air traffic - Value Group https://valueg.com Thu, 19 Oct 2023 06:46:45 +0000 it-IT hourly 1 https://wordpress.org/?v=6.9.4 https://valueg.com/wp-content/uploads/2024/11/cropped-Value-visualmark@3x-32x32.png air traffic - Value Group https://valueg.com 32 32 The Economic Impact of Journey Disruptions: Analyzing Airlines and Railways https://valueg.com/the-economic-impact-of-disruptions/?utm_source=rss&utm_medium=rss&utm_campaign=the-economic-impact-of-disruptions Fri, 13 Oct 2023 15:25:36 +0000 https://valueg.com/?p=4515 The Economic Impact of Flight Disruptions: Analyzing Airlines and Railways Oct 13/23 | Blog In today’s interconnected world, efficient transportation systems are crucial for the global economy. However, journey disruptions, whether caused by natural disasters, technical failures, or unforeseen events, can have a significant economic impact on various sectors, particularly airlines and railways. This article […]

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The Economic Impact of Flight Disruptions: Analyzing Airlines and Railways

Oct 13/23 | Blog

In today's interconnected world, efficient transportation systems are crucial for the global economy. However, journey disruptions, whether caused by natural disasters, technical failures, or unforeseen events, can have a significant economic impact on various sectors, particularly airlines and railways.

This article aims to explore the repercussions of such disruptions, utilizing data and statistics from different sources.

The Airline Industry


Disruptions in the airline industry, such as flight cancellations or delays, have far-reaching economic consequences. According to a report by the International Air Transport Association (IATA), flight delays cost the industry approximately $30 billion annually. Passengers affected by delays face financial burdens such as missed connections, additional accommodation costs, and loss of productivity.

Furthermore, a study by the Air Transport Action Group (ATAG) estimates that for every minute of flight delay across all airlines worldwide, the industry incurs an additional $65 in costs. These costs include increased fuel consumption, crew expenses, and potential penalties for violating airspace slots.

In 2021 alone, air traffic control delays were responsible for more than 16 million minutes of delay, equating to a staggering cost of over $1 billion.

The effect of disruptions in the airline and railway industries

The Railway Industry


Similar to the airline industry, railway disruptions can have substantial economic consequences. A study conducted by the Union of European Railway Industries (UNIFE) found that delays in European rail networks cost an estimated €13.6 billion annually.

These costs encompass direct expenses, such as maintenance, compensation for affected passengers, and loss of revenue due to decreased ridership.

Disruptions in railways have substantial economic consequences

Moreover, disruptions in freight transportation can significantly impact supply chains and trade. The European Rail Freight Association (ERFA) reports that rail freight delays in Europe only cost the industry €250 million per year, affecting various sectors, including manufacturing, logistics, and retail.

The Effects on the Tourism Industry


Journey disruptions also have ripple effects on local economies, especially in regions heavily reliant on tourism. The World Travel and Tourism Council (WTTC) estimates that the global travel and tourism industry suffered a loss of $4.5 trillion in 2020 due to the COVID-19 pandemic and associated travel restrictions.

When transportation systems face disruptions, tourist destinations experience reduced visitor numbers, resulting in decreased revenue for local businesses, hotels, restaurants, and attractions. In turn, this impacts employment opportunities and the overall economic well-being of these regions.

The economic impact of journey disruptions in the airline, railway, and tourism sectors is substantial. Airlines face billions of dollars in costs due to flight delays, while railways suffer from significant financial burdens resulting from system disruptions. Local economies reliant on tourism also bear the brunt of journey disruptions, with reduced visitor numbers leading to economic losses across multiple sectors.

Value Group is one of the top disruption suppliers in the world

Why having a trusted partner to better manage disruptions is crucial


Value Group understands the challenges faced by the transportation industry and offers innovative solutions to minimize the economic repercussions of disruptions.

By leveraging our expertise and advanced technologies, we aim to optimize operational efficiency, reduce costs, and enhance customer experiences during unexpected events.

Through our comprehensive disruption management services, Value Group assists airlines and railways in proactively identifying potential disruptions and implementing strategies to mitigate their impact. This includes real-time monitoring of flight and train operations, predictive analytics, and the ability to quickly adapt to changing circumstances.

