Airlines in a Crisis

Instead of building a solid own brand they are going for many different quick fixes.  First it was increassing its distribution by adding third parties ticket sellers to their sales channel. The latest is an increased concentration on wet leases to charter companies.  Flyr only have 12 planes and this reduces their ability to get own upfront sales and add additional sales like car hire and accomodation.  It's all about getting the money in early. With own sales you can get the money in months sin advance. With third parties and wet leases you most likely get the payment after the fact. Meaning you will have upfront costs instead of upfront payments and Flyr is not in a financial position to take on that. While wet leases to charter companies can seem like a predictable income stream, they also comes with potential for great risks. There have been a number of charter companies getting into financial trouble in the later years. And quite a few have gone under leaving a lot ...

With Norwegian gone from the Scandinavian long haul market, including its transatlantic connectivity through Gatwick, there should be growth opportunities for SAS. One will assume long haul will come strongly back if not end of 2021 so at least in 2022. And at least in the northern hemisphere markets will be full back by summer 2022. This gives opportunities for they who early prepares after the permanent exit of some airlines from long haul during the pandemic. SAS should now prepare for what it will do when this market returns. Now is when cheap(ish) deals for long haul aircraft can be made for they with a plan, and guts. Insted of going for a strategy of highest prices retrievable with the short term lowering of capacity, one should seriously consider if more profit can't be obtained by increasing ones own capcity, therebye lowering prices slightly. For a payback in the form of increase in demand. In addition to avoid letting potential passengers leak to competitors stuffed with...