Route expansion possibilities in Asia – what’s left for FSCs?

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Senior executives from China Southern Airlines, Mega Maldives Airlines and Association of Asia Pacific Airlines gathered at Aviation Festival Asia 2016 in February to discuss route expansion possibilities in Asia. Asia’s aviation industry will grow further, providing exciting growth opportunities for carriers, but executives agreed that there are huge challenges that may hinder route expansion. One of the biggest challenges is …

Long-haul low-cost airline operations: Are we nearly there yet?

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Can low-cost airlines replicate short-haul success on longer routes? Steven Greenway, former Head of Commercial at Scoot, shared his thoughts at Aviation Festival Asia 2016. Here’s a brief summary of his session. What are the biggest challenges for LCCs when considering long-haul? Financials – long-haul operations are very costly. Utilisation – you can get the hours, but you can’t get …

Vision 2020: How can airlines guarantee future success?

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Over 1,400 attendees, including representatives from over 150 airlines and airports across the world, gathered at Aviation Festival Asia 2016 in Singapore in February this year. The morning kicked off with an interview with  Cam Wallace, Chief Sales and Commercial Officer of Air New Zealand. Cam shared what Air New Zealand is focusing on to succeed in the future airline industry. …

Cybersecurity and the commercial aircraft: Developing a robust strategy to tackle the growing threats

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A cyberattack can happen to anyone, anytime. Over the past two years, there has been an increasing number of cybersecurity incidents reported in the aviation industry. To give an indication of the magnitude of the challenge, recent research has shown that aviation systems are subject to an average of 1,000 attacks each month (*). With the introduction of new generation …

The evolving LCC business model: Towards an integrated air travel business

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Today we are witnessing perhaps the most interesting period of change in the low cost business model. China’s Spring Group, anchored by Shanghai-based budget carrier Spring Airlines, is entering the hotel sector in Asia, turning itself into a comprehensive hospitality company to serve customers throughout their trip. Spring Group took the first few moves in the hotel business with the …

The future of LCCs: Where do we go from here?

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According to IATA, over 3.8 billion passengers will be transported via air in 2016 with this number dramatically increasing to 7 billion in 2024 of which 3 billion will be in ASEAN. There are tremendous growth opportunities for airlines in Asia, however, significant challenges are posed by poor infrastructure and lack of partnerships and collaborations between all aviation stakeholders, including …

How airlines can successfully work with 3rd party ancillaries

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Ancillary services are at the forefront of the airline industry as it strives to become — and remain — financially healthy. As third-party ancillary services has become an increasingly important source of revenue, at Aviation Festival Asia 2017, one of our key focus areas is how airlines can successfully work with third-party ancillary services to maximise potentials on increasing airline …

U-Fly Alliance: Showing HNA consolidation and LCC evolving partnership model

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China’s HNA Group is massive with more than 10 airline brands. Under China’s one route one airline policy, the group, though growing larger, still remains fragmented, with companies hardly stitching together to deliver synergies or at least to avoid competitive overlap. That has started to change with four HNA airlines forming the world’s first LCC alliance, the U-FLY Alliance, on …

New airline ancillary revenue management strategies

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Airlines have different customer segments and different network structures. Therefore ancillary products and marketing strategies have to take this into account and need to be tailor-made to fit with the customer’s needs, their buying behaviour and their willingness to pay. Saravanan Ramasamy, Group Head Distribution & Ancillary Commercial of AirAsia and Andrew Cowen, CEO of HK Express joined us at the Aviation Festival …

When things go wrong: How to better handle irregular operations

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Nobody here needs to be told about the cost of screwing with your customers. Delays and cancellations frustrate passengers. How airlines deal with journey disruptions will make or break that customer relationship. Just last week, there were more than 2,900 cancellations and over 42,800 delays in Asia Pacific*! So what do we mean when we say “handling disruptions”? How do …