By partnering with Value Group, airlines and railways can benefit from our extensive knowledge and experience in managing disruptions.


Our solutions are designed to streamline operations, improve communication with passengers, and minimize the financial losses associated with journey disruptions.

It is essential for the industry to adopt robust disruption management strategies to mitigate these effects. Value Group stands as a reliable partner, offering expertise and innovative solutions to support airlines and railways in effectively managing disruptions, ensuring smoother and more resilient transportation experiences for all stakeholders involved.

If you want to learn more on how Value Group can support you during events of flight disruption and mass disruption, you can send us an email at info@valueg.com.

 You can follow Value Group on LinkedIn here.

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]]> Effective Risk Management for Airlines: Mitigating Flight Disruptions and Avoiding Costly Consequences https://valueg.com/effective-risk-management-for-airlines-mitigating-flight-disruptions-and-avoiding-costly-consequences/?utm_source=rss&utm_medium=rss&utm_campaign=effective-risk-management-for-airlines-mitigating-flight-disruptions-and-avoiding-costly-consequences Wed, 19 Jul 2023 07:29:49 +0000 https://valueg.com/?p=4469 Effective Risk Management for Airlines: Mitigating Flight Disruptions and Avoiding Costly Consequences Jul 19/23 | Blog In the fast-paced world of aviation, risk management plays a pivotal role in ensuring the smooth operation of airlines. And, in particular, flight disruptions can lead to significant financial losses, damage to reputation, and compromised passenger safety. In this […]

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Effective Risk Management for Airlines: Mitigating Flight Disruptions and Avoiding Costly Consequences

Jul 19/23 | Blog

In the fast-paced world of aviation, risk management plays a pivotal role in ensuring the smooth operation of airlines. And, in particular, flight disruptions can lead to significant financial losses, damage to reputation, and compromised passenger safety.

In this article, we will delve into the importance of good risk management for airlines, particularly in mitigating flight disruptions and the substantial costs associated with inadequate risk management practices.

Understanding flight disruptions


Flight disruptions encompass a wide range of issues that can affect airlines, including adverse weather conditions, technical failures, crew shortages, air traffic congestion, and unforeseen emergencies.


These disruptions can result in delays, cancellations, diversions, and missed connections, leading to a cascade of negative consequences.

The cost of bad risk management:


1. Financial Impact: Flight disruptions have a direct impact on an airline's bottom line. The costs associated with delays and cancellations can quickly escalate due to passenger compensations, hotel accommodations, alternate transportation arrangements, and refunds. Especially if the airline decides to manage such matters by itself, without relying on an effective partner. Furthermore, the loss of revenue from empty seats and dissatisfied customers can be substantial.

2. Reputational Damage: Airlines heavily rely on their reputation for attracting and retaining customers. Poor risk management leading to frequent flight disruptions can damage the brand image, erode customer trust, and result in a loss of market share. Negative reviews on social media platforms and travel websites can further exacerbate the damage, deterring potential passengers from choosing the airline in the future.

Risk management enhances your airline's reputation

Effective risk management strategies:


1. Proactive Approach: Airlines should adopt a proactive approach to risk management by identifying potential hazards, assessing their impact, and implementing appropriate mitigation measures. This involves analyzing historical data, monitoring weather patterns, and investing in advanced technology for accurate forecasting.

2. Robust Contingency Plans: Developing comprehensive contingency plans allows airlines to respond swiftly and effectively to unforeseen disruptions. These plans should include alternative flight routes, reserve crew members, and agreements with partner airlines to accommodate passengers in case of disruptions.

3. Training and Awareness: Investing in regular training programs for flight crews, ground staff, and management personnel is crucial. They should be educated about risk assessment, emergency protocols, and effective communication strategies to ensure a coordinated response during disruptions.

4. Collaborative Partnerships: Airlines can enhance their risk management capabilities by establishing strong partnerships with industry organizations, government agencies, and weather monitoring services. Sharing data, best practices, and insights can help identify potential risks and develop collective strategies to minimize disruptions.

Effective risk management is vital for airlines to minimize flight disruptions and mitigate the significant costs associated with them


Effective risk management is vital for airlines to minimize flight disruptions and mitigate the significant costs associated with them.

By adopting proactive measures, robust contingency plans, continuous training, and collaborative partnerships, like the one with Value Group to assist passengers in case of flight disruptions, airlines can enhance their ability to respond swiftly and effectively to unforeseen challenges.

