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Frederick Pillo (MisterFly). “Airline ticket prices will not decrease in 2023”.

LE FIGARO. – How have air ticket prices changed this fall?

Frédéric PILOUD. – The average cost of air tickets (round trip) in September compared to the same period in 2019, compared to our comparative year, increased by 28%. Specifically, you have to pay 102 euros more for the same trip. Significant upward momentum has been in place for three months now. Airline prices will at best remain at current levels for the next few months and into 2023, largely due to high oil prices. In any case, do not expect a price reduction.

Which directions are burning the most?

Prices rise to Thailand, which is reopening to tourism (+57%, i.e. average ticket price above €880), or the United States. Conversely, the increase is much more moderate for tickets to Portugal and Spain; but also Morocco and Tunisia, where active tourist return policies are in place.

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Frédéric Pillud, Director of Marketing and E-Commerce at MisterFly. Click the picture

As for Thailand, which remained almost closed to tourism for several months, the price increase is also not cyclical.

It is true that the country is reopening and, like Asia in general, this context of reduced transport supply capacity may explain the increase in prices in the face of demand. But the reality above all is that companies no longer fly over Russia and extend the journey by 2-3 hours on routes to the south. This is as much additional fuel as is consumed. In this context, the Gulf becomes the central hub of Asia. Persian Gulf companies have also raised their prices significantly.

Covid is no longer on the minds of people ordering.

Amid a euphoric summer, is the resumption of travel confirmed?

We had a very good summer, during which the concept of price was almost ignored in the eyes of tourists. At the moment we are at the levels of 2019, but only in value, not in passenger volume, which is only 70-80% of the pre-pandemic figure. Fewer people travel and spend more. But this momentum ended in September, and some clues alerted us, such as the decline rate of online payments, which increased. This brings us directly to the issue of purchasing power and solvency. Sales have been relatively “soft” since mid-September. We recorded a peak last Tuesday, when people received their salaries. The desire to travel is there, but it collides with reality.

Which destinations are arbitrated for?

As price increases are more pronounced in the long term, transportation takes place in closer destinations and in France. This September, Greece, for example, reached an unprecedented level of reservations. Italy are also back, while Morocco and Portugal are enjoying their final season. Despite everything, the level of reservations towards the USA remains high.

Are travelers still afraid of Covid?

No, and this is basic information. Covid is no longer on the minds of people ordering. This translates on two levels. First, we find pre-pandemic levels of travel expectancy. Then the insurance acceptance rate (cancellation, etc.) fell to 25%, which is comparable to 2019. Sometimes it was able to reach 50%.

Source: Le Figaro

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