- Former Members
- VARIG (joined 1997, exited 2007)
Ansett Australia (joined 1999, exited 2001)
Mexicana (joined 2000, exited 2003)
Shanghai Airlines (joined 2007, exited 2010) bmi (joined 2000, exited [with takeover by IAG] 2012)
- Daily Departures
- In service: 3780
In storage: 115
On order: 1516
- Frankfurt, Germany
Star Alliance was established in 1997 as the first global airline alliance to "to better meet the needs of the frequent international traveller" and is now the world's largest global alliance.
See CAPA's consolidated page on Global Alliances, complete with consolidated data and a Capacity Predictor tool, that shows the likely impact on capacity at airports, countries and regions if an airline enters or leaves an alliance.
|Air New Zealand||Member||1999|
|All Nippon Airways||Member||1999|
|LOT Polish Airlines||Member||2003|
|South African Airways||Member||2006|
|Swiss European Air Lines||Member||2006|
|TAM Airlines (Paraguay)||Member||2010|
521 total articles
Star Alliance holds 40% market share at Tokyo Narita Airport, LCC share to increase to 20% by FY2015
148 total articles
The year 2013 will go down in Aegean’s history as a year to remember. The Athens-based carrier has already packed a lot into its short life since it commenced operating scheduled passenger services in 1999. In that time, it has transformed its fleet; moved its head office; experienced growth, decline and a return to growth; seen a significant increase in LCC competition; become a regional partner to Lufthansa; joined the Star alliance; listed its shares on the Athens Stock Exchange; and undergone more than one merger.
2013 will go down as the year in which it acquired Greece’s former national flag carrier, Olympic Air, and in which it reversed a three year period of losses to record an annual profit once more. In the first nine months of 2013, it was back in the black, turning a EUR9 million loss into a EUR59 million profit. Although revenue per passenger growth slowed in 3Q, it stayed ahead of growth in cost per passenger. Nevertheless, with unit costs (CASK) higher than those of LCC competitors, it must now use the Olympic acquisition to drive cost synergies as far as possible.
South African Airways (SAA) faces a pressing need to start moving forward with its new strategic plan, which includes pursuing expansion within Africa and cutting unprofitable long-haul destinations such as Buenos Aires. The new business plan, which was initially completed in Apr-2013, represents a critical step in finally fixing the long floundering carrier. But SAA has not yet implemented any major components of the plan although most of the pieces have secured the required layers of approval.
Under the new strategic plan, SAA will increase operations within Africa while cutting unprofitable long-haul routes and potentially hand more domestic routes to low-cost subsidiary Mango. SAA could also start operating alongside new partner Etihad on the Johannesburg-Abu Dhabi route, using the capacity freed up from axing highly unprofitable long-haul services, as it increases its reliance on partnerships to provide a stronger network beyond Africa.
The continued delays in implementing the long-term turnaround plan are costly as SAA continues to bleed. It needs to move quickly to build on its position in the intra-Africa market, with more flights from South Africa and a possible new base in West Africa, as competition within Africa is starting to intensify. SAA also needs to finally move forward in acquiring new widebody aircraft, which were identified in the plan as essential for a sustainable long-haul operation.
Lufthansa chairman and CEO Christoph Franz told Bloomberg (9-Oct-2013) that his airline is in discussions with Star alliance partner Air China over a possible commercial joint venture to allow for better connections between Europe and China: “In the future, we will not only link our mutual hubs, but it will be important to also have direct links between major European markets and Air China’s hubs, and the other way round.”
China is an important market for Lufthansa, which already operates joint ventures with partners on routes to North America and Japan. It has a long history of collaboration with Air China in various forms, albeit often with an underlying competitive tension. A new JV would require the two to align their goals in the Europe-China market and could bring the portion of Lufthansa’s ASKs operated under such partnerships close to one half.
Now that Japan has awarded the allocation of prized daytime international slots at Tokyo Haneda airport, it will soon become evident if airlines will add a service from Haneda or merely transfer an existing Narita service to Haneda. Japanese carriers are more likely to grow, while international carriers are more likely to shift flights to the more convenient geography of Haneda.
ANA emerged strongly from the process, receiving 11 slots to JAL's five. ANA can now have up to 24 daytime Haneda flights to JAL's 18. This uneven distribution repeated the 2012 domestic Haneda slot allocation in which ANA received eight and JAL three. But JAL received almost as many blue-chip destinations as ANA. The difference is in secondary points, which JAL perhaps would have liked - but is not nearly as upset as its rare public outcry suggests. Indeed, JAL's higher operating margin will likely see it achieve a disproportionately higher profit from the slots. Both ANA and JAL could see a boost of around USD100 million.
The focus is on Haneda, prompting some to raise the question of Narita's future. But with ample services left, and a new and growing LCC business, Narita has a place too as Japan fully starts its plan of having dual hubs in Tokyo rather than mainly international flights at Narita and domestic flights at Haneda.
India's evolving global alliance mosaic: Star/SIA-Tata, oneworld/Air India-Qatar; SkyTeam/Jet-Etihad
Breathtakingly rapid changes in India are exposing a whole new panorama of the country's future international airline status. Just over two years ago, Star rejected Air India as a member, and the following year oneworld placed the admission of member-elect, Kingfisher on hold due to the carrier’s financial challenges. India's airlines were basket cases and its regulatory constraints promised to keep it that way. Today, thanks to some important (and long overdue) liberalising moves by the government, the country is shaping up as a potentially well balanced centre for each of the major BGAs.
Etihad clearly will have the first mover advantage, with its equity investment in Jet now having received regulatory approval to proceed, along with a substantial increase in seats in the Indian market. Meanwhile though, the long term pickings are so rich that other groups can no longer ignore the pressure to make a move.
All that is needed now is for India to remove its "5/20 rule" on international operations and - astonishingly - the country could leap from international dysfunctionality to commercial coherence in one bound. The impact for the national economy would be enormous.
But - there are one or two more barriers to be cleared. In India there always are. Perhaps this time the government will get it right, but don't bet on it just yet. And, although the alliances may be interested, they will remain wary of Indian pitfalls.
Oneworld has increased its presence in Colombia, Latin America’s third largest market, with LAN Colombia formally joining as an affiliate member on 1-Oct-2013. LAN Colombia is the second largest domestic carrier in Colombia after Star Alliance member Avianca and has a small but growing international operation.
Colombia is an important growth market but the impact of adding a Brazilian member is much more significant. Oneworld has set a 31-Mar-2014 ascension date for Brazil’s largest carrier TAM, which is now part of the LATAM Airlines Group along with LAN Colombia and four other LAN-branded carriers that are already oneworld members.
With LAN Colombia and subsequently TAM, oneworld will become the largest alliance in Latin America with a projected 27% share of seat capacity. Star will still have a respectable 16% share, which could grow to about 18% based on probable new members, and will remain the dominant alliance in Colombia.
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