HCMC – Both domestic and international airfares have dropped significantly during this summer due to consumers’ belt-tightening and the availability of abundant flights offered by domestic airlines.
The average domestic airfare of Vietnam Airlines in June 2023 has decreased by nearly 7% compared to the same period in 2019.
Similarly, the average domestic airfare of three carriers – Vietnam Airlines, Pacific Airlines, and VASCO – dropped by 6.6% in June against the previous year.
Vietjet Air and Bamboo Airways have also lowered their airfares to compete with Vietnam Airlines.
For example, for a round-trip from Hanoi to Phu Quoc departing on July 27 and returning on July 30 during morning hours (9-11 a.m.), and booked 10 days in advance, Vietjet Air offers tickets at around VND3 million per passenger, which is half the price of Vietnam Airlines.
Bamboo Airways’ air ticket for the same route is priced at about VND4.51 million per passenger.
Despite the decrease in airfares, the occupancy rates on flights to popular domestic destinations such as Hue, Danang, Dalat, and Phu Quoc have only reached 60-70% in July. It is anticipated that these rates will continue to decline in the coming months.
International flight ticket prices have also seen a slump, with airfares to Southeast Asian countries matching those of domestic flights.
Data from the Civil Aviation Authority of Vietnam showed that the total number of domestic passengers in June 2023 exceeded 4.14 million, up 14.3% over the same period in 2019.
However, the supply capacity of airlines has surged by 18.3% compared to the previous year, reaching nearly five million seats.