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AIRLINE NEWS RiM wins Aer Lingus retail consultancy


Dublin-based inflight services company Retail inMotion (RiM) has agreed a new retail consultancy and advisory agreement with IAG-owned Aer Lingus to help build the airline’s onboard retail services. A majority-owned subsidiary of the LSG


Group, RiM says this new agreement will offer advisory services to the airline for its onboard retail services and consultation regarding onboard retail. Significantly, it will also include duty


free range selection management, crew training, menu card/catalogue design and optimisation of the airline’s existing onboard retail programme. Retail inMotion CEO Stefan Patermann


said the company is ‘delighted’ to have won the business. He said: “We will look to leverage our industry expertise, innovative solutions and customer- centric


S Global aircraft fleet to double


corpio Worldwide is the leading inflight distributor in the travel retail channel. It is testament to its expertise and dedication that this year sees it celebrate its 20th anniversary.


The world’s total civil aviation passenger and freight fleet (above 100 seats) is forecast to more than double to 40,000 aircraft over the next 20 years, according to Airbus Industries’ Commercial Aircraft division. Its latest Global Market Forecast 2017-


2036 predicts that 530,000 new pilots and 550,000 maintenance engineers will be needed if traffic grows at 4.4% per year – as is expected. The main drivers are increasing numbers


Started in 1997 by current Chairman Stuart McGuire, the business was founded on the traditional principle of business trust and building long standing relationships with clients and suppliers. A strong work ethic from top to bottom has resulted in Scorpio Worldwide being the market leading provider of retail product sourcing, supply, sales, product development and marketing to practically all airlines globally for their retail programmes, and to major duty free and travel retail operators.


of first-time flyers, rising disposable income spent on air travel, expanding tourism and industry liberalisation. New routes are also a major factor,


with Airbus predicting a need for 34,170 passenger and 730 freighter aircraft worth a combined total of $5.3 trillion. More than


JULY 2017 ‘‘


70% are expected to be single-aisle aircraft, with a 60% growth in this aircraft type. As is well known, Airbus says air traffic


Leading suppliers of inflight and travel retail products


growth is currently highest in emerging markets such as China, India, the rest of Asia and Latin America. It is also almost double the 3.2% per year


growth forecast in mature markets such as North America and Western Europe. As such, emerging markets which are


currently home to 6.4bn of the world’s 7.4bn population are expected to account for nearly 50% of the world’s private consumption by 2036. Over the next 20 years Asia Pacific is set


to take 41% of new deliveries, followed by Europe with 20% and North America 16%. Airbus adds that middle class numbers


International House, Unit D2, Old Brighton Road, Lowfield Heath, Crawley, West Sussex, RH11 0PR, United Kingdom. t: +44 (0) 1293 411733 f: +44 (0) 1293 414544 e: info@scorpioworldwide.com w: www.scorpioworldwide.com


will almost double to nearly five billion as wealth creation makes aviation even more accessible – particularly in emerging economies where spending on air travel services is set to double. Airbus says the twin-aisle segment


leading brands that are trying to access a complicated but lucrative market, Scorpio Worldwide has built a first class reputation in the


Scorpio Worldwide,


will see a requirement for around 10,100 aircraft valued at US$2.9 trillion.


TRAVEL RETAIL BUSINESS 11


Lingus COO said: “We welcome the retail expertise and technology solutions that a world leader in aviation retailing can bring the Aer Lingus platform. “Our Bia and Boutique ranges form an


important part of our inflight service and we look forward to working in partnership with Retail inMotion to further enhance our award-winning guest experience.” As is well known, Aer Lingus – despite


approach


to one of the most prestigious onboard retail programmes in the industry,” he said. Adding his comments, Mike Rutter, Aer


being owned by IAG – is still regarded as Ireland’s national airline, with a rich aviation history going back 81 years to its founding 1936 birth date. Today, it operates a total of 63 aircraft


on route sectors to the UK, Europe and North America and carries more than 12m passengers a year. It is also a vital airline


Aiming to drive ancillary revenue for its clients, and work in a variety of ways to provide solutions for


partner of Dublin Airport. Aer Lingus is also Ireland’s only airline


to gain a four-star rating from the Skytrax airline and airport rating organisation.


Ryanair inflight sales generated $170m in fiscal 2016 – up 19.8%


travel retail and duty free channel. The combination of unbeatable customer service and the know- how and skill to develop innovative, exciting products and partnerships for the future has resulted in the company winning an array of industry awards, and with many more ideas in the pipeline, Scorpio hope to continue this success.


Scorpio works with a range of brands in a variety of sectors including: Watches and Jewellery, Perfume and Cosmetics, Electronics, and Children’s Accessories. Its most successful brand to date is the Aviator watch series, which is the leading watch brand in the inflight channel. Scorpio also works with a number of high profile brands including: Victoria Secret, Revlon, Sony, Disney, SuperDry and Timberland.


Ryanair increased its ‘revenue’ from inflight sales by 19.8% to €153.4m ($170.3m) in FY2016, with a spokesperson advising TRBusiness that onboard retail and F&B sales will be further updated in July. The world’s largest international carrier


also reported operating revenue up 2% to €6.6bn ($7.4bn) year-on-year from 120m customers – a rise of +13%. Ryanair says it is now raising its medium


term ancillary sales guidance estimate to 30% of total revenues by March 2020. Europe’s top low-cost carrier also claims


to be ‘well on track’, as ancillary revenue grew 13% to €1.8bn ($2bn), taking a 27% share of total revenues – compared to 24% in the period ending 31 March 2016. Improvements to its website and mobile


technology boosted ancillary income – including onboard sales where it works with logistics partner Gebr. Heinemann. Other revenue generating ‘Plus’ products


include reserved seating, priority boarding, excess baggage, travel insurance, car rental and security fast-track options.


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