CAPA Global LCC Summit
Day 1: 1 March 2018
|09:05||Overview of LCC development in global markets
CAPA - Centre for Aviation, Executive Chairman, Peter Harbison [Download Presentation]
|09:25||Panel: The LCC Air Finance Outlook: The perspectives OF financiers, airlines and lessor CEOs
LCCs, as the newer players in the industry, are competing to meet future growth needs. They can scarcely afford to stand still if they are to assert themselves in the long term – especially as newer models enter. The need to plan for fleet expansion and replacement, as well as making decisions on leasing and purchasing can make for difficult decisions. This often means that if they are to be seen as serious long term competitors, they need to make aggressive decisions on new aircraft orders. In this respect (and many others) they are very different from the traditional established airlines.
Moderator: KornFerry, Senior Client Partner, Torbjorn Karlsson
|10:25||CAPA's Latest Products
CAPA - Centre for Aviation, Director South Asia, Binit Somaia [Download Presentation]
|10:30||Coffee Break & Networking|
|11:00||Case Study: Allegiant Air - Innovation through diversification
Allegiant has always positioned itself differently in the airline/travel space. As an integrated travel provider, the company typically uses older aircraft to operate a schedule of less than daily flights from small to mid size US cities to large tourist destinations, including Las Vegas and Orlando. The carrier also generates ancillary income from selling hotel rooms, vacation packages and rental cars – and in its latest move, the ULCC plans to build a resort in southwest Florida. This presentation will provide an overview of Allegiant’s unique business model, and the carrier’s plans for restoring cost competitiveness as it forges a new revenue stream and transitions to an all Airbus fleet.
Allegiant, VP Fleet Planning & Corporate Finance, Robert Neal [Download Presentation]
|11:30||Panel: Are there any pure LCCs left?
As LCCs move up the yield curve, even as far as seeking corporate travel contracts, they move further away from the bare bones low cost operation and begin to resemble their FSC counterparts. Many now offer network connectivity, targeting business travellers and going long haul, adding to cost and complexity. Meanwhile FSCs are taking on many of the characteristics of LCCs, notably through product unbundling and discount pricing strategies, especially on short to medium haul routes, thus increasingly challenging the hybrid LCCs.
Moderator: CAPA - Centre for Aviation, Chief Analyst, Brendan Sobie
|12:15||Panel: Is the long haul low cost model sustainable in the long term?
New aircraft technology like the 787, A350, and larger single aisle aircraft, as well as evolving passenger preferences and stable fuel prices are encouraging LCCs - and restructured full service airlines - to consider new growth opportunities on long, thin routes. What were previously niche city pairs are becoming increasingly mainstream as more LHLCCs come online and disrupt entrenched business models. But the low cost model relies largely for its cost advantage on higher utilisation and higher seating density, features that tend to be diluted as routes become longer.
Moderator: US-India Aviation Cooperation Program, Program Director, Sandeep Bahl
|13:00||Lunch Break & Networking|
|14:00||Airline CEO Keynote Q&A
Air Arabia, Group CEO, Adel Ali
|14:30||Panel: The evolution of the airline-airport interface; how can airports (and tourism bodies) cater most effectively for LCCs?
Keeping pace with the changing operational requirements of airlines is complex, with LCCs in particular demanding their own unique features: low costs, simple facilities and quick turnarounds among factors. But as long haul low cost airlines start to proliferate globally and behave more like full service carriers, the need for connectivity becomes critical.
Moderator: Waltzing Matilda Aviation, CEO, John Thomas
New distribution models and IATA NDC specifically have been the topic of conversation for a number of years now, but have largely been seen as the domain of the Full Service airlines. However the standard is not limited to this airline model or to IATA members, so why should Low Cost Carriers care about these developments in the industry? This keynote will explore how these development present both opportunities and threats for LCCs as they compete with each other and FSCs and how they present unique opportunities for new forms of industry cooperation.
Travelport, VP Asia Pacific & Global Strategy, Air Commerce, Damian Hickey [Download Presentation]
|15:35||Coffee Break & Networking|
|16:05||Panel: Evolving LCC distribution strategies to adjust to new business models
Changing consumer expectations, new technologies, the proliferation of intermediaries and recent NDC developments, highlight LCCs’ need to differentiate, decommoditise and better “retail” their inventory and ancillary offerings. What are some of the key factors that will influence future LCC distribution strategies?
Moderator: WebinTravel, Founder & MD, Siew Hoon Yeoh
|16:50||Keynote: The New Generation Of Ancillaries
Waltzing Matilda Aviation, CEO, John Thomas [Download Presentation]
|17:15||Panel: Leveraging digital solutions to deliver a personalised customer experience
As price becomes only one of the decisive factors for customers when choosing an airline, airlines must look to differentiate their product and deliver a smooth passenger experience end to end. How are LCCs using technology and working with other players in the travel ecosystem to deliver on these expectations?
Moderator: Airline Passenger Experience Association (APEX), CEO, Joe Leader
Travelport, VP Asia Pacific & Global Strategy, Air Commerce, Damian Hickey
Hosted by Travelport
|Close of Day 1|