Article – The Supersonic Future

Supersonic Transport:

Moving From Ambient Thinking To Futurist Planning

On November 15, 2016, the expected and accepted future of intercontinental air transportation got torpedoed.

Not necessarily a surprising event, particularly for the attendees at the 21st Boyd Group International Aviation Forecast Summit last September, where Boom Technologies outlined the next step in air transportation.

Last week, the future started to arrive. Boom Technologies rolled out the full-scale model of its XB-1 supersonic demonstrator. It’s a one-third scale of its planned 45-50 seat Boom Airliner that is well under development.

The concept is a 2.2 Mach intercontinental airliner that will carry what is today front-cabin passengers across the Atlantic and Pacific in less than half the time of current airliners – and do so at fare levels commensurate with today’s business class prices.

The potential viability of the Boom concept was underscored by the range of leading aviation entities in attendance. General Electric, Honeywell, Rolls-Royce, NASA. Everyone was also honored to have the presence of some of the original engineers who actually were on the Concorde project many years ago.

Think of It Like The Front Cabin of A 777 That Flies Supersonic. Unlike the Concorde, the Boom Airliner is not envisioned to be one that will cater only to thin layers of high-roller traffic, paying an astronomical fare. Instead, the Boom Airliner simply will capture existing front-cabin traffic, at ambient premium fare levels.

No, there will not be full-flatbed seats with lush duvets for sweet dreams while crossing the ocean. No double-meal catering.

There won’t be time for these amenities – which are there only because the consumer is trapped in the 777 for eight hours. Lovely, lush, and comfortable. But there are two considerations: first, it costs the airline tens of millions to develop and deliver these amenities, and second, the time in the air allows this “entertainment.”

The Boom Airliner will not inflict the need to have seating that takes up the space of a suburban Japanese garden, and chairs that cost as much as a small tract house in rural Ohio. The need to stock several phases of gourmet food into galleys with the complexity of a McDonalds, will be an expense that also won’t be necessary.

With a just over three hours between New York and London, the service will be more like domestic first class.

The Passenger Segment Already Exists. The Boom Airliner will simply capture the current folks sitting in the front end of 777s, A-330s, and 767s. The premium customer will have two choices – ride an extra three or four hours and get a four-course meal finished off with creame brulee en crute, or be in London to do business three hours earlier.

It’s a no brainer. This airliner is going to change how premium customers fly. It will be a challenge to future airline strategies.

It also means that the intercontinental airlines that are first-to-market with this new airliner, will drain this premium traffic from competitors – regardless of frequent flyer loyalty. And by the way, that first-to-market carrier is already on the horizon: Virgin Atlantic has an option for the first ten Boom Airliners, expected to come off the assembly line starting in 2023.

The Concorde Experience Is Ancient History. And Ancient Technology. It’s understandable that a lot of folks in aviation are commenting that the Boom project is just another pipe dream. After all, they point out, the Concorde was a financial fiasco. In point of fact, this observation regarding the British-French product is entirely accurate.

Here’s fact: next year will mark the 50th anniversary of the roll-out of the Concorde. It didn’t fly for another 18 months, but the fact remains that the airplane against which  some people are measuring the Boom Airliner is approaching senior citizen status.

While Concorde was a techno-marvel for its time, it stands as an example to incredibly closed-minded and poor market planning. In fact, it’s earned a place in a great book titled World’s Greatest Planning Disasters.

The Boom aircraft is different from the Concorde: it is based on solid market vision, solid planning, and solid assumptions. And there is no government hubris involved – which was a major factor in the Concorde program. It’s all about business, not misguided national pride.

Re-Thinking Reheat. In addition, the comment also is made that there is no existing power plant adaptable to the Boom Airliner. Some of the folks parroting this nonsense couldn’t tell the difference between a jet engine and a Studebaker V-8.

One of the key advantages of the Boom Airliner is that it does encompass an existing engine core, and can attain 2.2 Mach without use of an afterburner – also referred to as “reheat” by engineers in the Mother Country. Here’s an ice-breaker conversation starter for the next boring cocktail party: when in afterburner, Concorde burned 78% more fuel, and for all that it gained just 17% more thrust.

