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Passenger to Freighter Conversion Fabien Bonavita Services Marketing Project Presentation 23 February 2006

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Page 1: Passenger to Freighter Conversion Fabien Bonavita Services Marketing Project Presentation 23 February 2006

Passenger to Freighter Conversion

Fabien Bonavita

Services Marketing Project Presentation 23 February 2006

Page 2: Passenger to Freighter Conversion Fabien Bonavita Services Marketing Project Presentation 23 February 2006

A constantly growing market

7% p.a. growth over the last 30 years vs. 4.4% for pax traffic

3,139 freighters to be delivered till 2023 including 2,412 conversions

Page 3: Passenger to Freighter Conversion Fabien Bonavita Services Marketing Project Presentation 23 February 2006

Stretching the marketing proposal

Passengers

Aircraft

Airlines

Lessors

Banks

Conversion cycle

Aircraft Manufacturer

Independant site

Aircraft

purchase

Aircraft

Manufacturer

Passengers

Aircraft

Airlines

Lessors

Banks

Many volunteering players but not in contact

Integration of the full service stretches the customer relationship

Page 4: Passenger to Freighter Conversion Fabien Bonavita Services Marketing Project Presentation 23 February 2006

The best actor to profit more?

Consultant

Can work with various

players including

competitors

Requires capital if

wants to trade

Difficulty to provide

capital and trade

Many potential actors but few winners for this Marketing Strategy

Conversion plant

Very different from

the core business

Difficulty to link all

these people

Intensive capital

activity

No particular benefit

Operating lessor`

Stretches offer

Ability to offer various

products

Limited to aircraft

in fleet

Service allows clearing

of the market and

increase of sales

And younger fleet

From a product life

cycle to a service

life cycle

Banks

At the term of finance

leases, title to the aircraft

usually passes to the

operator

No asset management

usually necessary

(except default)

Speculative

and risky investment

Not core business

Manufacturer

Stretches the offer

Provides seemless

to customers

Service allows clearing

of the market and

increase of sales

and younger fleet

From a product life

cycle to a service

life cycle

Page 5: Passenger to Freighter Conversion Fabien Bonavita Services Marketing Project Presentation 23 February 2006

Targeting the right customers

Fully reliable and affordable solutions for freighter operators

Disposal of recent aircraft for passengers airlines

Cargo airlinesCombination

Airlines

Contract airlines Integrators/

forwaders

Page 6: Passenger to Freighter Conversion Fabien Bonavita Services Marketing Project Presentation 23 February 2006

The value added

Integration of the full service stretches the customer relationship

• An approach adapted to each type of airline

Segmentation is wider, through more targeted

Change from a “product life cycle” to a “service life cycle”

• Pax airlines buy a more liquid aircraft, access to a younger fleet,• Operators gain access to affordable reliable cargo aircraft

Satisfaction is linked to the new solution where loyalty is increased

Page 7: Passenger to Freighter Conversion Fabien Bonavita Services Marketing Project Presentation 23 February 2006