Fabien Bonavita Services Marketing Project Presentation 23 February 2006 Passenger to Freighter Conversion
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
Stretching the marketing proposal Many volunteering players but not in contact Integration of the full service stretches the customer relationship Aircraft purchase Conversion cycle Passengers Aircraft Airlines Aircraft Manufacturer Passengers Aircraft Manufacturer Airlines Lessors Independant site Banks
The best actor to profit more? Many potential actors but few winners for this Marketing Strategy Consultant Conversion plant Banks Operating lessor` Manufacturer Can work with various players including competitors Very different from the core business At the term of finance leases, title to the aircraft usually passes to the operator Stretches offer Stretches the offer Ability to offer various products Limited to aircraft in fleet Provides seemless to customers Service allows clearing of the marketand increase of sales And younger fleet Service allows clearing of the marketand increase of sales and younger fleet From a product life cycle to a service life cycle Requires capital if wants to trade Difficulty to link all these people Intensive capital activity Difficultyto provide capital and trade No particular benefit No asset management usually necessary (except default) Speculative and risky investment Not core business
Targeting the right customers Fully reliable and affordable solutions for freighter operators Disposal of recent aircraft for passengers airlines Combination Airlines Cargo airlines Contract airlines Integrators/ forwaders
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
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