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Air Berlin to Join oneworld
Air Berlin has accepted an invitation to join the oneworldŽ global alliance - and is to develop co-operative agreements with group members American Airlines and Finnair. Full details will be announced tomorrow (Tuesday 27 July 2010) at a briefing in Berlin at 1330 local time (1130 GMT) hosted by: •Air Berlin Chief Executive Joachim Hunold •British Airways Chief Executive Willie Walsh •American Airlines President Tom Horton •Finnair Chief Executive Mika Vehvilainen •oneworld Managing Partner John McCulloch Air Berlin PLC announces, that its 100% subsidiary Air Berlin PLC & Co. Luftverkehrs KG ("Air Berlin") has on 26 July 2010 agreed with oneworld Management Company Ltd. on key aspects of Air Berlin's membership in the oneworld Alliance. Under the sponsorship of British Airways Plc, which is a founding member of oneworld Alliance Air Berlin, will work towards completing a full membership agreement with oneworld. Membership in oneworld would strengthen Air Berlin´s competitive position and enable it to participate in the alliance´s revenue enhancement and cost reduc-tion activities. |
This is the best news in a long time! Quality airline, closes so many gaps in Europe, fits perfectly in my flying patterns...Ah, almost a frequent flyer dream come true. :)
Only thing missing now is getting a Chinese or Korean airline onboard and things look bright for OW. |
This is a key addition to the OneWorld Alliance.
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Can mod consolidate all the posts?There is one in AA and one in BA. I hope Mod can put them all together in OW.
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Originally Posted by IC6A
(Post 14368185)
Can mod consolidate all the posts?There is one in AA and one in BA. I hope Mod can put them all together in OW.
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About time. I've been hoping they would for a while.
When I saw this thread, I thought "really? or is that just wishful thinking..." I'll be on CX830 during this briefing, so hopefully everything will be posted by the time I land. |
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Very good news indeed. Very good for me as well. :-)
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wow, what a pleasant surprise! who saw that coming?!?
great news indeed. |
http://www.airberlin.com/site/landin...s.php?LANG=eng |
interesting spin on the development by USAToday btw:-
Oneworld becomes first frequent-flier alliance to add a major low-cost carrier - http://travel.usatoday.com/flights/p...world/101256/1 . |
Not spin really. If you Google low-cost carriers in Europe it comes up as number 3 LCC consistently behind Ryan air and Easy Jet.
Now the statement that OW is the first... well *A has US, but then again US morphed into a LCC over the last few years; so much so that their ticker symbol is LCC. |
From an Australian definition, I see it as more a "new-age" carrier - words used by Virgin Blue.
In my mind key features of LCC are missed by AB. No inclusions - AB has meals and alcohol on some flights Short haul - AB flies to the US, Asia Single type - AB runs six different aircraft type Single class - AB has Business class and XL seats No lounges - AB has lounges |
Originally Posted by moa999
(Post 14370069)
From an Australian definition, I see it as more a "new-age" carrier - words used by Virgin Blue.
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Still the question is what does AB actually want in OW? No flights to LHR, and all the complexities of Frequent Flyers, baggage, IT, lounges etc.
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Originally Posted by Aisle Seat H
(Post 14369631)
who saw that coming?!?
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Fantastic news! Really enjoyed flying them throughout europe last year. A lot nicer kept aircraft (A319/320) then BA with a good sandwich snack even for a short flight unlike BA's birdseed.
Will look forward to more AB travel soon! |
This could be great news. We used to fly with them when they flew STN-TXL. But so many questions - will they stay at STN where there is no other OW representation or might they join up with BA at LGW? It would be nice to see Air Berlin to fly to Berlin again from London. Their service was always good. Good question raised earlier about lounges. They appear to have their own lounge at TXL.
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I know this is wishful thinking and will never happen, but would be nice if gives 100% miles in economy, they seem to go the route of IB or BA in mileage accural.
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Originally Posted by DownUnderFlyer
(Post 14371310)
Still the question is what does AB actually want in OW? No flights to LHR, and all the complexities of Frequent Flyers, baggage, IT, lounges etc.
1>, OW Frequent flyers who may purchase its Business class ticket to support their revunue on long haul routes 2>, OW's network so AB can sell ticket in Germany to its members to anywhere in the world 3>, OW's structure that will make AB more competitive 4>, OW's leisure travelers who will use AB's European network to travel within EU. AB will have the potential to sell majority of the Europe Pass sectors for its frequency and network. 5>, OW's member airlines to work together with AB to make DUS a better hub with a future Berlin hub in the new Berlin airport which due to open in 2012. So when AB fully integrated into OW (possibly late 2011 early 2012) OW will have the new Berlin BBL airport (code BER) as one hub 6>, OW's international routes into Frankfurt so AB could benefits from the codeshare out of FRA. |
Originally Posted by DownUnderFlyer
(Post 14371310)
Still the question is what does AB actually want in OW? No flights to LHR, and all the complexities of Frequent Flyers, baggage, IT, lounges etc.