Prioritizing risk management not only protects an airline's financial health but also safeguards its reputation, ensuring a positive travel experience for passengers and sustained business success.

If you want to learn more on how Value Group can support you during events of flight disruption and mass disruption, you can send us an email at info@valueg.com.

You can follow Value Group on LinkedIn here.

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]]> 5 Facts About Flight Disruptions That You May Not Know https://valueg.com/why-enhancing-the-passenger-experience-in-airports-is-vital/?utm_source=rss&utm_medium=rss&utm_campaign=why-enhancing-the-passenger-experience-in-airports-is-vital Sun, 11 Jun 2023 22:05:56 +0000 https://valueg.com/?p=4448 5 Facts About Flight Disruptions That You May Not Know March 30/23 | Blog Flight disruptions are an unfortunate reality of air travel, and they can happen for a great number of reasons. These reasons can vary; including weather events, technical issues, crew scheduling problems, and even political unrest. Did you know? According to a […]

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5 Facts About Flight Disruptions That You May Not Know

March 30/23 | Blog

Flight disruptions are an unfortunate reality of air travel, and they can happen for a great number of reasons. These reasons can vary; including weather events, technical issues, crew scheduling problems, and even political unrest.

Did you know?
According to a recent study by the International Air Transport Association (IATA), flight disruptions cost the airline industry an estimated $60 billion anually.

In addition to the financial impact, flight disruptions can also lead to other major problems. From passenger inconvenience, to lost productivity, and the overall damage to an airline's reputation, especially if a disruption is badly handled.

To better understand the scope of IROPs and their influence on airlines’ reputation, here are 5 less known flight disruption facts the we think you should know.

Here are the 5 facts about flight disruptions that we think you should know

1. The weather isn’t an airline’s bestfriend, but not only. When it comes to the causes of flight disruptions, weather-related disruptions are the most common type. Followed by technical issues and crew scheduling problems;

2. Millions of disruptions happen yearly, and the number isn’t going down. In 2019, there were over 3.6 million flight disruptions worldwide, affecting over 470 million passengers. In 2022, the US only, outside of the beginning of the pandemic, cancellations in were at their highest rate since 2014;

3. The podium of most disrupted airports. The top three airports with the most flight disruptions in 2019 were Chicago O'Hare International Airport, London Heathrow Airport, and Paris Charles de Gaulle Airport;

4. Passengers demand to be informed. According to the IATA, 75% of passengers who experience a flight disruption want to be informed about the situation as soon as possible. We went deeper into this subject in our Top 3 passengers’ priorities when experiencing a disruption post.

5. Passengers will rebook only if the disruption is well-managed. Passengers are more likely to rebook on the same airline if the airline provides timely and accurate information during a disruption, and we can confirm that. In our most recent Pax Feedback Survey, 8 out of 10 passengers assisted by Value Group during a disruption stated that they would fly again with the same company.

Passengers need support from airlines during disruptions.

Here at Value Group, we believe that although disruptions cannot be totally avoided, their impact doesn’t have to influence your reputation.

Value Group offers a wide range of solutions to its client to manage their journey disruptions for them. From our Value Layover Lounges, dedicated physical spaces to host your displaced passengers, to our all-digital assistance solutions, we always come through.

Through our wide portfolio of clients and suppliers, and our continuous timely assistance, we grant a 100% service completion across the world, to support you during crises and IROPs in general.

From creating a comprehensive contingency plan, to using the latest AI and technology to manage operations, to providing accurate and timely information, Value Group can help airlines better manage flight disruptions and minimize the negative impacts on their operations and their passengers comfort.

What are you waiting for? If you want to offer the best IROPs management to your passengers and forget the hassle of managing a disruption forever, you can contacts us at info@valueg.com or visit our dedicated solutions page .