So to compare the Boom Airliner to the Concorde is flat ridiculous. To maintain that the Concorde proved “it couldn’t be done” is akin to the folks who probably told Lindbergh not to take off, because so many others had splattered themselves trying to cross the Atlantic.

As an aside, one of BGI’s colleagues, Fred Johnson, was a trained mechanic instructor on the Concorde, when Braniff operated the aircraft in 1978-80. His take on the Concorde was that it was some of the finest examples of the best of 1960s technology.

Point: In September, at the IAFS, the world got a glimpse of the future of intercontinental air travel.

On November 15, it became official: Supersonic is the future.

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The Future Is Supersonic

Moving From Ambient Thinking To Futurist Planning

On November 15, 2016, the expected and accepted future of intercontinental air transportation got torpedoed.

Boom Technologies rolled out the full-scale model of its XB-1 supersonic demonstrator. It’s a one-third scale of its planned 45-50 seat Boom Airliner that is well under development.

The concept is a 2.2 Mach intercontinental airliner that will carry what is today front-cabin passengers across the Atlantic and Pacific in less than half the time of current airliners – and do so at fare levels commensurate with today’s business class prices.

The potential viability of the Boom concept was underscored by the range of leading aviation entities in attendance. General Electric, Honeywell, Rolls-Royce, NASA. Everyone was also honored to have the presence of some of the original engineers who actually were on the Concorde project many years ago.

Think of It Like The Front Cabin of A 777 That Flies Supersonic. Unlike the Concorde, the Boom Airliner is not envisioned to be one that will cater only to thin layers of high-roller traffic, paying an astronomical fare. Instead, the Boom Airliner simply will capture existing front-cabin traffic, at ambient premium fare levels.

No, there will not be full-flatbed seats with lush duvets for sweet dreams while crossing the ocean. No double-meal catering.

There won’t be time for these amenities – which are there only because the consumer is trapped in the 777 for eight hours. Lovely, lush, and comfortable. But there are two considerations: first, it costs the airline tens of millions to develop and deliver these amenities, and second, the time in the air allows this “entertainment.”

The Boom Airliner will not inflict the need to have seating that takes up the space of a suburban Japanese garden, and chairs that cost as much as a small tract house in rural Ohio. The need to stock several phases of gourmet food into galleys with the complexity of a McDonalds, will be an expense that also won’t be necessary.

With a just over three hours between New York and London, the service will be more like domestic first class.

The Passenger Segment Already Exists. The Boom Airliner will simply capture the current folks sitting in the front end of 777s, A-330s, and 767s. The premium customer will have two choices – ride an extra three or four hours and get a four-course meal finished off with creame brulee en crute, or be in London to do business three hours earlier.

It’s a no brainer. This airliner is going to change how premium customers fly. It will be a challenge to future airline strategies.

It also means that the intercontinental airlines that are first-to-market with this new airliner, will drain this premium traffic from competitors – regardless of frequent flyer loyalty. And by the way, that first-to-market carrier is already on the horizon: Virgin Atlantic has an option for the first ten Boon Airliners, expected to come off the assembly line starting in 2023.

The Concorde Experience Is Ancient History. And Ancient Technology. It’s understandable that a lot of folks in aviation are commenting that the Boom project is just another pipe dream. After all, they point out, the Concorde was a financial fiasco. In point of fact, this observation regarding the British-French product is entirely accurate.

While Concorde was a techno-marvel for its time, it stands as an example to incredibly closed-minded and poor market planning. In fact, it’s earned a place in a great book titled World’s Greatest Planning Disasters.

Re-Thinking Reheat. In addition, the comment also is made that there is no existing power plant adaptable to the Boom Airliner. It’s a comment made by folks who in reality couldn’t tell the difference between a jet engine and a Studebaker V-8.

One of the key advantages of the Boom Airliner that it does encompass an existing engine core, and can attain 2.2 Mach without use of an afterburner – also referred to as “reheat” by engineers in the Mother Country. Here’s a ice-breaker conversation starter for the next boring cocktail party: when in after burner, Concorde burned 78% more fuel, and for all that it gained 17% more thrust.

Here’s some reality: Next year marks the 50th anniversary of the roll-out of the Concorde. That’s half a century ago.

