Today I want to leave you an invitationón a soñis one flights sás cheap enter byíThese brothers who share a lot, but that the costs divide us.
We are talking about the costs of tickets toéprisoners within our regionóLatin American, It's no secret that the tax burden general of the regionón reduces the demand that could beún más higher than it already is is even generating new connections and opportunities for growth.
the aviationón is a means of transportation thatás de be very safe, It is highly vulnerable to external factors as we saw with the pandemic and más recently to now más high prices of fuels, thanks to the price Peter's Internationalóleo.
These factors directly influence demand., since having operating costs más high, These are transferred to users, directly affecting occupation.ónumber of flights, where fewer people fly and when demand falls, prices rise again. Law of supply and demand.
¿Becauseé I want to invite you to soñar?
Our regionóLatin America is one of the regions in the world with the least aviation development.áuseful (with few exceptions like Brazil for instance), but in general we areñI shed light on what is experienced in regions like Europe, where flying is very accessible and the competition is enormous.
Social media users constantly show their dissatisfaction with the high prices of tickets within the region.ón y más allá that on some occasionsí they have reasonón, spaghettién they forget rules báfactors for the purchase of tickets such as anticipationón, díto and season of travel, but that's another topic we have talked hereí.
It is generally comparedón, although very unfair, what the tickets cost in Europe or the United States (sun flightséstatic), but for these regions to have these absurdly low passages it is due to a combinationón of:
- Política pública + offer + demand – low tax burden = low priced tickets.
¿So whaté couldíwe love to do in Latin Americaérich or at least in some regions más focused like Sur Américh or even between paíits from the Andean Community? I invite you to soñar that international flights between these países are considered as doméstatic.
Sí, I doístay well. SoñWe know that international flights in our regionón become considered for the concept of Taxes and fees as a giftéstatic, what it meansíto a significant reductionón of the prices that users pay, alt increaseígreat demand and true integrationón regional.
Example
It is best to lower this idea to a practical example.átical so they can see how incredibleíble to beíto have international flights considered sunéas they are trying to do with interborder flights between Peruú, Colombia and Ecuador, but scaled up:
- Current price Quito – Bogotaá – Quito (no baggage): $200 with fees and taxes
- New price if considered as sunéstic (no baggage): $99 with fees and taxes
The value 2 It is an estimate and mayíto vary monún the cácalculation of VAT or other local surcharges, but it allows us to see a very attractive price that will undoubtedly increaseíto demand at unprecedented levels on this route and others in the region.ón where this dream is appliedñO.
It should be noted that in some paíis the effect beingídifferent since their tax burdens are lower compared to the case of Ecuador and Columbia, where for example just lowering the EcoDelta from Ecuador, Showíto a reductionón of $50 per ticket.
¿Airports winían menos?
No, since this appliesíto be an economistíto scale, which means that although passengers on international flights collectían menos, in volume will increaseíto the same as there are many más users flying, más planes on their platforms and new aerolíneas operating.
¿Whaté Do you think this idea? I read them in the comments…
It has always been the dream of many airlines, but high local taxes make that impossible, if it is missing, it should be a policy of the governments themselves, even for local flights the cost of taxes is absurd.
Agree, although the topic on local flights does change a lot from country to country. For example, Colombia has one of the lowest of all.
okay 100 x 100. prices between bordering cities, they are tremendously tall
Imagine everything as a domestic flight, It would be incredible.
I totally agree with you Nicholas..
Unfortunately, tax burdens are very high for international flights with the exception of Brazil and Chile and these are precisely the ones that grow the most in number of international passengers..
Colombia grows but at a domestic level.
Ecuador and Argentina are among the most expensive
I used to travel 2 times per year to Argentina now one.
And he crossed to Tumbes to take a plane that is much cheaper than from Quito.
The same if you travel to Europe from Bogota and the return to Quito you will find by 550 while from the capital of Ecuador 950.
And from grass to Bogotá with a few miles and 9 dollars you arrive in the coffee capital
And a lot of people are doing what you do, cross the border to take other flights. Incredible.