SAS-topp mener flyprisene må opp

SAS' chief executive Paul Verhagen has stated that the airline believes ticket prices need to increase due to the difficulty of maintaining a sustainable and profitable business model in the current fuel price crisis. The conflict in the Middle East has significantly impacted the aviation industry, with several major transportation hubs in the Gulf region, such as Hormuz Strait, being partially closed.

This has also affected the supply of aviation fuel, as Saudi Arabia recently warned European refiners that no oil would be available next month. Despite warnings from the International Energy Agency (IEA) that Europe could run out of jet fuel, both SAS, Ryanair, and Norwegian denied any fuel crisis. The biggest challenge is the sharp price rise, with the cost having doubled since the conflict began.

SAS aims to position itself as a more premium airline to justify higher ticket prices, according to Verhagen. They have taken various measures to convince customers to pay more, believing that people are now willing to pay a higher price because they perceive the difference compared to competitors as justified by the improved product.

SAS' future majority owner recently announced a similar strategy to boost revenue, with first-class La Première set to launch to several US destinations, including Boston, next year. The reason behind this is the growing demand for premium seats, says Air France-KLM's head Ben Smith in an interview in Paris. They have noticed a higher number of customers returning to premium cabins, considering the circumstances, Smith says.

SAS is awaiting a decision from European competition authorities on the takeover, which would give them over 60% of the company, and hopes it will go through by the end of 2026 or early 2027.