Regional Market Russia

About Lufthansa Consulting Russia

The Russian Federation stands out as a high-growth region for the aviation industry even among the BRIC countries with promising opportunities and challenges for all stakeholders. Lufthansa Consulting clients include airlines, airports and aviation authorities as well as related industries such as ground handling companies, cargo terminal operators, aircraft manufacturers and financial institutions. Our experts, including Russian speakers, are ready to assist you and find solutions to match your aviation business needs. Our clients range from global network airlines to medium size and small regional carriers, large aviation hubs and small regional airports. We look forward to working with you.

Latest Activities

  • 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.  

  • Regional airports: alliances and cooperation for better connectivity

    As global air passenger capacities fall in the aftermath of the Covid-19 pandemic, airlines are likely to focus on their core routes, particularly those feeding their hubs. Regional airports and the communities living in their vicinities are at risk of seeing a significant reduction in service. To revive traffic and meet the travel needs of the local population, regional airports will need to think creatively – including exploring greater cooperation among themselves to ensure viable service.

    Regional airports are an important element of the aviation industry in all parts of the world. These airports generally have a significant impact on the local economy, as the local community leverages better connectivity and more employment opportunities.  

    In recent years, regional airports in Europe have had to undergo significant restructuring to comply with EU regulations on state aid. Competition between airports has intensified, with airports often relying on strong incentives to attract service. These challenges are not unique to the European continent; they occur in varying levels of severity in most aviation markets around the world.

    Airports must unite for the greater good

    There is a strong case to be made for regional airports coming together to jointly develop an action plan, avoiding internecine battles to attract service.

    The current pandemic has had a devastating impact on aviation. However, as the industry recovers, this is also the best time to pursue bold initiatives such as deeper collaboration among regional airports.  An integrated approach that aims for mutual support and growth could be a blueprint for more stable and viable regional airport networks in the future.

    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.  

  • Hannes Müller appointed as Managing Director of Lufthansa Consulting

    Effective May 2020, Hannes Müller (44) joins the Lufthansa Consulting Management Board as Managing Director. Mr. Müller together with Dr. Andreas Jahnke, will further grow the Lufthansa Group’s aviation-focused management consulting business internally within the Group and also externally as part of the global competitive market. In addition to the significant challenges posed by the COVID-19 crisis, their focus will also include opportunities related to the digitalization of customer interfaces, processes and business models.
     
    "I am very excited and looking forward to working with Hannes Müller, an experienced colleague who has a deep understanding of the aviation industry with its strategic and operational challenges" says Andreas Jahnke.
     
    Hannes Müller has worked in various business units and management positions within the Lufthansa Group, most recently as Senior Director Infrastructure Strategy & Business Analytics, and prior to that as Director Segment Strategy in Corporate Strategy. He started his career at the Lufthansa Group with an apprenticeship of Airline Commercial Management (CCI). Mr Mueller studied at the Universities of Cologne and Mainz and holds a Master of Business Administration. 


    About Lufthansa Consulting:
    Lufthansa Consulting is one of the leading management consultancies in the aviation industry. The independent subsidiary of the Lufthansa Group develops individual solution concepts for its international client groups, including airlines, airports, public authorities, institutes and related industries. Specific project teams advise clients professionally, comprehensively and successfully. Many years of expertise in aviation, combined with profound methodological competence and a multinational team of consultants, guarantee clients tailor-made and implementable solutions.
     

  • Should regional airports get state aid?

    From a Lufthansa Consulting perspective, the answer to this question is not if regional airports should get a bailout but how regional governments can work with and provide financial aid to these airports to survive the crisis.

    COVID-19 pandemic has seriously disrupted the aviation industry including both airports and airlines. Many countries still keep stringent domestic and international travel bans to control the spread of the virus. The consequent sharp drop in passenger numbers and flights has started to impact the financial viability of regional airports. Unless a significant improvement of the current situation takes place, which is unlikely, a financial bailout for some regional airports will be inevitable in the coming months. Both airports and governments need to prepare themselves for the foreseeable bailout exercise.

    The state must provide financial aid to the regional airports with strategic importance 

    In this article, our financial expert Haihong Xu explains in detail:

    - Why regional governments need to provide financial aid to their key regional airports,

    - What are the key preconditions that airports need to fulfill and

    - How governments can prepare themselves for the coming bailout requests

    Read the full article here

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

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

    Together, we can make it through to better days.  

     

  • Personalizing the passenger experience as a way out of the Covid-19 crisis

    Travelling has come to an abrupt halt after the introduction of severe travel restrictions and lock-downs of countries. The Covid-19 pandemic has changed the everyday lives of people worldwide within days, forcing airlines to be decisive and adaptable under tremendous time pressure to ensure the survival of the company. These dynamic developments are expected to trigger long-lasting changes in customers’ habits, demanding airlines to rethink and redesign commercial strategies. Reacting to customer needs by offering customized services across touchpoints is essential for airlines to come out of this crisis.

    In this article, Lufthansa Consulting's Customer Experience (CX) and Revenue Management (RM) experts make a compelling argument as to why it is of high importance to prioritize and identify customer centric measures in order to recover revenues and to strive for long-term sustainability. 

    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.  

Projects

EASA Part-145 conformity assistance

Airline in Russian Federation

Processes and procedures were improved to conform with EASA requirements, particularly in material related activities. The airline achieved the first steps towards compliance both as an organization and as a maintenance organization.

Extended market potential analysis, traffic forecast and peak capacity analysis

Airport in Russia

Independent and professional market potential analysis and traffic forecast for the Russian airport with capacity requirements analysis. Benefits were a clear understanding of the Russian market dynamics and the potential of the airport at national level, network development opportunities, quantification of the traffic potential of the airport and flight plan projections for the next 30 years.

Five-year network development plan update

Russian Airline Group

Optimized route network of airlines of the Group with regards to their interconnection in order to maximize profitability. Optimized schedule for the five-year period with recommendations for fleet planning strategy. Systematic approach to frequency and capacity changes based on level of contribution of a given route to the Group network and enabled economic based decisions.


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.