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Why low-cost carriers avoid Budapest, Prague or Vienna

Why low-cost carriers avoid Budapest, Prague or Vienna
29.10.2009, 15:54 18

Low-cost airlines have daily flights to capital cities such asRome, Paris or London, but there is no low-cost flight to Prague, atop destination for Romanians' weekend trips.

Rome, Paris and London get 60 flights per week operated bylow-cost carriers from the main Romanian airports, while to Vienna,for instance, there are 14 low-cost flights per week, operated byBlue-Air.

Nevertheless, the Austrian capital has a good position,considering there is no low-cost flight from Bucharest to Budapest,with Wizz Air as the only operator including this destination inits schedule, but from Targu-Mures.

Prague is a destination low-cost carriers do not take up thoughthe Czech capital city is one of the most frequently includeddestinations on travel agencies' websites.

"Blue Air does not fly to Budapest or Prague because thesedestinations would not be in demand by passengers so that they maygenerate a business and a profit. These cities attract touristsonly at weekends and it wouldn't be profitable to have only oneflight per week. You must have at least three flights per week tomake a business, generate a market, and Prague and Budapest do nothave this potential, yet," stated Adrian Ionascu, general managerof Blue Air low-cost carrier.

The carrier in 2008 reported 115m-euro turnover, being theleader of the low-cost segment in terms of turnover in 2008.Ionascu added aircraft should have a 70-75% occupancy rate to covertheir costs.

Starting next February, though, NIKI low-cost carrier, foundedby Niki Lauda Formula 1 champion, will operate on theBucharest-Vienna route and back. The Austrian company thus fillsthe gap left on the market by Sky Europe's bankruptcy.

On the other hand, it is only Hungary's Wizz Air that flies toBudapest, from Targu-Mures, twice a week. Prague and Budapestdestinations would become profitable provided they attracted atleast 1,000 passengers per week.

Low-cost carriers are seeking high-traffic destinations,particularly focusing on countries where there are Romaniansworking and not so much on leisure travel.

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