Idea low cost per il lungo raggio: Lufthansa 'imita' Ryanair


Riporto la mia piccola esperienza visto che ho volato con Jetstar da Tokyo a Melbourne(a?r). Nel biglietto base era incluso solo il viaggio ed un bagaglio a mano del peso massimo di 10kg. La scelta del posto, l`IFE gestito con Ipad, bagaglio da stiva, amenities e pasti erano tutti a pagamento. Se prenotati in anticipo sul sito web i pasti erano caldi, altrimenti a bordo era possibile acquistare bevande, cibi freddi e panini. Durante il viaggio ho scoperto che l`acqua era gratis nel senso che c`era un dispenser con bicchieri di carta nelle vicinanze dei bagni.

L`aereo utilizzato era un 332 che rimaneva a terra a Tokyo solo 4 ore e mezzo. L`operativo, infatti era il seguente:

Melbourne 23.00 - Tokyo 8.20
Tokyo 12.45 - Melbourne 00.15

Non so se poi Jetstar nelle 12 ore di permanenza a Melbourne abbia utilizzato l`aereo per tratte piu` brevi.


Le regole di trasporto della compagnia si possono trovare su internet per cui uno e` a conoscenza di quello che l`aspetta nel caso in cui dovesse acquistare il biglietto. Se non vuole includere i pasti basta che si porti qualcosa da casa oppure i contanti per acquistare qualcosa a bordo.


Per quanto riguarda l`IFE, con LH a tariffa piena sono andato a GRU con uno scassoplano di 747 e con AZ a PEK con un A330 di AP, in entrambi i casi niente IFE.. Si puo` tranquillamente stare senza intrattenimento. :)
 
A MEL è probabile che l'A330 sia partito per altra destinazione e che non necessariamente abbia operato il volo successivo per Tokyo.
 
A MEL è probabile che l'A330 sia partito per altra destinazione e che non necessariamente abbia operato il volo successivo per Tokyo.

Assolutamente d`accordo, diciamo che lo stesso aremobile opera un a/r Melbourne Tokyo e poi sicuramente durante la giornata verra` utilzzato per altre tratte. Vista la tipologia di business terranno comunque gli A330 a terra il meno possibile. Penso che anche LH debba utilizzare questa strategia pero` non so quanto convenga che utlizzino gli A346/747. Bisogna vedere se la somma tra l`ammortamento e costo per pax di un A346 e` minore o uguale di quello di un areo di ultima generazione(787 e 350).
 
Lufthansa (LH, Frankfurt Int'l) will adopt a “low-risk and fast approach” for its proposed new longhaul budget carrier CEO Carsten Spohr has said. Speaking to the Financial Times, Spohr said initial operations will focus on using either seven B767s or A330s with plans to phase in additional aircraft should the venture prove viable.

“I want to be in the air by next fall. If it works we’ll be rolling it over into A350s or 787s and we probably won't stop at seven planes either,” the CEO said.

Spohr went on to add that Lufthansa had not yet to decided on whether or not to go it alone or to partner another carrier. Previously, the German airline had pointed to using its Turkish Airlines (TK, Istanbul Atatürk) partnership - Sun Express (XQ, Antalya) - as a basis for the new subsidiary.

Once operational, Lufthansa says it will use the carrier to regain international market-share lost to the likes of Emirates (EK, Dubai Int'l), Etihad Airways (EY, Abu Dhabi Int'l), and Qatar Airways (QR, Doha Hamad Int'l).

Lufthansa's pilot union Vereinigung Cockpit is opposing the plan and preparing a poll of its members to explore potential industrial action against it.
 
Nella press release di due giorni fa si fanno ipotesi più concrete:
- l'uso di Sun Express, dotandola di 7 A330 con i quali iniziare dall'autunno 2015 per operazioni da Monaco e Dusseldorf (o Colonia);
- l'utilizzo esclusivo di 14 A340-300 riconfigurati senza First (18-19-261).

Il testo completo:



The Lufthansa Group’s quality and growth initiative presented on 9 July 2014 is gathering pace. At today’s Supervisory Board meeting, the Supervisory Board Members were informed by the Executive Board of the implementation progress made so far.

The Lufthansa Group’s Supervisory Board has paved the way for the planned transition to a more economical type of aircraft at Eurowings by approving an order for ten Airbus A320ceo planes for the company. With its fleet of 23 aircraft, Eurowings services domestic German and European routes from airports other than the Frankfurt and Munich hubs on behalf of Germanwings. A further 13 A320s will be transferred from the Group’s total aircraft order volume to Eurowings starting in 2015, in order to make its entire fleet consist of Airbus aircraft. Replacing the current Eurowings fleet of Bombardier CRJ900 regional jets with modern A320ceo aircraft will further increase the Düsseldorf-based airline’s unit cost advantage and will thereby improve its ability to compete with low-cost airlines in Europe.

The Lufthansa Group intends to use its Wings concept to cement its good market position in passenger traffic in its home markets of Germany, Austria, Switzerland and Belgium in the long term, including with point-to-point connections. Business on these routes away from the major hubs is characterised by above-average growth in the leisure travel segment and by stiff competition from the rapidly expanding low-cost airlines.

