The Science Of ...

Johannesburg to Cape Town for R499?! It's NOT a gimmick, says low cost airline

Kulula, Mango, FlySafair, Skywise…

South Africa has its fair share of low cost airlines.

These airlines have lower fares (and fewer comforts) than traditional airlines.

How do these budget carriers do it?

We interviewed Elmar Conradie, FlySafair’s new CEO.

Scroll down to listen to the audio.

We’ve sold 150 000 tickets at R499 or less. It’s not a gimmick.

Elmar Conradie, FlySafair CEO

We saw other airlines exit and decided to go after that market.

Elmar Conradie, FlySafair CEO

We try to fly as many passengers as possible per airplane and do our utmost to keep costs down.

Elmar Conradie, FlySafair CEO

We have four planes and will soon add another. We’re leasing our airplanes.

Elmar Conradie, FlySafair CEO

Our business makes sense even with oil at $100 per barrel.

Elmar Conradie, FlySafair CEO

We try to make money from ancillaries. We learned a lot from Ryanair.

Elmar Conradie, FlySafair CEO

We are the first airline in South Africa to completely unbundle our fairs. If you don’t have luggage, you don’t have to pay. This is a model we’d like to grow. You can’t make money by charging R499. But we’re hoping customers rent a car from us, pay for a bag and so on.

Elmar Conradie, FlySafair CEO

We want to be boringly reliable.

Elmar Conradie, FlySafair CEO

We’re concerned about Mango. Are they being subsidized to keep their fares down?

Elmar Conradie, FlySafair CEO

This article first appeared on 702 : Johannesburg to Cape Town for R499?! It's NOT a gimmick, says low cost airline


Recommended

by NEWSROOM AI

CapeTalk welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the CapeTalk community a safe and welcoming space for all.

CapeTalk reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

CapeTalk is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
Costa Rica went from broken and poor to brilliant and prosperous in 15 years

Costa Rica went from broken and poor to brilliant and prosperous in 15 years

A story of hope for South Africa. The Money Show's Bruce Whitfield interviews Dr Adrian Saville (Cannon Asset Managers, Gibs)

Investing in art 101 (a dummies' guide)

Investing in art 101 (a dummies' guide)

The Money Show’s Bruce Whitfield interviews Julie Miller, founder of the Julie Miller Investment Art Institute.

Ethiopian Airlines to take over from SAA as Africa’s number 1 – CAPA

Ethiopian Airlines to take over from SAA as Africa’s number 1 – CAPA

Ethiopian Airlines has doubled its passenger numbers since 2009 and making record profits. Soon it'll be Africa's market leader.

Mango cuts airfares. SAA, Kulula unlikely to follow suit

Mango cuts airfares. SAA, Kulula unlikely to follow suit

Mango operates independently from SAA and didn't make the same mistakes, enabling it to pass on lower fuel costs to its customers.

SAA CEO discusses the airline’s huge operating loss and how Treasury will assist

SAA CEO discusses the airline’s huge operating loss and how Treasury will assist

Financial results are out; SAA is still bleeding (fuel hedging means cheap oil won’t help) and Treasury is reluctant to help.

4 steps Government is taking to save South African Airways

4 steps Government is taking to save South African Airways

SAA’s latest turnaround strategy is taking shape and, unlike the ones that came before, it’s rather radical.

Popular articles
Vila Kasi TV station leaves employees out in the cold with no pay

Vila Kasi TV station leaves employees out in the cold with no pay

Employees of the start-up media house are angered for not receiving salaries as promised at the end of June.

Nhlanhla Nene asks trade unions for ideas on how to fund wage increase demands

Nhlanhla Nene asks trade unions for ideas on how to fund wage increase demands

Nene asked unions representing Eskom workers to provide ideas to fund wage increases after negotiations with Eskom deadlocked.

How Steinhoff shares doubled in just five days

How Steinhoff shares doubled in just five days

Founder of Herenya Capital Advisors, Petri Redelinghuys, explains how the embattled Steinhoff managed to double its share price in 5 days

Parents no longer have to travel with children's birth certificates

Parents no longer have to travel with children's birth certificates

The new Home Affairs upgrades to the system include printing parents details at the back of the child's passport.

SA-made Rolkem cake decoration products may not be safe to eat

SA-made Rolkem cake decoration products may not be safe to eat

The UK’s Food Standards Agency issued an advisory, claiming that Rolkem failed to confirm that their ingredients were safe to eat.

Criminals targeting homes with aluminium windows, warns neighborhood watch

Criminals targeting homes with aluminium windows, warns neighborhood watch

The Panorama, Welgelegen and Plattekloof Neighbourhood Watch has identified a new house break-in trend.

3 emergency numbers you should have on speed dial and how they work

3 emergency numbers you should have on speed dial and how they work

These are the emergency numbers you should have on your cellphone and this is what you must understand about how they work.