| Journal: TWUK | Section: |
| Title: | Issue Date: 17/04/00 |
| Author: | Page Number: 6 |
| Copyright: Other |
British Midland unveils outline for new livery
Report by PAUL NORRIS
Global strategy
BRITISHMidland is to unveil a new look in September as it seeks to establish itself as a global airline.The new livery will coincide with the carrier assuming major responsibility for its Star Alliance partners’ UK operations, according to part-owner Lufthansa.British Midland chief operating officer James Hogan said the updated image will help the carrier with its strategy to move from a regional and European airline to a world carrier.He refused to reveal what new colours or name the airline is looking at but pledged that British Midland would not ignore its UK roots.The previously suggested name of Bluebird was ruled out by Hogan.Analysts have said that retention of the ‘British Midland’ name is confusing to overseas passengers who consider the airline a subsidiary of British Airways. The word ‘Midland’ is also considered too parochial.Hogan, however, argued that US passengers had a good knowledge of the airline: “The US is our second largest market after the UK with $50m worth of business,” he said.British Midland intends to launch transatlantic flights next summer, while also expanding its network under the guidance of Star Alliance.Hogan confirmed that the carrier’s future strategy under Star Alliance would be aimed at the premium market.This is expected to be reflected in new agents’ agreements which the airline will unveil when it has studied BA’s plans for zero commission and service fees.Star Alliance partners Lufthansa, SAS and Austrian Airlines already pay just 7% commission. British Midland still pays 9%.Meanwhile, Lufthansa chairman and chief operating officer Dr Karl-Friedrich Rausch said Star Alliance will use British Midland as the landlord for the group’s UK business. He said: “The policy in individual countries is that the home carrier serves all partners. n See Star Alliance special report, page 30
BRITISHMidland is to unveil a new look in September as it seeks to establish itself as a global airline.The new livery will coincide with the carrier assuming major responsibility for its Star Alliance partners’ UK operations, according to part-owner Lufthansa.
British Midland chief operating officer James Hogan said the updated image will help the carrier with its strategy to move from a regional and European airline to a world carrier.
He refused to reveal what new colours or name the airline is looking at but pledged that British Midland would not ignore its UK roots.
The previously suggested name of Bluebird was ruled out by Hogan.
Analysts have said that retention of the ‘British Midland’ name is confusing to overseas passengers who consider the airline a subsidiary of British Airways. The word ‘Midland’ is also considered too parochial.
Hogan, however, argued that US passengers had a good knowledge of the airline: “The US is our second largest market after the UK with $50m worth of business,” he said.
British Midland intends to launch transatlantic flights next summer, while also expanding its network under the guidance of Star Alliance.
Hogan confirmed that the carrier’s future strategy under Star Alliance would be aimed at the premium market.
This is expected to be reflected in new agents’ agreements which the airline will unveil when it has studied BA’s plans for zero commission and service fees.
Star Alliance partners Lufthansa, SAS and Austrian Airlines already pay just 7% commission. British Midland still pays 9%.
Meanwhile, Lufthansa chairman and chief operating officer Dr Karl-Friedrich Rausch said Star Alliance will use British Midland as the landlord for the group’s UK business. He said: “The policy in individual countries is that the home carrier serves all partners.
n See Star Alliance special report, page 30
Hogan: said British Midland’s future strategy would be aimed at the premium market