The Executive Board also presented its plans for the new cost-efficient offer for long-haul connections as part of the Wings concept to the Supervisory Board. One option for realizing this concept could be a new platform based on the airline Sun Express, which is a fifty-fifty joint venture between Lufthansa and Turkish Airlines. In this respect, talks with the Star Alliance partner are to continue. The idea is for the new platform to complement the Lufthansa Group’s product range with up to seven Airbus A330-300s and to commence operations in autumn 2015 with three aircraft in Munich, Düsseldorf or Cologne. The focus here will be on destinations that promise above-average growth in the leisure travel segment and that round out the Lufthansa Group airlines’ current route networks.

In addition to the founding of this new long-haul airline, other intercontinental traffic approaches will be developed in order to once again profitably fly leisure travel-dominated routes using the Lufthansa brand in the future. To offer this, up to 14 Airbus A340-300s from the long-haul fleet will be fitted with a cabin that is optimised for leisure travel. Commencing with the start of the 2015/2016 winter flight timetable, this A340-300 sub-fleet will fly at a much lower cost while nevertheless offering the high-quality travel experience of a Lufthansa flight, with high service standards and comfort levels. The as many as 14 aircraft will operate without a First Class and with 18 Business Class seats, 19 Premium Economy seats and 261 Economy seats, and will in particular serve new leisure travel destinations or markets from which Lufthansa would otherwise have to withdraw without the introduction of this less expensive offer.

“The combination of our core brands’ focus on quality and the premium sector, and the development of new platforms for the leisure travel sector, which is experiencing dynamic growth but is also price-sensitive, is our way of working towards a successful future for the Lufthansa Group airlines,” said Carsten Spohr, Chairman of the Executive Board and CEO of Deutsche Lufthansa AG. This would strengthen the successful multi-hub system comprising the key hubs of Frankfurt, Munich, Zurich, Vienna and Brussels, he added. This strategy additionally gave the Company the scope to also grow in sectors of this kind, where the Lufthansa Group’s traditional quality brands were not able to participate in market developments, he said.

In addition to the growth concept for the Lufthansa Group airlines, the Supervisory Board is approving capital expenditure of €60 million by Lufthansa Technik AG in Frankfurt. The Group’s technical division intends to build a new wheel and brake workshop in Frankfurt’s eastern dock area (Osthafen). The building is expected to commence operations as early as at the start of 2017. These new operations will allow Lufthansa Technik, which is the world’s leading provider of aircraft-related technical services, to also achieve further growth in the important segment of wheel and brake maintenance. In so doing, Lufthansa Technik will safeguard the existing 130 jobs for qualified employees based in Frankfurt and will create the parameters for further growth. The building is to be fitted with cutting-edge building services so as to exceed the requirements of Germany’s Energy Conservation Regulations (EnEV) by 30 per cent.


http://www.lufthansagroup.com/en/pr...w/archive/2014/september/17/article/3228.html
 
Will Lufthansa succeed with low-cost long-haul?


Lufthansa will launch its "low-cost" long-haul subsidiary in the autumn of 2015.

The new venture will utilise some of the German carrier's redundant A340-300s and operate out of Dusseldorf or Cologne along with Munich.

Sadly those readers who thought Lufthansa's new venture would be offering cut-price flights to the likes of New York or Singapore will be disappointed.

Lufthansa is first and foremost a business airline. So, it would not wish to cannibalise its existing traffic.

The new venture will be aimed at the leisure market and will not be offering departures from the parent's Frankfurt hub.

Seating onboard the A340-300s is expected to be denser than that of today's product at Lufthansa mainline.

First class will be removed and, as with Air AsiaX’s former services between Kuala Lumpur, London and Paris, we might expect tight 3-3-3 seating (the A340 was designed for 2-4-2 seating) in the economy cabin plus a simplified business class or premium economy cabin for wealthier holidaymakers.

But Lufthansa, as thorough as ever, is taking its time getting the venture off the ground. Aviation, and especially the budget sector, is a fast-moving business and the marketplace could well be different by this time next year.

And is this really a low-cost product? With carriers like Norwegian and AirAsiaX, passengers expect to pay ancillaries for a variety of things.

By contrast Lufthansa says its new venture will fly at a lower cost but still maintain the same full service offering that it (Lufthansa) provides. According to the Lufthansa Group, the latter offerings would allow the airline to retain those leisure destinations which were under threat (for losing Lufthansa mainline service) such as Bangkok.

But haven't we seen this all before? Readers with long memories will remember that Lufthansa established Condor for this very purpose. Condor was recently sold to Thomas Cook, a decision which Lufthansa probably now regrets.

The business model in Europe for low-cost long-haul still remains unproven. Subscribers can read more in this feature from out October 2013 issue.

It's unclear what the situation is at Norwegian so far, but Air AsiaX failed in its bid to bring low fares to Europe.

Speaking at the Farnborough Airshow in July, Air Asia founder and head Tony Fernandes warned Lufthansa that its venture was a risky one.

"I know why they (Lufthansa) wants to do it, but it’s dangerous to have a low-cost and a full-service carrier in the same group because invariably you compete with one another,” Fernandes told Reuters. "I think it’s very risky, I would advise against it."

He believes that full-service carriers should chose whether to be low-cost or premium: "History has shown that any full-service carrier that has gone into low-cost has suffered. But I can see why it’s tempting."

lufthansa.com

Via businesstraveller.com
 
In termini di configurazione interna, uno degli "esempi" da seguire potrebbe essere la canadese Air Transat. Massima densità e una classe premium (TS ha la "Club Class") frontale in cui i sedili sono praticamente gli stessi della Y ma il servizio è migliore, dal check-in allo sbarco. I suoi A330 arrivano a quasi 345 posti, 12 dei quali sono in Club e garantiscono ottimi yield senza sacrificare spazio a bordo.

