Showing posts with label FlyDubai. Show all posts
Showing posts with label FlyDubai. Show all posts

24 February 2009

Air Arabia Steps Gingerly Into Europe

Most folks in North America and in Europe have never heard of Air Arabia. It never seems to quite make anyone's list. Yet it is today a powerhouse in the GCC states. It is today probably the most profitable airline in the world with yields that most legacy airlines can only have fantasies about.

It has built an extensive network feeding the the GCC markets into Southern Asia and even beyond. It has steadfastly avoided stepping into the territory of the European based LCCs. Well dream no more. Air Arabia has announced its first Western European destination - Athens. Albeit with a very modest 3x a week ATH-SHJ service. This will not be the last of their European destinations.

With Dubai's new LCC - FlyDubai rearing to go this year - Air Arabia must spread its wings and continue to develop more cross feed and keep ahead of the its Emirates neighborhood cousin who is surely going to make a big impact in the LCC market arena when it arrives later this year.

While technically not its first flights to Europe (the carrier already serves Istanbul and Kiev) this is the first step into a major European gateway.

Welcome to Adel Ali and his team. it would be interesting to see if Ryanair is going to fly to Sharjah! I wouldn't put it past the Irish.

Cheers

09 January 2009

Caution Descends on Dubai.

There may be a clue as to whether FlyDubai will be late or not. It also may be a clue to the long term projections from Emirates. If you read this little piece you will see why...

Dubai’s Roads and Transport Authority has formally announced this week that it plans to postpone the construction of the 49 kilometre so called ‘Purple Line’ rail link between the current Dubai International Airport and the upcoming Al Maktoum International Airport until there is "adequate demand."

Such a delay would definitely mean that Emirates is ratcheting back its growth or it is intending to move all of its traffic to the new airport. Given that they just spent a squillion dollars on the new Terminal 3 and quite a while building it - i doubt they are going to be rushing into things.

So if you are hoping to connect between the 2 new airports when the new one opens... better hire a helicopter or sit in traffic for quite some while.

Still the new airport will be quite the marvel.

Cheers

15 July 2008

Update on Farnborough Day 1

Two interesting points of note.

1. The Etihad order including options was over 200 aircraft of which the bulk were wide bodies. The total order using list prices would make the EY order the largest in Aviation history by dollar value. A Bubble? Well you be the judge

2. The FlyDubai order included the option to convert to 737-900ERs. That provides the ability to fly to most of Europe. However we believe that the bulk of the flying will be with in the region and a tilt towards Indian Subcontinent. Thus clearly Air Arabia and Jazeera are now in the cross hairs of the Dubai based airline.

Cheers

Timothy

26 June 2008

FlyDubai announced today!

The world's newest LCC got its naming rights today and like its surrogate parent Emirates - it promises to change the way we see airline offerings in this case LCCs.

It is expected that FlyDubai will launch its first flights "by mid-2009." FlyDubai will initially focus on regional flights within the GCC area and surrounding countries. Its operations will be completely "separate from Emirates Airline and Group."

Ghaith al Ghaith, the designated Chief Executive of FlyDubai said since the government announced the formation of Dubai's new low cost airline in March, "We are recruiting for key positions, evaluating aircraft options and routes, working out our pricing and distribution strategy, and putting in place the structure and operational resources for the business."

Watch for some key announcements in the coming weeks about the first routes - FlyDubai will potentially cover a market of "2 billion people". Wow that's one heck of a lot. So I am assuming that we are talking a focus on Regional as they stated and this screams India as the prime target. So I am going to suggest that the market is India and the MENA area as the geographic focus. However that is pure speculation on my part so don't read anything else into it! It does tell us who they see as competition, namely it is Air Arabia and Jazeera as key targets.

Best of luck guys. Lets hope you are true to the model! It could really make a huge change in the flows of traffic. If I was sitting in the LCCs of India as well as Air Arabia and Jazeera - I would be pretty nervous.

Cheers

Timothy