Airline industry problems and prospects

Presentation Outline -The elements of the jig-saw puzzle -Trends in financial results -Industry charcateristics and problems -Major constraints -Trends in load factors -Financing? -Traffic growth prospects -Productivity is the key -The environmental challenge -Summary of main points

Key strategic issues affecting the airline industry

Scheduled and charter airlines: current issues and future developments - Key characteristics of airline markets - Market penetration of low cost scheduled airlines - Recent developments in the charter sector - Future prospects

Nature of Airline Demand

The Airline Industry • Big and Wide and Tall • Characteristics • Changes in Demand • Key Issues

Aviation and the environment

Aviation and the environment: outline - Aircraft noise - Aircraft engine emissions Local air quality Greenhouse gases and climate change - Airline, airport and manufacturer impacts

Cost Cutting for Success: Factors Influencing Costs

Irrespective of whether an airline has high or low operating costs, a thorough knowledge and breakdown of them is vital in order for management to: • monitor performance (to check if targets / budgets are being met. If not, remedial action can be taken) • set appropriate fares and tariffs • evaluate new routes, aircraft acquisition and outsourcing opportunities

The challenge of the low-cost airlines

Outline • How Low cost airlines have changed the EU? • Maturity in Europe? • Market Substitution or generation? • Are LCCs culpable for increasing aviation's carbon footprint? • What makes a successful low cost airline? • LCCs and the long haul market

airline marketing: an overview

Outline • Definition of Marketing • Realities of the Market Place • Realities of Airline Market • Marketing Strategies • The Challenges