1. Low cost
Discount carriers are finding that they have to compete on more than just price as customers are demanding higher levels of comfort and entertainment. This has led to emergence of a new tyoe of customer: the ‘discount diva’ — a customer who has sophisticated tastes in relation to airport and in-flight services, but expects bargain basement prices too. An example of this is Virgin Blue in Australia (a low cost airline) which offers low cost travellers access to exclusive Blue Room pay as you go airline lounges.
2. The death of distance
People are getting used to going further. What was once exotic is now considered ordinary, which means that travellers are constantly seeking out new and further flung destinations like Latin America and Asia. Part of the reason for this is the growth of low cost carriers pushing routes further out. US carriers like Jet Blue, Spirit and AirTran are all adding destinations like Jamaica, Costa Rica and the Dominican Republic to their schedules. It’s also got something to do with people having more money to spend and airlines making the experience more comfortable. One could even argue that it’s to do with security post 9/11. If you’ve got to get to an airport 2 or 3 hours before your flight you might as well make the journey worthwhile by going somewhere far away. You could even argue that it’s down to the Internet, which has given ordinary travellers access to new information and low prices.
3. Luxury travel
As low cost services spread across the world, so too does the appeal of the opposite: high-cost, high touch exclusivity and personal pampering. For some, low cost fares leave extra cash to splash out on expensive hotels, while for others business and first class cabins are the new hotels. And, of course, the more travellers get used to luxury, the more of it they want, which leaves them with something of a dilemma. How to set yourself apart from everyone else when almost everyone else seems to have exactly the same idea?
4. Planned spontaneity
Travellers are taking advantage of the plethora of no-frills airlines (booked at the last moment) and last-minute/find-and-seek websites to increasingly act on a whim. Thus making spontaneous decisions to go somewhere is becoming the norm, especially for the Internet generation who do everything at Internet speed.
5. Grey geese and other flocks
Backbackers do it. Families with children do it. And couples aged 60+ do it. People of similar ages are increasingly moving around and doing the same things in flocks. The exception is young childless couples who want to do their own thing, by themselves.
6. Do it yourself
Book your own flight, check yourself in, scan your i.d. Airlines and airports can't be bothered.
7. Experiental travel
According to the World Tourism Organisation, cultural holidays are the fastest growing sector of the tourism market. This segment includes everything from backpackers looking for ‘real’ experiences half way up the Amazon, to flocks of retirees booking cultural tours through SAGA or the British Museum. As a result towns and cities are increasingly marketing themselves using whatever nature and history have given them. This dovetails with an increased interest in unusual but ‘safe’ destinations. Examples would include former Soviet bloc countries such as Bulgaria and Balkan countries, especially Croatia. Another emerging segment that is part of this cultural voyeurism is what’s been called religious tourism.
8. Growth in numbers
According to the World Tourism Organisation, there will be 1,500,000,000 airline trips made by the year 2020. That’s a lot of airmiles. Of course, a big rise in fuel prices could put an end to this since nobody has yet discovered a serious alternative for jet fuel. Equally, another outbreak of SARS or another big 9/11 style attack could also move the numbers in the opposite direction.
lundi 26 octobre 2009
A Bigger Crisis than 9/11
Airlines are predicted to lose a total of $11 billion this year according to IATA – $2 billion worse than previously predicted.
The impact of the recession on the airline industry is “worse than the impact of 9/11,” according to IATA CEO Giovanni Bisignani.
He predicted that losses would continue until 2010 and revenues would not return to last year’s levels until 2012 – at the earliest.
IATA also revised its 2008 loss estimates, adding a further $6 billion to the total, taking total losses last year to $16.8 billion.
“The bottom line of this crisis – with combined 2008-2009 losses at US$27.8 billion – is larger than the impact of 9/11,” said Bisignani.
Industry losses for 2001-2002 were US$24.3 billion.
“This is not a short-term shock. US$80 billion will disappear from the industry’s top line.
“That 15% of lost revenue will take years to recover. Conserving cash, careful capacity management and cutting costs are the keys to survival.
“The global economic storm may be abating, but airlines have not yet found safe harbour. The crisis continues,” said Bisignani.
He added: “And revenues are not likely to return to 2008 levels until 2012 at the earliest.”
He criticised governments – particularly European ones – for their “fixation” on green taxes and called on them to invest in efficient infrastructure and relaxing restrictions on mergers and acquisitions.IATA also predicts that industry revenues for the year will fall by 15% or $80 billion to $455 billion compared with 2008 levels.
The three main factors driving the expected losses are: demand, which is expected to drop by 4%; yields, which are expected to fall 12% compared to 7% in the June forecast.
The fall in yields is led by the 20% drop in demand for premium travel.
And fuel, which continues to rise and is expected to average $61 per barrel for the year.
The crisis is worldwide, with European carriers expected to post the largest losses of $3.8 billion, more than double the previous forecast.
