KTX fare more expensive than flying

By Yoon Ja-young

Korail CEO Choi Yeon-hye

KTX is facing consumer backlash for scrapping its discount programs. Complaints are mounting that the train fare is more expensive than a plane ticket, but the high-speed rail service is in a dilemma as it needs to make up for the losses from unprofitable train lines.

At Air Busan’s website, Wednesday, some flights from Seoul’s Gimpo Airport to Busan’s Gimhae Airport were offered for a 10 percent discount. When adding 4,000 won airport fees and 1,100 won fuel surcharge to the 53,100 won cost, a flight from Seoul to Busan was 58,200 won. The fare drops further when tickets are bought in advance. Another special offer from Air Busan sells tickets from Seoul to Busan at only 35,100 won for a flight scheduled on Feb. 9.

In both cases, flights are cheaper than the 59,800 won KTX fare for the Seoul-Busan trip.

While low-cost carriers (LCCs) are cutting prices through diverse promotional events, KTX has been scrapping its discount programs one by one.

Previously, it offered a 7 percent discount for weekday train tickets. Seats facing backwards on the train or seats right in front of the doors were also discounted 5 percent, before being scrapped last year.

The KTX Family Seats, which are grouped in four with a table in the middle, were previously subject to a 37 percent discount, but the discount rate was lowered to 15 percent.

“When I go with my family to visit my parents in Busan during Lunar New Year or Chuseok, the total KTX fare nears 500,000 won. It really is burdensome,” said Park Seung, a native of Busan working in Seoul.

A spokesperson for Korail, which operates KTX and other rail services, said though some discount programs have been scrapped, it also adopted new ones.

“If you purchase a ticket in advance, you can get up to 30 percent discount,” he said. “Just like airline tickets which get cheaper when bought earlier, we introduced new discount program.”

Consumers, however, complain that discounted tickets are limited and hard to get.

Regarding the scrapping of discount programs on reverse-direction seats, the spokesperson said, “We thought travelers might feel inconvenient in the reverse-direction seats, but now it doesn’t seem so. Traveling in reverse direction has become common.”

Korail also argued that it has to make up for the losses in non-KTX services.

“KTX is the only train service where we make a profit. Except for the high-speed lines, there is a deficit in most of the train lines that operate Mugunghwa and Saemaeul trains.”

However, as these non-high-speed train lines are useful means of transportation for the working class or those in remote rural areas, Korail can’t scrap its service or raise fares.

Though KTX is scrapping discount programs, its users are continuously increasing. Around 170,000 people use KTX a day on average, which compares with 70,000 in 2004.

Consumers seem to find KTX more convenient than flights. Though a flight takes around one hour less than KTX from Seoul to Busan, the total time isn’t as short, as the airports are located in the suburbs of both cities while KTX stations are in the city centers.

KTX shoulders 62.4 percent of transportation between Seoul and Busan. After its 2004 opening, the stake of cars in transportation for the Seoul-Busan route dropped from 39.9 percent to 20.1 percent, and that of airlines went from 8.7 percent to 2.9 percent.