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Ryanair’s Ancillary Revenue Strategy presentation December 6, 2009

Posted by supersonicswan in Uncategorized.
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A little presentation as a sum up to the debate – Ryanair and ancillary revenue growth as a business strategy.

Do you think an ancillary-revenue-only (or similar) strategy would be viable? Will Ryanair’s strategy remain profitable? Share your thoughts!

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New Approach to Customer Service @ Ryanair – (un)likely? November 6, 2009

Posted by supersonicswan in Swan Song.
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Below is a presentation I was involved in last year. The reason for that is I think it could give a broader perspective within the ongoing discussion about Ryanair’s customer service strategy (or at least about a part thereof). By “part” I mean the times before everything went pearshape with Ryanair – or, in different wording, before social media became fruitful and started multiplying.

Please feel free to comment.

Is that it, Michael? October 29, 2009

Posted by supersonicswan in Swan Lake.
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Every industry has its legend, that mythical person that will surface sooner or later in any conversation. For aviation – especially for its low cost branch – Michael is just that. There is a general agreement of sorts that he’s the bad boy but at the same time everyone adores him and would like to be just the same when they grow up – just as clever.

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Ryanair vs. BBC – who am I to comment on this one? October 12, 2009

Posted by supersonicswan in Subsonic.
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It’s been almost two weeks since Ryanair got back into the headlines executing their promise to charge its’ pax for online check-in. Now, Mr O’Leary is heading full-on against the BBC, on which more here. Well, you might have started wondering, what does all this have to do with me?

And I’m sorry but I need to go slightly personal here.

I’ve always tried to be on O’Leary’s side – he’s presented the public with a strong business case & I think that everything is pretty much clear about how things work with FR so if you haven’t read the small print – it’s at your own risk only. Having said that – no, I didn’t like it when I had to pay an extra £20 for airport check-in when I forgot to print out my boarding passes. But on my way back I lied to that check-in agent that I’d been told that £20 was for both legs, so I got my little revenge.

I was the person to say O’Leary would have to remake the airline from the scratch if he was to improve its’ customer service, customer relationships and gain the love of the press. It just didn’t feel feasible to me because any such attempts at rebranding would lead to:

1. distortion of the brand – we actually expect FR to be a bit shabby;

2. increase of costs – of which customers would be made liable;

3. disbelief of just about anyone – you know, the hell freezes over before O’Leary changes his ways;

4. the press getting all over FR guys trying to figure out where the catch is.

Basically, if O’Leary would like to improve FR’s image he would need to change his own name and undergo some serious plastic surgery. Or leave the company. Both unlikely.

But then Michael started acting really unreasonably.

You can educate people to pay for add-ons most of them don’t need anyway.You can charge them for airport check-in as most of them do it online anyway. You can even get away with offering them £4 return specials and charging them £20 on top of that for card payment handling as they can buy a pre-paid Electron.

One thing you cannot do is to charge them for something there is no alternative to and what constiutes a preliminary requirement to getting on board in the first place.

And yes Mr O’Leary, I think you’re missing the point here and big time so. If there’s only online mode for obligatory check-in and this is to be paid for then it simply constitutes part of the overall price. Therefore, you are misleading the public which is why customer protection organizations are out there preparing a case.

And what do you think about FR’s policies? Are they scarrying away their customers? Do you support O’Leary or rather badly despise of him? Where is the limit to what LCC’s can charge for? Let me know what you thoughts are!

Cheap & chick October 11, 2008

Posted by supersonicswan in Supersonic.
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Once upon a time there was an airline – a big player to figure out the dimensions of risk posed by rapid growth of Easyjet and Ryanair but also the gains that could have been achieved if they dared gambling in the low-cost casino. Mr Bob Ayling, the CEO, did.

The budget air transport market in Europe in mid 90’s did not look like it does now, there was much more of a scope for innovation. Either was any of the two established LCCs as large as they are nowadays. Also, the cheap fares were reasonable and everyone was yet to start undercutting the fares down to sick lows. Which currently is often the case.

Ms Barbara Cassani was appointed head of the operation ‘Blue Skies’ and later became CEO of Go Airlines Ltd. It might be that this choice explains everything, which is the feeling one gets during the lecture of “Go – an airline adventure” written by Ms Cassani with a little help from Mr Kenny Kemp.

The fledgeling airline did stand out. A fresh, somehow fundamentally simple and straightforward logo; dynamic, modern retro TV spots with brilliant music; colorful aircraft interiors and designer uniforms for staff. Easy to notice who was in charge.

It’s not the place to ponder about the likeliness of Go being still in service. They are not. But I enjoy going back to their marketing ideas exactly because of their simplicity. No dull business people travelling on their companies’ expense in first or business with classical music in the background. No Ryanair-style controversy either. Just pure movement making you feel like getting on one of Go’s planes asap.

But hey, check them out:

…and one more (sorry, can’t help it – they’re sooo classy!)

For more, browse youtube.