GT-I9300 - Tapatalk
 
Will Lufthansa succeed with low-cost long-haul?


Lufthansa will launch its "low-cost" long-haul subsidiary in the autumn of 2015.

The new venture will utilise some of the German carrier's redundant A340-300s and operate out of Dusseldorf or Cologne along with Munich.

Sadly those readers who thought Lufthansa's new venture would be offering cut-price flights to the likes of New York or Singapore will be disappointed.

Lufthansa is first and foremost a business airline. So, it would not wish to cannibalise its existing traffic.

The new venture will be aimed at the leisure market and will not be offering departures from the parent's Frankfurt hub.

Seating onboard the A340-300s is expected to be denser than that of today's product at Lufthansa mainline.

First class will be removed and, as with Air AsiaX’s former services between Kuala Lumpur, London and Paris, we might expect tight 3-3-3 seating (the A340 was designed for 2-4-2 seating) in the economy cabin plus a simplified business class or premium economy cabin for wealthier holidaymakers.

But Lufthansa, as thorough as ever, is taking its time getting the venture off the ground. Aviation, and especially the budget sector, is a fast-moving business and the marketplace could well be different by this time next year.

And is this really a low-cost product? With carriers like Norwegian and AirAsiaX, passengers expect to pay ancillaries for a variety of things.

By contrast Lufthansa says its new venture will fly at a lower cost but still maintain the same full service offering that it (Lufthansa) provides. According to the Lufthansa Group, the latter offerings would allow the airline to retain those leisure destinations which were under threat (for losing Lufthansa mainline service) such as Bangkok.

But haven't we seen this all before? Readers with long memories will remember that Lufthansa established Condor for this very purpose. Condor was recently sold to Thomas Cook, a decision which Lufthansa probably now regrets.

The business model in Europe for low-cost long-haul still remains unproven. Subscribers can read more in this feature from out October 2013 issue.

It's unclear what the situation is at Norwegian so far, but Air AsiaX failed in its bid to bring low fares to Europe.

Speaking at the Farnborough Airshow in July, Air Asia founder and head Tony Fernandes warned Lufthansa that its venture was a risky one.

"I know why they (Lufthansa) wants to do it, but it’s dangerous to have a low-cost and a full-service carrier in the same group because invariably you compete with one another,” Fernandes told Reuters. "I think it’s very risky, I would advise against it."

He believes that full-service carriers should chose whether to be low-cost or premium: "History has shown that any full-service carrier that has gone into low-cost has suffered. But I can see why it’s tempting."

lufthansa.com

Via businesstraveller.com
Una AP di lungo raggio... A parte gli scherzi, ma la problematica di voler fare low cost senza ridurre i costi all'osso è quella.
Un altro punto che viene da pensare è voler ricreare una branca specializzata in voli vacanza come era Condor o come è Edelweiss per Swiss.
 
Lufthansa May Use Lease Back For LCC Plan

September 29, 2014

Lufthansa may hire a third party to operate 14 A340 aircraft it plans to reconfigure for long-haul budget flights to get around the need for pilots' approval of its no-frills expansion, Der Spiegel reported.
Weekly Der Spiegel said that Lufthansa chief executive Carsten Spohr was considering renting out the A340s earmarked for long-haul low-cost services to Switzerland-based PrivateAir and leasing them back with Swiss pilots.
Lufthansa announced a new strategy in July that includes expanding low-cost services in Europe and on intercontinental flights to attract leisure passengers with cheaper tickets.
But to keep operating costs low so it can compete on price, it has sought concessions from workers.
Earlier this month, it struck an agreement with cabin crew union UFO but has failed to reach a similar deal with pilots' union Vereinigung Cockpit (VC), which is threatening a fifth round of strikes in a separate dispute with Lufthansa.
The airline said last Thursday it would seek alternative management of the 14 A340s after it failed to reach an agreement with VC that would have required their pilots to work longer hours before receiving overtime benefits.
A spokeswoman for Lufthansa on Sunday confirmed the plans for the aircraft and declined to further comment on the Spiegel report.
According to Der Spiegel, the low-cost long-haul project codenamed "Jump" is to launch with tourist destinations such as Las Vegas or Mauritius in November 2015.
Lufthansa has so far said no final decision had been made yet on whether to launch long-haul budget service.

(Reuters)
 
U]Weekly Der Spiegel said that Lufthansa chief executive Carsten Spohr was considering renting out the A340s earmarked for long-haul low-cost services to Switzerland-based PrivateAir and leasing them back with Swiss pilots.[/U]

Certo che tentare di ridurre i costi utilizzano equipaggi con contratti di lavori svizzeri, forse costano anche di piu' dei tedeschi
 
Certo che tentare di ridurre i costi utilizzano equipaggi con contratti di lavori svizzeri, forse costano anche di piu' dei tedeschi
È un metodo per tentare di ridurre il costo del personale dopo non essere riusciti a trovare un accordo con i sindacati dei piloti.
 
