Ukraine became the 36th country with which Ryanair will fly - the world's largest airfreight carrier. NV Business collected five facts about the airline itself, and answered the five most important questions about its business in Ukraine.
The Ryanair bus contender was founded in 1985, and received the name on behalf of its founder, Irish businessman Tony Ryan,. Loukosterom Ryanair was not immediately, but only in 1991, when it was decided to restructure and abandon the usual model of work. Ryanair ceased to compete with traditional airlines, began to fly from secondary and remote airports, saying that the main competitor is considering ... buses. There are times when the transfer from the airport to the city is more expensive than the ticket for the plane itself.
Why Ryanair has such cheap tickets Ryanair ticket prices for most destinations range from 10-40 euros. They are so low because they do not take into account the related services. Saving on everything, Ryanair distinguished itself by being the first in Europe to introduce a fee for food on board and a baggage allowance. It was followed by many other market participants. One of the most expensive services - baggage allowance. Take with you to the salon you can only hand luggage - a small bag, and its size is smaller than that of other airlines. A suitcase is allowed to be carried only if you paid 5 euro for priority boarding when booking tickets.
What kind of aircraft is used by Ryanair Ryanair uses mostly new aircraft, as they are cheaper to maintain. Until recently, the airline ordered hundreds of airliners from only one manufacturer - Boeing. But just a week ago, Ryanair announced that it buys an Austrian airline Niki from the Austrian driver of the "Formula 1". This airline has 50 Airbus aircraft. Now it will be even easier for the Irish to knock out discounts from the manufacturer for themselves.
Standing places in airplanes In 2009, the company's management was surprised by the extravagant offer - to introduce standing places in airplanes. But, for now, the idea remains unrealized. And in early April 2010, the British tabloid Daily Mail with a link to the press service Ryanair published the news that for using the toilet on board the low-cost passengers will have to pay extra. As a result, the news turned out to be a joke, although many world media were taken seriously.
General hatred Ryanair often falls into the ratings of the most hated brands in the world. For example, in 2008 the company became the most hated air carrier in the UK. But the damage to the business of Ryanair has a nasty reputation: the number of passengers carried by a loukoster passenger is constantly growing, and the pace envious of competitors. In early 2017, Ryanair was recognized as the largest airline in Europe, having bypassed the German Lufthansa. The main rival of Ryanair today is the Hungarian Wizz Air, as well as the Italian Volotea and British EasyJet.
Five facts about the company's business in Ukraine But, what does Ukraine expect from Ryanair's business? What was behind the broken agreement last fall? And how will the arrival of the airline affect the air market? NV Business found the answers to these questions.
When will Ryanair fly and how much will it cost?.
Flights from Ukraine will begin from October, that is, in six months. The company will fly from two airports - Boryspil and Lviv. Flights will be conducted to 15 countries, mainly in the same areas as WizzAir, but the ticket price will be lower. The cheapest tickets can be purchased for 10 euros.
Why Ukraine at all Ryanair?.
As the head of the office of the National Investment Council Julia Kovalyv predicts, this will bring about one million passengers of additional traffic. "Boryspil Airport is one of the fastest growing in Europe with its 20% growth. But if you take the ratio of the number of our country's population of 40 million and the number of passengers in the country - it's 16 million, it's very small. In Poland, this ratio is twice as large, "says Kovaliv.
The authorities hope that Ryanair will work on domestic transport in Ukraine, which will facilitate the movement in the country. "Today we have the option to drive for 12 hours by car to the east or west of the country from Kiev. But, we do not have an option for 20-30 euros and a couple of hours to fly, for example, to Uzhgorod, Chernivtsi or Ivano-Frankivsk. We hope that it will appear after the arrival of Ryanair, "says the head of the office of the National Investment Council.
Ryanair has not once agreed with the authorities. Why agree now?.
Ryanair is known for very stringent requirements for the airports of his stay. Initially, the conditions set by her to Boryspil were too harsh and outraged the International Airlines of Ukraine, which actively resisted the arrival of the low-coster.
All this coincided with changes in the world aviation market. So, there was a strike of pilots, when more than one million tickets were canceled. In Europe, Air Berlin went bankrupt in the most high-margin market in Germany, where previously Ryanair's positions were not so strong. Therefore, then Ryanair decided to focus on more pressing problems. Fueled the fire and Ukrainian politicians who pressured the participants in the process.
However, the negotiations resumed a month after the failure of the first agreement. As a result, both sides made substantial concessions. Boryspil reduced tariffs, certain conditions of service at the airport were revised, not only for Ryanair, but for all. On the other hand, Ryanair has abandoned its most odious demands, such as getting free land plots, getting free places for taxis and parking. These requirements contradicted the Ukrainian legislation.
What will happen to UIA after the arrival of Ryanair?.
While UIA only benefited from this. First of all, thanks to the negotiations with Ryanair, the base tariff for all carriers was reduced, and an exact graduation of discounts was established, which is tied to the volume of transported passengers. The more passengers you carry, the greater the discount. Naturally, the largest discount will be UIA, as the main carrier.
Finally, the discount on opening new directions was legalized. The UIA is launching a new fleet this year, Boeing 777s. The carrier receives a discount on new destinations: flights to Toronto and Shanghai.
And will there be any change in the airports from the arrival of Ryanair?.
What passengers will see is a drop in ticket prices by the end of the year. What the passenger does not immediately notice, but what the market will feel, the requirements for servicing the aircraft will be toughened. Already, according to the schedule, which is stated on the airline's website, their planes will be deployed in 25 minutes. Such a hard deadline Ukrainian airports did not yet know. If state airports learn how to invest in this deadline, other airlines.