Omar Gonzalez’s Post

View profile for Omar Gonzalez, graphic

Customer Success Manager at Amadeus

PLAY airlines Shifts Focus to Leisure Markets: Here’s Why Icelandic low-cost carrier PLAY Airlines is making strategic changes to its business model, focusing on leisure markets and applying for a Maltese Air Operator Certificate (AOC). Here’s how and why this shift is happening: 1. Disappointing Yields: * PLAY’s connecting traffic between Europe and North America has not been as profitable as expected. * Increased competition and capacity on North Atlantic routes have negatively impacted financial results. 2. Focus on Profitable Routes: * The airline will increase point-to-point services to leisure destinations in Southern Europe. * These routes have been popular and profitable since the airline’s inception. 3. Fleet Reallocation: * PLAY plans to base part of its fleet outside Iceland, starting with a partnership in Miami and operations in Tenerife. * The Maltese AOC will allow PLAY to expand its operations in Southern Europe. 4. Strategic Partnerships: Collaborations with other carriers, such as GlobalX in Miami, will help optimize fleet utilization and expand market reach. 5. Financial Stability: Despite lower-than-expected earnings for 2024, PLAY remains in a secure financial position and does not plan to raise additional capital. This strategic pivot aims to enhance profitability by focusing on routes and markets that have consistently shown strong performance. Read more on Aviation Week Network article https://lnkd.in/dvADRdwU

Play Shifts Focus To Leisure Markets, Applies For Maltese AOC

Play Shifts Focus To Leisure Markets, Applies For Maltese AOC

aviationweek.com

To view or add a comment, sign in

Explore topics