American Express' Business Travel Monitor reported Asia Pacific airfares rose 3% year-on-year in 2010 driven by strong demand for domestic travel in China and Australia (Travel Biz Monitor, 12-Mar-2011). According to the report, the price of full-fare seats rose 6% while first and business-class seats rose 2% in 2010.
American Express Business Travel: “We’re beyond the ‘post-GFC’ recovery, and have moved into a new environment. Companies resumed their investments in business travel in 2010. That demand, coupled with slightly lagging airline capacity, pushed fares up across the Asia Pacific region. The business travel sector is poised for another good year in 2011, but we do expect airfares to level out as the large carriers reach optimal capacity and volatility leaves the market,” Carl Jones, Director of Advisory Services (Asia Pacific). Source: Travel Biz Monitor, 12-Mar-2011.