leisure cargo Advances 2006

     Alliances, the operative go-to tool these days for expanding and in many cases improving coverage of markets have found comfortable acceptance in both the passenger and cargo logistics side of the airline business.
     leisure cargo of Düsseldorf, Germany created in 2000 is one alliance going strong for the past six years.
     If the words “leisure cargo” sound like a contradiction in terms you are probably right.
     German LTU Airlines started up a cargo business to serve carriers that flew to holiday destinations and were paying little or no attention to their holds as substantial revenue potential but instead viewing them as wide open spaces for surf boards, ski equipment or excess baggage.
     “So the title leisure was connected to cargo for an entire new group of airlines,” said Ralf-Rainer Auslaender, Managing Director.
     Today leisure manages the entire cargo business of 18 airlines under the steady hand of Mr. Auslaender who admits that the road to success was not guaranteed.
 
Ralf-Rainer Auslaender (left) and Christian Weidener (right) 
  

      “The idea of taking over the entire resource of a carrier’s uplift was a tough sell in the beginning, but now in a revenue-strapped environment, success has built upon success.”
     In terms of bottom line target 2006 revenues expected are for EUR 56 million and the carriage of 44,000 tons of freight to and from some 200 destinations via more than 240 aircraft.
     But good things at this company do not happen by accident or luck.
     Christian Weidener, leisure’s director global operations has to be an understated behind the scenes manager with an eye and ear for detail so he can make the moves to secure the best handling partner at various destinations, each with its own special peculiarities.
     “To guarantee leisure cargo service standards, cargo ground handlers must closely coordinate their warehouse and ramp activities with the passenger-handling agents contracted by the respective airlines,” Weidner says.
     An example of how this collaborative approach can work well is the busy Air-Berlin hub in Palma de Mallorca.
     Flocks of AB aircraft arrive one after the other in three major waves every day. At times the planes are lined up at the terminal with their distinctive lettered tails tracing off into the horizon. With ground time at an absolute minimum the coordination of travellers and cargo both moving from separate sources must work like clockwork.
     Several European carriers have joined the leisure family this year—Air-Berlin, Hapag-Fly, dba, SkyEurope, Thomas Cook Belgium and ARKEfly.
     Innovative additions are worked into the agreement packages. As example, a cooperation based on a special prorate arrangement with Venezuelan Santa Barbara Airlines on certain routes.

 
Photo left—One of the youngest members in the club is U.S.-based executive carrier MAXjet brought in by U.K. based leisure GSA Global Aviation Logistics Limited.
Photo right—leisure cargo Director Global Operations Christian Weidener and his assistant Mrs. Agnes Allnoch are constantly “on the road” both pictured here, in Madrid with Jordi Pique, (seated) Director of CRS Airlines Representatives.

     MAXjet, the USA flag based in Washington D.C. is becoming a full-fledged partner.
     “When executives experience our virtual airline concept and the regular on-time payments the more obvious the deal becomes.
     “We are the cargo airline with all the bells and whistles including an integrated service system that automatically opens up traffic from many sources.
     “leisure also has the most advanced track, trace and customer care available anywhere, but we are also aware of our responsibility to integrate our cargo business with the requirements of the carriers we serve.
     “That means on time everything and no surprises.”
     The colourful leisure schedule, which includes all 18 carriers, is very detailed listing 200 destinations from A-Aberdeen to Z- Zurich with exotic places like Friedrichshafen, Iquique, Kavalla or Samana in between.
     Now that North and South American destination carriers have joined the fold, the direction of future activities might be “east” as there are many ideal candidates emerging in markets of Eastern Europe and Asia for the business model described here.
GFM