To compare the Boom Airliner to the Concorde is flat ridiculous. To maintain that the Concorde proved “it couldn’t be done” is akin to the folks who probably told Lindbergh not to take off, because so many others had splattered themselves trying to cross the Atlantic.

As an aside, one of BGI’s colleagues, Fred Johnson, was a trained mechanic instructor on the Concorde, when Braniff operated the aircraft in 1978-80. His take on the Concorde was that it was some of the finest examples of the best of 1960s technology.

Point: In September, at the IAFS, the world got a glimpse of the future of intercontinental air travel. On November 15, it became official: Supersonic is the future.

Monday Flash Back-Up

THE MONDAY FLASH – INSIGHTS & PERSPECTIVES

October 31, 2016

Congratulations To Ontario!

Tomorrow ONT enters a whole new phase as a gateway to Southern California, independent from Los Angeles World Airports.

At a time when the entire global air transportations system is dealing with new traffic flows, the future for Ontario is exciting… to say the least.

Our congratulations to Kelly Fredericks and his team!

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Coming – Re-thinking Cabin Safety Instruction

The American Airlines incident at ORD, where (apparently) a catastrophic engine failure caused an aborted take-off, is likely to change the approach to in-cabin safety announcements.

Take a look at the pictures – passengers were taking their carry-on luggage with them – stopping to take it out of the overhead, through the cabin, and down the emergency slide… some clowns in the cabin of the burning aircraft were actually taking phone-videos.

All while the right wing was engulfed in flames and half of the emergency exits were blocked.

It’s clear that passengers are not taking these instructions seriously – regardless of comedic approaches to getting the information across. The subject matter is dry and airlines have correctly attempted to get passenger attention with innovative approaches to demonstrating safety.

But in light of the Chicago incident – it’s clear that even on AA – which at least historically has pretty much kept the videos more straight forward – passengers just don’t get it.

Point: it’s likely that any safety videos in the future will be given a lot more pre-installed scrutiny in regard to effectiveness to the message across.

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Second Quarter 2016 Data:

What The Numbers Really Illuminate

The challenge with any sets of data is not reading the numbers, but ascertaining their value in determining current and future trends.

That’s the foundation of Aviation DataMiner™ – and what sets this business intelligence platform apart from other sources. The 2nd quarter 2016 DOT data is out, and, as usual, the media is abuzz making vapor-brained comparisons between numbers they don’t understand in the first place.

There are the perfunctory stories – put out by reporters who are clueless about what they’re writing about – that compare one airport’s fares against the “national average” – which is about as meaningful as comparing the performance of the Chicago Cubs to the Chicago Bears.

Using The Data, Not Just Parroting Them. At BGI, we help our clients see the future, not read tables of numbers from the DOT.

Here are the key metrics to monitor in this data. (The first requirement, however, is to have a professional knowledge of the data and the system that delivers it.)

  • Airline Trends: It’s more than raw ASM/ASK production – it’s where it takes place, and the number of flights that are generating it. Plus, this is not a product-cohesive industry – if Spirit has a 20% increase in departure production, and United has -5% decrease, the average is not a valid metric.
  • Fleet Trends: In the 2nd quarter, the continued move toward larger units of capacity was demonstrated. For those playing the ASD home game, without any understanding the airline strategies, they miss the fundamental issues of fleet changes by airline brand. For just one example, we’ve seen both United and American start to re-plan for a world without 37-seat turboprops… this needs to be a message in regard to future air access planning.
  • Airline Corporate Strategies: Understanding what airlines are announcing from the front office can help determine the value of reported data. For example, the attendees at the 21st International Aviation Forecast Summit this year got insights on the very difference fleet planning strategies at Frontier v Spirit.
  • Capacity Trends: To start with, the US air transportation system is not growing… like, not at all. The number of departures in the 1Q of 2016 was up just 1% – which is statistical noise.

 

The message is which airlines added departures – regardless of the fact that the industry as a whole added just 1%. Seats were up about 3.5%, but that’s not to accommodate more demand, but simply due to the increasing size of the average aircraft in major brand fleets. And, again, it’s who is shifting capacity that tells the story.

