Lack of support forces OzJet out

Plans by business class-only carrier Ozjet to launch into the Perth market came crashing down this week when the airline decided to withdraw from scheduled services and concentrate on charter work.

The new airline had planned to start services on March 14, offering Perth business travellers some significantly different travel options to Melbourne with 60-seat all-business class daily Boeing 737-200s.

However, while the flight from Melbourne to Perth was filling, Perth travellers were shunning the red-eye return timeslot despite the luxury seating.

The airline quickly responded by offering a 7am departure, but had to delay its launch for the arrival of its fifth aircraft in late March to accommodate the change. The service was due to kick off on April 3.

However, late on Sunday March 12, OzJet announced that it was suspending its scheduled flights across Australia altogether.

OzJet chairman Mr Paul Stoddart said the decision had been made with very great regret.

“Unfortunately, for whatever reasons, we have not had the support we needed to operate in that environment against big, established carriers,” Mr Stoddart said.

All paying passengers were to be transferred to Qantas without any additional cost as Qantas “kindly offered to assist in transporting people who have booked and paid for tickets with OzJet”.

OzJet will retain its Air Operator’s Certificate, a minimum of two Boeing 737 aircraft for charter work, and about 30 per cent of its staff.

The cool reception to Ozjet’s red-eye flights and services in general reflects the unforgiving nature of travellers, who now have the most comprehensive range of air travel options from Perth and around Australia.

WA Business News surveyed various airlines last Wednesday, March 8, for travel on Thursday March 9 and found that Qantas still had a $275 fare to Melbourne for the 6.10am service while Virgin Blue was actually more expensive at $300 for its 6am flight. However, on Saturday March 10, Virgin’s fare had dropped to just $240.

The pressure will increase further on March 28 when Jetstar enters the fray with its brand new A320s with fares as low as $189.

Jetstar will appeal to the budget oriented business traveller and, rather than a spartan flight, the airline has some innovative features, such as DVD rentals, hot meals and wine and champagne available for purchase. You can also earn Qantas frequent flyer points on Jetstar’s flights.

Jetstar now operates more than 900 weekly services to 18 Australian ports in addition to direct trans-Tasman flights from Christchurch. Jetstar’s A320s have 177 all leather seats with eight channel audio entertainment.

Jetstar’s flights from Perth operate into Melbourne’s Avalon Airport, located on the Princes Highway between Melbourne and Geelong, 40 minutes’ drive to the Westgate Bridge and 15 kilometres from Geelong.

The arrival of Jetstar offer businesses some fascinating new options for travel.

Arranging conventions or training interstate for staff is now more affordable, and the low fares also offer great incentive travel packages to tempt staff.