Regional Market Southern Africa & Indian Ocean
Southern Africa and Indian Ocean is an exciting and dynamic area, which is currently experiencing strong economic growth and increased tourism. This leads to a demand for intermodal transport infrastructure solutions to serve the markets and satisfy international investor requirements. Passengers and goods need safe and reliable transport. Establishing a comprehensive civil aviation administration framework is crucial to ensure safe and secure operations and open sky policies. We are experienced in the intricacies of the strategic development and capacity building of airports and airlines in expanding markets.
Iraq and Jordan also lie within my area of responsibility. Both countries require a competitive aviation infrastructure and need to enhance their CAA framework. Modern and reliable airlines are key to keeping pace with the challenging Middle East and European carriers. A strong aviation industry will be able to support the local economy in the future for the benefit of the communities and their people.
Please feel free to contact me at any time to discuss the challenges you are facing in the transport sector.
At AFRAA’s (African Airlines Association) customer experience workshop on October 7th, 2021 Lufthansa Consulting provided insights into how to recover the aviation industry through measures directed at the customer. Based on the findings of Lufthansa Consulting’s white paper “Bringing customers back – trends in customer experience in times of Covid-19” published in early 2021, Wolfgang Bublitz, Associate Partner and Head of Solution Group CX and Julian Wildtraut, Consultant, explained the importance of creating an environment of comfort for customers while making use of digital technologies on the way out of the crisis.
As the aviation industry is only slowly recuperating executives around the globe are eager to find the right measures to help boost the sector’s recovery. In times of crisis, marketing and customer experience budgets are usually tight as the bottom-line profit margin stems from operations rather than customer experience. However, even during the worst times of the Covid-19 crisis it has been paramount to cater to customers’ needs and expectations. Airlines had to win back customers’ trust and did so through quickly implementing health measures by realizing a comfortable and safe travel experience for customers. Most of these measures were aided by digital technologies that helped largely to minimize human contact and facilitated processes along the customer journey.
In today’s fast-moving world, it is about being the quickest to adopt customer measures and adapt to trends and the market environment rather than just being the biggest player. Looking a few years into the future, airlines which invested into customer experience measures during the crisis will be rewarded with customer loyalty and a lucrative return on investment (ROI). In a poll during the workshop the participants votes reflected this: more than 50% predict a substantial recovery of passenger numbers only toward the end of 2022 and beyond. Another 70% think digital solutions are the key factor to contribute to recovery.
“Main drivers for creating a positive environment for customers are trust, a level of carefreeness and using the digital potential in service development” commented Wolfgang Bublitz. In order to reap benefits as quickly as possible, airlines should put the customer first, experiment with measures directly reflecting customers’ expectations, collaborate with all relevant stakeholder, such as airports and ground handlers and find their sweet spot in the adoption cycle to find the right balance between innovation and adoption.
White Paper: Find out more about customer trends and customer experience measures in Lufthansa Consulting’s white paper. Get in touch with us to receive your copy.
Podcasts: Tune into our Lufthansa Consutling Aviation Talk podcasts about Customer Experience on Spotify, Apple Podcast and Amazon Music
Lufthansa Consulting’s Air Service Development (ASD) experts will be present at the World Route Development Forum from 10 – 12 October 2021 in Milan, Italy. Senior Partner Ronald Schulz together with Consultants Luisa Grasshoff and Johann Gies welcome visitors to their exhibition stand P26 and will present their services for airports and the wider aviation industry, tailored to the needs of a post-COVID recovery.
”During and after the crisis, Air Cargo has gained much in importance for passenger carriers. It has become an important factor to consider when convincing airlines of operating a new route. Hence, Lufthansa Consulting now offers an enhanced ASD product including Air Cargo”, says Ronald Schulz.
Air Service Development aims at increasing airports’ and destinations’ connectivity and accessibility to the mutual benefit of airports and operating carriers, as well as to the travelling public. With traffic picking up and pandemic related travel restrictions being eased, the industry has started its recovery journey. More than ever before it is critical for airports to find themselves on carriers’ route maps again. Lufthansa Consulting supports them with its unique ASD product offering the clear benefits of increased connectivity as well as improved aeronautical and non-aeronautical revenue generation.
Lufthansa Consulting, thus, provides airports with experience both in passenger as well as cargo planning and operations, aided by access to various data bases, proven methodology, and deep expertise of the consultants. Its ASD projects help airports to transform their commercial aspirations into clear and compelling Route Studies targeting specific airlines on individual basis. This now covers both, Cargo-ASD for freight carriers, and ASD+Cargo for passenger carriers. “When we look at passenger services, the level of cargo reflection in Route Studies can be individualized as per airport and route-specific requirements,” Schulz says.
