Finnair sees rise in demand for business class

Fall in leisure traffic

Finnair has reported an increase in business class demand of nearly 16% in December, despite a fall in overall traffic of nearly 9%, compared to December 2008.

(pictured), Finnair's SVP communications, said: "A pick-up in business travel between Europe and Asia is perceptible.

"Growth is now coming from outside Finland in particular."

The number of business class passengers in Asian traffic alone grew by 25% in December.

Finnair markets itself as "the fast airline to Asia" from Europe, as it flies over the North Pole to reach destinations in Asia, which it says is a geographically shorter route than flying via the Middle East.

European and domestic traffic declined by more than 3% in December, leading to a rise in load factors.

But leisure demand in particular was hit hard, with a decline of 30% when comparing December 2008 and 2009, which Finnair said was partly due to a fall in demand, but also due to a change in market share.

"Finnair's leisure traffic has been successfully adjusted, which has kept load factors and prices at a sound level," said Haglund.

Over the full year, leisure traffic declined by more than 10%.

The Finnish airline's revenue per passenger kilometre fell by 14% last year, in the final quarter by more than 12%.

"The price level of flight tickets has fallen significantly, and rise in prices is perceptible," said Haglund.

www.finnair.com