Some features: - AB allows connections and checks your bags through - AB has a frequent flyer program with other airline partners (S7 among others) - AB has two classes of services (long-haul) - AB uses main airports (e.g. FRA,TXL instead of Hahn or Schönfeld), most of which already have a OW lounge - AB's IT is connected to the ESTA, API databases for US bound passengers - you can buy AB ticket through consolidators and/or online agencies (e.g. ebookers, expedia.de, etc.) - you should be able to buy AB tickets through TAs as well (I'm not sure though) - AB has a limited hub-and-spoke model in TXL & DUS (you can for instance fly from ZRH via DUS to MIA, your bag is checked through, you get boarding passes for the DUS-MIA leg in ZRH, the check-in agent at ZRH enters your API details for the US and checks whether you are ESTA compliant, etc.) AB is more like B6 in the US which offers you connecting flights, booking via online agencies such as Expedia, etc. They are a low-fare network carrier. |
AB tried to take on LH in DUS by offering more long haul flights with a premium product that was more aimed at business travellers. LH then placed 3 330/340s on TATL routes at DUS. They are still there (flew DUS-EWR on Sat), but it never struck me that the AB long haul model did grew much beyond the charter flights of LTU which they took over.
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Excellent news! Now OW needs a decent African airline to fill the gaps ....
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This is great news, despite the fact that oneworld loses the unique status of having been the only one the alliances without a member starting in "Air ..."
Presumably they'd end up being including within the Transatlantic ATI...? |
I wonder why Branson opposed this so much considering VS might be partners with the new UA soon.
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They will start co-sharing with Finnair, starting this autumn. Works well for Finnair and their Europe-Asia strategy.
27.7.2010 14:30:00 - OMX Helsinki, News Finnair Plc Investor News Finnair and Air Berlin to cooperate in Europe-Asia traffic The oneworld airline alliance and Air Berlin, Germany's second largest airline, have agreed that the airline will become a member of the alliance. Air Berlin is expected to join the alliance at the beginning of 2012. At the same time Finnair and Air Berlin also agreed on bilateral cooperation. Finnair and Air Berlin begin a code-share cooperation in November 2010, within which the companies plan to cooperate commercially in traffic between Germany and Finland, and later in Finnair's Asian traffic. At the same time, the companies also plan to cooperate in terms of their frequent-flyer programmes. "For Finnair, cooperation with Air Berlin will provide a stronger foothold in Central Europe, which will support Finnair's Asian strategy significantly," says Finnair's President & CEO Mika Vehviläinen. "Air Berlin's network covers the area of Europe with the highest purchasing power. Cooperation will lead to numerous new, fast connections from German-speaking Central Europe via Helsinki to Asia. We will provide for business passengers a competitive alternative, which will boost our corporate sales in an important market," says Vehviläinen. For Finnair's Finnish customers, closer cooperation with Air Berlin will also open up new destinations in both German-speaking Europe and the Mediterranean area. Finnair Plc Communications 27.7.2010 |
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How I now wish I'd have made a bet with him then! ;):D |
Originally Posted by mosburger
(Post 14367931)
This is the best news in a long time! Quality airline, closes so many gaps in Europe, fits perfectly in my flying patterns...Ah, almost a frequent flyer dream come true. :)
Only thing missing now is getting a Chinese or Korean airline onboard and things look bright for OW. |
Originally Posted by aaupgrade
(Post 14370013)
Not spin really. If you Google low-cost carriers in Europe it comes up as number 3 LCC consistently behind Ryan air and Easy Jet.
Now the statement that OW is the first... well *A has US, but then again US morphed into a LCC over the last few years; so much so that their ticker symbol is LCC. If Air Berlin are a low-cost carrier, then most def. so are bmi and they have been in *A for a long, long time! So, either way, the characterisation '1st low cost carrier to join an alliance' is an odd statement! ADD [From OW Press Release] "While it [Air Berlin] has been named the World's Best Low-Cost Airline seven years running in the World Airline Awards run by the Skytrax airline quality organisation, it now offers the full-range of services associated with a full-service network carrier, including its frequent flyer programme topbonus, and, for premium passengers, lounges, priority check-in and, for all passengers, free alcoholic and non-alcoholic drinks and meals or snacks on every departure". . |
Hubwise, it's interesting to see what plans AB and OW have for Germany. Double hubs at DUS and TXL/BBI to compete with the FRA and MUC offerings of LH and partners?
