BRUSSELS AIRLINES AND BRUSSELS AIRPORT
The end of a love story?

By Philippe Van den Winckel

Where is the time that Brussels Airport (formerly BIAC Zaventem National Airport) was building an exclusive terminal for Sabena and its mother company Swissair? Meanwhile, times have changed. The new terminal A has been a fact since 2001, just before Sabena’s collapse, which left BIAC with a serious hangover.

Sabena has become Brussels Airlines and BIAC changed its name into a more international brand, Brussels Airport. It’s no secret that the old Sabena had a preferred status at Brussels Airport, due to its relatively huge network and fleet. Both old companies, Sabena and BIAC, were to go through very tough changes in order to insure productivity and profitability, which might have put a serious strain on their relationship. Brussels Airlines, after the merger with Virgin and consequently considered to be the new home carrier, does not offer Brussels Airport the same business as for example Lufthansa at the Frankfurt and Munich Airports. Brussels Airport, looking for profitability and constantly investing in the future, is attracting other airlines to ensure operations in Brussels. This means, apart from normal network airlines, the expansion for more low-cost carriers, which might see huge opportunities in starting up an operation to the heart of Europe.

And it didn’t take long! After Sky Europe opening Krakow, they announced beginning operations as from the summer schedule to Prague, Budapest and Vienna. Easy Jet, one of the most successful low-cost carriers, just opened up Geneva, probably the first destination of many to follow. Other low-cost companies, such as Atlas Blue, Vueling, Jetair Fly and Thomas Cook Airlines also offer tickets at low fares to many destinations in Southern Europe. Furthermore, many (full-service) airlines are increasingly more acting and operating as low-cost airlines. Air Baltic, Estonian, Bleu1, Aer Lingus and many others have sales policies with one way and combinable low-fare structures and are not afraid to avoid normal distribution through agents. With Brussels Airlines the new sales policy of reimbursing the difference between their own cheapest fares and other airlines fares, Brussels Airlines does not welcome the arrival of these competitors. Code sharing with these airlines is not possible for them and the Brussels Airport strategy to attract even more (low-cost) carriers, might become an issue during future talks between Brussels Airport and Brussels Airlines.

LONG-HAUL DESTINATIONS
Brussels Airport is also investing a lot in long-haul destinations. Etihad Airways, Hainan Airlines, Jet Airways, US Airways, Northwest Airlines, Skyservice Airlines are all new long-haul providers next to all the existing ones such as American Airlines, Delta Airlines, United Airlines and Continental. Besides Africa, Brussels Airlines has no other destinations to offer except for some code sharing on Chicago and New York with American and on Bejing with Hainan. One wonders whether Brussels Airlines still has a future at Brussels Airport, knowing that a lot of their whole network is offered through a wide range of code share agreements, both on short and long haul. The aircraft fleet needs to be replaced soon and uniformity would be the best solution. Competition is never bad and should encourage business. However, the market is still based on demand and offer. The problem is that Brussels Airport has a demand but Brussels Airlines has a limited offer. So, instead of having its own terminal, maybe a switch with Brussels South Airport could be the solution!

About the author
Philippe Van den Winckel was born in Brussels on December 3, 1959. His parents, both active in the banking business, expected Philippe to follow their footsteps. However Philippe, who studied Press and Communication Sciences dreamed about coming a journalist. Half way these studies, Philippe realised that to become a journalist a more practical training was needed instead of all the theoretical issues. He wanted to see the world and travel around. That’s why he joined Sabena in 1980, where he had some operational functions and responsibilities at the Brussels Airport. In 1988, Philippe joined the sales department and became one of the youngest Sales Reps of Sabena at that time. In 1992, Philippe left Sabena and went to the distribution side by becoming Sales Manager in a newly started Travel Agency. In 1997, Philippe was asked by the then owner’s of the Uniglobe Master Franchise for Benelux, to become their Director of Training & Development, were he developed a huge knowledge about managing a multi location travel management company. He started up Uniglobe in the Netherlands and in 1998, he become Regional President for the Benelux, a function which brought him more into an international function and contacts. In 2001, after the split of Uniglobe Benelux, he joined Scandinavian Airlines as Sales & Marketing Manager for Belgium Luxembourg, where he managed with success for 6 years. Since 2007, Philippe is now an independent Consultant. With 27 years of experience in the Travel Industry, Philippe gives Sales & Management support for Travel Management Consultants and Travel Managers. His experience of managing SME’s is a big asset in controlling and saving costs on travel and fleet expenses for a lot of companies. Besides this he also does a lot of Consulting and Representative Services for foreign tourist boards and DMC’s.

Philippe can be reached at:
PhilGood
Sales & Management Support
Consulting & Representative Services
Charles Coppensstraat, 88
1560 Hoeilaart
Tel & Fax: +32(0)2 657 99 69
Mob: +32(0)478 91 77 40
Email: info@philgood.be