Impulse Airlines is expanding its fleet as the Sydney-based discount carrier continues its aggressive push to steal market share from rivals Qantas and Ansett.
Its executive chairman Gerry McGowan said the airline wanted to double the size of its five Boeing 717 fleet by the end of next year. 'Frequency is the key if you want to offer a serious product,' he said.
Impulse, launched in 1982 as a freight carrier, had learned how to constrain costs to ensure it could remain competitive. 'It is pretty tough making a dollar out of regional aviation as the Australian market size is very small. So we had to learn how to constrain costs, do things smarter,' Mr McGowan said.
The airline - which also operates 13 turbo-prop planes - began slashing fares last month when it offered one-way Sydney-Brisbane flights for A$33 (about HK$136), cheaper than a taxi ride from Sydney's business district to the Olympic Stadium.
The price, 80 per cent lower than the A$163 fare it was planning to introduce, was immediately matched by Qantas and Ansett and gave passengers the lowest prices since domestic air travel was deregulated in 1990.
According to Mr McGowan, Impulse posted its first profit last month since launching its passenger service in June.