cover story march

7/30/2019 Cover Story March

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Mar ch 20 13 | Qatar today 45

the air transport sector in the Middle

east is undergoing a rapid transforMation

as passenger traffic begins to surge in

the region, priMarily because of the swift

expansion of airlines such as eMirates,

etihad and Qatar airways. Meanwhile, the

dubai, abu dhabi and doha airports have

launched Massive expansion projects toMatch future traffic forecasts. they will

have a coMbined capacity of 340 Million

passengers a year by 2020.

passenger traffic at the three hubs

continues to grow by leaps and bounds,

regardless of regional disruptions that

affected traffic in the Middle east last

year. Much of this is testaMent to the

strength of their hoMe carriers, the

developMent policies pursued at each of theairports and local governMents visions to

transforM their cities into Major aviation

centres.

Qatar todayputs the spotlight on haMad

international airport, the latest entrant

to the coMpetition, to find out how it will

affect the other hubs in the region.

by sindhu nair


2/15

The sky is The limiTCover sTory

hia:a new era inpassenger travelThe silence as we walk into the Passenger Ter-

minal Complex is interrupted only by the gentle

echo o a water body. The act that the huge prem-ises have still not opened their doors and begun

their anticipated undertaking contributes to the

almost eerie peace. But I presume it has more to

do with the architecture o the large space than

with the absence o activity. Inside the humon-

gous passenger terminal o the Hamad Interna-

tional Airport (HIA) or an exclusive premiere o

the acilities beore it opens its doors next month

to 12 airlines, I eel I am part o a landmark mo-

ment a moment that is sure to rewrite the his-

tory o air transport in Qatar.

Not everyone might agree with this, given the

umpteen delays and bad press that the construc-

tion o the airport has gone through beore it

nally raises its curtains.The architects o HIA, though, have kept their

promise o a space that dazzles and o a mission

that goes well beyond that o an ordinary airport.

This act is corroborated by Bernardo Gogna,

Director o the New Doha International Airport

Steering Committee and an architect who is re-

luctant to be in ocus but desires that the edice

itsel takes the limelight.

The sense o space, with the sunlight stream-

ing in through the beautiul skylights, the signage

that is unctional without being conspicuous,

technology that is the best available all this

CheCk-in Counters at the Passenger terminal


3/15


brings the passenger experience ar beyond

what constitutes an airport, he says.

Gogna goes a step urther and calls the

HIA a luxurious resort, with lounges and

services that will make it seem like one,

he says.

Artfully designed

There is one aspect o the airport that truly

classies it a notch above other airports in

the world.

There is no airport, not that I know o,

which has a museum within its premises.

And HIA will have a museum space with

art that will engage passengers and remain

with them orever, he says.

The retail space is also artully de-

signed. But the act that there is a delicate

balance between all these acilities without

being overly ambitious on any one o theseeatures is what makes the HIA a bench-

mark in airport design, says Gogna.

Reecting on the concept o the design,

Gogna says: The inspiration or the airport

was rom the act that we were situated on

the edge o the water body. The notion o

the water concept begins rom this and is

carried orward in the wave-like structure

o the roos o the terminals. The wave is

especially prominent on the departure

terminals, replicating the notion o depar-

ture, o the movement o people rom one

destination to another, something that is

a constant in an airport. The movement othe roo also ollows with the movement o

the passenger. There is a transition o the

unctionalities, and then there is the plaza

where all the passengers come to.

From destination passengers to transit

passengers (who constitute 70% o the to-

tal movement), everyone moves through a

huge space called the plaza. It is utilised as

a medium to portray the social abric and

cultural happenings o the country.

This is not advertising, which is typical

o the Times Square model. This is more

like a methodology to let the world knowwhat is happening in Qatar, says Gogna.

This is one o the reasons why the proj-

ect is so important, he explains, because

the airport becomes much more than

what it typically should be it serves as a

highly-evolved public acility that puts art,

architecture and culture together.

The museum concept, which was also

introduced in airports or the rst time in

HIA, is not or decoration, insists Gogna,

it is integration.

Hong Kong Airport and Singapores

Changi Airport are believed to be the bestairport designs in the world. And while the

HIA has imbibed eatures rom the best de-

signs, it has also tried to improve on them,

according to Gogna.

In the end, the deciding actor or any ar-

chitectural project o this scale is the client,

and how many o the ideas get translated

into breathtaking architecture.

A project is only as good as the client,

says Gogna, The Steering Committee o

the project was adamant on creating a mas-

terpiece. The project was a challenge or us

Bernardo GoGnaDireCtor o the new Doha international airPort steering Committee

Landmark Features:HIA stretcHes Across

29 square kiLometresAnd Includes multI-concourse termInAl 1 (openIng next montH), tHe emIrI termInAl,A mosque, A second pAssenger termInAl (future expAnsIon), veHIcle rentAl And cAr

fAcIlItIes, cArgo, A mAIntenAnce HAngAr And cAterIng fAcIlItIes.

(cont on pg. 48)


4/15


The combination o a well-oiled and e-

cient national carrier and a technologically

advanced acility gives Qatar the edge, says

HE Al-Noaimi.

Without a national carrier the acili-

ties would cater or oreign airlines, which

would reduce prot within the country.

Without the acilities within the coun-

try the airline would have to outsource

acilities, he says.

It has been a huge journey or the coun-

try, or a acility that in the 1950s was

used or one plane monthly to be cater-

ing or 28 million passengers per year.

For someone who has witnessed this

growth, share with us your memories.

