With Bamboo Airways stopping flights to Con Dao, only the route from Ho Chi Minh City to Con Dao operated by the Vietnam Airlines Group (including Vietnam Airlines and VASCO) will remain.
“Burning” tickets from Hanoi to Con Dao
As soon as news came out that the direct route from Hanoi to Con Dao would be closing, tickets for this route from Bamboo Airways quickly sold out. A survey conducted by VTC News on February 29th showed that on March 2nd, there was only one business class ticket left priced at VND 7,811,000 per way. The following two days, March 3rd and 4th, there were also no tickets left. On March 5th, there was only one economy class ticket left priced at VND 4,270,000 per way. There were no tickets available on March 6th and 7th, and on March 8th, there was only one one-way business class ticket left priced at VND 7,811,000 per way.
By March 31st, there were only four economy class tickets left priced at VND 4,270,000 per way.
Similarly, a survey of the Ho Chi Minh City – Con Dao route showed that tickets were nearly sold out on many days. On March 1st and 2nd, all tickets were sold out. From March 4th to 31st, there were only economy class tickets available from Vietnam Airlines, while Bamboo Airways only offered business class tickets.
Many days with no available flights from Hanoi to Con Dao. (Screenshot)
Many travelers expressed their regret that they could not find suitable tickets for the Hanoi – Con Dao route at this time. Mr. Manh Hieu (Hai Ba Trung District, Hanoi) said that when he heard the news that there would be no more flights from Hanoi to Con Dao, he immediately searched for tickets for his pre-planned trip. However, there were no tickets available for the weekends that were convenient for his schedule. Moreover, there were also not many tickets available during the week, so he would have to reconsider if traveling in a group.
Will ticket prices to Con Dao increase dramatically?
Not only are passengers worried about the lack of tickets, but they are also concerned that airfare prices to Con Dao may soar.
In September 2020, Bamboo Airways officially reopened the Hanoi – Con Dao route, allowing passengers to fly directly to Con Dao in just over 2 hours. This forced the Vietnam Airlines Group to lower their connecting flight prices to increase competitiveness.
Therefore, with the closure of this route by Bamboo Airways, starting from April 2024, there will only be Vietnam Airlines operating the direct route from Ho Chi Minh City to Con Dao. Customers from the North who want to travel to Con Dao will have to connect in Ho Chi Minh City. This could be the reason why airfare prices to Con Dao may become as expensive as before.
“With increased demand and a decreased supply by half, ticket prices will surely rise,” predicted Mr. Hieu.
Furthermore, there have been cases in the past where companies hold onto tickets and increase prices to maximize profits. Since Bamboo Airways entered the market and increased its market share, this practice has decreased significantly. Therefore, many people worry that this situation will return and cause airfare prices to Con Dao to become “hot”.
Bamboo Airways stops flights to Con Dao from April 1st, 2024. (Illustrative image: Vietnam Plus)
In response to this issue, Mr. Dang Anh Tuan, Deputy General Director of Vietnam Airlines, confirmed that as of now, the airfare prices of Vietnam Airlines for all routes, including the Ho Chi Minh City – Con Dao route, have not changed.
“We have no plans to increase ticket prices at this time. Any future plans cannot be confirmed yet, but if there is an increase, it will still have to comply with the price ceiling regulations set by the Ministry of Transport,” said Mr. Tuan.
Regarding whether the airline will increase flights after Bamboo Airways stops operating the Hanoi – Con Dao route, Mr. Tuan said that this is a difficult plan to implement due to the limited aircraft resources of the airline. Currently, the airline operates 10-22 flights per day on the Con Dao – Ho Chi Minh City route.
Similarly, aviation experts also predict that airfare prices to Con Dao will not increase drastically as they are regulated by the price ceiling.
Associate Professor Dr. Nguyen Thien Tong believes that if no other airline participates in this route, Vietnam Airlines will have a monopoly. However, Vietnam Airlines will not increase ticket prices beyond the price ceiling. To better operate this route, they may increase the number of flights to serve both customers on the Hanoi – Con Dao route.
Similarly, Professor Dr. Ngo Tri Long believes that even if there is only one airline operating flights to Con Dao and demand is high, airlines cannot simply increase ticket prices.
“Currently, the State manages and regulates airfare prices, and there is a control plan in place that sets the price ceiling for airlines. Therefore, even if prices increase, airlines still cannot exceed the price ceiling set by the State,” analyzed Mr. Long.
Meanwhile, according to an official from the Civil Aviation Administration, it is normal for Bamboo Airways to stop operating flights due to the lack of aircraft. In case the demand for travel increases significantly, Vietnam Airlines will have to increase their capacity, and other airlines are also looking for suitable aircraft to operate as soon as possible.
“Airlines must sell tickets based on the price ceiling regulations set by the State. Only during peak and off-peak seasons can airlines increase or decrease prices, but they still have to operate within this framework,” emphasized the official from the Civil Aviation Administration.
Challenges for the Hanoi – Con Dao route
In 2012, the Hanoi – Con Dao direct route was first operated by Air Mekong using the Bombardier CRJ 900 jet. However, the aircraft still had to land in Tan Son Nhat to refuel and rest for 40 minutes, making the flight time over 3 hours.
After just 1 year, Air Mekong had to stop operating this route.
In September 2020, Bamboo Airways officially reopened the Hanoi – Con Dao route using the Embraer E190 jet. After 8 years, passengers could once again fly directly to Con Dao in just over 2 hours. In the competition between airlines, customers benefited the most. Travel agencies could easily create tour packages due to the various choices in terms of timeframes and prices, so tour prices also decreased significantly.
And starting from April 2024, Bamboo Airways will stop operating this route again, leaving only Vietnam Airlines Group (including Vietnam Airlines and VASCO) to operate the direct route from Ho Chi Minh City to Con Dao.
Con Dao Airport has a short runway and is surrounded by the sea and mountains. This airport is currently a grade 3C civilian and grade 2 military airport, only capable of receiving ATR72, F70, and equivalent aircraft. Therefore, if airlines operate this route, they will have to invest in new aircraft and additional expenses for pilot and mechanic training.
Bamboo Airways stated that on average, the operating cost of an Embraer 190 aircraft is around USD 5 million per year. This includes maintenance in Poland and pilot training in Japan. Additionally, this type of aircraft consumes a large amount of fuel, equivalent to that of an Airbus A320, but can only carry half the number of passengers…
Airlines, including Bamboo Airways, Vietjet Air, and Vietravel Airlines, all focus on the Airbus A320 and A321 aircraft in order to reduce operating costs and compete in terms of ticket prices.
