Sunday, November 30, 2008
Meanwhile, Jat has an uphill battle with finances although big changes may be ahead. More news about this will be published on the blog soon.
Saturday, November 29, 2008
Friday, November 28, 2008
Recent flights to Belgrade proved to be very popular from Pula with load factors averaging around 75%, which is a good result for an ATR72 aircraft which operated on this line. Jat Airways and Pula Airport have signed an agreement for new flights to be operated to the coastal Croatian town and Serbia’s capital in the summer months, if Jat is financially able to operate at the time. Flights between Belgrade and Pula were the first scheduled flights between the two countries following the civil war. It showed that Croats had high interest in travelling to the once Yugoslav capital while Serbs had the desire to relax on the Croatian coast. German tourists head tourist arrivals to Istria. Berlin offers a high traffic potential which would be supported by strong local demand. Stockholm is currently served to Pula during the summer season. Scandinavian countries, especially Sweden, are regarded as the most promising markets to develop direct year-round connections. This line would also benefit from by strong local demand. There are currently no direct flights from Pula to Madrid. The number of visitors from Spain to Istria is rapidly growing and Madrid, as a destination with high traffic potential, would be a promising route. Substantial domestic traffic to Madrid can also be anticipated. The city of Dublin with its phenomenal economic growth is considered as one of the most popular destinations. It is an attractive destination tourist-wise for locals and for the broader catchment area as well. Croatia Airlines has announced that it will commence flights to Paris, London and Barcelona next year however details about this can be read tomorrow.
Thursday, November 27, 2008
Wednesday, November 26, 2008
Tuesday, November 25, 2008
Despite EasyJet’s attempt to enter Slovenia’s aviation market it has failed as Adria Airways has managed to overcome the competition.
Monday, November 24, 2008
Adria Airways and Croatian Airlines use Lufthansa’s “Miles&More” frequent flyer programme while Montenegro Airlines has its own “Vision Team” programme. B&H Airlines and MAT do not have any frequent flyer programme available to passengers.
Sunday, November 23, 2008
Saturday, November 22, 2008
Meanwhile the world’s leading low cost carrier EasyJet is expected to commence daily flights to Dubrovnik from the 2009 summer season. Final details will be made public in the upcoming month as talks between Dubrovnik Airport and EasyJet intensify.
Friday, November 21, 2008
Trends show that direct flights to German cities could be very profitable from Skopje. There is a concentration of Macedonians in Berlin, Bavaria, Hamburg and the Ruhr. 62.295 Macedonian citizens were living in Germany in 2006, although Macedonian sources claim the true number of Macedonians to range from 75.000 to 85.000. As a result daily flights to Berlin, Frankfurt and Munich could be potentially profitable. Flights to Belgrade have managed to captivate many travellers from Skopje which are now choosing to transit through Belgrade onto further destinations. This has also been seen by the increase of flights on behalf of Jat Airways to the Macedonian capital. Most passengers continuing from Belgrade continue to London and Paris. There is such a large numbers of Macedonians continuing their flights to the capitals of the United Kingdom and France that 3 weekly flights from Skopje would be profitable to both. In France there is also a significant Macedonian diaspora totalling 15.000. Developing business cooperation and a large Macedonian population in Denmark (12.000) could make 3 weekly flights from Skopje to Copenhagen profitable. Also, it important to remember that all of these flights could be operated via Ohrid, Macedonia’s second hub, which could further increase passenger numbers on flights, although this would depend if the Macedonian Aviation Authority would allow foreign airlines such a practice, most probably not however there have been some cases where they have, for example Jat Airways operated from Skopje to Belgrade via Ohrid.
Thursday, November 20, 2008
Montenegro is the most profitable market for Jat Airways while Serbia is most profitable for Montenegro Airlines. The national carrier of Montenegro was forced to end services from Belgrade to Zurich after the nation declared independence from the State Union of Serbia and Montenegro however operates many daily flights between Tivat, Podgorica and Belgrade. Montenegro Airlines currently pays fees at Belgrade Airport that are 90% lower than other international carriers and even Jat Airways.