The need or the air transport sector ap-

peared in the 1950s, when oil companies

required transportation or their person-

nel and equipment. The rst runway was

established in the western part o the

country, ollowed by two others, one south

o Umm Said and another east o Doha, orcommercial air transportation, which used

to operate one plane per month.

Over the years, as economic and social

development in the region progressed,

Qatar wisely invested in its own aviation

and cargo services and has today estab-

lished a new aviation hub the Hamad

International Airport (HIA) that will

not only support the incredible growth

o our national carrier, Qatar Airways,

but will also meet the increasing pas-

senger trac without compromising on

international standards o aviation saety

and security.

The remarkable vision o HH Sheikh

Hamad bin Khalia Al Thani, Emir o the

Qatar, in planning, suggesting, guiding and

watching all projects closely has motivat-

ed the country to lead and develop or its

benet and or the wellbeing o the people.

The signicance o seeing one plane per

month was indeed a sight to remember

and an occasion! The irony now is seeing

hundreds o aircrat movements daily, and

taking that to be the norm and business as

usual.

tHe HIstory of AIr trAnsport In qAtAr goes bAck to tHe 1950s wHen tHe oIl compAnIes needed trAnsportAtIon for tHeIr personnel And

equIpment. one mAn wHo HAs seen It All tHe Humongous growtH of tHe sector from one plAne usIng tHe fAcIlItIes per montH to A

Hub wItH tHousAnds of movement Is tHe cHAIrmAn of qAtAr cIvIl AvIAtIon AutHorIty (qcAA), He Abdul AzIz Al-noAImI. In An exclusIveIntervIew wItH qAtAr todAy, He tAkes A trIp down memory lAne commentIng on tHe sustAInAble pAtH to be Adopted by AvIAtIon Hubs.

froM one plane a Month to hundredsof aircraft MoveMents

He aBdul aziz al-noaimiChairman o Qatar Civil aviation authority (QCaa)

mosquetHe wAter-droplet-InspIred structure of tHe mosque HAs A

glAss sHell wItH A gently domed roof, And cAn AccommodAte 500

worsHIppers.

35 m mInAret


5/15


What will be the challenges or the

QCAA with the new airport launch?

The main challenges will be to manage a

acility o that size eciently and to ensure

the integration o commercial, corporate,

and other organisations that operate in the

airport. Since HIA is equipped with state-o-the-art technology, it needs constant

vigilance against hackers and malunc-

tioning; other elements include updating

sotware and annual maintenance o all

equipment.

Another challenge will be implementing

the necessary training system or all de-

partments to communicate, interact and

relay messages and work as a team.

What makes Qatar the perect aviation

hub in the region?

Qatars strategic location in the Middle

East region makes it a natural geographiclink between the global East and West.

As a result it is emerging as an attractive

location or many political, economic

and intellectual groups and is also the

venue or political orums, international

conerences, world-class conventions,

and cultural as well as international

estivals.

The period o great expansion and ac-

celerated growth that Qatar is undergo-

ing contributes to the country becoming

a ocal point or culture, knowledge and

business or the 21st century. In addi-tion, our national carrier Qatar Airways

travels to over 100 destinations, which

opens up more opportunities and in-

creases the number o passengers passing

through Doha.

The HIA is ully geared to be an aviation

hub that will be able to cater or 50 mil-

lion passengers per year (at ull capacity),

with both runways allowing or a

trac capacity o 100 aircrat movements

per hour.

Does it matter that there are other

hubs in close proximity? How does it

aect competition?

The GCC region has recorded investment

to the tune o QR328 billion ($90 billion)

in the setting up, reurbishment and ex-

pansion o airport inrastructure. Everycountry in the region is in the process o

expanding its air, road and sea transport

and cargo handling acilities, as demand

grows or goods and services rom across

the world. According to this act, we will

witness a number o world-class airports

competing to provide the highest level o

services related to the aviation industry,

retail business, travelling standards and

cargo acilities.

Will the QCAA look at encouraging

more private entities within the Air-

port?The QCAA certainly looks at encouraging

more private entities within the airport,

according to the ramework and standards

set by the Council o Ministers.

The Middle East cargo market has re-

mained relatively robust, growing 8.2%

during 2011 and more than 15% in 2012.

How do you think having the new acili-

ties will help improve this market?

Across the Middle East region there is an

increase in investment in various inra-

structure projects. The Emirs National Vi-sion 2030 has outlined the ambitious plans

or Qatar. In addition, there is a growing

ocus on manuacturing in the region.

These developments have a signicant

impact on the growth o the cargo market.

Qatar has careully studied this growth and

planned or the cargo acilities at the new

airport accordingly. The opening capacity

o the Cargo Terminal is 1.4 million metric

tonnes per year, with ull capacity set to in-

crease to 2.5 million metric tonnes.

Abu Dhabi Airports Company (ADAC),

the operator o Abu Dhabis ve air-

ports, revealed that Abu Dhabi Duty

Free retail revenue reached AED809.5

million in 2012, an increase o 24%

over 2011. How will Doha compete with

this?We very much admire the UAEs unique

and long experience in the domain o de-

veloping duty ree retail. The equation is

governed by the percentage o passengers

who use airports duty ree markets and

the way it is presented and promoted.

The experience o Qatar in this eld has

come a long way and it is growing rapidly.

When the aviation sector is going

through a lean phase globally, how is

it that all the Middle East airlines post

positive results. What is the reasoning

and do you think this is a sustainablegrowth or all the hubs?

