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"Coronavirus effect": do the prices of foreign tickets go down?

2020-03-04T17:00:23.627Z


Due to the lower demand of the season and more cancellations, some companies could start lowering their rates.


03/04/2020 - 13:45

  • Clarín.com
  • travels

Since the appearance of the coronavirus outbreak, the fear of contracting the disease has caused a worldwide disruption that is reflected in many aspects that make the normal functioning of society. Generalized collapse of the stock exchanges, fear of a global economic recession and, of course, collective panic .

The trips , of course, were also affected by the new COVID-19 virus . First, the Diamond Princess cruise was quarantined with 3,700 passengers on board in Japan because several passengers were infected. Among them, an Argentine who recovered after being hospitalized.

Due to this, several cruises changed their routes so as not to pass through the affected areas or modified the travel dates.

The cruises were the first to modify routes and change dates for the Diamond Princess. (Kazuhiro NOGI / AFP)

Then, the coronavirus expanded to Europe : Italy is the most affected country so far, where 79 deaths have already occurred. So the first case was imported to Argentina. A 43-year-old man who arrived in our country on Sunday after visiting Italy.

Faced with a sense of panic that quickly became widespread, many airlines began to allow their customers to change the dates of their tickets without penalty . And LATAM Brazil temporarily suspended the San Pablo-Milán route.

The International Air Transport Association (IATA) said airlines would lose some $ 29.3 billion in 2020 due to the outbreak of coronavirus. "This will be a very difficult year for airlines," said IATA CEO Alexandre de Juniac.

Passengers walk through the Arturo Merino Benitez airport in Chile with chinstraps. (JAVIER TORRES / AFP)

But beyond the preventive measures that companies take, what happens to those who want to travel the same? Can you find ticket offers? The answer is simple: as everything is based on supply and demand, if the demand goes down, the rates tend to go down as well.

Companies will have to lower ticket prices in general to try to recover profits and thus compensate for losses.

"Prices vary every day, minute by minute," said Matías Mute, from the Air Promotions blog. The variables are usually many, but the supply-demand law is perfectly fulfilled.

Checks at airports to newly arrived passengers. (EFE / José Jácome)

"The plane has to leave and if it did not reach a certain occupation at the time of departure, prices go down," he added and said. "Today that there is low demand for the coronavirus and that there are destinations to which you are not traveling and the cancellation rate begins to rise , it is a good opportunity to get a ticket . "

Of course, those who want to travel should take the necessary precautions and understand that the state of global alarm for the coronavirus is a temporary situation.

The creator of the blog said that March is the first month of the low season, and that is an important factor - every year - that makes it convenient to get a ticket now: the possibility of finding lower rates is much higher than between November and February

From the Turismocity search engine, they assured that there are some casualties: "We checked a drop in prices on flights to the United States and Europe, which on average are 15% cheaper than two weeks ago, " they said. "And the tickets to Bangkok (Thailand), down 10% that week," they added.

Control at Ezeiza Airport by the Coronavirus. (Photo: Luciano Thieberger)

From Aerolineas Argentinas they agree that the rates go down if there is less demand . "The tariff bands work by quotas and the prices vary according to the anticipation and the services they offer, among other variables. If the reservation requests go down the system will offer more accessible rates," they said.

From LATAM Airlines , meanwhile, they indicated that they maintain the same rates , and Pablo Bazzetti, of the All Seasons agency, stressed that at the moment " there is no campaign of a company that lowers the rates for the coronavirus . Yes, there are promotions and better prices, but that's more because of the low seasonal sales, "he explained.

Source: clarin

All life articles on 2020-03-04

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