Gulf Air currently services 46 destinations and has bowed out of the long haul carrier business dominated by regional rivals Etihad, Qatar Airways and Emirates. However, it is unclear what the future has in store for struggling major carriers as Low Cost Carriers such as Air Arabia, Jazeera Airways and Bahrain Air are rapidly growing. In some cases the Low Cost Carriers (LCC) service a greater number of destinations than the major carriers and the LCC's are gaining market share.
"Air Arabia, the largest low cost airline in the region forecast on Monday an annual average passenger traffic growth of 14-15 per cent over the next four years and said it would increase the number of routes from 67 to 75 by the end of 2011."
"Award winning airline Jazeera Airways today issued its operational performance report for the month of December 2010, which showed that it had a continued lead in market share over other Kuwaiti airlines on popular winter routes that were served in December 2010."
If the trends of today continue into the future, what will the competitive landscape be for struggling major carriers like Gulf Air and Kuwait Airways up against lean LCC's?
No comments:
Post a Comment