Sources:

3. Value Pax Feedback – Q3 & Q4 2022

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]]> Why Enhancing The Passenger Experience in Airports Is Vital https://valueg.com/enhancing-passenger-experience-in-airports/?utm_source=rss&utm_medium=rss&utm_campaign=enhancing-passenger-experience-in-airports Sun, 11 Jun 2023 07:56:51 +0000 https://valueg.com/?p=4325 Why Enhancing The Passenger Experience in Airports Is Vital Jun 12/23 | Blog Airports serve as the gateway to our global adventures, connecting people across the world. In recent years, there has been a growing focus on enhancing the passenger experience within these bustling hubs. As a big part of the Value Group strategy lays […]

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Why Enhancing The Passenger Experience in Airports Is Vital

Jun 12/23 | Blog

Airports serve as the gateway to our global adventures, connecting people across the world. In recent years, there has been a growing focus on enhancing the passenger experience within these bustling hubs.



As a big part of the Value Group strategy lays on offering the best passenger experience, we are writing this article to explore why providing a seamless and enjoyable experience for travelers is of utmost importance.

1. The First Impression


Airports are often the first point of contact for travelers in a new city or country.


A positive initial experience sets the tone for the entire trip. From efficient check-in procedures to friendly staff, airports that prioritize passenger experience leave a lasting impression.


Conversely, long queues, disorganized processes, and unfriendly interactions can lead to frustration and dissatisfaction.

Enhancing the passenger experience in airports is vital in 2023

2. Stress Reduction


Traveling can be inherently stressful, and airports are no exception.


The sheer volume of people, security protocols, and time constraints can make passengers feel overwhelmed.


By focusing on passenger experience, airports can implement measures to alleviate stress. Clear signage, comfortable seating areas, and well-designed layouts help passengers navigate the airport with ease.



Additionally, offering amenities such as spas, relaxation zones, lounges for disrupted passengers and entertainment facilities can create a more calming atmosphere.

3. Time Optimization


One of the significant benefits of enhancing the passenger experience is the optimization of time.


Long security lines, cumbersome baggage procedures, and delayed flights can lead to wasted hours at the airport.


By prioritizing efficiency and implementing innovative technologies, airports can streamline processes, reducing wait times and enhancing overall productivity. This allows passengers to make the most of their time, whether it's catching up on work, shopping, or enjoying the airport's amenities.

4. Positive Economic Impact

Passenger satisfaction directly impacts an airport's reputation and, consequently, its economic success.


Happy travelers are more likely to choose an airport for future travel and recommend it to others. By focusing on providing an exceptional passenger experience, airports can attract more airlines and secure additional routes, increasing connectivity and tourism opportunities.



Furthermore, satisfied passengers are more likely to spend money on retail, dining, and other services, contributing to the local economy.


That's why we recommend all airports to protect their reputation by being covered in case of a flight disruption or cancellation. Learn how Value Group can help you achieve just that by visiting our solutions page.

5. Branding and Differentiation


In an increasingly competitive aviation industry, airports must differentiate themselves to attract airlines and passengers. An exceptional passenger experience can serve as a unique selling point, distinguishing an airport from its competitors.



By offering personalized services, modern facilities, and cutting-edge technologies, airports can create a brand identity that stands out. This branding not only attracts airlines but also positions the airport as a destination itself, fostering a sense of pride and loyalty among passengers.

Airports are the key to any passenger's first impression

As we saw, passenger experience in airports plays a pivotal role in shaping the overall travel journey.


By focusing on efficiency, reducing stress, and enhancing customer satisfaction, airports can create an environment that leaves travelers with positive memories.


The hidden opportunity lies in how these airports manage flight disruptions.


Since the airports with the most satisfied passengers will be the leaders of the future of traveling.


Find out more how Value Group can help you manage your disruptions for you by visiting www.valueg.com or send us an email at info@valueg.com.

The post Why Enhancing The Passenger Experience in Airports Is Vital first appeared on Value Group.

]]> How Value Group Is Striving To Become The Best at Disruption Management https://valueg.com/value-group-the-best-at-disruption-management/?utm_source=rss&utm_medium=rss&utm_campaign=value-group-the-best-at-disruption-management Fri, 26 May 2023 09:47:17 +0000 https://valueg.com/?p=4403 How Value Group Is Striving To Become The Best at Disruption Management May 26/23 | Blog Disruptions are a touchy subject. We know it. No one likes them, because let’s face it, being stranded in a foreign country, without any idea of what happens next, isn’t the ideal end to anyone’s perfect trip. We truly […]

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How Value Group Is Striving To Become The Best at Disruption Management

May 26/23 | Blog

Disruptions are a touchy subject. We know it.