The key reason is the drop off in demand to high yield international routes.
In the US, carriers are expected to post losses of $2.6 billion, again more than double the previous forecast, despite huge cuts in capacity.
Asia-Pacific carriers are predicted to make a $3.6 billion loss; Latin American carriers will break even and Middle East and African carriers will lose $0.5 billion each.
The impact of the recession on the airline industry is “worse than the impact of 9/11,” according to IATA CEO Giovanni Bisignani.
He predicted that losses would continue until 2010 and revenues would not return to last year’s levels until 2012 – at the earliest.
IATA also revised its 2008 loss estimates, adding a further $6 billion to the total, taking total losses last year to $16.8 billion.
“The bottom line of this crisis – with combined 2008-2009 losses at US$27.8 billion – is larger than the impact of 9/11,” said Bisignani.
Industry losses for 2001-2002 were US$24.3 billion.
“This is not a short-term shock. US$80 billion will disappear from the industry’s top line.
“That 15% of lost revenue will take years to recover. Conserving cash, careful capacity management and cutting costs are the keys to survival.
“The global economic storm may be abating, but airlines have not yet found safe harbour. The crisis continues,” said Bisignani.
He added: “And revenues are not likely to return to 2008 levels until 2012 at the earliest.”
He criticised governments – particularly European ones – for their “fixation” on green taxes and called on them to invest in efficient infrastructure and relaxing restrictions on mergers and acquisitions.IATA also predicts that industry revenues for the year will fall by 15% or $80 billion to $455 billion compared with 2008 levels.
The three main factors driving the expected losses are: demand, which is expected to drop by 4%; yields, which are expected to fall 12% compared to 7% in the June forecast.
The fall in yields is led by the 20% drop in demand for premium travel.
And fuel, which continues to rise and is expected to average $61 per barrel for the year.
The crisis is worldwide, with European carriers expected to post the largest losses of $3.8 billion, more than double the previous forecast.
The key reason is the drop off in demand to high yield international routes.
In the US, carriers are expected to post losses of $2.6 billion, again more than double the previous forecast, despite huge cuts in capacity.
Asia-Pacific carriers are predicted to make a $3.6 billion loss; Latin American carriers will break even and Middle East and African carriers will lose $0.5 billion each.
samedi 10 octobre 2009
Iconic Airports - Part 1
With its wing-like, vaulted roof and curvilinear interior elements, the TWA terminal at New York’s JFK International Airport is a masterpiece of modern expressionistic architecture.
Denver International Airport, named best airport in 2002 by Time Magazine, has a white-tented roof that is said to be reminiscent of the Rocky Mountains.
Airports...
Love flying? You’re not alone. But often, the crowded, beef-or-chicken-overly air-conditioned airplanes themselves are not the problem: it's getting on and off the plane that is the real nightmare!
Foreign Policy rates Charles-de-Gaulle (CDG/France) as bad as Léopold Sédar Senghor International Airport (DKR/Senegal), Indira Gandhi International Airport (DEL/India), Mineralnye Vody Airport (MRV/Russia) and Baghdad International Airport (BGW/Iraq) (source: http://www.foreignpolicy.com/)
CNN picks Baghdad International Airport (BGW/Iraq), Indira Gandhi International Airport (DEL/India), Lukla Airport (LUA/Nepal), Léopold Sédar Senghor International Airport (DKR/Senegal), Los Angeles International Airport (LAX/USA), Heathrow (LHR/UK) and Charles-de-Gaulle (CDG/France) as world's worst airports.
I'm persnally a fan of CDG2. Terminals F and E are architectural gems... and service has improved.
If you are interested in sleeping in airports (one never knows), this is what http://sleepinginairports.net/ has to say. Paris-CDG voted worst airport winner. Dirty. Rude. Crappy. The list is long!
Foreign Policy rates Charles-de-Gaulle (CDG/France) as bad as Léopold Sédar Senghor International Airport (DKR/Senegal), Indira Gandhi International Airport (DEL/India), Mineralnye Vody Airport (MRV/Russia) and Baghdad International Airport (BGW/Iraq) (source: http://www.foreignpolicy.com/)
CNN picks Baghdad International Airport (BGW/Iraq), Indira Gandhi International Airport (DEL/India), Lukla Airport (LUA/Nepal), Léopold Sédar Senghor International Airport (DKR/Senegal), Los Angeles International Airport (LAX/USA), Heathrow (LHR/UK) and Charles-de-Gaulle (CDG/France) as world's worst airports.
I'm persnally a fan of CDG2. Terminals F and E are architectural gems... and service has improved.
If you are interested in sleeping in airports (one never knows), this is what http://sleepinginairports.net/ has to say. Paris-CDG voted worst airport winner. Dirty. Rude. Crappy. The list is long!
A few good books - Part 1
Just love that book - "the epic contest for power and profits that plunged the airlines into chaos".
Inscription à :
Articles (Atom)
