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FlyBE Is Threatening To Pull Out Of Liverpool.  
User currently offlineGilesdavies From United Kingdom, joined Dec 2003, 2985 posts, RR: 2
Posted (8 years 6 months 2 days 8 hours ago) and read 5330 times:

FlyBE is threatening to pull out of Liverpool Airport due to dissappointing loads and a lack of interest from the business community.

They could pull out of the airport as soon as the end of October according to reports.

FlyBE withdrew their LPL-GLA service due to dissappointing loads in July and it would appear other routes are now doing no better.

News Article from a local paper:

YOU'VE GOT AN AIRPORT. NOW USE IT!
Oct 19 2005
Is Liverpool's business community still locked into a Manchester mindset when it comes to air travel? Tony McDonough reports

Daily Post

LIVERPOOL John Lennon Airport has enjoyed an unbroken run of good news in recent months as the number of scheduled services rises fast.

But this apparently inexorable rise in traffic could be undermined by a failure to attract business travellers to domestic and some European routes.

Flybe's cancellation of services out of Liverpool John Lennon Airport (JLA), and the threat to its remaining services, has caused alarm among Merseyside's business leaders.

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Flybe claims that business people in Merseyside are neglecting its routes and making them unviable. Too many local business people have not got out of the habit of using Manchester Airport, even though many destinations are served by Liverpool.

The carrier has already axed its services to Glasgow and Edinburgh and has said its remaining routes to Exeter, Belfast City, Jersey and Southampton were now under "urgent review".

Mark Basnett, director of investment at The Mersey Partnership (TMP), is so worried about events that he held a meeting last week with the chief executive of JLA, Neil Pakey, and senior executives from Flybe.

When the Daily Post launched its Fight for a Flight campaign in 2003, the response from the business community was immediate and overwhelming.

The campaign fought to restore the air link between Liverpool and London and in December of that year - just three months after the campaign began - Belgian carrier VLM announced it was setting up a five-times-a-day return service to London City Airport.

That route has largely been seen as a success although ambitions to increase the frequency of the flights have yet to be realised, with fierce competition now coming from Virgin's much improved rail link with the capital.

When the service began in February last year business and political leaders joined forces to push the "use it or lose it" message.. While this has been heeded for the VLM service, there appears to be a reluctance to fully utilise some of the 40-plus other routes out of JLA, particularly the Flybe services.

Mr Basnett asked business people across the region to put forward their views on domestic air travel out of JLA. He wanted to gauge levels of awareness of routes, fare levels, convenience of the timetables, access to the airport, check-in procedures and retail, catering and executive lounge facilities.

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"We undertook a consultation exercise with local business and three major issues came out of that," said Mr Basnett.

"The first thing was the level of awareness among businesses about the services. In some cases company travel policies have not been updated to include new routes on their approved destinations lists. This is actually encouraging because it suggests something can be done.

"Secondly, there was an issue with flight timings. Business people really want services that allow them to travel in the early morning and return in the evening.

"The third key issue was frequency of service. One return flight a day really doesn't give you much scope in terms of flexibility of business travel. If there were no other means of travel then people would have to use it. But there are alternatives.

"The encouraging thing is that we are picking up a strong propensity in the business community to use these services but the times and frequencies have to be right.

"We are going to work to raise the profile of the services across the business network. We have to use them if we want to keep them and I think we all have our part to play in this."

Flybe's head of marketing, Simon Lilley, attended the meeting with Mr Basnett last week. He acknowledged the high level of support both from the airport and TMP but admitted decisions about keeping or cancelling routes still came down to hard economics.

Low-cost airlines rely on high load factors to make their services pay. Load factor is the percentage of seats filled and budget airlines typically require figure a figure of 80% or more to make a route viable. The target load factor for full service airlines like VLM or British Airways tends to be nearer 60%

"We operate routes from several airports around the UK and our business model differs from those of Easyjet and Ryanair in that it is aimed much more at the business traveller," said Mr Lilley..

