An underlying theme throughout the series of CEO keynotes this year at the Routes World conference was a question of identity. Middle Eastern airlines range from Gulf Air, coming up to their 75th anniversary, all the way through to Riyadh Air, which is yet to launch services.
While often clumped together as “Middle Eastern airlines”, the reality is far more nuanced and complex. A series of CEO keynotes provided fascinating insights into how the region’s airlines see themselves and where they see their futures. An airline understanding its own sense of self and purpose is a reflection of the growing maturity of this market.
Here are some of the key takeaways in Part 1, featuring Riyadh Air, Etihad Airways and Gulf Air Group.
Riyadh Air (RX) – New kid on the block
- Digital – Riyadh Air’s digital platform will be revealed at the Future Investment Initiative in Riyadh on 29-31 OCT. Billed as a giant leap for commercial airlines, Riyadh Air believes their digital offering will have more in common with the likes of Uber, Noon and Amazon, compared with traditional airline digital platforms. Their vision centres around personalisation, catering particularly to a large base of young Saudi nationals (average national age of only 29), and who are said to have the highest rate of IOS usage in the world.
- Network β Riyadh Air CEO, Tony Douglas, enjoyed teasing the audience with details of the upcoming network. While avoiding specifics, he did, however, repeatedly reference the importance of ensuring connectivity between the Kingdomβs capital and G20 nations. So reading between the lines, and aligning with recent partnership announcements with Delta Air Lines (DL), Virgin Atlantic (VS), Turkish Airlines (TK) and Singapore Airlines (SQ), it wouldnβt be too much of a stretch to see Atlanta, London Heathrow, Istanbul and Singapore being some of the first destinations on RXβs network map. Each partnership unlocking relevant pieces of a global network map through a series of code-shares. It also wouldnβt be a surprise to see these partners flying their own metal to the capital to support Riyadh Airβs growth as they patiently wait to receive units from Boeing and seat suppliers. Douglas also mentioned the Airline is on the scout for a partner in the Indian subcontinent region and potentially another in western Europe. Weβll continue to keep you posted.
- Brand β In preparing to launch, Riyadh Air is focused on establishing their brand. Having revealed logos, liveries, sponsorships and uniforms, next on their list is sonic branding with Riyadh Air wanting to return to more glamorous halcyon days. With grand ambitions, the airline has commissioned the London Symphony orchestra to accompany the National Saudi orchestra in a recording session at the legendary Abby Road Studios to produce an epic sound track for the Airline.
Etihad Airways (EY) – Refocused and re-energized
- Regaining their stride – After stripping back, refocusing on their core, and then investing back into their team, Etihad is close to being back to the same size they were before the 2017 reset came into effect. They now appear to be holding a winning hand, including a brand new terminal, enhanced stopover program, strong growth across India, and new units joining their fleet. They plan to announce 10 new routes within a month, including a new US destination. Etihadβs entire US network is set to benefit from the upcoming opening of the United States Customs and Borders Preclearance facility (USCBP) at the new Zayed International (AUH) terminal. Abu Dhabi hosts the regionsβ first and only US pre-clearance facility.
- Know yourself β Arik De, Chief Revenue and Commercial Officer at Etihad Airways, touched on how the airlineβs transformation has come as a result of centering on themselves, i.e. βbe clear on who you are and be true to your brand.β The airline has invested in itself, invested in their people, and invested in their technology. The benefits of self-care and avoiding distractions will no doubt pay dividend.
Gulf Air Group (GF) – Coming together
βWeβve all had our experiences of butting heads with the airports, but that butting of heads has really been taken awayβ¦. we are breaking down the barriers of how we serve the Kingdom and the interests of the National Aviation sector,β – Jeffrey Goh, CEO β Gulf Air Group.
- Convergence – With all the aviation entities now sitting under one roof, Gulf Air Group is focused on synchronising the efforts of the airline and the airport, along with the ancillaries and subsidiaries of Gulf cargo, Gulf catering, MRO, duty free, logistics and ground handling.
- Collaboration – Goh, not one to seek the spotlight and previously reticent to participate in media interviews, instead preferring to let the numbers do the talking, is using skills honed during his Star Alliance days to drive change. Now tasked with shepherding a broad array of actors, this CEO has his hands full, fostering collaboration and co-operation between the various entities under his command.
- Transformation β Goh was clear that the Group continues to focus on improving revenue and reducing costs. Needing to recalibrate their network, embed new systems, and continuing to invest in service delivery. However with a relatively modern fleet (average age of 6.8 years), new interiors, and a reputation for warm Arabian hospitality, the airline has a decent base to build on as they count down to the airline’s 75th anniversary next year.
Stay tuned for Part 2 in the coming days …