 

  • Revenue Trends: The take-away here for airport planners is that in a shrinking airline industry, with larger average aircraft, the name of the game will be revenue-quality, and not just traffic volume. Furthermore, we’ve seen both United and American start to re-plan for a world without 37-seat turboprops… this needs to be a message in regard to future air access.

These are important factors – ones not even vaguely addressed in stock ASD “studies” and “consumer surveys” that are semi-ethically foisted on airports containing veneer gotcha questions (“will you use the local airport if we have flights to Newark?”) – without any further discussion of what that service will be.)

For aviation planning professionals, we’d recommend a review of Aviation DataMiner™ as your source of industry business intelligence. The range of reports and the flexibility of DataMiner™ delivers strategic planning – not just tables. Click here for more information & a free trial subscription.

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October 24, 2016

Touch ‘N Go – Air Access Update

Congratulations to New Orleans on recruiting British Airways flights to London, starting next March. BGI is proud to have worked with MSY in these efforts.

This international service joins Condor, which will be operating to Germany from New Orleans this summer, another project in which Boyd Group International was involved. Our advanced forecast and strategic planning expertise, such as the concept of illuminating the “road-hubbing” dynamic  that nonstop international service generates, was a core reason for these successes.

Our client Ithaca will be seeing larger American Airlines aircraft this spring, as the carrier concentrates Southern Tier service into that airport. We are honored to have worked with ITH in its strategic air service planning.

These events join our successful efforts that have led to air service access improvements in the past few months, including implementation of highly-successful AA service between DFW and Bozeman, and a SCASD grant that’s made access to AA/Phoenix possible from Santa Fe.

And as we noted last week, working with entities in Colorado Springs helped attract Frontier back into town, now with flights to Orlando, Phoenix and Las Vegas.

This is what sets Boyd Group International apart from other consultants. We are experts on airline strategies, and we have the respect of airline industry leaders.  Plus, we have better data – including the only airport traffic and trend forecasts accomplished in the private sector.

If your community is focused on results, not endless “studies,” give BGI a call to discuss your air access issues. As our clients will tell you, we will give you the facts as-is and where is.

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The Administration’s New “Competition” Directives

Just a little bait-and-switch…. But at least this time the switch had some value.

Last week, we all waited to hear about the carefully media-packaged directives that would be coming out from the depths of the Obama Administration to enhance airline competition for consumers.

What finally oozed out, in a shower of high-sounding, empty-suit press releases, was basically a requirement for airlines to refund bag fees when they screw up, for airlines to report on-time data for all of their branded flights, and some gobbledy-gook about making total cost of air travel transparent.

Nothing about competition, but at least it was generally positive.

As for the bag fee refunds, it should be embarrassing to the airline industry that the DOT filled this regulatory gap.  To take money in exchange for handling a passenger’s Samsonite would imply a commitment and a de facto contract to do what is expected when a bag is checked – to get it to the customer at the other end of the flight. If that fails, the airline should refund the dough.

Whether or not some airlines may have already been doing this is not the issue. The DOT saw a chance to regulate, and they jumped at it.

Data Not Understood. The biggie, however, that has the lightweight media all in a dither, is the requirement for airlines to report “on-time” performance for all of their flights, not just the ones operated under the brand-name operator’s certificate.  Because of the DOT’s 19th century reporting system, they still think “certificated carrier” is the same as “airline.”  (So does most of the media as well as the academics that churn out “quality” reports every year.)

The media saw the term “regional airlines” in the directive and proceeded to charge off into the weeds, with lush stories about how this will reveal the sorry state of schedule performance in “regional” markets. That’s because, as we all know, that these “regional airlines” just fly to “regional” markets.

Silly Headlines…We’ve been regaled with misleading headlines, like “Airline On-Time About To Get Worse” – clearly demonstrating that knowledge of the subject matter is  not a job requirement. Since these reporters are clueless of how and where these “regional airline” assets are used, to make such as statement again cautions us to be suspect of much of the veneer stuff that gets onto the wire. The fact is that they have no idea regarding what the actual numbers might be, but they see “regional” and assume that it’s all small airports, and all substandard performance.

