𝐖𝐡𝐚𝐭 𝐅𝐮𝐥𝐥-𝐒𝐞𝐫𝐯𝐢𝐜𝐞 𝐀𝐢𝐫𝐥𝐢𝐧𝐞𝐬 𝐡𝐚𝐯𝐞 𝐥𝐞𝐚𝐫𝐧𝐭 𝐟𝐫𝐨𝐦 𝐋𝐨𝐰-𝐂𝐨𝐬𝐭 𝐀𝐢𝐫𝐥𝐢𝐧𝐞𝐬

Having led some key business units within legacy airlines, I’ve witnessed how customer expectations, competition, and margins have reshaped aviation over the years.

One truth stood out clearly: low-cost carriers were not just competitors anymore; they started setting the trend. This change has become a learning experience for the entire aviation industry.

3 Areas Where Full-Service Airlines Have Learnt from Low-Fare Airlines

1️⃣ Product: Simplicity Creates Value

Low-cost carriers (LCCs) excel at clarity of offering. One ticket equals one seat. Everything else is for customers to choose.

Legacy airlines have learned that disassembling or unbundling services, such as baggage, meals, and seat selection, is not necessarily a downgrade. Instead, it gives customers more control. When executed correctly, this approach builds customer trust and generates revenue streams that contribute directly to the bottom line.

2️⃣ People: Agility Over Hierarchy

LCC teams are often leaner, empowered, and cross-functional. The lack of bureaucracy allows for faster decision-making compared to full-service carriers (FSCs).

FSCs, with their larger structures, can benefit from adopting an empowered frontline model. When cabin crew, sales staff, and ground operations have the autonomy to solve problems quickly, gaining customer trust becomes inevitable. People feel more responsive when making decisions.

3️⃣ Processes: Efficiency is Culture

LCCs embed efficiency in everything, from fleet commonality to turnaround times and tech-enabled distribution options.

FSCs have traditionally emphasized premium service. However, in today’s margin-sensitive business world, embedding process discipline is crucial for survival. FSCs need to break the myth that efficiency dilutes service; rather, it creates sustainability.

🌍 My Personal View: Future Will Continue to See Hybrid Models Emerging

FSCs that will succeed won't mimic what LCCs are doing, nor will they cling to legacy pride. Their mantra will be to find the balance point: premium where it matters and efficient where it counts.

The lesson I learned while working with FSCs is clear: agility and relevance will continue to be the winning combination.

The Importance of Customer Experience

In the competitive landscape of aviation, customer experience is paramount. Full-service airlines must focus on enhancing every touchpoint in the customer journey. This includes seamless booking processes, attentive in-flight service, and efficient baggage handling.

By prioritizing customer experience, airlines can differentiate themselves from low-cost carriers. This differentiation can lead to increased customer loyalty and higher revenue.

Embracing Technology

Technology plays a crucial role in the evolution of airlines. Full-service carriers need to embrace digital transformation. This includes investing in mobile apps, online check-in, and personalized marketing strategies.

By leveraging technology, airlines can streamline operations and enhance the customer experience. This not only improves efficiency but also meets the growing expectations of tech-savvy travelers.

Sustainability in Aviation

Sustainability is becoming increasingly important in the aviation industry. Full-service airlines must adopt eco-friendly practices. This includes reducing carbon emissions, investing in sustainable aviation fuel, and implementing waste reduction strategies.

By prioritizing sustainability, airlines can appeal to environmentally conscious travelers. This can also lead to cost savings in the long run.

Conclusion

The aviation industry is evolving rapidly. Full-service airlines must learn from low-cost carriers to remain competitive. By focusing on simplicity, agility, efficiency, customer experience, technology, and sustainability, they can thrive in this challenging environment.

The future of aviation will likely see a blend of the best practices from both low-cost and full-service airlines. Those who adapt and innovate will lead the way in this dynamic industry.