Wednesday, November 19, 2008
However, these positive income figures could not cover the rising expenditures the airline had which are 17.97% higher than last year. Only operational costs are 19.33% higher than last year which is the reason why expenditure has increased significantly. Croatia Airlines hoped that ticket sales would significantly increase through the purchase of 2 new Bombardier Q400 aircraft and the sale of 2 ATR42s however this was not achieved. In 2008 Croatia Airlines shares decreased by 65% on the Zagreb Stock Exchange.
Tuesday, November 18, 2008
Turkish Airlines is one of the world’s fastest growing airlines, expanding its fleet and destination network in recent years significantly. With a network of 140 scheduled destinations and a fleet size of 117 aircraft, Turkish Airlines has recently commenced a tender process for the purchase of another 105 aircraft until the year 2023 with another 30 options.
Monday, November 17, 2008
Jat Airways also released a statement saying that the issue must be resolved and that the airline will support its partner Montenegro Airlines. The relationship between Jat and Belgrade Airport is less than sound since Jat Airways pays the highest landing fees in Europe to land at their own hub. Today officials from Montenegro Airlines and Belgrade Airport will meet to discuss the dispute. Montenegro Airlines will not be increasing ticket prices to Belgrade for now.
Sunday, November 16, 2008
Meanwhile the airport is reporting the first drop in passenger numbers since August 2005. In the month of October, 202.274 passengers passed through Belgrade Nikola Tesla Airport, a decrease of 3% compared to last year when the airport had 208.421 passengers. The global financial crisis is blamed for the drop in passenger numbers although the airport will have an overall increase in passenger numbers by the end of the year. Meanwhile a feud with Montenegro Airlines is not helping the airport’s image. More news about this within the next few days.
Saturday, November 15, 2008
Jat Tehnika currently performs maintenance services at Belgrade Nikola Tesla Airport for Jat Airways and another 7 airlines, most of which are from Europe.
Friday, November 14, 2008
Berlin is considered one of the cities with the highest traffic potential for establishing services to Ljubljana. German tourists are listed second on the scale of tourist arrivals to Slovenia with 211.067 visitors in 2007. In the scope of tourism there is also high demand for travel to Berlin by Slovenians. Besides that the largest percentage of Slovenia’s diaspora is located in Germany with approximately 90.000 people. Furthermore German companies invest the most in the Slovenian market. Germany represents the most important trading partner to Slovenia with 13% growth in trade in 2008, which also results in 60.000 annual business trips. Scandinavian countries, especially Norway, are one of the most promising markets for the development of direct services from Ljubljana. In 2007 there were 6.990 arrivals by Norwegian tourists, and the number of tourists is still growing. There were 4 weekly flights during the summer from Ljubljana to Stockholm. This route proved to be very popular as seen in the very high load factor. Besides tourism, there is also potential for business between Sweden and Sweden’s financial centre Stockholm and Ljubljana. There was also one direct weekly flight in the summer timetable to Dublin, Ireland with an average load factor of 70%. Yearly, there are an increasing number of arrivals (10.813) and overnight stays (36.031) on behalf of Irish tourists in Slovenia. Dublin represents a chance for good business interaction between the two countries and could be especially attractive tourist wise for Slovenians and broader in nearby catchment areas. According to current trends Madrid, which will be served from Ljubljana from March 2009 on behalf of Adria Airways, should be very successful. Other European cities that could prove popular are Rome, Milan, Cologne and Dusseldorf.
There are no scheduled direct services between Ljubljana and New York although there is an increasing number of American tourists travelling to Slovenia (49.620 arrivals and 112.112 overnight stays in 2007). This transatlantic flight could be popular as a regular summer charter.
For newly introduced services or additional frequencies from Ljubljana, the airport managments offers special promotional prices with additional marketing support provided by the Slovenian Tourist Board and SPOT (Slovenian Power of Tourism) consortium in order to support introduction and development of incoming tourism.