Point: the on-time performance of the industry won’t change. It’s just that more of it will be reported. But to read these dimbulb headlines, one would think that we’re about to see more and more delayed flights because of new disclosure requirement.

It’s another reason that much of what’s regurgitated by the media is about as reliable as the information from a third-rate used car lot. What these writers – many from big-name news sources – don’t know is that these “regional airlines” are neither regional nor airlines, and they provide lift that is used in markets such as Denver-Phoenix, Chicago-Atlanta, and Denver-DFW. Real “regional” cities.

But nonetheless, knowledge of the subject matter isn’t much of a requirement, anymore.

By the way, subscribers to Aviation DataMiner™ have always had more accurate on-time data, because we re-map the information to reflect where “regionals” are flying for majors. Unfortunately, much of the “regional airline” data doesn’t exist, because operators of 50-seat and smaller airliners up until now have not reported any such data. The academics that slush out airline reports and the see-it-and-regurgitate-it media don’t bother with this bit of information.

As for the gobbledy-gook from the DOT about full transparency of the cost of travel, the fat is in the fire for the airline industry. Regardless of any philosophical concepts about “re-regulation” it is clear that the DOT is going to do something in this area unless the industry jumps to it first. Consumers don’t always have a clear idea of the cost of a flight, and even if it’s just 1% of customers, it’s an opportunity for the feds to get involved.

And that’s usually not good for anybody.

Aviation DataFlash

1Q 2016 Data: Fasten Your Air Access Seat Belts

The New Metric For Air Access Planning – Traditional ASD Ignores It.

Run with us for a couple of minutes. This will go where other “quarterly reports” are in the dark.

It also once again shows how traditional “air service development” programs are missing the key drivers of airline planning decisions.

Let’s look again at the basic passenger numbers…

What do we see? On the surface:

The number of passengers was up 7.1 percent, but the average passenger trip – which is a driver of RPMs – was essentially flat, at 0.2%. So, passengers weren’t flying longer trips. Just more passengers with generally the same length of haul.

But do notice that the average ticket yield (the most fundamental metric to gauge consumer costs of flying) was down,  5.7%. This latter statistic has the wolves on Wall Street all in a dither… airlines aren’t getting what they did last year per seat mile tossed into the sky, so  they must be adding capacity willy-nilly.

Sloppy conclusion, based on ignorance.

So, next…

Let’s mix in the airline statistics for the first quarter.

Using Aviation DataMiner, here’s where we find the fundamental reasons for the changes in yield amid growth in traffic. We looked at the ten major carriers – which on this table includes G4 and HA.

The growth in RPMs – 6.8% – is consistent with the 7% increase in raw passengers, and the 7% increase in ASMs produced. Load factor pretty much stayed the same. This means that, mostly, the extra seats had tushies in them.

Hint: The Machinery Is Changing – Therefore, So Will  Airline Planning

But it’s the numbers under Seats Per Departure that tell the current and future story.

Some of the monkey-hear, monkey-repeat, web-dwelling “financial experts” see an increase in capacity and launch into condemning the “lack of seat discipline” at major US airlines.

It’s another reason that stuffing your money into a Sealy Posturpedic is probably safer than listening to a lot of these financial-world “advisors,” many of whom wouldn’t know an ASM from an ATM.

The real impact for professional  airport planners is in the fundamental airline strategy changes that are evolving due to fleet changes.

Note that raw flight departures were up only 2.2%, but the average number of seats per departure (i.e., size of airliner) was up 3.2%.

Result: more seats to sell per flight, and even with sophisticated revenue management programs, there will be downward pressure on overall fare yields. It’s “just” an average of four seats, but the fact is that it’s still 3.2% more seats per departure.

The expansion of some ULCCs, such as Frontier, has some effect. But the main dynamic going forward is the result of fleet plan changes. that the average seats per departure will go up as 50-seaters (and ultimately, some 70-seaters) are pulled from fleets.

This important airline factor is absent from traditional “air service development” programs, which generally assume that just (supposed and sometimes ginned-up) traffic data is all that’s needed to get more service.

It’s planning based on an airline structure that no longer exists. That CSeries at Delta will have not only new traffic requirements, but its presence at airport A can and will affect consumer decisions at airports B and C in the region.