The growth rate in the Middle East has

been afected to a large extent by the world

crisis, but it did not stop. Positive or nega-

tive growth is inuenced by both the situ-

ation o world markets as well as the po-

litical stability o each country. I think that

the growth rate will match the increased

needs o these markets.

There has been an allegation by a pri-

vate entity that operates within the

Doha International Terminal that itsgrowth is being hampered by the Au-

thority. How do you respond to that

allegation?

The QCAA is responsible or regulating

aviation operations and managing the avia-

tion hubs in the State o Qatar has the right

and the ull authority to take the appro-

priate action in case any airline company

operating within the Doha International

Airport breaks rules and regulations.

Passenger terminaL ComPLex

600,000 sq mtermInAl

41contAct gAtes

3centrAl utIlIty plAnts

29 halAgoon

3,450cAr pArkIng spAc-

es6,900 sq mttrAnsportAtIon

fAcIlIty

100lImousIne stAgIng cApAcIty

88pAssenger loAdIng brIdges


6/15


as the pressure and complexity o the re-quirement was high, but on the other hand

the result was the building. The continuous

interace between the Steering Committee

and the project team made sure that the

eatures and architecture remained very

competitive in comparison with the best.

Airport City

Another revolutionary project is the HIA

Airport City, a project spanning 10sq km,

where 200,000 people will work and live.

According to Rem Koolhaas, the concept

architect o the city, it is perhaps the rst

serious efort anywhere in the world to in-terace between an international airport

and the city it serves. Downtown Doha will

be within ve kilometres o the airport,

linked to the new urban abric o Airport

City and its new transport connections.

The master plan has been conceived as

a series o our circular districts, con-

nected by what is called a Green Spine

running parallel to HIAs second runway.

HIA Airport City is intended to provide in-

rastructure to maximise the commercial

unctionality o the growing airport.

The typology o Airport City is inresponse to the growth o air travel, requir-

ing the expansion o the existing airport

and its encroaching into the abric o the

city. The city is thus targeted or optimised

development o the transport hub o an air-

port and its surrounding airside and land-

side supporting unctions, says Gogna.

Because the city is close to the airport,

HIA Airport City makes a unique case and

an opportunity to create a bufer zone o

development. It is planned to serve the best

interests o both the airport and airside

unctions and the city, he explains.

The development connects, but alsoseparates, the city rom the airport, he

says.

HIA Airport City will have established

zones: the business district, the aviation

campus, the logistics district and, meeting

a newly-constructed marina, a residential

district.

The 30-year master plan o the HIA proj-

ect that substantial parts o the business

district and all o the aviation campus will

be developed within 10 years.

trAnsportThere will be extra ocus on an e-

cient street and public transport net-

work that will serve to promote en-

ergy eciency and mitigate excessive

travel times and distances. This comeswithin the Airport City that is part o

the master plan o the HIA and will be

completed in the next phase.

The transport hub created by the

Terminal 2 Complex will attract trav-

ellers, and the development area will

be commercially attractive.

Rail, metro, bus and extensive road

network linking to the Business Dis-

trict will create an interace between

this area o HIA Airport City and the

centre o Doha.

The three unctional zones o the

terminal are the rail concourse andbusiness centre; Terminal two; and the

Terminal 2 Plaza, which connects the

air and rail unctions o the develop-

ment. The terminal will be an airside-

landside link and an area where local

and international business will con-

verge. In the levels beneath the air ter-

minal, the Metro (Red Line) and LDR

rail links stations provide links or pas-

sengers to greater Doha and uture rail

services to Saudi Arabia, Bahrain and

the UAE.

art Programme28sItes wItHIn And Around tHe

termInAl

14regIonAl And InternAtIonAlly

AcclAImed ArtIsts

ConCourses a & B270

seAts per

Hold room

20gAtes wItH

Hold rooms

dePartures haLL

25,000 sq mcolumn-free spAce

24mHIgH ceIlIng

150cHeck-In stAtIons

14fIrst clAss cHeck-In bootHs

16busIness clAss cHeck-In desks

(cont from pg. 45)

interior view o the Passenger terminal


7/15


we dont rely on anyparticular Market

seems like the aggres-

sive airline is continuing

to increase its destina-

tions as Al-Baker says:By the end o 2015, we

expect to be ying a eet o 170 aircrat to

170 destinations worldwide. This compares

with the current eet o 119 aircrat (as o

end o February 2013) and 125 global desti-

nations.

The rst phase o the QR56.4 billion

($15.5 billion) airport project involves a

select ew international passenger airlines

becoming the launch carriers o the new

acility. The new acility is a global show-

piece, which will accommodate 28 million

passengers annually when it opens thisyear, increasing to 50 million passengers

beyond 2015. One can expect a truly world-

class experience at the newest aviation hub,

reiterating QAs commitment to creating a

superior travel experience, he says.

The aviation sector is a very volatile

sector. It is aected by uel prices, the

global economy and by events such as

natural calamities and disease out-

breaks. How true is this or QA?

Its been just over 16 years since QA re-

launched and you can imagine that there

have denitely been some ups and downsalong the way. What is crucial is to have a

solid business model in place and a clear

vision not to lose sight o our strategic ob-

jectives, set out in 1997 at the time o our

relaunch.

While other airlines were shrinking their

operations, cutting capacity, reducing staf-

ing levels and parking aircrat, QA actually

expanded relentlessly, growing its route

map, eet size and staf numbers. QA cur-

rently ies a modern eet o 119 aircrat to

125 key business and leisure destinations

across Europe, the Middle East, Arica,

Asia-Pacic and the Americas with the ag-

gressive expansion continuing into 2013.

