Price war a gift for passengers

By DENISE McNABB

Air fares between New Zealand and Brisbane have been slashed by up to $200 in a price war following Air New Zealand's decision to expand its Freedom Air no-frills service on the route from October 27.

As a result Air New Zealand has effectively sabotaged its special $429 Freedom launch price by offering fares on Air New Zealand that are only $7 dearer but, unlike Freedom, include a full service of food, beverages, video entertainment and air point accrual.

Many flights in November have already sold out as customers rush to take advantage of the cheapest fares in six years to the prime Queensland holiday region.

Travel agents have also aligned with the airlines flying to Brisbane and the Gold Coast, offering air and accommodation packages that start as low as $569 for five nights on the Gold Coast. House of Travel has teamed up with Freedom Air, and Gullivers Holidays with Qantas.

Qantas and Air New Zealand locked horns on prices after Air New Zealand announced last Friday it would increase its Australian services by 19 per cent on its no-frills aircraft brand, Freedom Air to Brisbane and the Gold Coast from Auckland, Wellington and Christchurch.

It is ditching Freedom's domestic services at the same time.

A normal economy fare for a full-service return flight to Brisbane in November is about $649.

The $429 Freedom launch price (before taxes and levies of $108.70) for internet-booked fares ($25 more for agent bookings) lasts until the end November.

Last weekend Qantas fares between New Zealand and Brisbane dropped to $449 (before charges), $200 off the previous day's price.

An internet-booked Qantas ticket through travel.co.nz was cheaper still at $436 and by Monday, was down to $425 - $4 cheaper than Freedom's launch price.

Air New Zealand countered the Qantas moves by dropping its Brisbane return fare on its full-service flight. Travel.co.nz was yesterday offering internet-booked Air New Zealand return flights to Brisbane at $436 (before charges), just $7 dearer than Freedom.

But the bonanza looks set to be short-lived, with fares at this stage for December listed at $573 return (before charges) on Freedom and around the $649 to $699 mark on Qantas and Air New Zealand. But Thai International is still only $6 dearer than Freedom in December, and Garuda Indonesia and Malaysia Airlines are also offering cheaper Auckland-Brisbane fares than Air New Zealand and Qantas.

nzherald.co.nz/aviation

nzherald.co.nz/travel