Fleet Forecasting – A BGI Strength

In the future, it will be critical to factor in to any air service planning the changes that will be emerging in airline fleets – this will fundamentally change how carriers make market decisions.

It doesn’t take an MBA from Wharton to figure out that when average size aircraft goes up, the ability of smaller markets to support air service goes down.

The question is, how much insight do you have in regard to the future fleet imperatives at key airline systems? Retirements, additions, airline-specific fleet renewal programs.

Just one example: AA is rapidly retiring its MD-80s. Delta is apparently holding on to their MD-88s, with few retirements over the past year. Another example: Frontier is moving A-319s out of its system replacing them with larger units… it’s this expertise BGI brings to its airport planning client.

Regardless of any other aspects, 50-seat jets are going to be retired – a forecast we alone made, well before the process started, and when the majority of analysts were predicting near-endless demand for these machines.

United: One Example of Future Fleet Evolution. At Boyd Group International, we keep close watch of airline fleet strategies. It’s our business. We’re noting the recent events at United – where the CEO has indicated they’ll be looking at all areas of their feed system. Then factor in the recent order for 737-700s to “replace” lift leased in from outside operators. Just last week, it appears that UA has shifted at least three of these orders to -800s.

Point: United will have a different fleet and different traffic objectives. Delta’s acquisition of 717s, and CSeries aircraft point in the same direction. More seats per departure are in the cards.

The simplistic solution suggestion from the consultant Peanut Gallery that a reduction in frequency will do the trick is nonsense. Flight frequency is critical to consumer support – without, they’re hitting the road to another airport, where even with a 90-minute drive, the total travel time is less than shoehorning an itinerary to fit the two flights left at the local airport.

Fleet Changes Will Be The #1 Factor In Air Access Planning

In air access planning, the fleet strategies of carrier systems is critical. Only Boyd Group International brings airline fleet and demand trends to the table with our clients.

These issues are the reason airport and aviation planners are joining us at the 21st annual Boyd Group International Aviation Forecast Summit, September 18-20 in  Reno/Tahoe.

Not only will the airline executives making these strategic decisions be there, but the fleet forecasts presented by all of the major manufacturers – Airbus, Boeing, Embraer, Bombardier and Mitsubishi – as well as Boyd Group International, will deliver additional insight regarding what will be pulling up to Gate 6 in the future.

It will be information and planning intelligence airport planners will need in the months ahead.

Click here to register for the IAFS™ … and don’t forget the optional pre-Summit workshops on Sunday afternoon, September 18. It includes a special “Patton On Air Service Planning” event that will be fun, and valuable, too.

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Southwest Airlines Top 20 Denver Markets

Despite the Wall Street lore, Southwest is now a full network carrier, and the 4th quarter 2015 data at Denver shows it clearly.

This is part of a wider route performance report that our clients in the financial and labor sectors find highly valuable.

Here we review only the local and flow traffic data.

Today, almost 37% of the WN passengers at Denver are now flow traffic. This is not only in “barbell” markets such as SLC-DEN and BNA-DEN, where there are connection banks at each end, but also in highlighted markets such as MSP-DEN, SMF-DEN and PDX-DEN, where nearly half or more of the passengers on the routing are flow traffic over Denver.

The report is highly truncated.  Our subscribers to AirlineFinancials.com have access to additional market metrics in this single report, such as full yield analyses (local and thru) and cost per ASM/RPM data.

Revenue/ASM Minus Cost/ASM Is Not “Profitability”  There are a wide range of other factors that determine strategic “profitablilty” for an airline. The variance between the costs per ASM and the revenues are also indicated in the full DataMiner report, but we do not label this as “profitability,” as that involves a range of other factors available only to the airline itself.

While some consultants purport to have programs that can compare airline profitability between markets, we’d note that short of hacking into the carriers’ IT systems, these are just amateur spreadsheet programs.

Top 50 US O&D Airports – Full Year 2015

These reports show strictly the domestic O&D generated at the airport. Keep in mind that this metric is stimulated at hubsite airports due to the high levels of hub-supported capacity.

Note the secondary rankings… we include the rank by cost of travel per mile at each airport, as well as the average gross OW fare, including federal fees and taxes.