No one likes them, because let's face it, being stranded in a foreign country, without any idea of what happens next, isn’t the ideal end to anyone's perfect trip.

We truly believe that honing our craft, and becoming the #1 IROPs management company in Europe (and, soon, the world!) will open a new chapter for air travel.

Imagine this: your flight gets canceled, and instead of stressing out, and worrying about what may happen next, you’re relaxed. Why? Because you know your rights, and that Value Group has your back.

But we’re not a “words” company, we’re action oriented, that’s why in this article we want to share with you how our disruption management is different. And why your favorite airline should pick us to manage their disruptions on their behalf.

1. There's nothing like the Human Touch

We may make a list on how we are the best because we are hyper technological and how we use AI to best organize our service requests, but we don't want to.

Why?

Because we know that our point of strength is one: the human side of our services.

We actually pride ourselves in giving the end passenger the best service possible, by being there physically.

We train our flight disruption assistants to deliver the best service possible. We also train our 24/7 operations department to find a solution to any problem, and satisfy any request.

Yes, if you're vegan and your flight gets canceled, don't worry, we've got you covered.

Our Team at Marco Polo Airport, Venice

2. Wherever you are, we are

It may sound cheesy but it's true: we're that present. Our network is extensive and covers all of Europe.

This week only, we've served passengers in the biggest airports of the continent: Charles De Gaulle, Luton, Frankfurt, Barajas, Fiumicino. You name it.

There is no airport we can't get our buses to and book hotel accommodations at. And all of our clients know this.

This is particularly linked to our relations with our suppliers and how we keep the human touch alive, even when dealing with them.

3. Technology and AI-Powered Management

The world is changing, and so are we.


Although our industry cannot be fully overtaken by Artificial Intelligence, we still believe in integrating its tools within our operations to offer the best service possible.

An easy and smoothly managed disruption depends on many factors. When you're dealing with hundreds of angry passengers, you can't leave nothing to chance.

This is why we make it easy for the end passenger to use our service. Just like we did with our VG Voucher solution.

When a flight is delayed for 2 hours or more, passengers are entitled to refreshments, through our exclusive app, clients can activate these refreshment vouchers directly to their passengers boarding pass.

On our clients' side, we also developed Disruption Cockpit. The app that lets Airlines have a 360 degree overview on the management of their disruptions.

Value Group, with its 20-year experience and specialized services fully dedicated to manage any flight-related crisis, remains at the service of airlines and airports to take from them the hassle of having to manage disruptions.

To request a demo of our apps, you can send an email to commerciale@valueg.com.

To stay updated on the latest news on Value Group and disruption management, you can follow us on LinkedIn.

The post How Value Group Is Striving To Become The Best at Disruption Management first appeared on Value Group.

]]> The international expansion of Airlines: challenges, strategies and the benefits of going global https://valueg.com/the-international-expansion-of-airlines-challenges-strategies-and-the-benefits-of-going-global/?utm_source=rss&utm_medium=rss&utm_campaign=the-international-expansion-of-airlines-challenges-strategies-and-the-benefits-of-going-global Mon, 27 Feb 2023 15:32:11 +0000 https://valueg.com/?p=4290 The international expansion of Airlines: challenges, strategies and the benefits of going global February 28/23 | Blog In recent decades, the aviation industry has undergone significant transformations. Many airlines are expanding their reach beyond their home countries to serve a more global customer base with the aim of gaining new market shares and expanding their […]

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The international expansion of Airlines: challenges, strategies and the benefits of going global

February 28/23 | Blog

In recent decades, the aviation industry has undergone significant transformations. Many airlines are expanding their reach beyond their home countries to serve a more global customer base with the aim of gaining new market shares and expanding their operations worldwide.

This international expansion has been driven by several factors; these include an increased demand for air travel, the liberalization of air transport policies, the globalization of the world economy and many more.

In this article, we will explore how airlines face their international expansion. Not only that, but we will also consider the challenges they face as they do so, the strategies they adopt to enter these new markets, the benefits that come with going global and how Value Group can be a strategic partner in this new expansion they decide to pursue.

An international strategy can be the answer to a sinking demand in homebase.

Why international expansion may be the right choice

The main driver of international expansion in the aviation industry is the increasing demand for air travel. A bigger potential market becomes very attractive, especially for airline carriers looking to adopt a bigger customer base, when the finite number of passengers in their home bases becomes a challenge for their growth.