Our business model is such that we dont

rely on any particular market. We have a di-verse market mix and diverse network, and

we are able to easily shit capacity around

according to market needs in good or bad

times.

With the aviation sector globally just

pulling through, how have Middle East

carriers managed to keep their heads

above water? Is it only rom govern-

ment support or is the region proving

itsel above the volatile conditions that

aect airlines as such?

The Middle East, despite the global eco-

nomic slowdown, has proven to be one o

the astest-growing and robust aviation

markets in the world. I believe that the

Middle East will continue to outperormthe rest o the world in the levels o service

ofered. We cater or such a multicultural

passenger mix. By ollowing the hub-and-

spoke operation model we carry passengers

rom around the world with a value-or-

money ofering and excellent in-ight ex-

perience. Our eet is modern and our ser-

vice is impeccable, which is why we garner

awards, exceeding customers expectations.

Todays customers want value-or-money

and quality o service. We ofer both, unlike

many airlines around the world.

As tHe AIrport operAtor And mAIn AIrlIne user of HIA, qAtAr AIrwAys ceo AkbAr Al-bAker AlwAys

dreAms bIg. qAtAr AIrwAys (qA) Is Also known As tHe AggressIve plAyer In tHe AvIAtIon sector,

expAndIng destInAtIons And buyIng new AeroplAnes. steerIng tHIs growtH Is Al-bAker, wHo Is sAId

to HAve An eye for detAIl And In HIs own words, Is never complAcent. He speAks exclusIvely to

qAtAr todAyon tHe AvIAtIon sector And tHe new member In tHe qAtAr AIrwAys fAmIly, tHe HAmAd

InternAtIonAl AIrport.

it

akBar al-BakerCeo, Qatar airways


8/15


In a recent study by the Germany-basedJet Airliner Crash Data Evaluation

Centre, Finnair was rated the saest

airline, while China Air was 60th out

o the 60 surveyed. QA was mid-table

with Emirates and Etihad in the top 10.

What makes an airline especially sae to

travel with?

Saety is always a high priority or us. The

airline made history in 2003 when it be-

came the rst airline in the world to pass

IATAs new, stringent IOSA saety audit

with 100% compliance and we have con-

tinued to pass the audit with ull compli-

ance ever since.Audits are carried out regularly, and we

at QA take great pride in ensuring we have

100% compliance with saety and security

procedures.

What is Qatar Airways stand on Boe-

ing 787, given the act that you have

ordered 55 o them? Will you be going

ahead with the order?

Saety remains the number one priority

or QA. We ensure all our aircrat meet the

most stringent saety standards and this

will not be compromised in any way. We areactively working with Boeing and the regu-

lators to restore ull customer condence in

the 787. Qatar Airways will resume 787 op-

erations when we are clear that the aircrat

meets the ull requirements o the airwor-

thiness directive. So we are not ying the

aircrat until such time as this is achieved.

The Dreamliner is a wonderul state-o-

the-art aircrat, with a revolutionary design

and environmental credentials, and we are

condent that once the issues are resolved

we will continue to operate the aircrat.

With three hubs in close proximity,what will make customers avour QA

and HIA over the others? Do you believe

in ollowing the numbers game?

We do not believe in the numbers game, but

truly strive to ofer the best levels o world-

class service to our customers. As the air-

port operator and main airline user o HIA,

Qatar Airways will ensure that the airport

experience surpasses expectations in op-

erational excellence and customer experi-

ence, and strive to be the best aviation hub

in the world. This is a world-class, iconic

airport that is set to open, creating greatnew benchmarks in design, structure and

experience. We look orward to welcom-

ing the world through this wonderul new

gateway.

Today, the airline has orders or over

250 aircrat worth more than QR182

billion ($50 billion). What are its pro-

curement plans or the next couple o

years?

We continue to grow with clear strategic ob-

jectives. Right now, we are looking orward

to moving operations to a brand new air-

port, and we look orward to taking deliveryo a brand new eet o aircrat that includes

the Airbus A380 superjumbo rom next

year, and developing our route and aircrat

numbers even more.

You have stated that only 18% o your

customers are local. Does that mean

they will be at a disadvantage?

Qatar Airways and most airlines rom the

Middle East ollow the hub-and-spoke busi-

ness model or their route networks. With

a relatively small population base in our

the Cargo terminal at the hamaD international airPort


9/15


respective markets, it is essential as part o

our business model to y passengers rom

around the world to destinations around

the world using Doha as a key hub. Our cen-

tral geographic position gives us signicantadvantage as we are located at the cross-

roads o East and West. Our operations are

designed to provide convenient connec-

tions or travellers transiting through to

onward destinations.

This does not mean that our local cus-

tomers are at a disadvantage. Like all our

passengers worldwide, the local population

is ofered the award-winning world-class

service and in-ight experience that we are

known or, taking them to over 120 destina-

tions spreading across six continents.

Is it true that the service is disparateacross sectors at QA ?

This is not true. As a testimony to our suc-

cessul operations, in a short span o just 16

years, QA remains one o the astest-grow-

ing airlines in the world. Due to the con-

tinued support o our passengers and with

the hard work and commitment o our em-

ployees, we have been awarded, or two con-

secutive years, Worlds Best Airline at the

annual Skytrax awards. This is an incredible

achievement or a young airline in todays

highly competitive global aviation industry.

