Easyjet Case Study

EasyJet - Stelios Haji-Ioannou, son of a Greek shipping tycoon, launched EasyJet in 1995 with just £5 million, beginning with a headline-grabbing fare of £29 from Luton to Glasgow (the fare is still about the same today). Stelios got the idea for EasyJet from Southwest Airlines in the US, which prospered by introducing a no-frills, low-price service on short haul routes. EasyJet was floated on the London Stock Exchange on 5 November 2000.It is the largest airline of the United Kingdom, by number of passengers carried, operating domestic and international scheduled services . The airline flies to / from 17 airports in the UK , operating on over 600 routes across more than 30 countries with fleet of over 220 Airbus aircraft. We have strong positions …show more content…
Moreover, it is Europe's largest independent regional airline and Europe is the world's largest regional market. Is classified by OAG and CAPA as a low-cost carrier due to its product and service characteristics. However, this is an increasingly ill-defined classification, given the convergence of such characteristics across large parts of the short and medium-haul market. Flybe is in the middle of the pack of European regional airlines in terms of average sector length and towards the higher end in terms of average seats per flight. More than 80% of Flybe's routes are on sectors of less than 350 miles (565 km). Europe has more seats flown below this sector length threshold than any other region of the world. This provides airlines such as Flybe with the opportunity for future growth.
The UK regional domestic market (ie excluding London) is Flybe's most important segment. In the 12 months to Oct-2014, it had a passenger share of 48% in this market, ahead of second ranked easyJet with 31% (according to data presented by Flybe at its Capital Markets
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In recent years, the airline has operated as a franchise carrier, first for British Airways and more recently for Flybe, as well as maintaining some services in its own name. For most of the last decade passenger numbers have hovered around the half million mark, but in 2014 the airline carried more than 600 thousand passengers for the first time. The majority of Loganair’s flights are operated on behalf of Flybe under a franchise agreement. According to OAG schedule data for this summer, Loganair will be operating over 600 weekly flights under this arrangement across 25 airport pairs involving 19 airports in Scotland and England. By far the biggest base is Glasgow where Loganair flies 120 weekly departures across 10 destinations, with the furthest destination being Sumburgh, a flight of around 480 kilometres. Apart from Scottish destinations, Loganair also operates flights to Leeds Bradford and Manchester from Glasgow. At a route level, Loganair’s 31 weekly flights between Aberdeen and Sumburgh are its most frequently served market, with six other routes served with at least twice-daily flights. The highest frequency service involving a point outside of Scotland is the airline’s 17 weekly flights between Edinburgh and Norwich. At 549 kilometres, the Dundee to London Stansted service is the airline’s longest, flown 11 times

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