9.09.2008

It's Always Best to Compare -- PAL vs Cebu Pacific

Sometimes, people get stuck with the perception that just because Cebu Pacific is always offering promo fares and does not extra perks on its flights, it must be CHEAPER. Lo and behold, that case doesn't hold true anymore. Philippine Airlines has bounced back to its glory by defending their turf and pitting themselves against Cebu Pacific's price point in airfares.

On my flight back to Cebu last week, I asked for a morning flight around 9am and for my colleague the last flight on the next day. Here are the options that our travel agency gave us:

05 SEPT 2008
Cebu Pacific MLA-CEB 0830 Php2,209
Philippine Airlines PR853 MLA-CEB 0900 Php2,170

06 SEPT 2008
Cebu Pacific MLA-CEB 1905 Php1,640
Philippine Airlines PR855 MLA-CEB 1930 Php1,587

Yes, you actually read that right. Philippine Airlines won in the price war this time, plus we got a free snack on flight! It really pays to compare these days. With the shrinking wallet of the consumers and the companies battling to get a share of that, they're willing to shrink margins to stay afloat.

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2 comments:

jbyap96 said...

If it were not for Cebu Pacific challenging PAL into a price war, do you think PAL would have given you the low price in a silver plater? So, we still has to thank Cebu Pacific for their dynamism in bringing down the price, notwithstanding their shortcoming in service.

Mitz said...

hey jb. i agree with you that cebu pacific did a good thing by shaking up the philippine airline industry. thanks to them, people got to travel on low airfares. it's just sad that they didn't sustain their momentum by failing to focus on customer value as well.

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