Ora sciopera Lufthansa La rivoluzione «low cost» contestata dai piloti
Le proteste per il trasferimento di molti voli a società controllate a «basso costo»: Transavia (Parigi) e Germanwings (Francoforte)



Paolo Stefanato - Mar, 30/09/2014 - 07:00
commenta
Non c'è pace (sindacale) nei cieli. Oggi l'attività di Lufthansa sarà in buona parte bloccata, dalle 8 alle 23, da un nuovo capitolo dell'agitazione dei piloti che ha costretto la compagnia a cancellare 48 voli a lungo raggio da e per Francoforte, tra cui quelli per Singapore, Bangkok e Chicago.


Il nuovo sciopero dei piloti di Lufthansa arriva a 24 ore dalla ripresa dell'attività dei colleghi di Air France, che hanno paralizzato la compagnia per due settimane: tuttavia la vertenza di Parigi - va sottolineato - non si è chiusa con un accordo, ma con l'intento, accettato dallo stesso sindacato, di proseguire le discussioni «in un clima più sereno». Il nodo è la riorganizzazione dei voli a medio raggio da affidare alla controllata low-cost Transavia, con il trasferimento a essa di buona parte dei piloti, ai quali verrebbe applicato il contratto di Transavia, che prevede circa 200 ore di volo in più all'anno e uno stipendio del 20% in meno rispetto alla casa-madre.

I 5.400 piloti di Lufthansa hanno scioperato l'ultima volta tre settimane fa, ma i giorni più caldi erano stati alla fine di marzo, quando il blocco fu quasi totale per tre giorni, con 3.800 voli cancellati e disagi per mezzo milione di persone. La vicenda è sempre la stessa e riguarda, anche qui, questioni di vil denaro. Attualmente i piloti Lufthansa possono andare in pensione a 55 anni con un assegno pari al 60% dello stipendio. La compagnia vorrebbe portare l'età pensionabile a 65 anni, per meglio utilizzare la forza-lavoro. E anche a Francoforte, come a Parigi, è in agguato una low-cost come strumento per migliorare i conti del gruppo: Lufthansa vorrebbe concentrare il medio raggio nella controllata Germanwings, facendole rilevare grandualmente le rotte interne all'Europa, area nella quale la compagnia vola in perdita. Sono insomma evidenti la simmetria quasi perfetta tra le strategie industriali (per ora incompiute) di Air France-Transavia e Lufthansa-Germanwings, e il riconoscimento definitivo della sconfitta rispetto alle low-cost , a cominciare da Ryanair e easyJet.

Quanto ai piloti, si tratta di una categoria fortissima in tutto il mondo, dall'Europa agli Stati Uniti; se agiscono in maniera compatta, sotto l'egida dei loro sindacati, sono in grado di mettere in ginocchio qualunque compagnia: da un lato senza di essi gli aerei non volano, dall'altro il loro reddito elevato fa sì che possano sostenere economicamente anche lunghe astensioni dal lavoro. Un potere contrattuale pesantissimo, pressochè ricattatorio.

Tutto ciò trova conferma anche in Italia, dove già negli anni Settanta i sindacati confederali guardarono con sospetto l'organizzazione dei sindacati autonomi dei piloti, chiamati associazioni professionali. Anche nell'ultima vertenza Alitalia, Cgil, Cisl e Ugl non hanno voluto sedere allo stesso tavolo con i piloti dell'Anpac.

http://www.ilgiornale.it/news/econo...oluzione-low-cost-contestata-dai-1055774.html
 
Lufthansa long-haul for less

Published: 07/10/2014 - Filed under: News »

Germany’s Lufthansa is planning for two separate long-haul arms to revive and take over past and current long-haul routes from Germany to the Asia-Pacific.

In exclusive interviews with Business Traveller Asia-Pacific during the unveiling of the carrier’s new premium economy product (click here), Lufthansa said it is working to launch “Jump”, a leaner long-haul carrier than mainline Lufthansa, but still positioned far away from the LCC segment.

“Jump” is being positioned to potentially serve Hyderabad, Ho Chi Minh City and Qingdao – all routes the carrier had to terminate in recent years – and also to take over leisure-heavy routes (such as Bangkok) that do not warrant the use of aircraft with large premium cabins.

“Lufthansa had to terminate these routes in recent years [except for Bangkok] because the yields they produced did not meet our higher cost base – itself a product of high labour costs associated with cabin, ground and maintenance crew unions, and due to strong competition from the Gulf carriers,” said Andreas Bartels, head of communications for Lufthansa.

The initial eight designated “Jump”’ A340-300 aircraft will feature 18 business, 19 premium economy and 261 economy seats. Business class will feature its latest product, currently offered on the B747-8 fleet.

“‘Jump’ is not to be confused with the new long-haul low-cost carrier (LCC) Lufthansa is planning for service introduction in mid-2015,” said Bartels.

Frankfurt-based ‘Jump’ is “principally mainline Lufthansa, whereas the LCC will be part of its ‘Wings’ division and as such be based in Cologne, Dusseldorf or Munich and serve entirely different, more tourist-centric markets, for less money than both mainline Lufthansa or ‘Jump’ could offer,” he said.

Lufthansa has recently re-negotiated labour agreements with its A340 cabin crew to facilitate the service introduction of “Jump”, at 25 per cent less labour cost.

