Air Berlin SWOT Analysis, Competitors & USP

Air Berlin

Parent Company

Air Berlin GmbH

Category

International

Sector

Airlines

Tagline/ Slogan

Your Airline

USP

Germany's Second largest airline in terms of passengers carried

Air Berlin STP

Segment

Middle Class/ Business Class

Target Group

Passengers looking for comfort at low price

Positioning

Low cost carrier providing quality travel

Air Berlin SWOT Analysis

Strengths

Below is the Strengths, Weaknesses, Opportunities & Threats (SWOT) Analysis of Air Berlin. Strengths are:

1. Air Berlin has its own pilot training program and was the first German flying school to receive training approval from the German Aviation Authority
2. It has a unique positioning in the market between LCC and traditional carriers which is difficult to emulate and capture
3. Very user friendly website as compared to other Air lines
4. Recipient of Business Travel Award and Best low cost airline award in 2010 and hence a very strong brand image

5. Carried over 33 million passengers annually, connecting Europe, S.E. Asia, Americas and Carribean

Weaknesses

Here are the weaknesses in the Air Berlin SWOT Analysis:

1. Advertising and PR activities are a low-key affair at Air Berlin compared to market leaders
2. With increasing expectations of travelers it will be difficult to provide the services at low cost

Opportunities

Following are the Opportunities in Air Berlin SWOT Analysis:

1. Acquisition of LTU ensures a smooth entry into long-haul market, LTU offers 23 routes to North America, Africa and Asia
2. Flight School of Air Berlin can be an additional and important source of income
3. Leverage on the fact that company operates one of the industry's youngest fleet (average age was 4.5 years)

Threats

The threats in the SWOT Analysis of Air Berlin are as mentioned:

1. Promotion of new routes earned through M&A could affect the demand of existing routes
2. Direct competition based on fares by other players on all its major routes
3. In Eastern Europe regions competition might increasing due to alternate modes of transport being available at lower fares

Air Berlin Competition

Competitors

Below are the top 3 Air Berlin competitors:

1. Lufthansa
2. Air Europa
3. Aeroflot