We are somehow sure that if not of this surge, things would even be better this April. AirAsia Philippines load factor in March 2021 reaches 81%. This is indeed a positive sign of things to come given a 30% increase in operating capacity. In a recent financial report released by AirAsia Berhad, AirAsia Philippines leveraged a strong rebound in travel demand during the first quarter of this year.
They carried 168,527 passengers which is a 43% increase compared to the 4th quarter of 2020. The higher number of passengers carried positively resulted in an increase in load factor of 10 ppts QoQ to 74%. A month-on-month breakdown showed that AirAsia Philippines grew its number of passengers by 57% despite only increasing 30% in operating capacity in March 2021 as compared to February 2021.
Aggressive marketing campaigns and promos helped AirAsia Philippines load factor
AirAsia Philippines has been aggressive in coming up with promo fares and other ways to get passengers to fly. A few of their promos include an Unli-Travel Pass where you just pay a one-time fare. This will give you unlimited travel to AirAsia Philippines domestic destinations. Of course, terms and conditions do apply.
Another thing we noticed about AirAsia Philippines is how they did transform themselves to adapt to present times. After the launch of their Asean App, AirAsia has found ways to maximize profitability. Their app has become a one-stop-shop for air travelers to book air tickets and hotels. They are now also offering logistics services. AirAsia has also made payment easier by tying up with companies like Globe’s Gcash.
We look forward to what else is in store with AirAsia Philippines. For now, we hope their new business model of being a digital travel company would work to their advantage. The recent surge in covid-19 cases though may be a deterrent for now but not too long for sure.
Whatever it is, AirAsia Philippines is indeed an airline to watch out for in the coming months.
