INTHEBLACK December 2021 - Magazine - Page 48
F E AT U R E
// C I V I L AV I AT I O N
“I DO THINK AIRLINES ARE
RECONSIDERING THEIR REVENUE
AND CUSTOMER MIX. THEY ARE
SEEING WHERE THEY CAN PLAY A
BIGGER ROLE IN THE REST OF THE
TRAVEL PLANNING ECOSYSTEM.”
ADELE LABINE-ROMAIN, DELOITTE
they are the more profitable segment,” says LabineRomain. “Leisure travel is also the segment that will
have the most pent-up demand, so we can expect a short
to medium-term shift to incentivising the leisure travel.”
Labine-Romain says the pandemic has presented
opportunities for the aviation industry to reconsider its
product mix, as well as how it engages with customers
and partners.
“I do think airlines are reconsidering their revenue
and customer mix,” she says. “They are seeing where
they can play a bigger role in the rest of the travel
planning ecosystem.
“Perhaps they’ll no longer be satisfied with just
being the carrier. They may want to be the holiday
facilitator. They may want to be the company that
inspires the dreaming, and that puts them in an
advantageous position with the partners they work
with in the travel industry.
“Qantas and Virgin, for instance, know where people
want to go, because they can see our search history, so
they know where to point their planes. I think airlines
will be coming out of the pandemic much more
focused, much more data driven, but also tapping into
consumer preference changes that have been occurring
around sustainability and fewer short-haul trips.”
BUILDING A SUSTAINABLE FUTURE
Prior to the pandemic, reducing carbon emissions
was a high priority for a heavy emitting, hard-toabate sector like aviation. While focus has shifted
48 ITB December 2021
Top left: Travellers at
security checkpoints in
the main terminal of
Denver International
Airport in August 2021.
The relative easing of
travel and lockdown
restrictions has driven
a rise in international
travel from the US.
Centre: A Virgin
Australia aircraft at
the domestic terminal
of the Melbourne
Airport. Interstate travel
in Australia remains
largely restricted due
to border closures.
to short-term operational matters, sustainability
looks set to feature strongly in the industry’s overall
recovery strategy – from obtaining sustainable aviation
fuel (SAF) to ensuring fleets and operations comply
with accepted environmental, social and governance
standards.
Tim Boon, senior analyst with UK-based aviation
intelligence and advisory company IBA, says some
governments have also set out strong sustainability
targets for airlines seeking bailout funding. As part
of the Air France/KLM funding deal, for instance,
French financial ministers have insisted Air France
permanently scrap all flights of less than two and a
half hours in duration to help reduce the country’s
CO2 emissions.
“The government doesn’t view these short-haul
flights as justified when high-speed rail can serve
cities within France and avoid the emissions costs
of operating aircraft on these routes,” says Boon. “If
you look at it from a block time perspective of door
to door, the train is probably going to be faster in
comparison to taking an aircraft. But for crossing seas?
I don’t think so.”
Boon says that, while SAF may present a short to
medium-term solution to emissions abatement, cost
challenges exist.
“In March 2020, the cost of SAF globally was about
US$1500 (A$2000) per tonne. In August this year,
it has jumped to US$2500 (A$3500) per tonne, just
based on the pure demand for it.”