Vanilla Air to Start Partnership with 3 Travel Agents, to Pursue over 85% on Time Departures Rate - Specific Measures Revealed

Vanilla Air (presently AirAsia Japan), the new ANA Holdings affiliate LCC, has revealed its tangible operation policy. At the press conference announcing the flight routes to be launched in December, Tomonori Ishii, President, mentioned specific measures for operation concerned about “Vanilla Air’s own way.” Also, Vanilla Air has been showing an approach placing an importance to the “cooperation with travel agents” unlike most of the LCCs principally dealing with direct sales, and revealed that it has already decided to create partnership with 3 travel agents: HIS, Big Holiday and Sawayaka Plus (an affiliate of Terumi Club.)

Ishii also revealed that the airline will pursue over 85% on time departures rate (under 15% delay rate) in order to win trust, for “security and trust” are the top priority for the LCC to operate safely. The airline proclaimed “checked baggage for free up to 20 kilograms,” unusual for LCCs, which Ishii says is one of the measures to attain the former.

In order to establish the Narita based leisure oriented LCC model under the ANA Holdings’ multi-brands strategy, Vanilla Air is operating a campaign on Facebook and collecting opinions from the passengers. Summarizing those comments, what the passengers expect for the airline is “Vanilla Air’s own way.” Ishii showed confidence in taking those opinions in consideration and providing good services, and he hopes the passengers to feel the “Vanilla Air’s own way.”

Incidentally, AirAsia Japan maintains strong occupancy rate: 88% for August 2013 and 81% expected for September 2013. Ishii insisted these figures are achieved because “the employees strived hard immediately after the business partnership with AirAsia dissolved” and he emphasized their high enthusiasm by stating “it is yielding to the essence of new Vanilla Air’s success.”

▼Own Website to be Developed to Improve Convenience, Dynamic Packages to be on Sale

The company will enhance the website as an important channel for direct sales reservations for LCC. The website of AirAsia Japan was a part of global system, so not much freedom was allowed. Reflecting it, Vanilla Air, for its new start, will develop and operate its own site with more freedom. Site design representing the brand concept, easy to operate reservation page, timely flight information and useful information on destinations will be provided promptly. Furthermore, dynamic packages which will allow flight and accommodation reservations and such at the same time are planned to be sold.

Also, “reservation call center” which is highly demanded in Japan will be set up. Reservation on the telephone will be taken with 300 yen service charge. (Reservation call center 0570-200-858.)

▼“Not Worried” About “Competitions with ANA,” Affiliation in Frequent Flier Program is “a Future Option”

In a question and answer session of the conference, Ishii replied that he is “not worried” to a question asking about “possible competitions with ANA in overlapping routes.” This especially applies to the Taipei and Seoul routes. Ishii considers that passengers using these routes on ANA are business oriented and those using Vanilla Air are leisure oriented and thus there will not be serious competitions to be expected.

Also, Vanilla Air is developing their own reservation system and such at the moment, however cooperation with ANA might be possible if it leads to cost reduction. Affiliation in frequent flier program is not yet decided but “considered as a future option,” he mentioned.

In closing, Ishii stressed that the company is “desired to be in the black in 2015,” and once again emphasized the strong motivation to “contribute” to the shareholder ANA Holdings’ operation.


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