The future of Australian low-fare carrier Bonza is in limbo with the airline announcing on Tuesday 30 April that it was entering voluntary administration and had grounded all its flights.
In a fiercely competitive market, dominated by the likes of Qantas and Virgin, the airline, which launched in January 2023 had reportedly transported more than 750,000 passengers over the last 15 months. Promising to bring “more direct flights to more destinations and to open up Australia,” the airline was based on the Sunshine Coast and served some 21 destinations across Australia, many of them regional and not connected directly by any other airline. Bonza had also managed to grow its operations to serve some of Australia’s larger hubs, including Melbourne’s Tullamarine and the Gold Coast.
A statement from the airline read: “Bonza has temporarily suspended services due to be operated between Tuesday 30 April, Wednesday 1 and Thursday 2 May, as discussions are currently underway regarding the ongoing viability of the business.”
The airline also apologised to customers impacted by the announcement, adding: “We’re working as quickly as possible to determine a way forward that ensures there is ongoing competition in the Australian domestic aviation market.”
Bonza isn’t the first budget carrier to fall into trouble in Australia, with the country’s expansive size, lack of population density and the stiff competition from the big hitters often cited as being the cause of failure for previous low-cost carriers that have failed. In Bonza’s case, its relatively small fleet of Boeing B737 aircraft, its approach to adopt an “app first” approach for ticket sales meaning passengers could only look for and book tickets using the app and the lack of frequency with which some routes were served are all thought to be behind the airline’s struggles.
A hotline has been established for customers by the Administrators, although many passengers have reportedly been left stranded by the abrupt cancellation of flights.