He insists the airline was constantly looking at schedules and the frequency of its services but added it was still not happy with the performance of the remaining Liverpool routes.

"We just don't seem to be getting enough business traffic on the routes," he said.

Peter Kenworthy, the commercial director of VLM, agrees with Mr Basnett's view that the frequency of a service can be vital to its success or failure.

He said: "I think the difference with VLM is that we are operating a high frequency service. Routes that do not offer this are going to struggle to attract enough business passengers.

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"This is particularly true for Liverpool when there is the option of more frequent services out of Manchester.

"Our route from Liverpool is five-times-a-day Monday to Friday and we would see that as necessary to make the route work. Obviously, the morning and evening flights are always busier than those in the middle of the day."

VLM itself has seen its recent year-on-year passenger figures fall as Virgin Trains' service to London has greatly improved but insisted the carrier's business plan had taken this into account.

He added: "This time last year there were big problems on the trains and this gave us a bit of a honeymoon period. The recent improvement on Virgin has had an impact on our passenger levels.

"However, just a few weeks ago we took part in an experiment to find out which was quicker to London - ourselves or Virgin Trains. Despite the fact the finishing point was near to Euston Station, we still won.

"When people use our service for the first time they usually end up loving it because they realise how easy it is to get to central London from London City Airport."

A recent survey by Barclaycard revealed that more than 80% of UK chief executives now fly on low-cost airlines for business trips.

Neil Pakey,chief executive of Liverpool John Lennon Airport said: "It would seem that a large number of Liverpool and Merseyside businesses are yet to wake up to the savings that can be made in using the wide range of low cost services now available at our local airports.

"One business traveller I met recently had travelled from Manchester to Southampton. On asking why he didn't use the Liverpool John Lennon Airport (JLA) flight on Flybe, he suspected it was because the company's travel agent who booked it didn't know about it.

"Similarly, a traveller from the public sector went to Warsaw via Manchester, paying a lot more than our Wizz Air service from Liverpool. It makes no sense.

"The traditional way for companies booking travel was to book through a single source, paying premium prices, including commission. Nowadays, more and more UK businesses are saving more money simply by booking travel directly on the internet themselves, or in insisting that their corporate travel agents book certain flights or operators.

"This is allowing a lot more travel for the budget or significantly reduced travel budgets. However, in Merseyside, local firms do not seem to be taking full advantage of the near-50 destinations available from JLA.

"Perhaps businesses in Merseyside simply do not have the same need to travel than businesses in Leeds, Manchester or Newcastle? I can't believe that.

"At JLA we are making major strides forward in getting our city connected with major business centres. The leisure market is eagerly booking on these routes but businesses do seem slower to respond.

"More businesses on some of our routes, like Southampton, Cardiff and Aberdeen, are coming from the other end into Liverpool rather than Liverpool passengers going out.

"If you are travelling soon on business, check to see why you have not been offered a low-cost flight. Then perhaps we will become more clever with our travel policies and more than 80% of Liverpool chief executives may choose to fly low-cost airlines for business."


[Edited 2005-10-20 09:40:55]

7 replies: All unread, jump to last
 
User currently offlineTrb10 From United Kingdom, joined Jul 2004, 179 posts, RR: 0
Reply 1, posted (8 years 6 months 2 days 8 hours ago) and read 5243 times:

Apparently I read somewhere that their handling agent Servisair is allegedly not very good either, planes are arriving early but departing very late because of poor performance by Servisair so consequently it has a huge knock on effect for later flights.

User currently offlineEGTESkyGod From United Kingdom, joined Jun 2005, 1712 posts, RR: 12
Reply 2, posted (8 years 6 months 2 days 7 hours ago) and read 5193 times:
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They have recently announced new routes from Manchester. Many feel they are replacing the Liverpool routes with Manchester routes. Understandable given the amount of people that travel from Manchester compared to Liverpool. I'm not saying Liverpool isn't a good airport, I'm just saying Manchester has better prospects for Flybe.


