Le Shuttle steps up war on ferries

Chunnel operator intensifies battle for passengers with new pricing structure and a loyalty scheme

Le Shuttle is slashing prices and launching new loyalty scheme, in a move that is bound to provoke retaliation from ferry operators.

Le Shuttle is making detailed announcements on its new pricing structure today (Wednesday) but commercial director Bill Dix told Marketing Week he plans to “cut through the chaos” on cross-Channel pricing.

“We will take a leadership position in this market by delivering competitive pricing in a simplified pricing structure. It’s going to be very much a value for money approach,” he says.

At the moment, Le Shuttle’s cheapest standard return fare in July and August is 218 – virtually the same as the ferries. Prices drop to as low as 69 for a five-day return on Le Shuttle in off-peak times – in line with fares offered by the ferry operators.

Dix says there will be fewer than the four pricing bands available now, which offer different prices depending on the date of the return and length of stay.

Le Shuttle’s Club class service has been on trial for the past three weeks and will now be a permanent fixture on the service.

The premium service aims to provide a special check-in and priority boarding facilities, as well as a lounge for business travellers.

The company is also intro ducing a loyalty scheme, called Points Plus, which will launched at the start of June along with the first advertising campaign from recently appointed agency BST.BDDP.

“Le Shuttle is over-priced at some times and under-priced at others and that needs sorting out,” says Nigel Davies, transport analyst at Panmure Gordon.

Recommended

SMASH AND GRAB

Marketing Week

The age of the non-bank financial service company is upon us as organisations as diverse as British Gas and Volkswagen rush to enter the market. But can they break the banks’ hold on the public’s finances or are they playing a dangerous game?

Star’s illness stalls TV push for NatWest

Marketing Week

NatWest has been forced to shelve the launch of its 4m TV branding campaign because one of its new star actors, Timothy Spall, has been diagnosed as having leukaemia. NatWest head of marketing Raoul Pinnell says the TV campaign has been put on hold. “Our thoughts are with Timothy and his family at this time,” […]