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Home / Business / Companies / Airlines

Advertised fares 'just attention-getters'

15 Jun, 2005 09:13 AM2 mins to read

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The public knows advertised headline airfares are just "attention-getters" and not the full cost of flying, a long-time Air NZ worker has told the Auckland District Court.

Dorothy McGillivray-Kenny, a former flight attendant and a travel consultant for Air NZ for the past 18 years, said that travellers all knew
about extra charges on airfares.

She appeared as a witness for Air NZ, which is defending 20 charges of running false or misleading newspaper advertisements. The Commerce Commission says the airline failed to properly tell readers of the true cost of air travel.

The prosecution comes against the backdrop of Air NZ's attempts to get the commission to endorse a "voluntary code of conduct" agreed between rival airlines and travel agents.

Its lawyer, Nathan Gedye, has told the court that this is a test case and that the Commerce Commission is aiming at the whole industry rather than a single advertiser.

McGillivray-Kenny was used to back up Air NZ's claim that the public was well aware that there were extra charges.

"My invariable experience is that consumers are aware of these add-on costs," she said.

While they were not necessarily aware of each category of cost or the total amount involved, they were aware that the price "advertised as a headline in the newspaper" was not the total price they had to pay.

"It would be extremely rare for a first-time traveller to simply walk into the Travelcentre and request the issuing of a ticket in exchange for payment.

"While customers do refer to advertisements, they never quote them chapter and verse. They always treat them as 'attention-getters' setting out the basic deal."

She had not heard customers express surprise or dismay about the extras. The case, before Judge Stan Thorburn, is expected to continue for at least the rest of this week.

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