Category: Analysis

Analysis Two key developments to watch for in 2018

Two key developments to watch for in 2018

2018 will be an interesting year for commercial aviation – here are a couple developments worth keeping in mind as the year progresses. Boeing will likely re-launch passenger version of 767 There have been rumors for a few months now that a major airline is looking to purchase 50-100 planes to replace their ageing mid-range, …

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Analysis Singapore unbundles fares, regional competitors should take note

Singapore unbundles fares, regional competitors should take note

Singapore Airlines has announced new pricing structures for all four of its cabins, following in the footsteps of other global legacy carriers like Delta and United. Effective January 20, all Singapore and SilkAir – a regional affiliate – tickets will be structured as such. The biggest impact will be to the airline’s economy tickets, where …

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Analysis Examining and addressing Cathay Pacific’s problems

Examining and addressing Cathay Pacific’s problems

Cathay Pacific has had a tough time of it lately. Two weeks ago, Cathay team members at all levels were taken by surprise when Qatar Airways Group announced its acquisition of 9.61% of the airline’s shares. While this could be seen by some as alarming given Qatar’s outspoken CEO, I don’t believe they will be …

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Analysis Qatar buys 9.6% of Cathay, expanding oneworld investments

Qatar buys 9.6% of Cathay, expanding oneworld investments

On Monday morning Qatar Airways Group announced its acquisition of 9.6% of Hong Kong-based Cathay Pacific for USD662M. Qatar is now the third largest shareholder of Cathay, after Swire Group (45%) and Beijing-based Air China (30%). The acquisition represents an increase in Qatari ownership of airlines in the oneworld alliance, of which it is a …

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Analysis SpiceJet CEO has fascinating interview with Skift

SpiceJet CEO has fascinating interview with Skift

Ajay Singh, the CEO of Indian low cost carrier SpiceJet, has given an interview to the team at Skift, and he had some pretty interesting comments to make. But first, some quick background: Singh helped start SpiceJet in 2005 and sold it – while profitable – in 2010. The airline’s new buyers ran it into the …

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Analysis The US airlines are in a Renaissance period

The US airlines are in a Renaissance period

I know, it sounds crazy. The US airlines are in a Renaissance period (and yes, I’m employing the theory of relativity). In the last couple years they’ve addressed long-standing problems with both traditional and creative solutions, all of which has helped them gain revenue and enhance the overall passenger experience. There has been consolidation from …

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Analysis IdeaWorksCompany: ancillary revenues can exceed base revenues

IdeaWorksCompany: ancillary revenues can exceed base revenues

A new study from IdeaWorksCompany has found that airlines’ revenue from ancillary fares (checking luggage, seat selection, buy-on-board food & beverage, etc.) can sometimes exceed revenue from the base ticket fare. The study was flagged by Business Traveller, which notes, “Spirit Airlines, known for its low fares, also collects the most ancillary revenue per passenger of any …

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Analysis Winners & losers: Grandmagate & the changing landscape

Winners & losers: Grandmagate & the changing landscape

On 29 June, thanks largely to Grandmagate, American Airlines cancelled their codeshare relationships with Qatar Airways and Etihad Airways, effective 25 March 2018. Grandmagate While speaking at a private dinner in Dublin, Qatar Airways Group Chief Executive Office Akbar Al Baker said, “You are always being served by grandmothers at American carriers.” He also noted that …

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Analysis Iran Air appoints female CEO, a novelty for airlines

Iran Air appoints female CEO, a novelty for airlines

A few days ago news broke that Iran Air, the state-owned airline of Iran, had appointed Dr. Farzaneh Sharafbafi as Chief Executive Officer. Outgoing CEO Farhad Parvaresh will represent the country at the International Civil Aviation Organization in Montreal, Canada. Dr. Sharafbafi has a PhD in aerospace – reportedly the first woman in Iran to obtain …

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