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Abu Dhabi, UAEFriday 18 January 2019

Flydubai to offer bundled fares in push to boost revenues 

New fare types to apply to bookings made starting December 2 onwards

Flydubai carried more than 10.4 million passengers in 2017 and flies to 90 destinations in 46 countries spanning from Bangladesh in the east, Finland in the west, Russia in the north and Zanzibar in the south. Bloomberg
Flydubai carried more than 10.4 million passengers in 2017 and flies to 90 destinations in 46 countries spanning from Bangladesh in the east, Finland in the west, Russia in the north and Zanzibar in the south. Bloomberg

Low-cost carrier flydubai introduced new fare bundles for Economy-class bookings made December 2 onwards as it seeks to boost revenues amid challenging operating conditions from higher fuel prices.

The three new fare types, Lite, Value and Flex are introduced as the carrier, whose network expanded to span from Bangladesh to Helsinki, addresses the differing needs of passengers across its diverse destinations, it said in a statement on Wednesday.

“We recognise the challenges and the opportunities that come from operating in such a diverse network," said Jeyhun Efendi, senior vice president commercial operations and e-commerce for flydubai. "Passengers travelling on flydubai to Muscat, Moscow or Helsinki have different travel needs and preferences and the new fare types will help enhance their flydubai experience by simplifying the booking journey and offering the option to choose between unbundled or bundled packages.”

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Flydubai chief executive Ghaith Al Ghaith warned in November that higher oil prices have made it a tough year. Airlines such as Dubai-based Emirates introduced fees for seat selection and Abu Dhabi's Etihad Airways allowed passengers to bid online for "neighbour-free" adjacent seats. The move by the carriers is a bid to boost ancillary revenues as rising fuel costs and currency movements squeeze profit margins.

Flydubai carried more than 10.4 million passengers in 2017 and flies to 90 destinations in 46 countries spanning from Bangladesh in the east, Finland in the west, Russia in the north and Zanzibar in the south.

On Wednesday industry body International Air Transport Association revised downwards its profit estimate for global airlines in 2018 to $32.3 billion. The forecast is $1.5 bn lower than a forecast in June and more than $6bn below the initial outlook a year ago. The new figure would represent a 14 per cent decline compared with 2017’s all-time record high of $37.7bn.

Updated: December 12, 2018 05:43 PM

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