Ljubljana is served by 8 scheduled airlines. Low cost airlines found it extremely difficult to make a profit flying to Ljubljana and ceased their operations to the Slovenian capital.
Thursday, November 13, 2008
If the same trends continue it is certain that in terms of passenger numbers Adria will come as the third best national carrier inside the EX-YU, following Croatia Airlines and Jat Airways. This will be the third year in a row it will have such a rank.
Tomorrow a careful analysis of unserved destinations that could be profitable and successful from Ljubljana Jože Pučnik Airport will be published on the blog.
Wednesday, November 12, 2008
Air Kosova is the largest travel agency based in Serbia’s disputed region of Kosovo. After striking a deal with Slovenia’s Aurora Airlines, Air Kosova established their own charter carrier using Aurora’s fleet of 3 MD82s and 1 MD83. The airline’s operates flights between Priština and a handful of German cities as well as Maribor, Slovenia. The entire airline is managed by Aurora with the entire cabin crew and all pilots originating from Slovenia. Travel agents had unsuccessfully launched airlines in Kosovo all of which have gone bankrupt. These include Air Prishtina and Kosova Air.
Sky SrpskaThe new airline based in Bosnia and Herzegovina is set to operate flights between Banja Luka and European destinations, which will commence sometime in 2009. The airline is being established by the government of Bosnia and Herzegovina’s entity of Republika Srpska in association with Jat Airways from Serbia. The government will take out a loan for two aircraft, each seating 50 passengers. Sky Srpska is allowed to spend up to USD 12.25 million per aircraft. Previously Air Srpska was based in Banja Luka until Jat Airways decided to withdraw 2 ATR72s from the airline which made up its entire fleet and as a result it ceased operations.
Tuesday, November 11, 2008
Monday, November 10, 2008
Sunday, November 9, 2008
The airline hopes the positive trend continues as it faces a difficult cost cutting period.
Saturday, November 8, 2008
At Laranaca the plane was thoroughly checked and all baggage was screened with no explosive devices found. The 67 passenger, plus another 50 that were to board in Larnaca spent 4 hours waiting for their flight to Belgrade to resume. Jat Airways states it handled the situation professionally and that it would never compromise the safety of its passenger even though this was a false bomb threat.
The Dubai to Belgrade service is one of Jat’s most profitable. The flight is usually to full capacity carrying holiday makers, business people and a large portion of the Serbian diaspora travelling from Australia whose quickest way to Serbia is through Dubai. The plane landed safely just after 18.00 local time. The Serbian police are now investigating the call. According to Serbian law an individual who is found guilty of making a false bomb threat could face long jail time.
Friday, November 7, 2008
Yesterday the Jat Tehnika union responded with an ad in the Serbian national newspaper “Politika” blaming the government for the privatisation’s failure. The Serbian Privatisation Agency will officially announce the privatisations failure within the next few days. Only yesterday did it officially announce that the privatisation of Jat Airways had failed.
Thursday, November 6, 2008
Madrid is not served directly from Zagreb. In 2007, 10.785 passengers travelled from the Spanish capita; to Zagreb, which was an increase of 20% on the previous year. Madrid accounts for 38% of the total market to Spain from Zagreb. In 2007, 153.860 Spaniards visited Croatia, an increase of 35% compared to the previous year while 2008 data is even more promising. Warsaw in Poland is currently only indirectly served from Zagreb. In 2007, 7.965 passengers travelled from Warsaw to Zagreb, an increase of 15% from the previous year. Warsaw accounts for 67% of the total market from Zagreb to Poland. Polish visitors from Croatia increased 17% in 2007 to 323.000. In 2008 these numbers are even more impressive as by November this tear already 357.230 passengers from Poland have visited Croatia. Milan is also only indirectly served from Zagreb. In 2007, 11.524 passengers travelled from Milan to Zagreb, an increase of 20% compared to 2007. Milan accounts for 28 % of the total market from Zagreb to Italy. Italian visitors from Italy to Croatia exceeded 1 million in 2007 and a small increase is expected in 2008. Bucharest is another underserved destination from Zagreb. In 2007, 8.209 passengers travelled from Bucharest to Zagreb, an increase of 22% compared to the previous year. Bucharest accounts for 90% of the total market from Zagreb to Romania. Visitors to Croatia from Romania increased 40% in 2007 to 47.057.