These are important factors – and ones that the media often mis-reports out of sheer ignorance of the subject matter. Raw BTS rankings of “fares” are actually average ticket spend, which is affected by geographical location of the city, as well as economic and demographic factors.

The cost per mile is one metric to compare airports, but it is affected again by geographic location and the mix of traffic that the market generates – long haul v short haul.

For more information on the Analytical Firepower available from Aviation DataMiner™ and AirlineFinancials.com™ click here and get ahead of the competition.

China Aviation DataSource

Welcome to…

Boyd Group International is developing the premier source of forecast and trend projections regarding China-US aviation. We’ll be taking independent reviews of all aspects of the China market, and developing new analyses and forecasts

China-US Visitor Forecast 2016 – 2025, Click here

Boyd Group China – Real-World Programs

Bringing China To Your Community…

… And Your Community To China!

Communities and their airports and commercial stakeholders can join together to become centroids of Chinese visitation in the USA. We can show you how.

China-Welcome On-Site Seminars

These include discussions of cultural differences and cultural expectations, but we go much further. We tailor the program specifically to your community, and outline how stake holders can accommodate the expectations of Chinese visitors.

How your community can take proactive advantage in making itself more China-Welcome than other points.

We cover the issues of what is needed to handle movements of Chinese travelers, things such as availability of motorcoach parking, adjusting tour venues to the behavior and attributes of these consumers. Little things, such as having venue-specific souvenirs they can take back – and ones not “Made In China,” either. (Finding such items can be a lot harder than one might think!)

At the end of the seminar, the community will have a much better idea of the opportunity, and how to better prepare and be China-Welcome

China Welcome-&-Ready Audits

Making the entire experience at your community and airport China-Welcome™ is a lot less complex and expensive than you might think.

Our team will visit your airport & community, and do a complete audit of:

The travel “touch points” – where Chinese visitors would expect/need guidance within their flow to and through your community.

From arrival at the airport, to transfer through the community, to venue and hotel accommodations, we can show where cost-effective communication systems can be implemented.

Key venues/attraction communication. Having basic materials – menus, travel information, emergency information, and just pure welcome documents – ready and at their easy access.

China-Welcome™ accommodation at hotels and hospitality points – the culturally-expected Chinese touches.

Chinese-Language Announcements & Way-finding – Efficient, targeted systems of PA terminal, gate, and baggage claim announcements, geared to specific needs of Chinese visitors and to the airport.

International & China Air-Connectivity Analyses

With the increasing number of new nonstop flights from more Chinese cities to the USA, developing seamless connectivity from the gateway portal airport to your airport will be essential in attracting this new travel segment.

Boyd Group International is the leader in forecasting and research of the burgeoning China-US marketplace, and we’ll prepare an analysis of the connectivity-efficiency your local airport experiences with key points in China.

This is critical for two reasons. The first is that this is an essential part of targeted marketing for Chinese consumers – understanding that they can get to your community easily and seamlessly in regard to flight connections. The second reason is that this audit will reveal where strategic and tactical activities are needed, such as working with incumbent network carriers in regard to flight connectivity, and – most importantly – working with the connecting hub airport to assure that signage and assistance is in place to guide Chinese travelers.

The final report will be a complete China-Connectivity Blueprint for your airport to move ahead of other competing communities. We would note that this program will examine and analyze all international connectivity, and include recommendations for these options as well.

Showcasing Your Community – And Your Airport – In China

Today, over 50% of all international Chinese travel is initiated on smartphones. That means China NiHao can put your community right in the pockets of Chinese consumers, with a range of modalities, from a scalable WeChat page to inclusion in systems such as Baidu, to locally-hosted and maintained websites in China.

For example, a relatively simple WeChat page for your community can deliver jus about everything the consumer needs to know about your destination. In effect, it’s like having local Chinese signage in your region, except it’s right on the visitor’s smartphone – before he or she even arrives at you airport.

The Boyd Group International team has a wide range of digital-channel modalities that will make your community a preferred destination among Chinese visitors.

Contact Us Today,
And Start Getting China-Welcome!

Boyd Group International is now delivering programs to airports and communities in developing programs that can deliver enormous new economic impact, and developing cost-effective programs to accommodate these travelers when they arrive.

