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Why there is so much difference in air fares of various airlines between the same two places?

Date: 22 Feb 2016    Group: Opinion About    Category: Airlines   

Why there is so much difference in air fares of various airlines between the same two places? Also the airfares of the same company keep on fluctuating. Many times it becomes too high particularly during holidays. Is there any Government control over air fare or not?
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Want to know how airfares are decided? Check out responses from experts here.

Author: Bhuvaneswara Rao Nalla    23 Feb 2016      Member Level: Gold     Points : 3  (Rs 3)    Voting Score: 0

Depending on the size of the flight and services provided inside the flight, the air fares may vary. Low cost carriers won't serve meals and other snacks items inside the flight. It is similar to traveling in ordinary bus or in Volvo bus. Air fares keep on increasing for the same flight as the traveling date approaches nearer because the Airline companies are cashing on the urgency of passengers. Even on holidays they are following the same trick. When there is huge demand for traveling, they abruptly increase the fares. Such tricks are not restricted to flights, but buses, trains and other transport services do the same. If Government run Railways are introducing Premium special trains, in which the fare changes dynamically, we should forget about Government controlling the fares of airlines.

Author: Karthikeyan    23 Feb 2016      Member Level: Gold     Points : 4  (Rs 4)    Voting Score: 0

Government has only limited control over the air ticket price in India. There are various factors determined the cost of air ticket.

1. Facilities provided to the passengers will vary across two different companies. In such cases, this cost will increase proportional to the facilities provided.

2. Many of the newbies to the field reduces cost drastically to attract more customers. It is part of the promotional plan to get more customers.

3. The size of the plane also does matter. More number of passengers will reduce the overall cost which in turn reduces ticket fare.

4. The fuel price keep on fluctuating in the international market. It is one of the important factor in ticket fare fluctuation during various period.

5. Obviously ticket fare will increase during festival season. It is the way of airlines to generate good income. As the demand increases so as the price.

6. Connected flights will charge more than the direct flights as they have to travel a long way and consume more fuel.

Author: Mahesh    24 Feb 2016      Member Level: Gold     Points : 3  (Rs 3)    Voting Score: 0

Govt funded or subsidized airlines usually get a lot of tax and other benefits. In case of commercial airlines they have to compete with government in terms of hospitality, price and the experience. You can find that if you provide these things then you have to raise the price.

For example giving free samples of newspapers, magazine for people does lead to loss. Also the sponsors for the airlines usually are cash strapped themselves. So the marketing and also the price control is not easy.

Facilities provided and the people employed can make a lot of difference. And it costs a lot of money for such experience. So you have to find how to provide effective experience to the people but it costs money. And that reflects in the price difference.

Author: Richita Dutta    20 Mar 2016      Member Level: Silver     Points : 4  (Rs 4)    Voting Score: 0

The price of different airlines for same flight is different because, the airlines wants it that way. Airline booking system, global distribution system and the whole travel industry is allowed to do that and setting prices/fares flexibility is an important part of their business model.
Different airlines may set the fares of their flights considering various factors. Mainly a air fare includes the following things:-
* Base Fare
* Taxes & airport fess
* Fuel Surcharge
* Service fee to issue
* Food
* Seat selection
* Baggage
The last four may be optional in few flights where you pay for them on top of the air ticket price if you want them to be included. With the older and traditional airlines, these costs are usually included in the ticket price.
How a given airline sets a price at a given price is a very complex to explain and they probably don't reveal the way how they do it.
The difference may be because a flight may have a route with extra lay-over is probably inconvenient and longer than a non-stop flight and is competing with many number of competitive airlines.
There may be many other different reasons also like taxation rules of Government, type of flight airline is using for a particular destination etc.

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