Friday, 29 February 2008 8:10 AM

Let the Price War Begin!

The price war between Solomon Airlines and the Brisbane based SkyAirWorld has now began in earnest. Both Airlines are now digging deep looking for a competitive edge to take advantage of the lucrative Honiara-Brisbane route.

SkyAirWorld has, over the past few months, slashed airfares for its services on the Honiara Brisbane route. In countering SkyAirWorld's challenge, Solomon Airlines has gone on its own media campaign and is also giving away huge discounts to travelers.

On paper Solomon Airlines now offers the cheapest airfares on the Honiara-Brisbane route - A$199 excluding tax compared to SkyAirWorld's A$249 airfares excluding tax.

Solomon Airlines Management is said to be looking at increasing and improving its services to Brisbane and Sydney, and it's interline links with other major international carriers crucial for onward travel from Brisbane.

Meanwhile, sources within Solomon Airlines have warned that if Solomon Airlines were to lose the current Brisbane route it will lose its entire international operation which will have an adverse effect domestic air services. "Solomon Airlines derives 84 percent of its revenue annually and helps Solomon Airlines to subsidize its largely uneconomical domestic routes" the source stated.

"If we lose on the Brisbane route, which is our life line, then Solomon Airlines is finished...many Solomon Islanders will lose their jobs and most importantly there will most definitely be no air services to most provinces except for certain viable routes."