Priceline Singapore sees online bookings increase with the economic downturn

Priceline Singapore manager Ms Pauline Chian told Nanyang100 that sales from their Singapore customers increased 10% this year.

At first we were very concerned about the recession in Singapore but in reality our sales actually improved” said Pauline Chian.

The global economic crisis has affected the travel and airlines industries.  Many traditional airlines have been badly affected including Singapore national carrier Singapore Airline, however, bucking the trend, it was revealed during the Low Cost Airlines Asia Pacific 2009 Conference held in Singapore that budget airlines sales actually went up during this difficult period.

JetStar Asia CEO Ms Chong Phit Lian also confirmed this trend when she was interviewed by Nanyang100 earlier.

In general, during economic crisis or recession, more companies will seek to lower their travel expenses by looking at travelling on budget airlines.

Chian commented that in the past, many companies were not interested in price comparison between airlines but with the current financial crisis, companies are now very price sensitive.

“On Priceline website (www.princline.com.sg), users only need to key in the flight destination and they will be able to see all the airfares from different airlines.  Through this comparison, user will be able to select the most suitable airfare.” Said Chian.

Chian believes this is one of the main reason why in a recession their bookings volume went up.

Another reason is as consumers get more familiar and confident in buying their air tickets online, the volume of online purchase will increase because of the convenience and cost effectiveness offered from online booking.  Travelers will be able to save on booking fees and get the lowest cost by doing the booking themselves.  In Singapore, travel agency charge $20 to $50 for handling each booking.

Priceline’s unique “Name your own price” facility for hotel booking has been very popular under such economic condition.  “Name your own price” - a facility where the buyers name their preference for the type of hotel, location and the price that they are prepared to pay for them.  The website then will search through its database and present the options available that are closely matched those criteria.

“Whether it is airfares comparison or getting the right hotel at the right price, with consumer getting more price sensitive in this economic condition, online travel booking website such as Priceline see this as an opportunity for growth.” Said Chian.

SINGAPORE Feb 17, Nanyang100