For more information, visit lufthansa.com
 
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Lufthansa's planned new lower cost long-haul airline must avoid legacy issues


lufthansa_logo_1-200x.png

Lufthansa's recent confirmation that it is adding premium economy cabins to its entire widebody fleet is one of a number of recent initiatives aimed at making its long-haul operations more competitive. The most radical, and certainly the highest profile, of these developments is its plan to establish a new lower cost airline, under a new brand and aimed at the long-haul point to point leisure market.
First announced in Jul-2014, Lufthansa's Executive Board presented more details of this long-haul plan to its Supervisory Board in Sep-2014. Although operating a fleet of only seven aircraft out of a Lufthansa-branded widebody fleet currently in excess of 100 aircraft, the success (or otherwise) of this new operation could have far-reaching consequences across the group.
A recent CAPA report suggested that Lufthansa's short-haul LCC, Germanwings, has too many legacy issues, but that the more flexible and lower cost pilot contract at its Eurowings subsidiary gives it options for growth. Lufthansa must ensure that its new lower cost long-haul airline avoids all legacy issues that might be a drag on its cost efficiency.

Short-haul: Germanwings and Eurowings have pioneered the 'Wings' concept

In short-haul, Lufthansa has owned a lower cost subsidiary airline, Germanwings, for many years and has been growing it strongly since Jul-2013. This has been the subject of many analysis reports by CAPA including:

The grouping of Lufthansa's low-cost projects under the loose 'Wings' name stems from the long established Germanwings and from another Lufthansa group company Eurowings. Key to the 'Wings' concept and to Lufthansa's awakening to its potential is the opportunity to establish new operations with little or none of the legacy issues that have bloated the cost base in the group's core activities. Eurowings has a separate pilot contract to that of the rest of the group, giving lower costs and greater flexibility.
For many years a supplier of regional aircraft capacity to the Lufthansa brand, Eurowings is now becoming a wet lease supplier to Germanwings. It will also spread the group's short-haul low-cost operations into its two other 'home countries', Switzerland and Austria.
Having a platform that avoids the group's legacy labour contracts, and which Lufthansa can expand, not only gives it a lower cost vehicle for growth, but also allows it to put pressure on unions representing its mainline employees to recognise the need for savings.
New long-haul low-cost airline under a separate brand

Lufthansa's 'Wings' concept broadly stands for point to point, lower cost, operations. Its plans for a new long-haul airline in this part of the market, mainly aimed at private travellers, were first outlined in Jul-2014.
See related report: Lufthansa's new long-haul low-cost plans show new CEO Carsten Spohr's eagerness to move forward
It seems that Lufthansa was growing increasingly frustrated by its inability to move its cost base low enough to compete in this segment, but had become emboldened by its more aggressive stance towards short-haul point to point. A further catalyst may have been new group CEO Carsten Spohr, who was appointed on 1-May-2014 and who has brought a new sense of urgency to Lufthansa.
The plan announced in Jul-2014 involved setting up a long-haul airline under a new brand name from the end of 2015, initially deploying sevenBoeing 767s or Airbus A330s. The launch is now targeted for autumn 2015 and the aircraft choice has now been made in favour of Airbus A330-300 equipment. Lufthansa said in Jul-2014 that it would switch the fleet into new generation widebodies, either 787s or A350s, if the concept proves to be viable.
Lufthansa's biggest hub, Frankfurt, will not be a base for the new long-haul airline. Munich, Duesseldorf, Cologne-Bonn and Hamburg were under consideration in Jul-2014.
In its Sep-2014 statement, Lufthansa said that it plans to start with three aircraft in Munich, Duesseldorf or Cologne. This report will analyse this planned operation in more detail below, after touching on other initiatives that Lufthansa is taking in order to capture some of the superior growth opportunities it sees in the long-haul leisure segment.
Re-equipping Lufthansa aircraft for leisure routes

Lufthansa says that "other intercontinental traffic approaches will be developed in order to once again profitably fly leisure travel-dominated routes using the Lufthansa brand".
Specifically, Lufthansa plans to reconfigure up to 14 Airbus A340-300s from its long-haul fleet so that they are "optimised for leisure travel" from the start of the 2015/2016 winter schedule. The new configuration will have no first class, but will have 18 business class seats, 19 premiumeconomy seats and 261 economy seats.
The airline hopes that this sub-fleet will combine lower costs with the "high-quality travel experience of a Lufthansa flight, with high service standards and comfort levels". It expects that this will allow it to serve new leisure routes and to continue in markets that it would otherwise have to exit without a lower priced offer.
Adding premium economy to Lufthansa's widebodies

Lufthansa is also equipping its entire long-haul fleet with a premium economy cabin. All of its Boeing 747-8s will be modified by 20-Nov-2014 and a total of 101 Lufthansa long-haul aircraft (A380, A340-600, A340-300, A330, Boeing 747-8 and 747-400) will be equipped with the new cabin by late summer 2015.
Lufthansa has not previously operated with a premium economy class, which offers the opportunity both to economy passengers to trade up and for business class passengers to trade down. It is reducing the number of seats in first class and business class and so this initiative will provide more opportunities to trade down than to trade up.
Broadly, it looks like another effort to offer a more competitively priced product, while retaining a premium-like perception.
Long-haul 'Wings' will have a largely different network to Lufthansa's

Returning to Lufthansa's plans for its new lower-cost long-haul airline, it is specifically aiming to target private travellers on point to point leisure routes. This has significant implications for its network choices. Avoiding its main hub at Frankfurt, with its relatively low immediate O&D catchment area, its strong business traveller focus and its high proportion of transfer traffic (not to mention high airport charges), seems a sensible decision.
As noted above, Lufthansa plans to launch the new brand at Munich, Duesseldorf or Cologne, although Munich's relatively high costs, slot congestion and night time curfew may count against it. It has not yet announced any planned destinations, but it will focus on destinations that "promise above-average growth in the leisure travel segment and that round out the Lufthansa Group airlines’ current route networks."
This most probably means secondary cities, rather than major hubs, that may not be in the current Lufthansa network. However, the new airline's network could also include major hubs such as Bangkok, which is also a major leisure destination.
Few other genuinely long-haul low-cost airlines

