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Azul Brazilian Airlines: Long Term Aspirations?

Mon Sep 24, 2012 10:48 am

A couple of weeks ago Santos Dumont was closed for a long time due to fog. TAM's 9am Ponte Aeria was rescheduled for 1pm, all were delayed. Oy vay - buying a RT day-of is close to $1000 USD! A 50 minute flight. I recall $75 each way when it was either VARIG or TAM. That morning the line for GOL was like the line for the new iPhone.

I was in a panic, I had meetings in São Paulo. I went to Azul. For R$270 one way from SDU to Viracopos. Wow, what a deal!

It all made me think, the shuttle is over priced (yes, a last minute purchase) but with TAM, GOL, Webjet, Trip, Avianca is Azul doing? Considering a long term outlook what do they aspire to do to grow? With TAM being so big and globally international and alone in that regard, would Azul consider widebody aircraft and start to be a challenger brand to TAM? An Alliance? Or will Gol or Avianca beat them to the punch?

Given the Azul roots to JetBlue (due only to its founder) are their ambitions to just become the JetBlue of Brazil? How highly regarded are they within Brazil?

To Most the Sky is The Limit, For me, the Sky is Home.
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RE: Azul Brazilian Airlines: Long Term Aspirations?

Mon Sep 24, 2012 12:25 pm

Didnt Trip and Azul merge?
"Sucka, I'm gonna send you out on Knuckle Airlines. Fist Class!!" ~ Mr. T
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RE: Azul Brazilian Airlines: Long Term Aspirations?

Mon Sep 24, 2012 1:10 pm

Quoting jetMARC (Reply 1):
Didnt Trip and Azul merge?

Yes, Azul announced its definite agreement to acquire Trip in May and they expect the regulatory authorities to approve the transaction soon. Azul has stated they will apply its brand to Trip's operations.

Last year, GOL announced its acquisition of Webjet and was granted regulatory authorization by the ANAC. GOL and Webjet are in the process of integrating their operations, including phasing out its 737 Classics with GOL 737-800s.

The market in Brasil is indeed consolidating, with three big domestic players, TAM, GOL and Azul. Completely agree that fares in Brasil are outrageously high!
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RE: Azul Brazilian Airlines: Long Term Aspirations?

Mon Sep 24, 2012 1:44 pm

According to Valor Economico (Brazilian business newspaper), the antitrust agency is expected to decide on this merger by the end of October.

There were some changes on key executive positions, and David Neeleman is now the new CEO. José Mario Caprioli, Trip's current CEO, will be the COO of the combined company.

It was also announced that both companies will start code sharing on the last week of October. According to the new COO, this is the beggining of the full consolidation, which is pending regulatory approvals.

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