We take great pride in our service, our highstandards, our employees and the people we

serve our passengers.

What would your prime aim be as the

operator o HIA? Comort, class or

over-the-top-luxury?

Our primary aim is to make HIA the best

airport in the world. This can only be done

through the dedication and commitment

o airport users, be they airlines or employ-

ees, to making the passenger experience

as comortable and hassle-ree as possible.

We will continue to drive high operational

standards, high quality and great eciencyin the running o the airport and hope to re-

arm Dohas position as a premium global

hub with the opening o Hamad Interna-

tional Airport this year. There will be an

incredible number o great eatures within

the airport luxury lounges, a monorail

transport system within the terminal com-

plex, and ne nishes.

Doha International Airport claimed to

have the strongest trac in 2011, but

this year Dubai International has be-

come the third-busiest airport in theworld in terms o international passen-

ger numbers, according to the airports

gures. How do you are against the

competition?

From 17 million passengers in 2011, Doha

International Airport handled approxi-

mately 20 million passengers in 2012. In

2013, we are estimating the total number o

passengers to exceed 24 million. With the

dramatic growth o QA, Doha International

Airport is becoming too small to handle the

surge in air travel to and rom Qatar.

In line with the mission o QA to be theworlds best, our newest amily member,

HIA, is positioned as an international

icon that promises to make waves on the

global stage through its sheer size, master-

piece design and innovative eatures. The

preparations are well under way or the

April 1 opening.

How will you build the retail arm o the

HIA, what will be the ocus rom here

on?

HIA will have more than 40,000 square me-

tres o retail acilities and passenger loung-

es. QAs subsidiary Qatar Duty Free will bethe operator o the retail acilities, eaturing

exclusive branded boutiques and products

to cater or passengers rom all walks o

lie. It promises to be an unrivalled airport

shopping experience.

How well is Qatar Executive aring?

There have been allegations rom Rizon

Jet that QCAA is interering in its regu-

lar business, making it dicult or the

company to operate its services. What is

your reaction to that?

It is not our business to comment on

competitors. We operate in a competitive

business aviation environment with impres-

sive players across the region. Qatar Execu-

tive truly demonstrates that it is a cut abovethe rest with its superior in-ight experience

ofering.

As a person who has been instrumental

in steering QA to its heights, what are

your dreams about the company? What

were your biggest challenges?

I am never complacent and do not rest on

my laurels. I rmly believe in urther grow-

ing our international network and continu-

ing to provide our passengers with the best

levels o service and the best available in-

ight product that they so deserve.

QA is known or two key eatures: dy-namic growth and a constant ocus on top-

quality service, where the customer is at the

heart o everything we do. Listening to what

the customer wants and delivering it is our

top priority through good times and also

through challenging phases.

We have aced challenges in the orm

o rising uel costs and political unrest in

parts o the Middle East. But we remain

ocused on doing our job and rising to the

challenges.

Another big challenge we have been ac-

ing is that the current Doha InternationalAirport is running at ull capacity, unable

to withstand the airlines rapid growth. This

challenge is shortly going to be overcome

with the opening o HIA this year.

Do you ever relax, let your guard down?

And what is the one piece o advice that

you would give young Qataris looking to

move ahead in their careers?

I never let my guard down. I am a ocused

individual. I cannot stress enough the im-

portance that education plays in our lives,

which helps shape our uture.

Qatari youth should take pride in ourbeloved nation, which is why so much re-

source and aith is being put into the youth

o today as the leaders o tomorrow by many

Qatari organisations, including QA.

My advice is to make inormed deci-

sions about the type o career you want to

pursue. At QA we have a career path that

is second to none, with a record number o

150 places on ofer or Qatari graduates and

undergraduates in various capacities at the

national airline rom the beginning o the

2013 academic year.

our prImAry AIm Is to mAke HIA tHe

best AIrport In tHe world. tHIs cAnonly be done tHrougH tHe dedIcAtIon

And commItment of AIrport users,

be tHey AIrlInes or employees, to

mAkIng tHe pAssenger experIence

As comfortAble And HAssle-free As

possIble.


10/15


dubai airports

always a step ahead

keep up with the ow o

tourists, Dubai Airports

announced last year that

HH Sheikh Mohammedbin Rashid Al Maktoum,

Vice-President and Prime Minister o the

UAE and Ruler o Dubai, has endorsed its

QR28.4 billion ($7.8 billion) airport and

airspace expansion programme, which will

boost capacity at Dubai International rom

60 million to 90 million passengers per year

by 2018.

The plan is designed to deliver aviation

inrastructure that will support the con-

tinuation o the sectors impressive growth,

acilitate Dubais economic expansion and

generate 22% o total employment and 32%o the emirates GDP by 2020. It is respond-

ing to a ten-year trac orecast or Dubai

International (DXB) and Dubai World Cen-

tral (DWC) that projects that international

passenger and cargo trac will increase at

an average annual rate o 7.2% and 6.7%

respectively.

Anita Mehra, Vice President o Market-

ing and Corporate Communications or

Dubai Airports, tells us how Dubai ies

so high.

How many passengers went through

Dubai Airport in 2012? How muchgrowth is this against previous years?

What percentage o these passengers

were in transit?

In 2012, Dubai International handled a to-

tal o 57.68 million passengers, an increase

o 13.2% rom 50.97 million in 2011. Tran-

sit passengers constituted 57% o the total

trac.