At the moment, airlines that are genuinely both long-haul and low-cost are few and far between, although there are no clear-cut definitions of long-haul or of low-cost. Fortunately, CAPA keeps a record of airlines that are categorised as low-cost carriers (based more on product features than on a strict analysis of costs). Very few of them have long-haul operations.
Long-haul probably means an average trip length in excess of something like 4,500km. Certainly, the few global airlines that follow a pure long-haul business model operate at distances around this mark and longer.
Examples include Emirates and Etihad (both around 4,800km), Singapore Airlines (5,000km) and Virgin Atlantic (7,200km excluding Little Red).London to New York, one of the world's shorter long-haul routes, is around 5,500km. The Lufthansa Group's own long-haul operations have an average trip length of around 6,800km.
CAPA's database contains only three LCCs with an average trip length of more than 4,000km. These are Thai AirAsia X (4,200km), AirAsia X(4,700km) and ArkeFly (7,600km). The latter, a TUI subsidiary, is primarily a charter carrier serving tour operators owned by its parent.
Top 10 global low-cost carriers ranked by average trip length (km)*
[TABLE="width: 316"]
[TR]
[TH="width: 156, bgcolor: #00529F"]Airlie[/TH]
[TH="width: 70, bgcolor: #00529F"]Average trip length km
[/TH]
[/TR]
[TR="bgcolor: #BED4E8"]
[TD="width: 156"]ArkeFly[/TD]
[TD="width: 70"]7,624[/TD]
[/TR]
[TR]
[TD="width: 156"]AirAsia X[/TD]
[TD="width: 70"]4,723[/TD]
[/TR]
[TR="bgcolor: #BED4E8"]
[TD="width: 156"]Thai AirAsia X[/TD]
[TD="width: 70"]4,151[/TD]
[/TR]
[TR]
[TD="width: 156"]Scoot[/TD]
[TD="width: 70"]3,276[/TD]
[/TR]
[TR="bgcolor: #BED4E8"]
[TD="width: 156"]Sunwing Airlines[/TD]
[TD="width: 70"]2,759[/TD]
[/TR]
[TR]
[TD="width: 156"]Mihin Lanka[/TD]
[TD="width: 70"]2,589[/TD]
[/TR]
[TR="bgcolor: #BED4E8"]
[TD="width: 156"]SunExpress Germany[/TD]
[TD="width: 70"]2,527[/TD]
[/TR]
[TR]
[TD="width: 156"]Virgin America[/TD]
[TD="width: 70"]2,393[/TD]
[/TR]
[TR="bgcolor: #BED4E8"]
[TD="width: 156"]WOW air[/TD]
[TD="width: 70"]2,261[/TD]
[/TR]
[TR]
[TD="width: 156"]Air India Express[/TD]
[TD="width: 70"]2,215[/TD]
[/TR]
[/TABLE]

*Calculated as ASKs divided by seat numbers for 29-Sep-2014 to 5-Oct-2014
Source: CAPA - Centre for Aviation

This means the AirAsia X Group is the world's only genuinely long-haul scheduled LCC business model. AirAsia X has the lowest CASK of any airline in the world, partly reflecting its long-haul model, but also built on the advantages of low labour costs with no legacy issues. Nevertheless, it has had a varied record with regard to profitability.
See related report: AirAsia X SWOT: challenging times but first mover advantage and fleet flexibility are huge strengths
Singapore Airlines subsidiary Scoot has a shorter average trip length, about 3,300km. But it has a significantly larger average trip length than LCCs which operate narrowbody aircraft. Scoot and AirAsia X are the only LCCs with all-widebody fleets. There are currently five other LCCs which operate widebody aircraft as well as narrowbody aircraft: Australia-based Jetstar, Norwegian, Philippines-based Cebu Pacific, Saudi Arabia-based flynas and Brazil-based Azul.
Widebody LCCs: current fleet and outstanding commitments for additional new aircraft: as of end Sep-2014
[TABLE="width: 622"]
[TR]
[TD]Airline group [/TD]
[TD]Launch year[/TD]
[TD]Current fleet [/TD]
[TD]Outstanding orders/commitments [/TD]
[/TR]
[TR="bgcolor: #BED4E8"]
[TD]AirAsia X[/TD]
[TD="align: center"]2007[/TD]
[TD] 25 (22 A330-300s, 2 A340-300s*, 1 A330-200*)[/TD]
[TD]97 (50 A330-900neos, 37 A330-300Es, 10 A350-900s)[/TD]
[/TR]
[TR]
[TD]Jetstar[/TD]
[TD="align: center"]2006[/TD]
[TD] 14 (7 A330-200s*, 7 787-8s)[/TD]
[TD]7 (787-8s)[/TD]
[/TR]
[TR="bgcolor: #BED4E8"]
[TD]Scoot[/TD]
[TD="align: center"]2012[/TD]
[TD] 6 (6 777-200s*)[/TD]
[TD]20 (10 787-9s, 10 787-8s)[/TD]
[/TR]
[TR]
[TD]Norwegian[/TD]
[TD="align: center"]2013[/TD]
[TD] 7 (7 787-8s)[/TD]
[TD]7 (6 787-9s, 1 787-8)[/TD]
[/TR]
[TR="bgcolor: #BED4E8"]
[TD]Cebu Pacific[/TD]
[TD="align: center"]2013[/TD]
[TD] 5 (A330-300s)[/TD]
[TD]1 (A330-300s)[/TD]
[/TR]
[TR]
[TD]flynas[/TD]
[TD="align: center"]2014[/TD]
[TD]3 (2 A330-300s, 1 A330-200 wet leased)[/TD]
[TD]0 (only committed to additional wet leases)[/TD]
[/TR]
[TR="bgcolor: #BED4E8"]
[TD]Azul[/TD]
[TD="align: center"]2014[/TD]
[TD]2 (A330-200 delivered but not yet operating)[/TD]
[TD]5 (A350-900s)[/TD]
[/TR]
[TR]
[TD]TOTALS[/TD]
[TD="align: center"][/TD]
[TD]62[/TD]
[TD]137[/TD]
[/TR]
[/TABLE]

