Published on : Tuesday, May 17, 2016
A landmark alliance between Eight Asian low-cost carriers which include Japan’s ANA Holdings Inc and Singapore Airlines Ltd (SIA) will help travellers book flights across the platform for the first time this year.
Passengers will be able to book over 160 destinations via the website of ANA Vanilla Air, SIA’s Scoot and Tiger Airways, Virgin Australia Holdings Ltd’s Tiger Airways Australia, Thailand’s Nok Airlines PCL and NokScoot, Cebu Air Inc’s Cebu Pacific, and South Korea’s Jeju Air Co. said the group Value Alliance.
The alliance, which excludes bigger budget carriers like AirAsia Bhd, will increase the geographical reach of its members by using the strength of each partner’s website in its home market, Campbell Wilson, chief executive officer of the medium-haul airline Scoot, told reporters in Singapore.
“We are doing this for our own strategic reasons,” Wilson said, when asked if AirAsia and Jetstar from Australia’s Qantas Airways Ltd were invited. “The fact that you don’t see the others here speaks for itself.”
Value Alliance also excludes Indonesia’s Lion Air and India’s IndiGo.
The goal, instead, is to bring together smaller airlines as an alternative to the AirAsia and Jetstar branded groups across the region, according to people in the industry.
In a single transaction, travellers can select seats, meals and baggage allowances across the websites.
But the cooperation will not be as extensive as full-service partnerships such as Star Alliance, Oneworld and SkyTeam. Those programs feature extensive codes haring agreements, access to a network of waiting lounges and the ability to redeem points on partner flights.
Deeper partnerships including cooperation across frequent flyer programs, joint sales and marketing, and coordination on network and prices requires regulatory approval, and are not on the cards, Wilson said.