AFRAA, in partnership with Lufthansa Consulting will hold a virtual workshop on the theme “Bringing Back the Customer: Customer Experience and Trends” on 07 October 2021 from 13:00 – 15:00hrs (East Africa Time).
The aim of the workshop is to:
i. Provide insights into the Lufthansa Consulting trend radar and recent customer experience trend study 2021;
ii. Share expert opinion on the application of international market trends on the African market through interactive discussions on commercial and digital passenger use cases;
iii. Discuss current traveler needs and evaluate improvements on commercial performance.
Event agenda and target audience
The AFRAA-LH Consulting workshop is tailored towards Commercial Directors, Managers and relevant decision makers who can extract valuable insights from LH Consulting experts on Customer Experience and Trends. View the agenda here
The Secretariat hereby invites representatives of the relevant functional areas of your airline to participate and kindly requests you to nominate any of them to attend the workshop.
How to register
To participate in the virtual workshop, kindly register in advance via this link
After registering, you will receive a confirmation email containing information about joining the webinar. For any enquiries, please contact Ms. Dicie Okaya
We look forward to your participation in this important forum.
Air transport plays a fundamental role in Africa’s socio-economic development. The sector is a catalyst for promoting tourism and fostering trade and regional development. However, Africa represents less than 3% of global air traffic and over the past 15 years, the continent has had the lowest level of market consolidation compared to the other regions in the globe.
The African Airlines Association (AFRAA), Lufthansa Consulting and Kenya Airways staged a high level workshop on 14th September 2021 on African airlines consolidation to discuss the reasons for few partnerships and limited airline consolidation, the challenges and benefits of consolidation and measures for action by industry stakeholders to address the situation.
Mr Abdérahmane Berthé – AFRAA Secretary General, in his remarks stated: “The aviation sector is reeling from the impacts of Covid-19 pandemic. We need to devise new approaches of doing business in the face of increasing concerns on the sustainability of African Airlines. A crucial element in the success of the African airlines is consolidation and collaboration. The engagement of States, airlines and all the relevant stakeholders is necessary to effectively achieve the required outcomes on airline consolidation in Africa.”
Speaking during the workshop, Kenya Airways CEO Allan Kilavuka said: ”It is crucial to retrace and learn from the footprints of consolidation from different parts of the world as we reset Africa’s aviation towards our collective dream for flying to a better future. Consolidation and collaboration are essential ingredients for resilience and sustainable business operations of airlines. The ripple effect of strengthened collaboration amongst airlines will be an increase in the industry’s contribution to the sustainable development of Africa and therefore we must elevate the tenor of discourse and make the airline industry matter in and for Africa”.
Ms. Catrin Drawer - Head of Market Africa, Lufthansa Consulting stated: “We require to meet the challenges of the “New Normal”, a reset in our thinking and approach. We require new business models, meaningful innovations in operations, adaptive management open to change, a growing true synergistic relationship between airlines and other relevant stakeholders. New challenges need new solutions now and in future to bring both resilience, and sustained success. Thus, synergy and meaningful partnering, whether through existing contracts and alliances or new agreements, will be essential. We cannot bring back yesterday but we may together shape the future.“
Lufthansa Consulting experts provided an in-depth analysis and background of consolidation of airlines from a global to an African perspective. The impacts of consolidation for African airlines, passengers, cargo, air transport growth and connectivity were discussed. Case studies were presented at C-level by Kenya Airways, Air Afrique and Ethiopian Airlines to enrich the discussions with first-hand experiences on the challenges, benefits of consolidation as well as the lessons learnt.
The forum articulated the following recommendations for action by the industry:
i. Consideration of various models of consolidation including equity partnerships between two airlines or across a group of investments, cooperation between two or more well-matched airlines, or the formation of a new common airline. The concept of “Air Afrique” remains a valid consideration for Africa.
ii. Implementation of appropriate corporate governance structure is necessary for consolidation. Political interference in the airline management is to be avoided.
iii. Call to Development Finance Institutions (DFIs) to finance the feasibility study of consolidation models.
iv. Call for uniform implementation of harmonized regulations and the establishment of an enabling working relationship between regulators, airlines and Regional Economic Communities (RECs).
v. Enhancement of cooperation among African airlines (alliance of airlines, pooling resources, code sharing and interlining).
vi. Call for support and commitment from Governments for airline consolidation in Africa.
vii. Urge airlines to carry out careful evaluation of potential consolidation/partnerships based on factual data.
viii. Exploration of cargo opportunities for air cargo consolidation.
ix. Call for government and private sector collaboration to achieve concrete steps in airline consolidation.
x. “Walk the Talk” - translate ongoing discussions into action in the interest of delivering accelerated benefits to the aviation ecosystem
The important workshop brought together over 200 participants comprising airline CEOs, C-level representatives from airports, CAAs and other African air transport decision makers as well as the media.