Notes: *aircraft which will be phased out by end of 2015
Azul planning to launch long-haul services in late 2014
Scoot figures include NokScoot (launching late 2014)
AirAsia X figures include Thai AirAsia X (already launched) and Indonesia AirAsia X (launching late 2014)
MOUs that have not yet been converted into orders are included under the commitments
Source: CAPA Fleet Database

The only current LCC widebody operator in Europe, Norwegian Air Shuttle, has an average trip length of about 1,300km. Norwegian has used its new fleet of 787s to add long-haul routes to its previously Europe-only network over the past year. Its current long-haul network has destinations in the US in addition to Bangkok.
Norwegian's long-haul model encompasses taking advantage of lower labour costs that are available globally, rather than exclusively employing Scandinavian, or even European, staff. Norwegian has also seen its profits suffer since entering the long-haul markets.
Ryanair CEO Michael O'Leary is one of the industries most noted and successful champions of low costs. He has been mulling the possible establishment of a long-haul low-cost airline for several years, but has always refrained from proceeding with his plans. As CAPA has previously observed, the fact that one of the industry’s greatest cost cutters does not yet see an opportunity to enter the long-haul LCC arena suggests that the concept is yet to be proved (certainly as regards sustainable profitability).
Long-haul 'Wings' will need much lower unit cost to offset downward price pressures

Lufthansa does not claim to be planning a truly low-cost long-haul operator. Rather, it hopes that the new airline will be lower cost than its existing long-haul operations.
The presence of genuine low cost operators in some long-haul markets and Lufthansa's own emphasis on price as a key dimension of competition for its new project will add to the price sensitive nature of the long-haul point to point leisure segment in which it will operate. This will make it crucial that the new airline is at least as cost competitive as the most efficient long-haul FSCs.
Comparison with operators such as Singapore Airlines, Emirates and Turkish Airlines suggests that Lufthansa will need to lower its long-haul CASK by somewhere in the region of 30% to match their average unit costs. These airlines average unit costs are based on a combination of leisure and other routes and Lufthansa's new airline will probably need even lower levels of CASK than this to be competitive in the leisure segment.
Cabin reconfiguration can contribute significantly towards lower unit cost

Cabin reconfiguration, with the addition of more seats, can probably go a significant way towards achieving the requisite level of unit cost, although we do not yet know how many seats Lufthansa plans for the A330-300 fleet in the new operation. Mr Spohr told analysts at a presentation on strategy in London in Jul-2014 that the new airline would include a premium cabin, but it may be assumed that this would not involve first class and possibly only a premium economy cabin, with no business class.
Comparison with Lufthansa's plans to reconfigure up to 14 Airbus A340-300s from its long-haul fleet for leisure operations under its own brand suggest that the A330s for the new airline might have 30% more seats than the 221 under its existing A330 three cabin configuration. All other things being equal, this would reduce costs per seat by 23%, leaving further savings to be achieved from other sources, including labour.
AirAsia X operates A330-300s with 377 seats in a two cabin configuration, including 12 lie flat beds in business class. The arithmetic of this configuration is such that it would offer Lufthansa a 40% cost per seat reduction (all other things being equal). It would be a strong sign of intent (and also a surprise) if Lufthansa were to push its new airline this far towards a genuine low-cost model.
New generation aircraft may eventually replace A330s in long-haul 'Wings'

Seat densification can certainly make a contribution, but this is already a trend in the industry, particularly on leisure routes. Charter airlines have very high levels of seats per aircraft. A low-cost operation must also achieve low aircraft operating costs by seeking the most efficient technology.
Norwegian operates Boeing 787-8 equipment on its long-haul routes, with 291 seats including 32 in premium economy. This new generation aircraft offers cost per seat savings of around 15% to 20% over the previous technology (for the same configuration) and, together with the Airbus A350 and A330-300neo represents the equipment of choice for long-haul low-cost operators in the future. AirAsia X is the launch customer for the new A330-300neo and also has small number of A350s on order.
If Lufthansa's new long-haul airline can show signs of being viable with its A330-300 fleet, this will give it confidence that it could become even stronger with the additional savings offered by more efficient new aircraft.
SunExpress is a possible vehicle for the new long-haul airline

