destination opened this year.
AirAsia chief executive officer Ricardo Isla said in a press conference at the Bacolod-Silay Airport that they are honored to be part of the city not only in providing socio-economic programs, but also in boosting tourism.
Isla said the airline knows Bacolod City will be one of its fast-selling destinations. Thus, it will continue to expand and build more programs in the near future.
"This new route will pave the way for us to connect and promote this wonderful destination for its charming location, and of course its local food delicacies and beautiful smiles," he said.
He added that now that AirAsia is in Bacolod, "we are committed to offer our affordable products and services so everyone can fly."
Initially, the airline has six flight schedules daily -- three each for the Bacolod-Manila route and vice versa.
Its officials announced that ever since they started accepting bookings weeks ago, there were already around 10,000 booked seats for these flights scheduled from the late part of October to December this year.
Given the initial bookings, they believe that there is a demand in Bacolod City and Negros Occidental.
Isla, however, said because of their application that has been approved by the airport's Terminal 4 in Manila with regards to parking and runway slots, the airline has maximized its resources or opportunities for a total of six flights from Manila-Bacolod and vice versa.
He pointed out that every November and December, there is an increment of about 20 to 30 percent from the regular months.
"So we are really expecting huge traffic not only for Manila-Bacolod, but also with our 11 other destinations," Isla said, adding that given these figures, "if we can fly same with other provinces, it should be eight flights here."
The 10,000 booked passengers are only about 15 percent of AirAsia's overall capacity of 64,000 for two months particularly for its newest domestic route.
Thus, it can still cater to over 50,000 more passengers, a figure which the airline company is upbeat to cover.
Gilber Simpao, chief commercial officer of AirAsia, said the 10,000 booked seats for the next two months is a good start.
Simpao said they can compare Bacolod versus other flights and that it is ahead of the curve.
"We're confident that it's going to be a healthy route," he added.
Game changer
For Bacolod City Mayor Evelio Leonardia, who was also at the press conference, having more players will always be healthy for the consumers, which is something they expect to happen.
Citing the reputation of AirAsia and the impression toward it as less expensive, Leonardia said its presence will somehow equalize the playing field.
"We are expecting AirAsia to be a game changer in Bacolod," he stressed, adding that the more convenient for the people and more schedules of flights, the better for the city.
In his speech during the welcome program, the city official said "this is a very much anticipated landing in Bacolod."
Leonardia said the 10,000 already-booked passengers are indications of good things to come.
As he welcomed the new "member of the family," Leonardia said AirAsia will change the complexion of things.
"We would like to thank you for responding at a time when there was an uproar over pricing of airfares," the mayor said, as he expressed hopes that AirAsia's presence will somehow affect the so-called law of supply and demand.
Why Bacolod?
For AsiaAsia, making Bacolod City as its newest destination is both a personal choice and corporate decision.
Lawyer Joseph Omar Castillo, chairman of the Board, said Deputy Speaker Michael Romero, whose family has the largest share at AirAsia, has close relations with the city officials.
Castillo said the company also sees Bacolod as one of the key cities in the Visayas.
"So we really wanted to be here for a long time," he said, adding they waiting for a slot for a long time. "Good thing that we were given."
The airline opened only two new destinations this year. Aside from Bacolod-Manila, it also started flying to Osaka, Japan.
For the local government, it recognizes that tourism is going to be the biggest industry in the world. Thus, its programs and plans are also aligned to that.
Leonardia said AirAsia's presence will increase the tourism volume for sure.
"Bacolod is trying to grow, trying our best to be one of the most progressive cities in the Philippines. Let's grow together," he added.
Low-cost
The airline company takes pride in its purpose as a low-cost carrier.
Simpao said AirAsia believes that flying is not just for rich people as they want everyone to be able to afford to fly.
He said that when they looked at the market, Bacolod was one of the biggest unserved markets in their network.
"People from Bacolod should be able to afford good value travel. So we need to be here," Simpao added.
Meanwhile, Isla pointed out that the price range varies depending on the timing. Meaning, if the booking is closer to the scheduled flight and if it is during the high-demand period then the airfare cost goes higher, he said.
If the cost is lower compared to other airlines, it would be five to 10 percent but it still varies depending on the timing, Isla said.
In terms of on-time performance, AirAsia has 80 percent rate.
"Hopefully, we will maintain it considering that there is going to be an expected higher traffic in all our airports which most likely we will not encounter that problem in Bacolod," he added.
Potential hub
The airline revealed that two to three more domestic destinations will be added probably by the first quarter of 2020.
For other areas connecting to the city, officials said they are studying Cebu-Bacolod and Clark-Bacolod routes.
AirAsia currently has four hubs in the country, namely Manila, Clark in Pampanga, Kalibo in Aklan, and Cebu.
When pressed if they are looking at Bacolod as another hub.
"The advance bookings it has are already indications that the focus right now is travelers going to Bacolod," Isla said, stressing that "for now, there's no plan but that is actually an option for the future."