INDONESIA: Garuda Indonesia Is A Leading Airline , Denpensar The Leading Airport In Asia

Denpasar is the main international airport on the Indonesian island of Bali.

It was the second largest Indonesian airport based on total departing capacity in 2017.

Denpasar was the fourth busiest Indonesian airport for departing domestic seats last year and the second largest for international capacity.

The available two-way seats on flights serving Denpasar grew from 10.63 million in 2008 to 29.18 million in 2017, representing a substantial 174% increase.

Between 2009 and 2017 the airport experienced double-digit, year-on-year growth on six occasions.

The single largest annual increase came in 2010, with available seat numbers boosted by nearly 20% over 2009 levels. Since 2008, Denpasar has only witnessed one annual capacity contraction.

This took place in 2015, and the cuts were marginal at less than one percent. From 2010 to 2017 available capacity to and from the Balinese airport more than doubled, increasing by 108%.

Denpasar has seen a relatively even split between capacity offered on domestic and international services over the past 10 years.

In 2008 there were 5.43 million two-way seats available on domestic services. By 2017 this had grown to 14.65 million, which is equivalent to a 170% increase.

Over the same period, international capacity increased by 174% from 5.20 million seats to 14.53 million. Domestic seats accounted for 51% of the airport’s two-way capacity in 2008 and around 50% in 2017.

Indonesian-based carriers accounted for nine of the top 12 airlines at Denpasar in 2017, based on annual departing seats.

This included the four largest airlines, and eight of the top 10. National flag carrier Garuda Indonesia was the biggest single capacity provider, with more than three million departing seats, 21% of the airport’s total.

Garuda will offer 323 flights from Denpasar across 29 destinations during the week commencing 15 May, with between 45 and 47 daily departures.

Jetstar Airways was the largest international carrier in 2017.

During the week commencing 15 May it will serve eight destinations from Denpasar with the highest frequency link being Perth, which it operates three times daily.

Most of the top 12 airlines expanded their capacity from Denpasar last year. The strongest growth came from Batik Air 620% increase and NAM Air 207%.

Batik Air was a new entrant to the top 12 in 2017 increasing the number of one-way seats on offer from Denpasar from 65,000 in 2016, to 468,000 last year.

The Indonesian airline more than trebled its domestic capacity in 2017 and introduced international services to Perth and Kuala Lumpur.

Two of the top-ranked airlines cut capacity from the Bali facility last year. The largest reduction came from Indonesia AirAsia, with the LCC removing 5.4% of its seats compared to 2016.

Half of the top 12 routes from Denpasar in 2017 were domestic services. This included its biggest single link to Jakarta.

There were 3.21 million one-way seats available on the capital city connection, representing 22% of the airport’s total capacity.

Six airlines will offer 232 combined flights from Denpasar to Jakarta during the week commencing 15 May.

Three of the top-ranked routes last year were international services, with Singapore the largest of these. The biggest international country market was Australia, with nine links and 1.74 million seats available.

The largest country market outside of Asia Pacific was Qatar, which finished in seventh place.

Denpasar’s top two routes remained unchanged in 2017, with the majority of the top-ranked routes witnessing a year-on-year capacity boost comapred to 2016.

The largest increases came on services to Kuala Lumpur 60% increase over 2016 , Jakarta 24% and Doha (23%).

The Kuala Lumpur link experienced growth from existing operators, plus the introduction of services by Batik Air and AirAsia X.

The Malaysian destination subsequently overtook Surabaya to become the third largest route from Denpasar.

Three connections witnessed a year-on-year decline in seat numbers. The largest cuts came on domestic services to Surabaya 16% reduction. Melbourne dropped out of the top 12 and was replaced by Doha.

One new route has already launched to Denpasar in 2018 and that at least three more are scheduled to begin.

These include Qantas and Malindo Air introducing services to Melbourne, and Emirates adding a link to Auckland. All three services are due to commence in June.


Tourism Observer

INDONESIA: Lion Air Fake Bomb Threat, Passengers Break Bones And Suffer Wounds As They Struggle To Save Themselves

At least 10 passengers on a flight preparing to take off from Borneo island were injured, most of them with broken bones and head wounds, after panicked ensued when a man claimed there was a bomb on board, Indonesian police said Tuesday.

Passengers overheard the 26-year-old man, Frantinus Nirigi, telling a flight attendant there was a bomb on the Lion Air Boeing 737, which was to carry 189 passengers to Jakarta on Monday night.

An eventual inspection of the plane found no explosives.

After Nirigi made the bomb claim, another passenger broke open the emergency exits, enabling panicked passengers to flee the aircraft, Purnomo said.

He and Nirigi were both arrested.

Video posted online showed dozens of people standing on the plane’s right wing. Some slid down the right engine and landed on the tarmac.