Lufthansa said in Jul-2014, and reiterated in Sep-2014, that it was talking to its Star Alliance partner Turkish Airlines about the possibility of usingSunExpress as a platform for its new long-haul airline, although it said that this was only one option. LCC SunExpress is 50-50 jointly owned by Lufthansa and Turkish and focuses on leisure routes between Turkey and Europe, in particular Germany.
SunExpress' business gives it experience in a number of the features that will be part of the planned new airline. It operates in point to point leisure markets under a separate brand from either of its parents. In addition, previous CAPA analysis suggests that SunExpress is a genuinely low-cost operator.
See related reports:

Operationally, it deviates from the profile of Lufthansa's new project in two ways. First, its routes are long in European terms, but not genuinely long-haul. Together with its subsidiary SunExpress Germany, its average trip length is around 2,200km, Second, it operates a fleet of Boeing 737aircraft and so has no experience with Airbus equipment or widebodies.
If Lufthansa does establish its new airline through SunExpress, this would help towards improving relations with Turkish Airlines, which soured in 2013.
The Star partners pair broke off their codeshare agreement and ceased mutual FFP arrangements as Lufthansa expressed anxiety over Turkish Airlines' strong growth in secondary German cities, which was taking some connecting traffic away from Frankfurt and into Istanbul. Turkish itself has significant experience in global long-haul markets and also has a very efficient cost base and could bring its know-how to any new SunExpress long-haul venture.
See related report: Lufthansa ends codesharing with Turkish Airlines. A full rift would mean new strategies for each
Disconnecting the brand from the labour agreement

Mr Spohr told analysts at the Jul-2014 presentation that an important element of the Wings concept, from a cost point of view, is to "disconnect the brand from the labour agreement". As with its increasing use of Eurowings, this allows both a lower cost base in the new operation and demonstrates to unions in the core business that growth is possible through lower cost platforms.
See related report: Lufthansa pilot strike highlights labour issues for Europe's legacy carriers. It's time to wake up
In addition to achieving lower labour costs through, a new brand allows a lower frills product without damaging the Lufthansa brand. It could also be an opportunity in markets where Lufthansa has not historically been strong, but where a fresh new brand could be more appropriate.
“The combination of our core brands’ focus on quality and the premium sector, and the development of new platforms for the leisure travel sector, which is experiencing dynamic growth but is also price-sensitive, is our way of working towards a successful future for the Lufthansa Group airlines,” said Mr Spohr in Lufthansa's Sep-2014 statement.
Creating options for its own future

This last comment from Mr Spohr may have the appearance of being directed to customers, but the message is equally plain to Lufthansa's workforce. If new brands with lower costs can be made to work in the leisure sector, perhaps this will embolden Lufthansa further to try new things in the rest of the group.
It is also a positive sign that Lufthansa is looking for ways in which it can create its own options for its future development. In recent years, the group has sometimes appeared to be preoccupied with looking for someone else to blame for its challenges, in particular the Gulf carriers.
As Qatar Airways CEO Akbar Al Baker said recently of Mr Spohr, "I'm sure he envies me very much, because we don’t have to take the crap of the unions. … He has a difficult job to do but always friends can disagree, and I disagree that Gulf carriers are the cause of the pressures thatLufthansa has" (Bloomberg, 17-Sep-2014).
Lufthansa is the only one of the European Big Three groups not to have entered some form of cooperation with the Gulf Three (while its relationship soured last year with Turkish, the 'fourth Gulf carrier'). These competitors have strong global networks, high quality products and enviably low costs. To a large extent, it is the competitive pressures that they have brought into the market that have forced Lufthansa into seeking a lower cost long-haul operation.
Mr Spohr's focus on shaping Lufthansa's own destiny, rather than complaining about competition, is to be welcomed.
 
Ultima modifica:
Lungo raggio low cost: il piano di Lufthansa in collaborazione con Turkish

Sarà la joint venture messa a punto tra Lufthansa e Turkish a gestire il progetto lungo raggio low cost del gruppo tedesco.

La conferma è arrivata dallo stesso management della compagnia tedesca, che ha spiegato come il programma Wings, che prevede appunto l'ingresso nel segmento long range low fare, dovrebbe essere affidato a SunExpress, la newco che nascerebbe dalla jv Turkish-Lh.

Maggiori dettagli sul piano verranno svelati il prossimo mese di dicembre, anche se nelle anticipazioni fornite nei giorni scorsi appare chiara la vocazione leisure del nuovo brand. Da definire, invece, le rotte. TTG
 
Scusatemi, curiosità. Wings era il marchio individuato da AZ-KLM per la loro JV degli anni passati. Come mai LH-TK usano questo medesimo? Non ci sono diritti sul nome una volta registrato? Oppure son decaduti i termini? Non me ne intendo. Come funziona?
 
Scusatemi, curiosità. Wings era il marchio individuato da AZ-KLM per la loro JV degli anni passati. Come mai LH-TK usano questo medesimo? Non ci sono diritti sul nome una volta registrato? Oppure son decaduti i termini? Non me ne intendo. Come funziona?

Immagino sia dato dal fatto che sia stata sviluppata Germanwings per i collegamenti da/per la Germania e a breve lo sarà Eurowings per quelli cross-Europe. Brand che esistono da anni, hanno giocato coi prefissi "german" e "euro" sulla radice "Wings". Tutto qui.
 
Il fatto che la nuova divisione low cost verrà gestita da una JV con TK secondo me è perchè proveranno ad utilizzare equipaggi turchi che hanno costi credo nettamente piu' bassi dei contratti tedeschi.