Norwegian strategy: To fill the gap left by the collapsed Spanish airSaturday, 28 January 2012
By now it is no longer new news that the Spanish air liner, Spanair filed for bankruptcy on Friday. This called for flights to be ended abruptly and for many people to become stranded. This has given a strong business idea to Norwegian carrier, Norwegian, which feels that it has now been handed over that market share.
According to reports, Norwegian is awaiting to take the market share from the bankruptcy Spanair as soon as possible. The Spanish market is already a cash cow for the Norwegian airline. In March, it opens a base in Malaga.
The Nordic carrier, Norwegian airliner, Norwegian, which is expanding rapidly got some eyebrows raised this week when it announced Europe's largest ever aircraft order. Some 222 planes , new ones are to be purchased from both Boeing and Airbus and it wants to seriously challenge SAS on its dominant government propped position in the Scandinavian market.
AdvertisementNow, although no planes will be delivered before 2016, Norwegian is not resting on its laurels with its expansion plans. After Spanair's bankruptcy, the company will seek to take over its market share. After all it looks like it is Norwegian that has pushed the Spanish company to the brink.
“First, we'll look at how we can increase capacity and frequency, but we have said we will expand outside Scandinavia,” says Norwegian Communications official Åsa Larsson to Swedish daily Dagens Nyheter.
Spain is already one of Norwegian's most important markets. In March, the company opened a base in the newly expanded airport in Malaga on Spain's southern coast.
Spanair last year transported 12.5 million passengers in Spain. After the bankruptcy therefore a substantial market niche in the Iberian Peninsula is now left open for grabs.
According to Spanish newspaper, El Pais, 22,771 travellers have been affected, just this weekend as a result of the collapse of the Spanish carrier and this includes Swedes and orther Nordics citizens.
As Norwegian sees this change to grow, they’ll have to work faster because on Saturday British budget airline, EasyJet announced that they’ll enter directly and begin flying between Copenhagen and Barcelona, with first flight on Sunday.
By Scancomark.se Team
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