Bahamasair’s pricing is being driven by the inflation in the global economy, driving up the prices of fuel and supplies, the airline’s Chief Executive Officer Tracy Cooper told Guardian Business yesterday.
Cooper said despite rising prices on airfare, Bahamasair expects heightened travel for the Christmas season, though still below 2019 levels.
He said while there might be some margins that the airline could manipulate to keep price hikes at bay, the increased costs coming down the supply chain will have to be passed on to customers.
“Some of the pricing will change slightly because the cost of supplies have gone up,” Cooper said.
“All of the things we do to service the vessel has gone up. That’s a worldwide thing. Supplies have gone up. Unfortunately if we are to have any decent returns, we have to pass it on to the consumer. Unfortunately we have to capture the rising costs, especially with fuel.”
He explained that the noticeable spike in vaccinations after the US revealed that it would require everyone entering its borders to be vaccinated, is a good indication that Bahamians will be traveling during the holiday period.
According to Cooper, cruise ship home porting, which comes to an end next weekend with the final cruising of Crystal Cruises from Nassau, was extremely beneficial to Bahamasair during the summer.
He said the airline did 85 percent load factors during the summer thanks chiefly to Royal Caribbean’s home porting initiative.
“Bahamasair benefited mostly from Royal Caribbean and that was a huge boost for the airline during the summer,” said Cooper.
“We were bringing in passengers for two cruise ships over the summertime, which pretty much filled up all of the airlines.”
The post Cooper: Bahamasair’s pricing impacted by global supply chain issues appeared first on The Nassau Guardian.
source https://thenassauguardian.com/cooper-bahamasairs-pricing-impacted-by-global-supply-chain-issues/
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