Nobody has the answer on that, yet. But I have some clear thoughts on this matter which I wanted to share with you. Let's start with summing up a few facts of the impact of Covid-19 on the travel scene.
That is just simple economics - demand will be higher than the available supply which means an increase in the price.
Globally, airlines have suffered enormously during these unglobal times. Billions and billions are lost, as airlines kept more than 90% of their planes on the ground for months and having to pay all of their employees at the same time. Piggy banks to cover for this crisis are not endless, and cuts have to be made. Unfortunately, many people have lost their jobs but also the whole airline's structure is completely changing - decreasing the fleet by selling planes, reducing the frequency of flying for certain less profitable destinations or even cut out flight routes. These cuts have direct impact on the prices of flight tickets, that is just simple economics - demand will be higher than the available supply which means an increase in the price.
Social distancing means that drastic measures should be taken in order to assure the passenger's safety. Few airlines are blocking the middle seat, decreasing the plane's seating capacity by 30%. In this case, the remaining 70% of the seats are most likely going to cover for the lost 30% to have the same revenue per flight. Others are implementing a plexiglass as a physical barrier between seats to reduce direct spread of bacteria. Some are even experimenting to turn the middle seat combined with plexiglass barriers to create personal compartments. Having these adjustments in place on the fleet, is costly. Who is going to sponsor that? Right, the passengers.
These aspects all have a huge influence on the revenue of airlines.
Personal services which were offered during the flights such as food and beverage distribution, lottery tickets and duty free products will possibly be suspended for the foreseeable future. Low-cost airlines will suffer from this the most, as this was a reasonable part of their revenue.
It is clear that these aspects all have a huge influence on the revenue of airlines. They all will experiment and seek ways on how to keep a good balance between social distancing, saving costs, optimizing the planes' fill rate and the measures of each country. Governments are supporting as much as they can to help survive these economically awkward times, but this will not be enough, especially if this nightmare is not over soon.
Knowing all this, I can only make this conclusion - air travel will be more expensive in the future.
But there is also good news - I am here to help you with that!
My travel packages include a deep research of the market, comparing all of the airlines on many websites at various dates. I am also taking into account the Covid-19 measures taken at each country. The result is that you will always travel at the cheapest possible prices, carefree!
What do you think about the current situation? How can I help you? Talk to me in a comment and I will reply to you.
At your service,
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