How many fights go in and out o Dubai

airport each week? How much growth

is this against previous years? What

percentage o these are with Emirates?

Total aircrat movements or 2012 reached

344,245 (an average o approximately

6,600 movements per week), up 5.5% rom

the 326,318 movements recorded in 2011.Emirates is the single largest contribu-

tor to activity at Dubai International and

accounts or approximately 60% o total

passenger trac.

Dubai International Airport is the third

busiest airport in the world. What has

propelled the airport to such a posi-

tion? How important is your geographi-

cal location, and what makes Dubais

airports stand out against others?

Dubais geo-centric location is a major ad-

vantage, and coupled with our aviation

model which is a direct result o the grand

vision o the political leadership and re-

volves around a liberal regulatory climate the key actors in our growth story are a

tax-ree business environment, a customer-

centric ocus that provides value or money,

and close coordination and collaboration

within the sector. Thanks to Dubais open

skies policy the airport is connected to 260

destinations across six continents, through

more than 140 airlines, and continues to

attract more carriers.

The combination o a successul tour-

ism industry, Dubais proximity to the

emerging economies o the East, and the

emirates established role as a trading hublinking economies in the Far East, Europe,

Arica and North America will drive growth

and urther consolidate Dubais status as a

global centre or trade, tourism and com-

merce. The success o Dubais agship car-

rier, Emirates, and the meteoric rise o our

low-cost carrier, Fly Dubai, will also remain

a major actor in our uture growth story.

Dubais progressive approach to aviation

is the key diference. The success is attrib-

uted to a model that is consensus-based,

highly competitive and consumer-centric.

This generates signicant economic bene-

ts or Dubai and the countries it connects.

How do you market the airport, with

Dohas Hamad International Airport

and Abu Dhabi International Airport in

close proximity?

We position Dubai International as a hub

that provides top airport inrastructure,

the highest connectivity or international

passengers, a competitive tax-ree environ-

ment, a 50-year track record o high trac

growth and a promising uture in terms o

the projected growth o the sector.

cynIcs Arent Impressed by dubAI AnnouncIng projects tHAt wIll eItHer be tHe worlds tAllest

or longest or one tHAt Is tHe fIrst ever buIlt, but tHe fAct Is tHAt wItH tourIsts pourIng Into

tHe country, tHe dubAI model does seem to be successful. dubAI AIrport HAs moved AHeAd of Hong

kong AIrport to become tHe tHIrd-busIest AIrport In tHe world, AccordIng to AIrports councIl

InternAtIonAl fIgures In 2012.

anita meHraviCe PresiDent, marketing anD

CorPorate CommuniCations,

Dubai airPorts

to


11/15


gulf air

flight plansAir, the

63-year-old

ormer ag

carrier o

Bahrain, Qatar, the United Arab Emirates

(UAE) and Oman, has declined steadily

since three o its member states broke awayto establish independent carriers. Gul Air

has aced challenges in recent times, in

common with other global carriers, but it

says that combinations o unprecedented

regional and economic actors have made

business increasingly dicult.

Given this, Gul Air, its shareholder

Mumtalakat and the government, both

through the cabinet and parliament, are all

working towards a common goal - to secure

Gul Airs long-term sustainability and to

actively address the airlines loss-making

position.Just beore we went to print, Gul Air

sent another statement regarding the belt-

tightening measures adopted which stated:

Despite a dicult operating environ-

ment, restructuring measures have started

yielding results and the strategy remains

on track to achieve overall cost savings o

24% by the end o 2013. In January 2013,

through the implementation o prudent

cost saving measures and an aggressive e-

ciency drive, the airline reduced its overall

losses by over 34% compared with January

2012, posted a 9.6% increase in passenger

revenue against its budgeted revenue and,increased its yields by over 8%.

The airline also cut its expenditure

signicantly through reductions in air-

crat lease ees, ight-related charges

and staf expenses and the closure o our

loss-making routes.

Based on current progress and the esti-

mated orecasts, the restructuring plan is

on track to achieve its cost-savings target by

the end o 2013. Indications are also strong

that the revenue per available seat kilome-

tre (RSK) will achieve the targeted 9% in-

crease in 2013 through the establishment o

robust perormance rameworks designed

to deliver greater eciencies.

When asked about the strategic steps

taken by Gul Air to ensure it is competing

with the larger airlines in the region, Maher

Salman AlMusallam, Acting CEO, Gul Air

says, Gul Airs business model is difer-

ent rom that o the larger regional carri-

ers. As part o the current Gul Air restruc-

turing process, the airline is optimising its

eet and network by strengthening its core

services in the MENA markets and con-

centrating on high-demand and high-yieldpoint-to-point routes to connect Bahraini

businesses with regional markets.

As such, the airline operates one o the

largest networks in the Middle East and op-

erates ights to regional capitals including

Amman, Baghdad, Beirut, Cairo, Khartoum

and Sanaa. It also operates multiple daily

ights to its entire GCC network including

Kuwait, Doha, Abu Dhabi, Dubai, Muscat,

Jeddah, Riyadh, Medina and Dammam.

The airline is ocused on our key areas

eet, network, product and cost to ofer

passengers more value or money, a net-

work reecting customer demand as well

as new and improved products. In addition,

the airline is continuing to strengthen its

Middle East network, retaining Gul Airs

position as the largest regional network

carrier while connecting key global markets

with Bahrain, he says.

Gul Airs restructuring strategy is aimed

at taking the airline on a path towards

sustainability.