I came, I saw, I Concorde! RIP Michael Jackson
User currently offlineDavid_itl From United Kingdom, joined Jun 2001, 7329 posts, RR: 14
Reply 3, posted (8 years 6 months 2 days 4 hours ago) and read 5083 times:
Support Airliners.net - become a First Class Member!

Quoting Gilesdavies (Thread starter):
From Neil Pakey: "Similarly, a traveller from the public sector went to Warsaw via Manchester, paying a lot more than our Wizz Air service from Liverpool. It makes no sense.

Perhaps Mr Pakey might not understand that traveller may have wanted to come back the same day. Can they do that with Wizz Air? You're certainly able to do so 5 times a week using LOT from MAN.

Quoting EGTESkyGod (Reply 2):
Many feel they are replacing the Liverpool routes with Manchester routes.

It is remarkable that they chose to launch 3 daily weekday services on SOU-MAN ahead of a daily LPL-SOU service. It looks like the bluster they made about Liverpool and it's thriving business community did not manifest itself with the minimum 2 daily service that would be able to tempt business passengers to use the LPL service ahead of a MAN service.


User currently offlineBestWestern From Hong Kong, joined Sep 2000, 6953 posts, RR: 57
Reply 4, posted (8 years 6 months 2 days 2 hours ago) and read 5016 times:

Quoting David_itl (Reply 3):
Perhaps Mr Pakey might not understand that traveller may have wanted to come back the same day. Can they do that with Wizz Air? You're certainly able to do so 5 times a week using LOT from MAN.

Perhaps if the person knew about the Wizz service he may have chosen it over travelling to Manchester! As LCC airlines Dont use GDS's their content or existance on routes is often unknown.



The world is really getting smaller these days
User currently offlineBigOrange From United States of America, joined Apr 2004, 2362 posts, RR: 3
Reply 5, posted (8 years 6 months 2 days 1 hour ago) and read 4971 times:

But I'm sure the scousers are going to blame MAN for bribing BE to pull out of LPL, just like they always did.

And maybe if he's a public sector worker, the ticket was being paid for by the people in Poland, in which case they have to support their national airline.


User currently offline7LBAC111 From United Kingdom, joined Jul 2004, 2566 posts, RR: 36
Reply 6, posted (8 years 6 months 1 day 15 hours ago) and read 4795 times:

Quoting EGTESkyGod (Reply 2):
They have recently announced new routes from Manchester. Many feel they are replacing the Liverpool routes with Manchester routes

That's pretty much whats happened.

Quoting Gilesdavies (Thread starter):
The carrier has already axed its services to Glasgow and Edinburgh and has said its remaining routes to Exeter, Belfast City ....

BE just opened regular services to both BHD and EXT from MAN. And U2 have cut back a little on their LPL-BFS route IIRC. Maybe the demand isnt there.

But with BA going to up to 7 flights daily on MAN-BHD, WW up to 4 times daily and now BE 3 times daily, who will be the casualty? Methinks BA 'Red' will see BHD axed. Ba aren't loyal to Belfast. Never have been. Hopefully BE can fill this void.

My problem now is choice. Its definately BA or BE. Love the Dash-8' s. BE normally cheaper, BA give me a free cuppa! Hmm. I wonder ... lol

7LBAC111



Debate is what you put on de hook when you want to catch de fish.
User currently offlineCapital146 From United Kingdom, joined Jun 2003, 2125 posts, RR: 45
Reply 7, posted (8 years 6 months 22 hours ago) and read 4694 times:

Quoting 7LBAC111 (Reply 6):
Love the Dash-8' s.

Thought I was the only one! Love my Dash 8's.  Wink

I thought LPL-BHD was doing really well, didn't they increased frequency not too long ago due to impressive demand? The route was only added about a year ago, surely it can't have gone downhill so quickly? Or could this be the one BE route to survive at LPL?



Like a fine wine, one gets better with age.
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