Issue04 : 26 May 2014

This year will see a surge of airlines flying to the Thai capital, opening up a greater range of possibilities for the commercially aware business traveller.

The unprecedented boom in low cost air travel across Asia has been a particular boon to Thailand. The capital Bangkok was lucky enough to have a “spare” international airport to help cope with a surge in passenger numbers as carriers such as Air Asia, Nok Air and Jetstar Airways began offering budget conscious travellers fresh ways to come to Thailand.

“The rise of low cost carriers (LCCs) was a major contributor to Thailand’s tourist numbers surging 20 per cent between 2012 and 2013 but this increase would not have been possible without Don Mueang. After reopening in 2012, the “old” airport saw 16.5 million passengers through its gates in 2013. At the same time traffic through Bangkok’s “new” airport Suvarnabhumi which opened in 2006 fell only marginally, from 53 million in 2012 to 51.3 million in 2013.
Now there is a new style of LCC entering the market: medium-haul carriers that promise fresh options for people including business travellers wanting to travel in and out of Thailand. Up until now LCCs have been largely confined to short hops of one to three hours from Bangkok, including Thai domestic routes as well as to other major cities in Southeast Asia such as Singapore, Phnom Penh, Ho Chi Minh City and Jakarta.

In June, Air Asia X – the longer haul offshoot of Kuala Lumpur based Air Asia – will set up operations on Bangkok. Air Asia X Thailand will initially run fights to Seoul in South Korea, with Japanese destinations set to follow in July. Next on the company’s radar are flights to China and Australia. A joint venture between Thailand Nok Air and Singapore Airlines Scoot, known as NokScoot, has also signalled start up plans for 2014.

The third medium haul LCC that has confirmed it will begin scheduled operations from Don Mueang this year is Jet Asia Airways, up until now a charter only operation. The privately held company’s chief commercial officer John Chapman told Horizon Thailand that the airline had recently boosted its fleet from three to six aircrafts – all Boeing 767s – and would have 10 planes by the end of 2014.

“We think medium range LCCs is a big opportunity,” Chapman said. “Up until now most of our flying has been from China to Bangkok and Phuket. We have had flights from 17 different secondary cities in China - we have stayed away from short flights in favour of the four to six hour links.”

Chapman adds that the company is in the midst of setting up a point of sale to tap into the large number of Japanese tourists and business people who come to Thailand. Japan is the single largest foreign investor in Thailand, accounting for about 60 per cent of total foreign investment.

As Jet Asia moves to scheduled operation, there will be flights to China as well and plans are in the works for routes to Jakarta and the Saudi Arabian capital Jeddah to tap into the growing market for religious tourism from Southeast Asia’s large Muslim population.

Words by Michael Sainsbury