The main challenge or the airlines in the

next ve years, according to Maher Salman

AlMusallam, is uel prices, which contin-ue to be a major challenge or the entire

aviation industry.

Gul Air, like other airlines, is impacted

by the global economy in addition to the

growing competition both regionally and

globally, he says.

The optimised eet and network will see

Gul Air operating a mix o wide, and nar-

row body aircrat with one o the youngest

eets in the region (a little more than our

years) ofering best-in-class products and

services, he says.

wHIle Its two neIgHbourIng nAtIonAl cArrIers Are reApIng gold, bAHrAIns AIrlInes Are strugglIng.

bAHrAIn AIr tHe prIvAtely-owned low-cost cArrIer HAs sHut down cItIng polItIcAl unrest In tHe

IslAnd kIngdom to be tHe reAson.

maHer Salman almuSallamaCting Ceo, gul air

gulf


12/15


flying digital

aviation industry is

a notoriously tough

business. Capital

outlay, repairs, tax-es, high uel costs,

regulations and competition all contrib-

ute to creating an expensive and challeng-

ing environment in which to operate. As a

result, history is lled with high-prole ex-

amples, rom Pan Am to Laker Airways, o

carriers who ultimately vanished rom our

departure boards.

Over the years, strategies to redress the

challenging economics o our skies have in-

cluded code-sharing, alliances and ull-on

mergers, such as the 2011 union between

Spanish national carrier Iberia and BritishAirways. Other solutions have been more

creative. American Airlines amously once

realised it could save QR218,400 a year by

removing the olive rom the salads they

served in First Class. As Southwest Airlines

Herb Kelleher once quipped: I the Wright

Brothers were alive today, Wilbur would

have to re Orville to reduce costs.

In the digital age these pre-existing -

nancial challenges are heightened by in-

creased consumer literacy. Many o us take

or granted online tools like price com-

parison websites or orums where we can

discuss and compare seat pitches, inightentertainment systems and ood options.

Yet a decade ago, these (now mainstream)

inormation outlets either didnt exist or

were still in their inancy. The explosion

o social networks and smartphones in the

last our to ve years has added a urther

inormation layer. The net efect is that the

average airline customer is now better in-

ormed, and better able to share their views

and experiences, than at any time since Kit-

ty Hawk took to the air in 1903.

Responding to this new age o connectiv-

ity is a challenge, not just or airlines but or

any customer-acing service organisation.

In 2010 RightNow, a cloud-based customer

service provider, commissioned a study

to investigate how social networks were

changing consumer expectations. Its report

showed that consumers increasingly expect

interaction via social channels and that the

social web is oten their rst port o call in

the event o a problem.

However, the study also ound that these

consumer expectations requently out-stripped businesses willingness, or ability,

to engage with these emerging channels. As

a result, companies increasingly risked los-

ing control o the conversation.

Clearly, this remains a risk. But writing

inAirline Passenger Experience in late 2011,

Shashank Nigam noted that whilst the so-

cial era may be rightening or an industry

that has traditionally held rm control over

marketing and operations, but it has also

given airlines the unique opportunity to

understand what drives customer actions

better than ever beore.

Subsequently, ater spending much o thepast decade on the digital back oot, many

airlines are going social harnessing net-

works like Facebook and Twitter, as well as

putting out e-mail newsletters to drive cus-

tomer loyalty, engage with new consumers,

and garner eedback rom service users.

The most obvious example o this sort

o digital activity has been the provision o

highly reactive customer support and time-

sensitive social-media-only deals.

But airlines are increasingly being

creative too.

In A HIgHly competItIve mArket, AIrlInes Are IncreAsIngly embrAcIng tecHnology As A meAns to

develop tHeIr brAnd And keep up wItH evolvIng consumer expectAtIons.

the

by daMian radcliffe

exampleS of local enGaGement via tHe two BiGGeSt Social networkS,s fby 19, 2013

twitter followerS faceBook likeS

Q ays63,288. upd: 8,466

@q706,454

es51, 142. upd: 402

@_e1,293,872

eh15,305. upd 4,215

@eda341,905

G a14,976. upd: 3,095

@ga51,012

fy db1,351. upd: 0 (s

c) @fd6,270

mAInstreAm pre-flIgHtconsumer tools we now tAkefor grAnted

b dc

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13/15


Air New Zealands quirky in-ight

saety video, #richroll, has had nearly

2.8 million views on YouTube [http://

youtube/3iaTEgoezNQ], surely a somewhat

secondary audience, but one which projects

the image o the carrier as un and creative.

Watch it, and I dey you not to smile!On a simpler but promotionally no less e-

ective level, the Uruguayan carrier Pluna

Airlines ofers bonus requent yer points i

you share your booking details with riends

across a number o social networks. And

when Virgin America opened its new termi-

nal at San Francisco International Airport

it ran a virtual scavenger hunt, encouraging

participants to check in on Foursquare so

they could win online badges that could be

turned into real-world prizes.

In each o these instances the nancial

cost to the airline is pretty small. But by en-

couraging users to share their experiencewith their own social networks they are

able to enjoy a ar greater and potentially

more efective reach than through tradi-

tional digital marketing. Ater all, such so-

cial sharing is the new word o mouth. And

thats the most trusted advertising medium

there has ever been.

I some o these ideas seem like gim-

micks, its worth considering the size osome o these audiences. They may be

bigger and more inuential than you think.

