5th Airline marketing workshop AMU - SETE library/EN/5th Airline... · T4 3.4% U2 3.9% KL 2.9% Other A3 27.0% 5.9% BA CY4.2% 4.9% AZ 6.3% International Passengers 2004 Domestic Passengers

5th Airline Marketing Workshop

Rewarding DevelopmentRewarding Development

Focusing on Airlines Performance

More seats More seats -- Lower Load FactorsLower Load Factors

Domestic market becomes a cake for twoDomestic market becomes a cake for two

Aegean Airlines & Hellas Jet climbed 3 positions in AIAAegean Airlines & Hellas Jet climbed 3 positions in AIA’’s top 10 s top 10 Airline RankingAirline Ranking

New Entrants and smaller carriers attract passengers and gain New Entrants and smaller carriers attract passengers and gain market sharemarket share

The Top 15 airlines surpassed the average load factor of 62.5%, The Top 15 airlines surpassed the average load factor of 62.5%,

CC--class yield holds strong in 2004class yield holds strong in 2004

Source: AIA Management Information System

64.0% 64.2%64.3% 62.5%61.0% 63.5%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

Domestic International Total

2003 2004

Load

Fac

tors

Load

Fac

tors

The boom in seat capacity has influenced Airlines’ Load Factors


60%

75%64%67%

77%67%

58%51%

65%57%

63%53%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

WesternEurope

EasternEurope

MiddleEast

Asia-Pacific

America Africa

2003 2004

Load

Fac

tors

Load

Fac

tors

European slow-down – Non-European improvement

Greek and European carriers in the lead

OA29.7%

AF3.8%

LH7.9%

T43.4%U2

3.9%KL

2.9%

Other27.0%A3

5.9%

BA4.2%CY

4.9%

AZ6.3%

International Passengers 2004International Passengers 2004

Domestic Passengers 2004Domestic Passengers 2004

OA57.5%

A342.5%


Smaller airlines gaining market share

Market ShareMarket Share10th10thKL

25%75%

12th

6th

8th

5th

4th

7th

3rd

2nd

1st

20032003

73%Top 10 airlines

9thT48thAF

5thCY6thBA7thU2

27%Other

4thA33rdAZ2ndLH1stOA

20042004AirlinesAirlines



4UST LH SQ TV

MSBA OS SKTGHFCYKL

U2DL

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Load

Fac

tors

Load

Fac

tors

5 out of 10 higher L/F performers are LCCs

Average LF62.5%

Note: one stop services are not includedNote: one stop services are not included

C Class increase – Y class decline

Source: IATA Greek BSP data (return tickets)

824

330

974

294

0

200

400

600

800

1000

1200

Business Class Economy Class Jan - Oct 2003 Jan - Oct 2004

-- 10.7%10.7%

+ 18.2%+ 18.2%

Net

Far

e ex

-Gre

ece

in €

Business and VFR travelersBusiness and VFR travelers…… love the East and fly with SV, GF, TK, RB, ROlove the East and fly with SV, GF, TK, RB, RO

Scandinavians, Americans, French and price sensitive Germans Scandinavians, Americans, French and price sensitive Germans ……vote vote Athens for holidays and fly with DM, DL, AF & 4UAthens for holidays and fly with DM, DL, AF & 4U

For studies with BA & U2 toFor studies with BA & U2 to……London by farLondon by far

PaxPax of OA, DL, AF and SK connect more than others at AIAof OA, DL, AF and SK connect more than others at AIA

AMS (KL), DXB (EK) and SIN (SQ) are the most preferred connectAMS (KL), DXB (EK) and SIN (SQ) are the most preferred connecting pointsing points

CY gain in direct bookings, U2 the governor of Internet salesCY gain in direct bookings, U2 the governor of Internet sales

Rewarding Development

38

65

55 52 52 5046 45 45 45 44

0

10

20

30

40

50

60

70

80

90

100

ATHmean

SV GF TK RB RO EK LX MS CY LH

Base: Passengers departing to international destinations

Source: Passenger Survey 2004

Travellers on business are dominant on board for SV, GF, TK, RB

DL, DM, AF and 4U carry relaxed & happy passengers…

74

91 90 88 85

34

5551 51 50

411 9

0

10

20

30

40

50

60

70

80

90

100

ATHmean

DM DL AF 4U ATHmean

EK CY SU LO ATHmean

BA U2

Holidays VFR Studies



OA is the leader on Athens Airport’s international connections

21

2927 27

26

22 22 22 21 21 20 20

0

5

10

15

20

25

30

35

40

45

50

ATHmean

- OA DL AF SK CY ST LO OS TV AZ DM



KL & AMS…in other words “Connecting People”

17

59

4840

36 35 34 34 33

0

10

20

30

40

50

60

70

80

90

100

ATHmean

- KL EK SQ LH AZ AF TG TK



U2 has learnt to people the Internet secrets….

