The skies between Thailand and South Korea are getting busier with the entry of a Korean budget carrier whose name raises eyebrows: T'way Airlines.
With daily flights starting on Oct 15 between Suvarnabhumi and Incheon airports, T'way will be the third Korean low-cost carrier (LCC), after Jeju Air and Jin Air, on the Bangkok-Seoul route, one of the most competitive in Thailand.
Bangkok is one of the first international destinations T'way has chosen, following cities in Japan and China, after establishing itself on its home turf.
T'way will compete with airlines including Thai carriers Thai Airways International (THAI) and Business Air, with what it calls the "most reasonable" fares.
Its initial round-trip fare is about 17,000 baht, undercutting its South Korean LCC rivals.
Nawinee Hengnalen, the general manager of BuyNow Co, T'way's general sales agent in Thailand, said most of its October tickets were snapped up by Thai agents organising package tours for Thais in South Korea.
The ticket price, which includes a snack and beverage as well as a 20-kg baggage allowance, will go up by about 1,000 baht next month as T'way takes advantage of high-season demand.
T'way expects a load factor of 80% on its Bangkok-Incheon route with about 70% of its passengers being Koreans and 30% Thais, Ms Nawinee said.
Air travel demand between Thailand and South Korea has been robust, mostly due to leisure on both sides. Tourism Authority of Thailand figures show South Korean tourist arrivals to Thailand in the first eight months of this year rose 45% to 507,592, representing 6% of Thailand's total arrivals.
T'way Air is a reincarnation of a carrier originally formed in 2004 and known as Hansung Airlines. It was formally relaunched Aug 8 last year when Shinbo Investment and Tomato Savings Bank took a controlling stake in the financially troubled carrier.
T'way's maiden flight was between Seoul's Gimpo Airport and Jeju, the popular Korean tourist island, on Sept 10, 2010, five days after it took delivery of its first new Boeing 737-800 aircraft.
The airline is to take delivery of three more new B737-800 jets this year to increase its fleet to five before expanding to nine next year.
The twin-engine, single-aisle jets will have 189 seats for the flights to Bangkok.
T'way has also set up an office in Bangkok and named B.M. Choi as its regional manager. THAI will provide ground handling and maintenance services for T'way at Suvarnabhumi.
The airline says the letter T in T'way stands for "Tomorrow, Today and Together", though industry observers say it could also reflect the identity of shareholder Tomato Savings Bank.
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