Our lifestyles also have changed. People have become more affluent, and consequently have become more mobile. At the same time, air travel has become more affordable, leading to a rise in the number of people being able to travel whenever and wherever they want.

Another significant factor behind the need to go international has been the liberalization of air transport policies. Governments around the world have loosened their restrictions on foreign ownership of airlines, allowing carriers to invest in and acquire other airlines, just like Lufthansa has done several times in the past decade.

But there are some challenges

Expanding into new markets is not without its challenges, and it’s no news that the aviation industry is famous for having a very high barrier to entry.

One of the main challenges airlines meet when looking to expand overseas is regulatory compliance. Each country has its own set of rules and regulations governing the aviation industry, its airport use and so on. Airlines must comply with local laws and regulations to operate in a new market, which can be a time-consuming and costly process.

Internationalization comes with its challenges, but overcoming them can be rewarding.

That’s why having a strategy is important

To overcome great challenges, you need great strategies. And one of the biggest challenges faced by airlines when starting their expansion is the new-found local and global competition.

When entering a new market, airlines must compete with established carriers that have already built up a loyal customer base. Carriers that are trusted and familiar to the locals.

In this case, different strategies must be adopted for different countries; one option can be to offer competitive prices, just like in Ryanair’s case whose competitive price-point made it the first airline in Europe.

Another one can be to offer high-quality service, and a strong brand reputation to win over new customers and gain a market share big enough to justify the investment.

In Emirates’ case, taking advantage of the attractiveness of its Dubai hub gave it a competitive advantage that helped it grow its global-scale coverage and increase its market share to achieve economies of scale. Emirates’ strategic decision to reposition itself as a global carrier enables air travelers to bypass traditional airline hubs in Europe and North America for the more glamorous and coveted Dubai.

Another example can be WizzAir’s expansion strategy. In 2021 only, post-pandemic, they expanded their network with 34 new bases. Taking advantage of their low fares and diverse network, supported by their efficient and sustainable operations and high-quality customer service, their expansion continues in 2023 with another 50 routes in January only.

How Value Group can be a strategic partner for airlines deciding to go global

Crisis management related to any type of flight disruption is always hard to manage, but even more so when starting operations in a new country.

The process of having to develop new roots in a country is a long and tedious process for any business, since it entails finding, building, and maintaining a new network of suppliers happy.

Fortunately, when it comes to IROPs management in general, Value Group’s clients are guaranteed full global coverage – as we have an international network of suppliers distributed all over the world.

While presently covering over 120 airports in more than 30 countries with our very own partners, making us the first all-in-one disruption management services provider in Europe, we are tirelessly and constantly invested in growing our network of suppliers’ base, so that our clients don’t have to.

Value Group becomes an airline’s all-in-one IROPs management global supplier, taking care of any crises that may arise so that airlines can focus all their energy on growing and expanding their brand names all over the world.

If you want to learn more on how Value Group can become your strategic partner in your internationalization strategy, you can visit our solutions for passengers page and our solutions for crew page.

The benefits of going global

Despite the challenges, the benefits of going global are significant for any company, and airlines are no different.

International expansion allows airlines to enter new markets and diversify their revenue streams, reducing their dependence on any one market, and, at the same time, enabling them to strengthen their position in the industry.

There are many benefits to going global, and Airlines know that.

It also allows them to spread their risk and reduce their exposure to economic downturns if one country shuts down for political or natural catastrophes.

International expansion can also lead to operational efficiencies, as airlines can benefit from economies of scale and reduce their costs through increased efficiency and productivity.

Finally, expanding internationally also means that airlines can access a larger pool of talent, providing them with access to skilled employees and specialized expertise that they wouldn’t otherwise reach in their home base.

While expanding into new markets poses challenges, the benefits of going global significantly overshadow the drawbacks. They allow airlines to tap into new markets, diversify their revenue streams, and gain operational efficiencies.

As the aviation industry continues to evolve and to become more profitable, we can expect to see more airlines expanding their reach beyond their home countries to serve an always more global customer base.

As more and more airlines decide to go global, Value Group keeps on providing its 360° support to passengers by combining the physical presence of our staff all over the world with the innovation of our systems to ensure a positive passenger experience in the event of disruption.