DUS is far stronger regarding business passengers than the Berlin airports and could cover Western Europe from the Benelux down through France and Switzerland to northern Italy as a hub for TATL flights. On the other hand, DUS has a vast catchment area of it's own to send passengers to other OW hubs at LHR and HEL for example to continue on longhauls. Obviously OW needs to improve lounge offerings at DUS. The BA Terraces currently open there would be hopelessly overrun by transit passengers to NA and Caribbean destinations. TXL and later BBI would seem natural as a hub to a wide range of East European, Russian and Central Asian destinations (think S7) in direct competition with LH/OS at FRA/MUC/VIE and Air Baltic at RIX. Gather those passengers at Berlin and send them onwards to LHR, TATL and all over Western Europe. TXL has no room and considering the current timeframe, no need for new lounges. It's ok as present with the compact boarding arrangements. But then something spectacular to be expected at BBI? Where would OW likely aim to serve African destinations from Europe and NA? LHR, DUS, TXL/BBI or all three? That continent is getting ever more important for both business and leisure travel and has been clearly underrepresented in the OW network. |
As far as I can tell, this benefits only Germans and the only business value to BA and Finnair is an attack on Lufthansa. Right?
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From the oneworld press release today July 27:
Air Berlin is to join oneworldŽ, adding Europe's fifth largest airline and Germany's second biggest carrier to the world's leading quality airline alliance. Air Berlin group member Austria's NIKI will become an affiliate member of the alliance. A memorandum of understanding between Air Berlin and oneworld was completed in the airline's Berlin home city last night, with a formal alliance membership agreement to be signed soon. Air Berlin is expected to start flying as part of oneworld in early 2012 - just weeks before the opening of the new Berlin Brandenburg International Airport, which is being built as a major new hub for Europe. All but one of the alliance's existing carriers (with Mexicana the exception) already serve Air Berlin's German homeland - the most populous country and the biggest economy in the European Union. They will also be looking to expand their own services to its key hubs Berlin and Dusseldorf as the new alliance recruit prepares to join the group. About Air Berlin Since its launch in 1979, Air Berlin has grown into Germany's second largest airline - and the fifth biggest in Europe in terms of passengers boarded - after taking over Deutsche BA and LTU and gaining a 49.9 per cent stake in Austria's NIKI and a 49 per cent holding in Switzerland's Belair. It has developed from its origins in the shorthaul leisure market to cater also for business travellers with its Euro Shuttle service providing high frequency connections between many of the continent's key destinations and now also flies longhaul. It is one of Europe's most frequent winners in the various airline industry award schemes. On its shorthaul services, it offers a single-class cabin. On its longhaul routes, it offers two-classes, with a premium business cabin and individual in-flight entertainment screens for each passenger. While it has been named the World's Best Low-Cost Airline seven years running in the World Airline Awards run by the Skytrax airline quality organisation, it now offers the full-range of services associated with a full-service network carrier, including its frequent flyer programme topbonus, and, for premium passengers, lounges, priority check-in and, for all passengers, free alcoholic and non-alcoholic drinks and meals or snacks on every departure. It will move in June 2012 into the new Berlin Brandenburg International airport, which will have capacity eventually for 45 million passengers a year. Air Berlin holds major market shares in its home city and also at Dusseldorf, Hamburg, Stuttgart and Palma de Majorca. Among its international destinations, it serves oneworld hubs Helsinki, Los Angeles, Madrid, Miami, Moscow Domodedovo, New York JFK and Bangkok. Its current fleet (including NIKI) comprises 165 aircraft, with an average age of five years, including 13 Airbus A330s, 75 A321s/A320s/A319s, 63 Boeing 737s, four Embraer E190s and 10 Bombardier Q400s. It employs 8,500 staff. Webcast A webcast of today's press briefing announcing these developments is available for viewing on-demand, featuring: •Air Berlin Chief Executive Joachim Hunold •British Airways Chief Executive Willie Walsh •American Airlines President Tom Horton •Finnair Chief Executive Mika Vehviläinen •oneworld Managing Partner John McCulloch To view the webcast in English, go to airberlin.com/pressconference_oneworld To view the webcast in German, go to airberlin.com/pk_oneworld |
Originally Posted by stimpy
(Post 14373775)
As far as I can tell, this benefits only Germans and the only business value to BA and Finnair is an attack on Lufthansa. Right?
