Lion Air to Compete on Jakarta – Kuala Lumpur

Indonesian low-cost carrier Lion Air will launch flights between Jakarta and Kuala Lumpur later this month, becoming the tenth carrier to offer service on the route. The airline is planning an initial daily schedule from June 29 using a 189-seat Boeing 737-900ER. There are currently more than 120 flights every week between the two cities providing more than 23,000 weekly seats. In the past year an estimated 1.33 million O&D passengers travelled on the route, up 9.4 per cent on the previous 12 month period.

As the table below illustrates, it is low-cost carrier AirAsia that dominates the traffic between the two cities through its own operations and those of its Indonesian joint venture. The airline has been able to carve out a 48.8 per cent of the market through its low fares, although based on these estimated figures Malaysia Airlines is actually the most profitable carrier on the route thanks to its much stronger yields. Lion Air is likely to try and compete further on price to attract customers from rival carriers and to stimulate demand further.

Schedule:

JT282 CGK0905 – 1205KUL 739 D
JT283 KUL1300 – 1400CGK 739 D