Aviation Pricing: Issues and Innovations for Airlines, Airports and ATC.
The European Aviation Conference (EAC) 2019 takes place in Vienna this avyear. Complete details including booking engine on conference website www.eac-conference.com. EAC takes place on Thurs-Fri 6th-7th November.
This year, the EAC is preceded by the first meeting of a new organisation: the Aviation Management and Economics Conference (AMEC) conference, also in Vienna, on Wednesday November 5th. Programme here.
These meetings will be of interest to those with an interest in aviation, whether from an academic or business viewpoint.
Booking your Place
If these questions are relevant to your work, then register for EAC 2019 at the conference website: www.eac-conference.com
Further information on the EAC below the break.
The 2019 EAC theme
There are many important aspects to pricing including:
- The impact of ancillary revenues on airline ticket prices and airport charges
- The new distribution technologies (blockchain) and what they mean for air fares
- Greater competition/antitrust activism and the operations of long-haul carriers
- The Debate: Are air fares too low? Two teams of experts will debate this issue before the conference audience.
- Outdated air traffic control charging mechanisms
On airport pricing in a world of ancillary revenues, Dr Romano Pagliari, of the School of Aerospace at Cranfield University and an EAC 2019 participant, commented:
“Access to non-aeronautical revenues is an essential source for Europe’s airports to be able to maintain competitive aeronautical charges, meet operating costs and finance future capital investment. Worryingly, in recent years, growth in this business segment has stagnated largely due to competition from digital channels. To survive and improve their business resilience. In order to meet this challenge, Europe’s airports will need to re-think their non-aeronautical business proposition.”
For airlines, ancillary revenue derive from three main streams: a la carte services, such as baggage, meals and onboard wi-fi; frequent flyer programs; and commission-based offerings such as hotel bookings, car rentals and travel insurance. EAC 2019 keynote speaker Jay Sorenson, President of consulting firm IdeaWorksCompany observed:
“Popularized by budget airlines more than a decade ago, ancillary revenue plays an increasingly critical role in the aviation industry; [they] provide insulation from price, fare and fuel shocks”.
Aviation pricing is set to be subjected to some serious discussion and scrutiny at the EAC 2019.