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Full economy and business class airfares were marginally lower during November 2010 compared with the same time last year, according to the latest Domestic Air Fare Index report from the Bureau of Infrastructure, Transport and Regional Economics (BITRE).
For the month, the business fare index increased by two points to 97 while the full economy index increased from 90.3 to 92.7. The restricted economy index fell from 95.9 to 91.8 while, the best discount fare index fell from 67.9 to 53.8.
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The fall in the last two indexes may demonstrate that yields continue to remain lower, particularly in the leisure market served predominately by Jetstar and Tiger Airways. However, the growth in business and full economy would seem to indicate that Qantas and possibly also Virgin Blue are benefiting from a recovery in demand from the corporate market which has seen fares rise.