The African Airlines Association, also known by its acronym AFRAA, is a trade association of airlines from the member states of the African Union (AU). Founded in Accra, Ghana, in April 1968, and headquartered in Nairobi, Kenya, AFRAA’s mission is to promote, serve African Airlines and champion Africa’s aviation industry. The Association envisions a sustainable, interconnected and affordable Air Transport industry in Africa where African Airlines become key players and drivers to African economic development.
AFRAA membership of 46 airlines cuts across the entire continent and includes all the major intercontinental African operators. The Association members represent over 85% of total international traffic carried by African airlines. Follow us on Facebook, LinkedIn, Twitter and YouTube.
About Kenya Airways
Kenya Airways, a member of the Sky Team Alliance, is a leading African airline flying to 41 destinations worldwide, 34 of which are in Africa and carries over four million passengers annually. In 2020 KQ was named Africa’s Leading Airline by the World Travel Awards. It continues to modernize its fleet with its 32 aircraft being some of the youngest in Africa. This includes its flagship B787 Dreamliner aircraft. Kenya Airways services cargo flights including London, Amsterdam, Guangzhou, Sharjah, Mumbai and over 25 intra-Africa routes in addition to its passenger network. The on-board service is renowned and the lie-flat business class seat on the wide-body aircraft is consistently voted among the world’s top 10. Kenya Airways takes pride in being at the forefront of connecting Africa to the World and the World to Africa through its hub at the new ultra-modern Terminal 1A at the Jomo Kenyatta International Airport in Nairobi. For more information visit www.kenya-airways.com Follow us on Twitter, Facebook, LinkedIn and Instagram
About Lufthansa Consulting
Comprehensive advisory services - Aviation is our business
Lufthansa Consulting is an aviation and management consulting company, which is dedicated to assist international clients from the aviation sector and related industries to meet the challenges of the future successfully. Since 1988 the company has provided services and solutions to the air transportation industry in more than 3500 projects worldwide and is an independent subsidiary of the Lufthansa Aviation Group (Deutsche Lufthansa AG).
Lufthansa Consulting is in the unique position of offering comprehensive consultancy and expertise to aviation specific client groups: air carriers, airport authorities, civil aviation authorities, governments, investors, financial institutions, manufacturers, other industries and service related entities. We know the aviation business and we take pride in implementing our solutions.
Follow us on LinkedIn and Twitter and listen to our podcasts on Spotify, Apple Podcast and Amazon Music
Ground Operations resembles one of the key pillars in aviation. Lufthansa Consulting’s initiative “GO 2030 – Ground Operations 2030”, is the umbrella for various deep dives into five focus topics of Ground Operations. In this podcast episode, our expert Eric Kuhn presents the identified focus topics, major challenges of Ground Operations, as well as solutions to those challenges. Together with the new podcast host, Sebastian Kaiser, he also gives an outlook on how aviation mega trends will affect the future of Ground Operations.
Listen to the podcast on Spotify, Apple Podcast and Amazon Music
You can also listen to the podcast here
Sebastian Kaiser – Consultant in the Solution Group Customer Experience
Eric Kuhn – Consultant in the Solution Group Infrastructure & Operations
Besides this podcast episode you can also read the lead article of GO2030 which has been published already.
Throughout the upcoming months, Lufthansa Consulting will share various deep dive articles reflecting the focus areas of GO2030. The series of articles and the podcast episode aim at answering the core questions outlined in the article as well as giving a solid base for preparing for the future Ground Operations.
Assessment of operational areas leads to recommendations to increase efficiency and productivity. Improvements for the organizational structure, and processes and procedures were defined by the consultant team.
Business process reengineering and implementation support results in 24.8 m EUR net EBITDA client benefit and improved customer satisfaction.
Planning guidelines to optimize the utilization of existing facilities of the airport to meet the projected capacity of c.6.2 million annual passengers in 2033. Strategic development of the airport and outline of efficient utilization of airport assets to create space to expand passenger terminal and new air cargo, commercial and heliport area.