Published by MBA Skool Team, Last Updated: April 12, 2020
SWOT analysis of Air Berlin analyses the brand by its strengths, weaknesses, opportunities & threats. In Air Berlin SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.
SWOT Analysis is a proven management framework which enables a brand like Air Berlin to benchmark its business & performance as compared to the competitors. Air Berlin is one of the leading brands in the airlines sector.
The article below lists the Air Berlin SWOT, competitors and includes its target market, segmentation, positioning & USP. Let us start the Air Berlin SWOT Analysis:
For Air Berlin, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position.
Air Berlin Strengths
The strengths of Air Berlin looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Air Berlin :
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
Air Berlin Weaknesses
The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. 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
Air Berlin Opportunities
The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. 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)
Air Berlin Threats
The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be 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 Competitors
There are several brands in the market which are competing for the same set of customers. Below are the top 3 competitors of Air Berlin:
Germany's Second largest airline in terms of passengers carried
Air Berlin STP
Middle Class/ Business Class
Passengers looking for comfort at low price
Low cost carrier providing quality travel
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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