Last October, when Emirates celebrated

its 27th birthday by launching an ocial

Google Plus account, it attracted nearly

100,000 ollowers in a week. At the same

time, a post on Emirates Facebook page an-

nouncing this new social channel received

10,000 likes in one day.Although Middle East based carriers like

Emirates are starting to really engage in

this space, theyre arguably still behind in

terms o the digital audiences enjoyed by

some o their US-based counterparts. Jet-

Blue, or example, currently has 1.7 million

Twitter ollowers, considerably more than

all the MENA carriers combined.

And or those who say that size isnt ev-

erything, its worth looking at American

Airlines. It has a smaller Twitter audience

than JetBlue and a number o other air-

lines, but it is very digitally engaged, having

sent 145,000 tweets to date. These guresdwar the level o activity (see chart below)

or carriers in our own region.

exAmples of dIgItAl experIenceswe now often tAke for grAnted

o cc-

Qr cd d cc

d p

i-f w- d cp

Pd -

c

e c c

socIAl network key

yt ti fa g p vk rr t wi sia wi

rAnk brAnd AggregAted net IncreAse tHIs weeekengAgement

Index

1 3 emirates 73,557 680 62,950 90,410 51%

2 1 british airways 97,164 3,058 16,912 36,518 4%

3 35 alitalia 356 38,901 100%

4 2 aZul 947 2,218 39.009 8,537 28%

5 2 klm 80,822 6,551 628 25,255 1,953 1,521 26%

6 1 air ranCe 21,160 808 23,609 2,213 24 %

7. . . .

0 turkish airlines

14,467 3,058 36,518

16,912 36,518 27%

8 . . . .0 lan airlines 835 35 22,627 30%

9 . . . .0 Delta airlines 24,328 2,539 22,979 7%

10 4 gol 3,524 954 4,631 8,733 6%


14/15


Importantly, they use Twitter as a two-

way communication channel, not simply a

broadcasting mechanism (this is an impor-

tant characteristic o social media success).

Many o Americans tweets thereore are in

response to direct questions, complaints or

comments rom users.Jonathan Pierce, Americans Director o

Social Media Communications, recently re-

vealed that they receive 1,200 [mentions or

direct messages] every day, oten rom cus-

tomers in transit seeking a quick response

to a query. For these consumers social me-

dia is a helpline. And theyre more likely

to seek an answer via these channels than

through the airlines helpline. As a result,

American Airlines currently employs six

staf to look ater Twitter alone, with anoth-

er nine employees looking ater their other

social eeds. (And unlike many o their

competitors, these services are manned24/7, as bets the round-the-clock nature

o their business.)

So, what happens next? Evidence (see

graphic) suggests that social media spend-

ing is, in most cases, going to increase. For

most airlines, the digital case has been

made. And won.

The challenge now is to address key ques-

tions around resourcing, HR policy and

return on investment (ROI). Theres an

opportunity, too. I airlines have started to

get the benets o going digital in sup-

porting the pre-and post-ight experience,then surely the next step is to do so when

passengers are in-ight. This is particu-

larly the case as Wi-Fi becomes ever more

prevalent on board, creating opportunities

or enhanced customer engagement even

whilst the plane is in the air. So i a passen-

ger comments about an experience good or

bad on Facebook or Twitter, theres an op-

portunity to respond to it there and then.

Expect to see more o this sort o activity in

your social eeds in 2013.

That aside, the digital challenges the sec-

tor aces, as with the need to go social in

the rst place, will be amiliar to most man-agement teams, whatever their sector.

In terms o resourcing, there is a peren-

nial question o whether to set up dedicated

social media teams or to embed these skills

across diferent parts o the organisation.

Theres also the challenge o responding to

an ever-expanding range o digital outlets,

apps and devices. Engagement via channels

such as Facebook, Twitter and YouTube

may now be airly mainstream, but to what

extent should you also have a presence on

new platorms like Instagram, Google Plus

or Pinterest? Such engagement may well

gain you kudos with the digerati, but their

numbers are small compared with the big

three networks.

Whatever your digital battleground,

many o your staf will already be active on

these networks in their own right. So hav-

ing a social media policy or your workorcemay well be essential. Ater all, your em-

ployees can play a great role in developing

your brand and providing it with a human

ace. But they can also potentially damage

it. Witness the speed with which Tatiana

Kozlenko, a ight attendant with Russian

airline Aeroot, was sacked ater a photo

she posted o a staf member giving passen-

gers the nger went viral. This was not the

kind o image the airline wished to project.

And nally, underpinning all o this, is

the question o ROI. Does all o this digital

activity make a diference, or are consum-

ers still driven by the bottom line, with

brand loyalty all too quickly abandoned in

the ace o a good deal? ROI may not trans-

late to driving traditional income streams

(yet), but digital reach and engagement may

prevent them rom haemorrhaging.

Arguably the best way to see digital chan-nels is not as isolated services, but part o the

wider business plan. The CEO o the South

Arican carrier Mango Airlines recently at-

tributed 50% o its revenue growth to social

media, with its Bucket List campaign in

which consumers submitted their travel

wishlists being harnessed to add value to

its new tagline, Why not today?.

Its a good question. Whichever way you

look at it, the use o social media and digital

technologies by airlines looks like it is really

starting to take of

likely to inCrease

but amount

unknown

likely to inCrease

buDget by less than

25%

likely to inCrease

buDget by 25 %- 50%

no inCrease

likely to DeCrease

unsure

62.1%6.9%

6.9%

6.9%

13.8%

3.4%

plAns to IncreAse budget for socIAl medIA next yeAr

cAse In poInt


15/15

cover story march

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