Growth in Canada’s discount airline space may push down ticket prices in 2023 and boost demand for air travel even as Canadians grapple with higher costs of living, according to an industry expert.
Robert Kokonis, president and managing director of consulting company AirTrav Inc., pointed to growing discount airlines like Flair, Swoop and Lynx, along with jet service from Porter Airlines out of Toronto’s Pearson International Airport next year, as among the range of expanded airline ticket options for Canadians.
The large slate of affordable travel offerings may offset potential hits to air travel demand next year as Canadians feel the financial impacts of high inflation and interest rates, he said. “It's pure supply and demand,” Kokonis said in a Wednesday interview. “The more seat supply you put into the airline market in this country will somewhat drive down ticket prices. I think that's the upshot.”Airlines took significant hits during the early stages of the pandemic as COVID-19 travel restrictions kept people at home. Demand “came roaring back this year,” Kokonis said, as loosened public health and border rules meant more Canadians could return to the skies in 2022.
The latest airport chaos follows major disruptions reported this summer, including cancellations, long wait times and lost luggage, issues many in the industry attributed to staffing challenges affecting sectors across Canada.While there “may be some lingering issues in the system,” he said most companies and government entities in the air travel space have beefed up staffing since the summer.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Canadians focused on repaying debt in 2023: CIBC survey - BNN BloombergRepaying debt is a common financial goal for Canadians heading into 2023, a new survey has found, as inflation, high interest rates and fears of a potential recession stay top of mind.
Read more »
Alberta to lead country in growth in 2023, but labour outlook less rosyAn increase in Alberta’s GDP next year is welcome, but the labour market outlook in the province is not quite so certain.
Read more »
Varcoe: Alberta to lead country in growth in 2023, but labour outlook less rosyAn increase in Alberta’s GDP next year is welcome, but the labour market outlook in the province is not quite so certain.
Read more »
Rumours swirling in Middleton, N.S., about ER closures at Soldiers Memorial Hospital coming in 2023 | SaltWireMIDDLETON, N.S. — Brandon Lake is concerned about the future of Soldiers Memorial Hospital’s emergency department. He said there is speculation in the ...
Read more »