Thursday, March 14, 2013

MALAYSIA'S NEW AIRLINE - MALINDO AIR

A brand new airline "Malindo Air" will fly the Malaysian sky before the end of this month. The airline is set to start operations on 22 March from the Kuala Lumpur International Airport using the 180 seats B737-900ER.   
 
This airline is targeting destinations within five and a half hour range. Initially they will provide 4 x daily to Kuching and 3 x daily to Kota Kinabalu offering a low fare of RM38 and RM68 respectively. These fares are relatively lower than Malaysia Airlines or even Air Asia.  A quick look at their website revealed that Malindo Air is operating with a hybrid business model. They provide full in-flight services in their Business and Economy class and yet they are offering low-cost carrier-type fares with 30kgs check-in baggage allowance for Business while 15kgs for Economy class.
Malindo Air is operating at high cost from the start. I hope they can continue to offer low fares all the time.

To be profitable, I believe that Air Malindo Air is looking beyond Malaysia, like the lucrative South east Asian routes.        

Currently, we have Malaysia Airlines, Air Asia and MASwing serving all the Malaysia domestic destinations and their load factors are just average except during the few peak months. Can Malindo Air survive?  

No comments: