Upkeep. Corsair vs French Blue. In the Reunion heaven, these are two diverse strategies to air transport that have begun to cross the iron. Director of Corsair plans, Julien Houdebine has no advanced: “If a carrier ought to produce, it will not be us.”
What is the monetary well being of Corsair ?
“We were being beneficiaries in the prior work out, but this time we will be well above the mark, with the Indian Ocean accounting for 40% of our turnover Which includes a single 3rd for the only location in Réunion.
The dynamics have been fantastic considering the fact that the starting of the yr.
The arrival of French Blue on the axis Paris-Reunion concerns Corsair?
Of system, this is not heading to transpire without agony. We welcome this arrival serenely since we feel we have the arguments to reply it. We have served Reunion Island for twenty five a long time. We have seen competition arrive, some others disappear. We have usually held the line. This is not the 1st time we have faced a competition that can be intense. We have a fantastic understanding of the market.
How do you organize the riposte?
Our system, outlined in advance of the arrival of French Blue to consolidate our effects, is centered on regional and upmarket development. Two of our Boeing 747 400s have already been reconfigured, a 3rd will be shortly with a twelve-seat organization course and the former Grand Massive, renamed Premium, with twelve seats on the higher deck. The Airbus A330 will obtain their new enhancement from the starting of November. Reunion will be the 1st location on which the refurbished aircraft will be engaged at the starting of September.
French Blue ambitionne to get 20% of market share. Can a enterprise disappear from the sky of Reunion and can this enterprise be Corsair?
It is apparent that this inflow of ability in a market that is not as elastic as this development will have a Affect on each individual of the firms. That will not drive Corsair again. Our effects are solid adequate and our prospective clients for enhancement are practical. If a carrier ought to give way, it will not be Corsair.
“Corsair will not retreat”
With the arrival of French Blue, all of its competition, like Corsair, are multiplying advertising presents. So there was place to decreased rates. Why did not we do it sooner?
Since 2015, rates have fallen quite a few periods. Promotions below 600 euros, we did not hold out for French Blue to do them. Right now, to retain market share, firms are escalating their promotions. We have usually needed to supply the greatest price for cash. In July-August, inspite of the arrival of French Blue, we are up 13%. There is the screen of the rates practiced by French Blue and the reality of the market.
Has not the fall in the price tag of kerosene benefited only the firms?
This is inaccurate. The IATA studies display pretty plainly that the fall in the price tag of fuel oil has been reflected in the device revenue. In the yr 2015, when the drop in oil rates was the most sizeable, device revenues of airlines fell in the very same proportion. At the starting of 2015, Corsair reflected a drop of about two hundred euros on its return visits concerning the metropolis and Reunion Island.
Can airlines, like Corsair, do without territorial continuity?
This is a main component to assist demand. In the aggressive context of La Reunion with 5 players current, it is important that demand stays supported by this kind of machine. If it were being to disappear, which is not on the agenda, firms really should organize themselves to encourage demand.
Is not territorial continuity a suggests for firms to retain significant tariffs?
We observe the lowest doable rates without taking into account the territorial continuity . It is a lever to make it possible for more Reunion Islanders to journey at a decreased value but it is not a way to observe rates that would not be aggressive.
At the second when quite a few firms are contemplating about very low-value, Corsair is choosing to enhance. Are not you out of contact?
It is a system that is section of a prolonged trajectory. From charter, we grew to become standard enterprise then we proposed two cabins, then now a organization course to increase our unitary revenue. The very low-value short / medium-haul impression really should not be plagued on the very low-value prolonged-haul. They are economical on fees but with a services stripped that, from our stage of see, does not meet the anticipations of the market Reunion.
Can we picture a very low-value enterprise backing up to Corsair?
This is not one thing we are thinking of.
Pascal de Izaguirre, CEO of Corsair, reported he needs to reduce the bodyweight of the West Indies and Reunion and raise that of Africa. Corsair will lower the sail on the Indian Ocean?
We will continue to be in everyday flight on the Reunion all yr. We are strengthening our entry to Africa but this will not be to the detriment of Reunion Island.
Are you glad with the effects on Reunion Island – Mayotte and Réunion – Madagascar?
This is one thing that works so considerably in continuation from Paris as on the regional. There was a true hold out since of the prohibitive rates billed in advance of we arrived. We will reinforce our regional flights by proposing other Malagasy locations even though waiting for Mauritius which we consistently relaunch to get targeted visitors rights. This is the sensible continuation to bolster our anchoring on the Indian Ocean.
Some confusion reigns around the services of Mayotte.
There ought to be no ambiguity about our fascination in Mayotte. But the track of Dzaoudzi can not accommodate the B.747. In July-August the demand is sufficiently solid on Reunion Island so that we put on large-carriers. On Madagascar, exactly where there is no runway constraint, the Reunion – Ivato ramp is maintained during the yr.
The fleet launch of the Boeing 747 four hundred is declared from September 2020. To change them, large-carriers? New or utilized aircraft? Airbus or Boeing?
The studies are in development, we will make a selection mid-2018. All scenarios are on the desk. Plane of the new generation, Airbus A330, A350, Boeing 787, 777. We will have to integrate the actuality of obtaining broad-body on the suggestion and the gain of obtaining a more homogeneous fleet with the very same kind of aircraft. The criterion of getting able to serve Mayotte during the yr will be taken into account.