1220

16 148

24 21

5

85

8 7

0

10

20

30

40

50

60

70

80

90

100

ATHmean

CY AZ A3 ATHmean

SV EK ATHmean

U2 4U SK

Airline direct ly Company's t ravelling dpt Internet




Rewarding Development Rewarding Development

2004 Incentives Reward Development…

66New Routes New Routes

1515Thin Routes Thin Routes

1919Additional FrequencyAdditional Frequency

93309330Additional Flights Additional Flights

55PSOPSO’’s s

…and we carry more experience on our co- marketing activities

CO-PROMOTIONAL &ADVERTISING

COCO--PROMOTIONAL PROMOTIONAL &ADVERTISING&ADVERTISING

MARKET INTELLIGENCEINFORMATION

MARKET INTELLIGENCEMARKET INTELLIGENCEINFORMATIONINFORMATION

Extensive range of Co-marketing activities support airlines’ local

sales and image building

Extensive range of Extensive range of CoCo--marketing activities marketing activities support airlinessupport airlines’’ local local

sales sales and image buildingand image building

Provision of up-to-date market information.

Feasibility studies for newroutes to evaluate risk and

opportunities

Provision of upProvision of up--toto--date date market information. market information.

Feasibility studies for newFeasibility studies for newroutes to evaluate risk and routes to evaluate risk and

opportunitiesopportunities

Newcomers in 2004…

New Airlines operated at least on a seasonal basis out of Athens.New Airlines operated at least on a seasonal basis out of AthensNew Airlines operated at least on a seasonal basis out of Athens..

…2005, a promising year

BratislavaBratislavaBratislava

LjubljanaLjubljanaLjubljana

DohaDohaDohaKrakowKrakowKrakow

BariBariBari

VeronaVeronaVerona

StockholmStockholmStockholmOsloOsloOslo

CataniaCataniaCatania

BolognaBolognaBologna

CopenhagenCopenhagenCopenhagen

PraguePraguePrague

BudapestBudapestBudapest

LarnacaLarnacaLarnaca


Airline Awards 2004Airline Awards 2004

Re-Awarding DevelopmentAirline Awards 2004 Airline Awards 2004

A. The Fastest Growing Airlines AwardsA. The Fastest Growing Airlines AwardsDomesticDomestic

Western EuropeWestern Europe

Eastern EuropeEastern Europe

Middle EastMiddle East

AsiaAsia

AfricaAfrica

America America

3 Main Categories3 Main Categories

B. The Fastest Growing Airline in a Thin RouteB. The Fastest Growing Airline in a Thin RouteC. The Best Performing New Airline AwardC. The Best Performing New Airline Award

Airline Awards 2004 Airline Awards 2004

Candidates:Candidates: Airlines Operating Scheduled Services at AIAAirlines Operating Scheduled Services at AIA

Airline operated scheduled services at AIA during the whole 12Airline operated scheduled services at AIA during the whole 12--month month period of both comparison years (2003,2004)period of both comparison years (2003,2004)

Airlines have carried at least 30.000 passengers annually on botAirlines have carried at least 30.000 passengers annually on both years h years (2003,2004) in the specific regional sub(2003,2004) in the specific regional sub--categorycategory

AndAnd…………

TheThe Winner Winner is the Airline with theis the Airline with the Higher Annual Passenger Growth per Higher Annual Passenger Growth per Geographical Region (percentageGeographical Region (percentage--wise)wise)

A.A. The Fastest Growing Airlines AwardsThe Fastest Growing Airlines Awards

Conditions:Conditions:

Re-Awarding Development

Airline Awards 2004 Airline Awards 2004 The Fastest Growing Airlines AwardsThe Fastest Growing Airlines Awards

