Regional Market Page Europe

About Lufthansa Consulting Europe

 

Europe is an increasingly challenging market for the aviation industry. A growing number of constraints such as additional taxes, a rising number of night curfews, changing customer behavior or growing competition mean that aviation businesses have to continuously update their strategy and efficiency to ensure sustainability. To support you in dealing with upcoming challenges, we keep track of the latest industry developments and continuously develop our service portfolio.

Lufthansa Consulting enjoys a strong market presence in our European home region and we have a long-standing track record of successfully completed project assignments. Although our focus is on the aviation industry - airport, airlines, investors and service providers are our key clients - we also serve adjacent industries such as tourism, logistics and other modes of transportation in elaborating customized solutions.

Please contact me to discuss your business venture.

Latest activities

  • 15 - 19 Jun 2020 , Digital Conference

    Air Convention Digital Week

    Under the motto "Next steps for aviation amid COVID-19: a survival guide for aviators" the Air Convention Digital Week is a significant online aviation conference and networking platform. During five days of fruitful discussions, invited experts will talk over the most effective ways of recovery for the aviation business mid the Covid-19 outbreak.

    The conference will be streamed on Aerotime.aero, Facebook, YouTube and other platforms and websites in order to maximize the reach of the speaker presentations.

    The conference is expected to attract about 30 000+ viewers worldwide and over 500+ participants on Air Connections networking platform.

    Stanislav Solomko, Associate Partner, will speak about demand forecasting on DAY 1: Revamping passenger demand models for a post-COVID aviation world.

    Air Convention Digital Week Event Page

  • Physical distance creates need for emotional proximity

    With the gradual resumption of air traffic post Covid-19, airports need to consider appropriate measures – physical in the short term, digital in the long term. As abruptly as air traffic has collapsed, its ‘U’-shaped recovery will take a long time to restore. Naturally, physical airport measures come first in the wake of slowly rising travel volumes. Those airports, that however succeed beyond the obvious initiatives and focus on a customer-centric digital engagement along the entire airport travel chain, will be the first to regain lasting passenger experiences. They will shift stress back towards satisfaction at customer touch points by means of a digitally driven emotional proximity. Emotional proximity with personal distance – at first glance a contradiction in terms, at second glance an exciting challenge.

    Lufthansa Consulting customer experience experts reflect on the impact of Covid-19 on touch points along the customer journey, correspondingly defining passenger needs and requirements, and structuring the implementation of possible and appropriate airport measures along the time axis. 

    Read the full article here

    Further insights from Lufthansa Consulting’s aviation experts are available here 

    To learn more and discuss how your organization could benefit from Lufthansa Consulting’s expertise on Crisis Recovery, please get in touch at APcrisis-solutions@LHConsulting.com

  • Shaking up the foundations of revenue management and pricing

    Within a couple of weeks, historic data as the foundation to monitor trends and performance has become irrelevant, shaking up the foundations of revenue management and pricing. Real-time data will play a significant role for airlines to make decisions by considering market-specific factors. Based on these insights, revenue management and pricing have to be done differently. Lufthansa Consulting's Revenue Management and Pricing experts have identified the importance of approaching data as the foundation of decision making in a different manner and the key measures to adapt the steering of revenue management and pricing to build the foundations for a sustainable future. 

    Revenue Management and Pricing in the time of crisis recovery

    Imagine starting over with a clean sheet of paper and changing the way of doing revenue management and pricing. What should be done differently? Within a couple of weeks, historic data as the foundation to monitor trends and performance has become irrelevant, shaking up the foundations of revenue management and pricing. Many variables have changed or are unknown within the equation forecasting future demand and predicting demand patterns. IATA estimates an industry drop in per passenger revenue of $314 billion and a full-year demand decline by 55% compared to 2019 based on a scenario with domestic travel restrictions up to three months and international restrictions beyond three months.  Airlines have to come up with a quick answer of how to make decisions and how to adapt the steering of revenue and pricing to recover from this crisis and to build the foundations for a sustainable future.

    The impact of the Covid-19 pandemic forces airlines to change their revenue management and pricing approach. A hybrid approach, combining machine learning and human interaction, allows the automation of processes with the option of human intervention. 

    This is also an opportunity to change fare structures by offering more flexible fare conditions to gain customers back. New models could allow customers increased flexibility without requiring the airline to sell tickets at a price too low to make a profit.   

    Finding creative and tailored solutions will significantly impact the ability of airlines to recover revenues. 

