Airline Business

Models

Jorjoh Elizabeth Sowe

Ownership

Dubai government as the

sole owner and the

sole investor.

The Singapore

government investment

and holding company,

Temasek Holdings,

owns 54 per cent of

shares in the airline.

Emirates Singapore Airlines

Osterwalder’s Business Model

Canvas

Osterwalder’s Business Model

Canvas

Customer Segments

Value Proposition

What is the value

captured by Airlines?

How Do airlines Create Value?

Key Activities

Key Resources

Key Patnerships

Cost Structure

How Do airlines Deliver Value?

Customer Relationships

Revenue Streams

Distribution Channels

Value Proposition

“Fly Emirates – To Over Six

Continents”

Latest Aircraft Technology

Low Fares (competitive cost

advantage)

Vast Network

Provides excellent air links

worldwide

“Leading Premium Service

Airline”

Latest Aircraft Technology

Clear Focus on Customer

Needs

Asian Hospitality

Emirates Singapore Airlines

Value Proposition

Emirates

Customer Segments

Singapore Airlines

Customer Segments

Since Dubai is a transit hub

services extend to:

“Tourism Conglomerate”

Leisure and VFR

Mass Markets

Mainly focused on the

“Business Travel” market

Emirates Singapore Airlines

Key Partnerships

Complete Independence

No alliance and no plans to join

Alliances are anti-competitive

Unless you are the leader

Alliance has no value

Alliance weaken the ability to

react on Market changes

Partnership with Qantas

Star Alliance member since

2000

Relatively low importance of

Partnerships

Emirates Singapore Airlines

Key Resources

“Owns the most modern fleet

of 113 aircrafts,

Global markets of 100

destinations in 62 countries

Over 12,800 highly-skilled

staff of more than 100

nationalities

Significant market share

Network

61 Destinations

Average Trip Length

Emirates Singapore Airlines

Key Activites

Originality and Creativity to

Cabin Design:

First to introduce personal

seat back in-flight

entertainment units.

First to enable PAX to make

authorized onboard mobile

calls

Onboard shower in A380

“Customers’ high

expectation fosters innovation

pragmatic innovator

Service excellence through

innovation and strategic

HRM

“Spy flights”

Staff Ideas in Action (SIA)

Emirates Singapore Airlines

Cost structure

Cost Awareness

Continuous Incremental

Developments

Balanced Customer Benefits

vs. Cost

World-Class Fleet, but simple

HQ Design

Labor cost economies

Cost Awareness

Continuous Incremental

Developments

Balanced Customer Benefits

vs. Cost

World-Class Fleet, but simple

HQ Design

Emirates Singapore Airlines

Customer Relationships

Frequent Flyer Programs

SKYWARD Emirates

“Frequent Flyer Programs

Two Different kinds of

Program

Singapore Airlines Krisflyer

Singapore Airlines PPS Club

Emirates Singapore Airlines

Revenue Streams

Revenue 08/09:11.8bn US

dollars

Size as profitability criterion

Lower than average yields

Higher quantities than SQ

+53% ASK

+50% PAX Transport

Revenue 08/09:12.7bn US

dollars

Profitability prioritized over

size

Premium Revenue

Emirates Singapore Airlines

Branding

Emirates

“Globalistas” Differentiation

Emirates is repositioning the company’s

global marketing strategy to target what

it calls “globalistas” as it looks to meet

its aspirations of becoming the world’s

biggest carrier.

Brand Positioning

Emirates

“From day one, Emirates has set out to be

an innovative, modern, and customer-

oriented provider of high quality air

travel services. Our brand positioning is

that of a leading, international and

quality airline serving the global

community.”

Brand Positioning

Emirates

Hello Tomorrow New branding captures

passion for connecting peoples hopes,

dreams and aspirations.

“Hello Tomorrow” seeks to position

Emirates as the enabler of global

connectivity and meaningful

experiences, as the company continues

its evolution from a travel brand to a

global lifestyle brand.

Branding

Singapore Airlines

Personnel Differentiation

Known for its iconic living brand

ambassador, “The Singapore Girl”

flight attendant, and impeccable level of

service, characteristic of Asian graceful

hospitality.

Brand Positioning

Singapore Airlines

Singapore Airlines maintains its leading

brand positioning by being at the cutting

edge of technology, the latest aircraft,

amenities and service level.

Singapore Airlines owns the distinction of

being the launch airline for the world’s

largest commercial aircraft, the Airbus

A380.

Brand Positioning

Singapore Airlines

Singapore Airlines is also home to the

largest first class cabins available in any

commercial airline, with their Sky

Suites enclosed private cabins that hark

back to the day of luxury air travel in

the early days of commercial flights.

These suites are positioned above First

Class, aptly called “A Class Beyond

First”

Conclusion

Both emirates and Singapore Airlines are one of the best airlines of

the world.

While emirates is the national airline of Dubai, Singapore airline is

the national airline of Singapore.

Both offer world class facilities to passengers and exceptional

service.

Emirates operates three of the world’s ten longest non stop flights

and Singapore operates in two routes.

Emirates Airlines and Singapore Airlines are the two airlines to own

Airbus 380.