Western EuropeWestern Europe

AegeanAegeanAirlinesAirlines

11stst Runner Up : IberiaRunner Up : Iberia




OlympicOlympicAirlinesAirlines

11stst Runner Up : CSA Czech AirlinesRunner Up : CSA Czech Airlines

The Fastest Growing Airlines AwardsThe Fastest Growing Airlines Awards




EmiratesEmirates

11stst Runner Up: Olympic AirlinesRunner Up: Olympic Airlines




AmericaAmerica

DeltaDeltaAirlinesAirlines





AfricaAfrica

EgyptairEgyptair





AsiaAsia

ThaiThai

11stst Runner Up: Singapore AirlinesRunner Up: Singapore Airlines




DomesticDomestic


11stst Runner Up : Olympic AirlinesRunner Up : Olympic Airlines



Airline Awards 2004Airline Awards 2004B. The Fastest Growing Airline in a Thin RouteB. The Fastest Growing Airline in a Thin Route


Airlines have carried at least 5.000 passengers annually on bothAirlines have carried at least 5.000 passengers annually on both years years (2003,2004) and no more than 30.000 passengers annually in any o(2003,2004) and no more than 30.000 passengers annually in any of the two f the two yearsyears

Candidates:Candidates: Airlines Operating Scheduled Services at AIA on Thin RoutesAirlines Operating Scheduled Services at AIA on Thin Routes


AndAnd…………..TheThe WinnerWinner is the Airline with theis the Airline with the Higher Annual Passenger Growth Higher Annual Passenger Growth (percentage(percentage--wise)wise) irrespectively of the geographical regionirrespectively of the geographical region



HemusHemusAirAir

11stst Runner Up : Georgian AirlinesRunner Up : Georgian Airlines

The Fastest Growing Airline in a Thin RouteThe Fastest Growing Airline in a Thin Route


C. The Best Performing New Airline AwardC. The Best Performing New Airline Award

Candidates: Candidates: Airlines Operating Scheduled Services at AIAAirlines Operating Scheduled Services at AIA

Airline started to operate scheduled services at AIA during 2003Airline started to operate scheduled services at AIA during 2003

Airline operated scheduled services at AIA during the whole 12Airline operated scheduled services at AIA during the whole 12--month period month period of 2004of 2004


AndAnd…………..

TheThe WinnerWinner is the Airline which carried theis the Airline which carried the Higher Number of Higher Number of PassengersPassengers during the year 2004during the year 2004

Airline Awards 2004Airline Awards 2004



Hellas JetHellas Jet

11stst Runner Up : GermaniaRunner Up : Germania

The Best Performing New Airline AwardThe Best Performing New Airline Award



Candidates:Candidates: Airlines Operating Scheduled Services at AIAAirlines Operating Scheduled Services at AIA


Airlines have carried at least 30.000 passengers annually on botAirlines have carried at least 30.000 passengers annually on both years h years (2003,2004)(2003,2004)

The Overall Fastest Growing Award is granted among the Winners oThe Overall Fastest Growing Award is granted among the Winners of f the regional subthe regional sub--categoriescategories

AndAnd…………..The The Winner Winner is the Airline with theis the Airline with the Higher Increase in Absolute Higher Increase in Absolute Passenger VolumesPassenger Volumes

A.A. The Overall Fastest Growing Airline The Overall Fastest Growing Airline AwardAward



Airline Awards 2004 Airline Awards 2004 The Overall Fastest Growing Airline AwardThe Overall Fastest Growing Airline Award

OverallOverall



Airline Awards 2004 Airline Awards 2004 Western EuropeWestern Europe



OlympicOlympicAirlinesAirlines


EmiratesEmirates

AmericaAmerica

Delta Delta AirlinesAirlines

AfricaAfrica

EgyptairEgyptair

AsiaAsia

ThaiThai

Thin RouteThin Route

HemusHemusAirAir

New AirlineNew Airline

HellasHellasJetJet

OverallOverall


DomesticDomestic



Documents

5th Airline marketing workshop AMU - SETE library/EN/5th Airline... · T4 3.4% U2 3.9% KL 2.9% Other A3 27.0% 5.9% BA CY4.2% 4.9% AZ 6.3% International Passengers 2004 Domestic Passengers