As for transatlantic services New York and Toronto would, for now, be most profitable if operated on a charter or seasonal basis. Toronto has been served only during the summer period. In 2007 18.263 passengers travelled from Toronto to Zagreb. Passenger traffic to Canada grew by 7% in 2007 compared to 2006. In addition, Skyservice resumed their summer service to Zagreb from Toronto. Visitors from Canada totalled 36.474, an increase of 26% on the previous year. As for New York in 2007, 24.657 passengers travelled to Zagreb from the Big Apple, an increase of 7.7% on the previous year. New York accounts for 19.2% of the total market to the USA from Zagreb. Visitors from the USA totalled 181.381, an increase of 18% when compared with visitors in 2006. The total number of visitors from the USA and Canada to Croatia totalled 218.000 in 2007.
According to the airport’s management it would support any new route to the airport with a 5-year incentive scheme to reduce airline start-up costs. Based on the individual merits of the proposed route growth, the airport may look to offer additional backing through marketing support. In addition the airport has a host of other marketing initiatives - consumer magazine, e-mail database, website banners and other which would be used to promote any new service.
Wednesday, November 5, 2008
The low cost airline most interested in operating to Belgrade is Fly Nikki from Vienna which requested to start operations during summer 2008 although this was made impossible due the agreement between Austria and Serbia which only allows 2 airlines to operate between the two countries (this right is exercised by Jat Airways and Austrian Airlines). Wizz Air is expected to be the other low cost airline anticipating to start operations to Serbia next year.
The reason these talks with low cost airlines have been delayed is in order to protect the struggling national carrier Jat. However with the new development strategy the Serbian Aviation Directorate expects that Jat will grow as low cost airlines arrive and will therefore not affect the national carrier. When analysed Wizz Air is potentially the most harmful to Jat’s existence especially if they commence flights from their hub in Budapest. Malev, the national airline of Hungary, had been rejected flying rights to Serbia for years as it would attract many Jat passengers and Jat has also been staying clear of Hungary due to the same reason.
Jat Airways has responded today by lowering prices to its entire European network.
Tuesday, November 4, 2008
The turboprop aircraft will now be replaced with the incoming Dash 8-Q400s. Croatia Airlines has 2 aircraft of this type already in the fleet with the latest entering service on August 1, 2008. Another two Dash 8s will be delivered during 2009 while additional 2 will be delivered the year after in 2010. The Croatia Airlines fleet now consists of 4 Airbus A320s, 4 Airbus A319s and 2 Dash 8-Q400s with the average fleet age amounting to 9 years.
Monday, November 3, 2008
By November 15 the Serbian national carrier will have to provide a list of all properties that are not essential for the airline. The properties will be sold by December 15, 2008. The government has ordered Belgrade Airport, the Serbian Petroleum Industry and Serbian Air Control write off any debt that Jat owes to them.
Officials have warned that if the development strategy is not implemented soon Jat will be seriously hurt by a handful of airlines that will begin services to Belgrade in summer 2009, including 2 low cost airlines. More news about these airlines and plans will be published on the blog within the few days.
NOTE: Soon a careful analysis of unserved destinations that could be profitable and successful from major airports in the EX-YU republics, with statistics and potential passenger flow numbers included will be published on the blog starting with Zagreb Airport this week.
Sunday, November 2, 2008
Saturday, November 1, 2008
Rijeka Airport has seen a major decrease in passenger numbers this year. In the month of September alone the airport saw a drop of 35% while October figures, which should be released within the next few days, are also expected to see decreasing numbers.