If you want to learn more, please visit our solutions page or email us at info@valueg.com.

Sources:

- Global strategies of the airline industry: a case study of Ryanair, Emirates, Netjets, and Thomas Cook by Abdul-Kadir Ameyaw and Ameyaw Ahmed Sadat, 2020

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]]> Top 3 passengers’ priorities when experiencing a disruption https://valueg.com/top-3-passengers-priorities-when-experiencing-a-disruption/?utm_source=rss&utm_medium=rss&utm_campaign=top-3-passengers-priorities-when-experiencing-a-disruption Wed, 25 Jan 2023 07:55:50 +0000 https://valueg.com/?p=4220 Top 3 passengers’ priorities when experiencing a disruption January 24/22 | Blog When it comes to journey disruptions in general, the ones who resent it the most are always them: the passengers. In-between endless waits, unanswered questions, and a general sense of abandonment, a badly managed disruption can truly make or break the reputation of […]

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Top 3 passengers’ priorities when experiencing a disruption

January 24/22 | Blog

When it comes to journey disruptions in general, the ones who resent it the most are always them: the passengers. In-between endless waits, unanswered questions, and a general sense of abandonment, a badly managed disruption can truly make or break the reputation of any airline or airport.

As leaders in the IROPs management industry, this subject is very close to our heart. We all know that, in the end, taking care of a passenger during a disruption is always key in keeping them satisfied, both as people and as costumers.

In this article, we want to illustrate which are the consumers’ priorities and needs when experiencing a journey disruption by diving into what truly makes going through a disruption more bearable, and how airlines can leverage this information to better manage these crises and regain their passengers’ trust.

First priority: Flights status information

The Passenger experiences during flight disruption consumer research report states that the first priority of a passenger during a disruption, and it doesn’t come as a surprise, is to be informed. Nothing’s worse than standing at your gate or in front of a departure screen, clueless if your flight is leaving that day or not.

Passengers noted that when they’re promptly and effectively informed of any possible delay or cancellation from the ground staff, the wait is more bearable.

One of the reasons information is regarded as important is that it lets passengers self-manage the impacts of the disruption and alleviate worries. In addition to this practical benefit, information provision also helps to allay any concerns or anxieties that passengers may have because of the disruption and, in conjunction with welfare arrangements, it serves to demonstrates good customer care on the part of airlines and airports.
As one passenger nicely put it in the research: “An informed passenger is a happy passenger”.

Being informed resulted as the top priority for displaced passengers.

Second priority: Provision of refreshments

One in four passengers declared that the provision of food and drinks was very important for them during flight delays. In a survey made in this research, 40% of respondents, who waited three hours or more for their flight, said they received no assistance.

This comes as a shock, considering how the EU 261 regulates the right to care, that grants passengers food and drinks for delays that surpass the 120 minutes mark.

Through its cutting-edge native technology and 24/7 assistance, Value Group can fulfil any refreshment provision request in less than 5 minutes. Learn more about our solutions for passengers.

Third priority: Understanding their recovery plan

Lastly, passengers expressed the importance of being able to know how and who will take care of them during the disruption. This included the services provided to them, such as offering them both accommodation and transportation to and from the airport.

In fact, in our Pax Feedback Surveys, on a sample of 734 respondents who were entrusted to Value Group, to the question “How important was to have in-person assistance (like the one received today) as opposite to a self-service, APP-based solution?” the average response was rated at a whopping 3.7/4.

These results confirm how Value Group’s unique human-centered solution, through the provision of exclusive spaces, such as the Layover Lounges, and staff, such as the Layover Assistants, dedicated to take care of passengers and keeping them informed on their recovery plan is greatly appreciated by passengers all over the world. Learn more about our passengers care approach.

As for the post-disruption, giving an easy way to access a portal or an app to easily re-book their flights is considered a great plus in customer experience.

In conclusion, the airlines who support their passengers the most during any kind of disruption have a competitive advantage that makes their customers perceive them as overall more reliable transportation providers.

Offering precise, timely and effective assistance like the one Value Group can offer during a disruption on the airlines’ behalf, makes your passengers not feel abandoned in such critical times.

To confirm this, in our Pax Feedback Surveys, passengers reported that there was a, 75% chance that they would fly again with the same airline, after Value Group’s assistance.

