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Airline Markets

Essay by   •  April 12, 2013  •  Essay  •  310 Words (2 Pages)  •  1,528 Views

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Within the two airline markets, Passenger and cargo, they can be further subdivided

to meet the needs of customers and airlines business models.

For example, Easyjet or Ryanair can be compared with Virgin Atlantic within the

passenger airline category. They both offer a passenger service but to different

levels. For instance, Easyjet and Ryanair offer a low cost 'no frills' Service through a

European route network, offering a basic 'A-B' (point to point) service with the option

of 'buy on-board' drinks and meals. Whereas, on the other hand, Virgin offer a full

premium service, global route network with a high standard of travel and little

additional costs.

Alternatively Thomson airways, is the world's largest Charter airline (charter

flights.co.uk), due to the merger of 'Thomsonfly' and 'First Choice'. They offer a

mixture of scheduled and seasonal charter, full service routes to Europe, North

America and the Caribbean.

Business airlines can be seen with the example of Silverjet, Openskies, Private air

and to some extent British Airways, offering their London City-New York route, using

2 fully business class Airbus a318's. Business airlines offer a full premium service

on-board, and also use Lounges at airports that they serve.

All of the mentioned airlines meet different but specific requirements of the

passengers, and shows the industry can provide for a complex market.

Besides providing for passenger's needs, airlines have also had to adjust to offset

rising fuel costs, financial uncertainty and deregulation, for example the EU/US

Open skies agreement, resulting in alterations to business models, to become more

effective both economically and environmentally, whilst at the same time,

maintaining passenger numbers. Examples such as new fuel efficient aircraft like the

new Boeing 787 Dreamliner, and the soon to be produced Airbus A350. Easyjet has

gone as far as trialling new nano technology paint that is estimated

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