Riri Rahayu, Jakarta – President director of flag-carrier Garuda Indonesia Irfan Setiaputra provided an explanation about why Garuda offers its airfares higher than other carriers. He implied that it is due to the bargaining power Garuda has.

"We aim to capture the premium market," said Irfan during a Hearing with Commission VI of the House of Representatives (DPR) on Tuesday, June 13, 2023.

Irfan insisted that the company's pricing strategy is based on what Garuda is able to offer, mainly in terms of safety, flight services, and flight quality.

"The director and VP are representatives of the aircraft. Weekly tasks include checking the interior [of the aircraft] for damages," says Irfan who asserted that aircraft maintenance will stay consistent and disciplined.

Apart from acknowledging its strategy in aiming at the premium market, he made it clear that Garuda Indonesia abides by the government regulation that imposes an upper and lower ceiling for airfares.

Source: https://en.tempo.co/read/1736984/garuda-indonesia-defends-premium-airfare-in-house-hearin