    Read the full article and insights here

    Further insights from Lufthansa Consulting’s aviation experts are available here 

    To learn more and discuss how your organization could benefit from Lufthansa Consulting’s expertise on Crisis Recovery, please get in touch at ALcrisis-solutions@LHConsulting.com

     

  • Loyalty programs during COVID-19 – a silver lining in times of crisis

    After weeks of abandoned airports and grounded aircraft, borders are slowly reopening, making air travel possible again – theoretically. But who is willing to travel and which airline will succeed in filling up the empty seats? While it is too early to nominate a winner from the crisis yet, it seems obvious that every airline needs to evaluate their individual assets and apply them to their best advantage. One of these assets is certainly the loyalty of an airline’s customers.

    Customer loyalty – a helping hand out of the crisis

    Which aviation businesses will, in the end, succeed in recovering from the crisis will largely depend on which airline’s customers will fly again soon. Certainly, airlines that have already invested time and resources into building up a base of delighted and loyal customers through a customer centric approach supported by attractive frequent flyer programs are better positioned to make it out of the crisis. 

    However, anxiety and confusion about what’s coming next reflect to a certain degree the change in customer habits, requirements and expectations. Proactively listening and addressing the members needs enables airlines to position themselves in a way that allows fast adaption to the new situation. 

    This is the opportunity to launch improved and innovative offerings in the market, to serve customer needs as of today, as well as creating synergies for the future.

    This article focuses on the competitive advantage of airline loyalty programs in times of crisis illustrating how loyalty programs can support the airline in its decision-making for the upcoming operational re-start. Furthermore, the article highlights what airlines must in turn do for their members in these uncertain times to reinstate passenger confidence and begin to drive the much-needed revenue recovery.

    Read the full article here 

    Further insights from Lufthansa Consulting’s aviation experts are available here 

    To learn more and discuss how your organization could benefit from Lufthansa Consulting’s expertise on Crisis Recovery, please get in touch at ALcrisis-solutions@LHConsulting.com

    Together, we can make it through to better days.

  • Revamping passenger demand models for a post-COVID aviation world

    With the aviation world slowly initiating a recovery from the capacity shock resulting from Covid-19, stakeholders within the industry – airports, airlines, regulators, governments, investors and lessors – require reliable demand forecasts in order to strategize and plan for the future. However, existing forecasts are invalid. Traditional forecasting methods must be adapted to the new conditions. In the article, Lufthansa Consulting proposes three key adaptations for revamping passenger demand models for a post-COVID aviation world.

    1.    A new reality requires new indicators of demand, including elements such as Covid-19 related trends, traveler sentiment and post-crisis passenger behavior. This also necessitates new modes of data collection and management, often in real time 

    2.    The future should be approached as four distinct segments, ranging from the immediate near term revival in 2020 to long term growth over a 20 year period. Each segment varies in the level of uncertainty and hence the factors driving traffic and the duration. Segregation of the forecast and applying a different approach to each allows one to group elements of uncertainty and tailor forecasting to the most relevant factors.

    3.    Flexibility and inventiveness are essential to navigate a dynamic environment. That translates to regular updates of the forecasts and quick ‘test and learn’ trials for short term planning, and incorporating the potential effects of future shocks into mid or long term planning scenarios.

    Read the article in full here

    To learn more and discuss how your organization could benefit from Lufthansa Consulting’s expertise on Crisis Recovery, please get in touch at ALcrisis-solutions@LHConsulting.com.

    Further insights from Lufthansa Consulting’s aviation experts are available here

    Together, we can make it through to better days.  

Projects

Airport marketing and route development to the Russian and CIS markets

German airport

Airport marketing efforts on behalf of the German Airport and a tailored route study convince targeted Russian airline to commence services from the German airport to Russia and CIS.

Market entry strategy

Portuguese charter airline

The charter airline required support in entering the scheduled commercial aviation market. The Lufthansa Consulting team analyzed the market, facilitated cooperation with a major scheduled carrier and recommended a commercial and fleet plan.

Fuel procedures and policy review

Airline in United Kingdom

Fuel policies and procedures were evaluated and benchmarked against best practice to identify potential fuel saving initiatives. The recommended implementation program promises considerable yield savings.


Clients

Award

Best of Consulting

For the second time in a row Lufthansa Consulting has been awarded the renowned consultancy prize "Best of Consulting" by the German weekly business news magazine WirtschaftsWoche. The “Excellent” award went to a successful Air Service Development project with Auckland International Airport, the largest airport of New Zealand and the third busiest international airport in Australasia. Lufthansa Consulting and its client Auckland International Airport are incredibly pleased about the award and that the WirtschaftsWoche jury could also be convinced of this successful project. Both look very much forward to their further productive and prosperous cooperation.