And it is not the "oinly" business value to the three European carriers to attack LH (AUA, SWISS, Brussels, LOT, BD, Dolomiti, LH Italia) and AF/KLM, but they are/were/have been in urgent need of a partner not to lose more ground on the continent. If you go back in the past, BA once had the dream to establish a carrier in the heart of Europe, Deutsche BA (today part of AB). However, BA's management was never, has never been and will obviously never be able to operate an airline profitable, so this ended in a disaster. |
Originally Posted by Flying Lawyer
(Post 14374157)
If you go back in the past, BA once had the dream to establish a carrier in the heart of Europe, Deutsche BA (today part of AB). However, BA's management was never, has never been and will obviously never be able to operate an airline profitable, so this ended in a disaster.
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Originally Posted by Aisle Seat H
(Post 14373077)
yep... a couple of people over the years called for it on that Thread [e.g. http://www.flyertalk.com/forum/12749974-post42.html], but IC6A considered it no better than a 150/1 chance that it would happen [http://www.flyertalk.com/forum/12984586-post46.html] and then decided it was so unlikely that he gave us odds of 1500/1 back in April [http://www.flyertalk.com/forum/13865800-post59.html]!!! :eek:;)
How I now wish I'd have made a bet with him then! ;):D Funny enough when I heared of the news I just flew BA from Berlin Tegal to London and had a chat with BA staff about moving to new airport next year... Funny little world. I guess if everyone bet with me I may cash a lot by then since hardly anyone would belive this could happen so quickly last week until sunday. |
Originally Posted by Flying Lawyer
(Post 14374157)
If you go back in the past, BA once had the dream to establish a carrier in the heart of Europe, Deutsche BA (today part of AB). However, BA's management was never, has never been and will obviously never be able to operate an airline profitable, so this ended in a disaster.
This year has been an interesting one for OW. This year's addition of S7, IT & AB are all hugely strategic and put OW back where it needed to be if it wanted to remain in the big league, especially since both *A and ST seemed to be steaming past OW for the last 3 years. In fact, if all goes according to plan, I think this might actually put OW back into premier position in terms of the carriers offered on the OW network. *A might be bigger, but OW will definitely offer an overall more capable set of carriers (IMHO). The only thing key components missing now are a mainland Chinese, Brazillian and African (Comair is great, but is really just a ZA domestic carrier at the end of the day) carrier. Once those are added (a big 'if' sadly), any further additions will really only be playing at the edges. |
Originally Posted by mosburger
(Post 14373690)
Hubwise, it's interesting to see what plans AB and OW have for Germany. Double hubs at DUS and TXL/BBI to compete with the FRA and MUC offerings of LH and partners?
DUS is far stronger regarding business passengers than the Berlin airports and could cover Western Europe from the Benelux down through France and Switzerland to northern Italy as a hub for TATL flights. On the other hand, DUS has a vast catchment area of it's own to send passengers to other OW hubs at LHR and HEL for example to continue on longhauls. Obviously OW needs to improve lounge offerings at DUS. The BA Terraces currently open there would be hopelessly overrun by transit passengers to NA and Caribbean destinations. TXL and later BBI would seem natural as a hub to a wide range of East European, Russian and Central Asian destinations (think S7) in direct competition with LH/OS at FRA/MUC/VIE and Air Baltic at RIX. Gather those passengers at Berlin and send them onwards to LHR, TATL and all over Western Europe. TXL has no room and considering the current timeframe, no need for new lounges. It's ok as present with the compact boarding arrangements. But then something spectacular to be expected at BBI? Where would OW likely aim to serve African destinations from Europe and NA? LHR, DUS, TXL/BBI or all three? That continent is getting ever more important for both business and leisure travel and has been clearly underrepresented in the OW network. If OW can find a way to pass people between LHR, MAD, HEL, BUD, and either DUS or BBI - then the European network becomes substantially more attractive in getting people from outside of Europe to the smaller cities that might not be as easily served, and actually fulfill the promises of both the hub and spoke system and the mega-alliances. |
Originally Posted by DownUnderFlyer
(Post 14371310)
Still the question is what does AB actually want in OW? No flights to LHR, and all the complexities of Frequent Flyers, baggage, IT, lounges etc.
BTW, also, whats up with OW and S7? |
Originally Posted by IC6A
(Post 14374286)
You should had indeed. Frankly speaking I had the sense that AB will eventually choose OneWorld. But I did not see it happening so quickly. Last year I hoped AB could make a decision soon but it did not come near to any OW carriers codeshares or FFP programm cooperation. So I changed the position of their possibilities of join OW.
Funny enough when I heared of the news I just flew BA from Berlin Tegal to London and had a chat with BA staff about moving to new airport next year... Funny little world... Big turnaround this year for OW - wonder if they have been offering sweeter deals to tempt in the likes of Kingfisher and Air Berlin? |
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