Value Group, with its 20-year experience and specialized services fully dedicated to manage any flight-related crisis, remains at the service of airlines and airports to take from them the hassle of having to manage disruptions.

If you want to learn more about how we can help you find the best solutions for your flight-related crisis management please visit this page here or directly contact us at info@valueg.com.


And if you’re wondering if 2023 will finally be the year where air traffic goes back to being profitable, you can learn more by checking out our last VG blogpost here.

References:

3. Value Pax Feedback – Q3 & Q4 2022

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]]> Will air traffic go back to being profitable in 2023? https://valueg.com/will-air-traffic-go-back-to-being-profitable-in-2023/?utm_source=rss&utm_medium=rss&utm_campaign=will-air-traffic-go-back-to-being-profitable-in-2023 Wed, 28 Dec 2022 14:21:52 +0000 https://valueg.com/?p=3074 Will air traffic go back to being profitable in 2023? December 28/22 | Blog The air transportation industry rebounded significantly already during the first half of 2022, as shown by the figures in the first half-yearly report issued by Enac: between January and June, passenger volume is four times the one recorded during the first […]

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Will air traffic go back to being profitable in 2023?

December 28/22 | Blog

The air transportation industry rebounded significantly already during the first half of 2022, as shown by the figures in the first half-yearly report issued by Enac: between January and June, passenger volume is four times the one recorded during the first six months of 2021, mainly thanks to the lifting of the restrictions on the containment of the Covid-191 pandemic in most countries.
As Willie Walsh, Director General of IATA, puts it: "The most damaging factors in passenger traffic are the restrictions that governments still impose on travel. Luckily, many governments realised that travel restrictions have little or no long-term impact on the spread of a virus. And the economic and social difficulties caused by limited benefit are simply no longer accepted in an increasing number of markets2".

Considering the impact of the pandemic on air traffic in 2022, the good news is that the industry is on the upswing despite the fact that 2019 figures have not yet been reached.
In fact, Eurocontrol, the European air traffic control body, looking at the daily traffic snapshot, states a 14.5% decrease compared to the pre-Covid condition (this means, in real numbers, that 26,785 flights were recorded compared to 30,798 during the same period in 2019, taking the busiest countries such as the UK, Spain, Germany, France, Italy and Turkey as reference)3. Not only that, it also showed how the total capacity of the companies reached 86% of the 2019 total in 2022 and is expected to increase to 92% in 20234.

The inability of airlines to reach pre-pandemic levels is not only limited to the relevant restrictions in European and international countries. There are other factors that have deeply affected the industry and, hopefully to a small extent, will affect the year to come.
Unfortunately, the consequences of the Russia-Ukraine conflict are not to be underestimated: not only the impact on airline costs as a result of fluctuating energy prices or rerouting to avoid Russian airspace, but also implications due to the blocking of a market, the Russian one, which in the pre-Covid era was ranked eleventh for air transport services in terms of passenger numbers, including the huge domestic traffic within it5.

In 2023, the number of air traffic is thus expected to remain below 2019 levels (Eurocontrol believes that air travel will recover in 2024 and beyond to reach and exceed 2019 levels5), but that 'airlines', again quoting Walsh, "are resilient and passengers will fly in increasing numbers. It is a time for optimism even though there are still many challenges to be faced" represented by input costs such as fuel costs.

Airlines are resilient and passengers will fly in increasing numbers.

Airlines will also have to redeem their image aggravated by a summer, last year's, that compromised the journeys of countless passengers: during 2022, staffing problems at airports, air traffic controllers' strikes and supply chain problems contributed to bottlenecks in air transport networks. As a result, unexpectedly long queues caused passengers to miss flights, while airlines cancelled services.

Stephen Furlong, an aviation industry analyst at Dublin-based Davy stockbrokers believes these problems will be 'somewhat alleviated' next year. Airlines and ground handling companies started to increase their staff to cope with the demand. "I think things will get better, but there will still be problems with air traffic control", said Furlong 4.
It is therefore impossible to predict whether the substantial increase in passengers and the resulting air traffic can always be managed in an optimal way. Value Group remains at the disposal of airlines to quickly manage any possible disruption while at the same time ensuring a positive passenger experience for their passengers.

References:

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