Instalment tickets a good idea to push up air travel

11Sep 2021
Editor
The Guardian
Instalment tickets a good idea to push up air travel

​​​​​​​NEW ideas are being put to work at Air Tanzania Co. Ltd (ATCL) where it has of late introduced ticket payment by instalments to allow travellers to plan their trips ahead and pay portions of what the tickets cost before the date of flight.

And in making further use of current applications based on mobile phone communication, other stakeholders are being brought into view in relation to ticket purchases. It may lesson some of the woes on the part of those who wish to use planes for quick trips but not enough cash.

The new procedure, just launched in Dar es Salaam, allows passengers lacking the full amount to book reservation with amounts they have at that moment. A line manager said at the launching that a potential passenger is required to book a ticket and disburse 50,000/- as early payment to obtain an electronic miscellaneous document (EMD). That is an interesting appendage, amounting to acknowledging likely consideration in legal terms that one is attached to the airline for a definite service, but is hardly explicit.

What is more interesting is that passengers may contract with banks or other financial institutions for them to pay the full amount on tickets for the passenger, who later repay those amounts on terms agreed with the creditors. It calls for something like another application on the part of financial institutions, depending on how it is conducted, as if it is with the customers, routine current account arrangements can work. But if it with the airline, a specific app is rather handy, but that’s likely to have been solved already.

This kind of arrangement can help individuals or groups to make quick decisions on their expected trips, where the purchasing of tickets would be resolved if it is a hiatus of cash flow, etc. Essentially it doesn’t change the likely clientele of travel potential but it eases some decisions, including the issue of what airline to use if ATCL proves to be more welcoming. There other issues to consider like competition on fee levels and convenience of flight schedules, but those aspects are outside the ambit of the new facility.

What could as well be mentioned is that to run the system ATCL will have to take care that passengers don’t start complaining about lapses in the manner in which the facility is being operated, for instance mixing up data or documents of those paying by the new method, and where they stand with their payments. It requires rapid data update and responding at a minute level were it that a passenger calls for information or confirmation of booking. The point is that the system can work so long as it is seen to be seamlessly operating, and that is a tall order given the manner in which public agencies habitually work.

At the same time, a situation where consideration is extended without the full payment having been done introduces a lot of negotiable follow-up terms along the way, for instance taking the trip with say 20 per cent of payments pending, say with promised credit in a few days’ time. It must be said that the company shall have to be acute in observing instalment payment schedules to avoid being shortchanged, or moving to frustrate passengers were it that an overcautious official isn’t listening. There is work to do out there.

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