Sunday 29 January 2012

Has AirAsia overmarketed itself into yet another bumpy landing?

On 20th January 2012 Australian Competition and Consumer Commission (ACCC) a consumer watchdog has taken legal action against AirAsia the same day its executives were launching fares as low as A$99 (RM319) for one-way flights on its new route from Sydney to Kuala Lumpur.

ACCC in its press statement said that fares sold on AirAsia’s website disclosed only part of the total price for flights from Melbourne, the Gold Coast and Perth to destinations in Asia, Europe and India because they excluded taxes, fees and other charges.

The ACCC alleged that the website did not display some airfare prices inclusive of all taxes, duties, fees and other mandatory charges. Businesses that choose to advertise a part of the price of a particular product or service must also prominently specify a single total price.

AirAsia responded by stating that this is an IT glitch or a technical issue. My question is how come only after an Australian consumer watchdog has taken legal action against you that you realized the so-called technical glitch. You mean what AirAsia was trying to say is that the problem will go unnoticed if nobody is suing them?

A typical response when a public listed company claimed innocent by stating a technical glitch. Well sorry to say Mr Tony Fernandes, your excuse is not good enough for me and I'm sure it's not good enough for a lot of other Malaysians. And in the case of the Austalian consumer watchdog, AirAsia has finally learned the hard way.



[Source: Zamiel Geta Hussain, Malaysian Digest]

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