Click here to request more information, and to get your share of this new traffic demand.

China Ni Hao Team

The principals of China NiHao are at the forefront of the emerging China travel and aviation industries.

It’s more than just data – it’s the expertise both in the US and in China that delivers this traffic to US destinations that prepare.

Here is the team that can deliver China to your community, and which can profile your destination within China.

To get more information on how we can tailor a China-Welcome Program to your community and airport, and to discuss how we can actually craft programs to deliver Chinese visitors, click here let’s talk! Also, Click Here to go back to the main China NiHao page.

China-Welcome Programs

 

The next Big Thing in US air service growth

– for large airports and regional airports, too –

the influx of visitors from the Middle Kingdom…

… And they want to visit your region of the nation. But only if they know who you are, and you’re ready to welcome them.

Introducing our Partner, China Ni Hao, LLC!

Engage China Ni Hao, LLC., & Engage China. There’s more and more nonstops from Chinese cities to the US, and there will be an explosion in Chinese tourists that will be connecting on to key US visitation points, such as Spokane, Bangor, Sarasota, Reno, and New Orleans.

That means that US communities airports are a key part of the mix. Aggressive strategic planning to assure connectivity is just one part. Being China-Welcome, with considerations such as smoothing communication touch-points is also critical.

Recruiting China Air Access – Engaging Our Clients. Boyd Group International, already a leader in analysis and forecasting of China traffic and aviation, has joined the aggressive new team of China-related experts at China NiHao™ LLC., in crafting programs to make airports and communities China-Welcome.

Here’s an important point to understand. Today, the China-US passenger traffic represents less than 10% of the latent demand. The barrier has been lack of capacity from key Chinese commercial centers to the USA.

That’s changing rapidly… and it will be mid-size as well as large US points that prepare now, that will be in the cross-hairs for more China nonstop.

BGI, based on our understanding of the China market, has new-approach programs to build China-US air service access. BGI is the only consulting firm that accomplishes air traffic demand forecasts for China, and for the USA.

Our Airports:China forecasts cover the 50 largest airports in China – over 92% of all traffic in the Middle Kingdom – and include projections of potential for new and expanded service from key commercial centers in China to points across the USA

Nonstops From China? It’s Not Just Large US Hubsites In The Picture. Our approach is very different from the traditional approach to recruiting China air service. Our knowledge of both the China and the US aviation marketplace allows BGI to identify where there are future communities of air service potential – by market and by airline. Remember, the enormous growth in the Chinese airline industry represents opportunities for nonstop service to many key industrial centers in the USA – and not just hubsites like Atlanta, San Francisco and Chicago.

Emerging Chinese carriers will be exploring new US opportunities – and Boyd Group International can match this with our US client airports. Add to that the expected explosion of capacity with the addition of the new Beijing Daxing International Airport, and it’s clear that US airports that have aggressive and targeted data and outreach will be in line for nonstop to the Middle Kingdom.

The Chinese Are Coming – But Only To Destinations That Are Ready.

This year, over 3 million Chinese will visit the USA – that’s up from barely 200,000 just a decade ago. They’re traveling not just Disneyland and Broadway, but places like the Thousand Islands of New York State, and the Amish country of Pennsylvania, Moab, The French Quarter, The Alamo, and Mount Rushmore.

More and more will be traveling to these places by air, connecting beyond the US gateway hub.

And they each spend on average over $4,000 in the US, not including travel.

And here’s the kicker – this is just a trickle. Airports:China forecasts by Boyd Group International indicate that in 2015, the US actually experienced less than 6% of the potential demand from the fifteen largest Chinese cities, outside of Beijing and Shanghai.

Contact Us For Information On How We Can Literally Showcase Your Airport & Region In China

Is your community and airport competitive in reaching out and accommodating this new emerging segment?

China NiHao is now delivering programs to airports and communities in developing a presence in the China consumer market, and developing cost-effective programs to accommodate these travelers when the arrive.

Click here to take a look at the range of services we offer.

From China-awareness seminars, to international & Chinese connectivity air service analyses, to Chinese-language websites hosted managed in China, to aggressive marking programs on Chinese digital channels, we have the programs.