Purnomo said eight passengers were hospitalised with broken bones and head wounds, while two others had minor injuries.

Police did not provide details on how the passengers were injured.

In a video taken by a passenger and posted online, a flight attendant identified only as Cindy told the airport authorities that passengers were pushing each other after the captain asked them to leave the plane immediately.

I asked passengers to immediately leave the plane calmly and orderly, but instead they pushed each other and scrambled out of the plane,she said.

Airline spokesman Danang Mandala said in a statement that the one-hour flight was delayed because a panicked passenger opened both emergency exits on the right side of the aircraft without instructions from the cabin crew.

He said a bomb joke was not a valid reason for someone to force open an emergency exit without the crew’s instructions.

No suspicious items were found after a thorough inspection of the plane by police and security personnel at Supadio airport in Pontianak city.

The flight departed for Jakarta, Indonesia’s capital, after a three-hour delay, said Lukman Nurjaman, Lion Air’s district manager in Pontianak.

The incident is the latest bomb hoax on flights in Indonesia.

On Sunday, Lion Air removed a 25-year-old passenger from a flight departing from Jakarta bound for Malaysia after he joked about the presence of a bomb on board.

Indonesian flag carrier Garuda delayed a flight in March after a passenger claimed he was carrying a bomb.

National police spokesman Muhammad Iqbal said the two men arrested in Monday’s incident face up to eight years in prison.


Tourism Observer

INDONESIA: Lion Group To Expand Internationally

Indonesia’s Lion Group is preparing to build up its presence in the international market after focusing almost entirely on domestic operations in its initial 15 years. Lion is the largest domestic airline group outside China and the US, but has a small international operation that is only about the size of Poland’s LOT.

In a precursor to international expansion, the group has been raising its standards and seeking IOSA certification for all five airlines in its portfolio. Its Indonesian subsidiaries are also now in the process of securing an exemption from the EU blacklist.

IOSA certification and EASA approval should make it easier for the airlines under the Lion Group to secure approval from civil aviation authorities in several countries. It should also strengthen the Lion brand overseas and facilitate new codeshare partnerships.

Lion is one of the world’s 15 largest airline groups based on current seat capacity. The Lion Group currently has more than 1.7 million weekly seats, making it the largest in Southeast East – ahead of AirAsia’s approximately 1.4 million weekly seats.

Approximately 93% of Lion Group’s seat capacity is now domestic.

However, Lion has a larger concentration of domestic capacity than any of the other top 15 airline groups except Southwest Airlines. Approximately 93% of Lion Group’s seat capacity is now domestic, according to CAPA and OAG data.

In comparison, Lion’s arch-rival AirAsia allocates approximately 50% of its current seat capacity to the international market. Lion currently has approximately 125,000 weekly international seats compared with more than 700,000 for AirAsia (including AirAsia X).

Lion is more than double the size of AirAsia in domestic markets with approximately 1.6 million weekly seats, compared with approximately 700,000 for AirAsia. Globally only seven airlines, the four main US airline groups and the three main Chinese airline groups, have more domestic capacity than Lion.

Lion has started growing its international operation.

Lion’s international capacity has been increasing in recent years, but from a very low base. In 2015 the group’s annual international capacity was up nearly 20% compared with 2014, and was more than double the 2012 levels.

Lion Group’s current weekly seat capacity is up nearly 60% year-over-year compared with Apr-2015, when the group had approximately 80,000 weekly international seats. Compared with Apr-2014 it has doubled.

Nearly all of the group’s international expansion over the last couple of years has been generated by Malaysian Malindo Air. Currently Malindo has approximately 60,000 weekly international seats, while the rest of the group has approximately 65,000 weekly international seats. Malindo’s current international weekly seat capacity is nearly 60% above Apr-2015 levels and is more than three times the Apr-2014 levels.

Lion Group plans international expansion in 2016.

Malindo commenced operations in Mar-2013 and has been focusing its expansion almost entirely on the international market over the last two years, after an initial phase focused on the domestic market. Malindo currently operates 21 international routes, nine of which have been launched over the last year, and is planning further ambitious international expansion in 2H2016.

The rest of the group currently operates only 10 scheduled international routes. This includes eight for Lion Air, one for Thai Lion and one for the Indonesian full service subsidiary Batik Air. The group’s fifth airline, Wings Air, is a regional operator in Indonesia and only serves the domestic market.

Batik, Lion and Thai Lion are all planning international expansion in 2016. Thai Lion has the most aggressive plan, aiming to launch several international routes within Southeast Asia and to China over the next few months. Thai Lion commenced operations in Dec-2013 and focused in its initial phase on the Thai domestic market, where it has quickly built up a presence that is already almost as large as the long-established LCCs Nok Air and Thai AirAsia.

In Indonesia, the Lion Group strategy is generally to use the full service subsidiary Batik to expand in the international market. Batik launched its first international route, Jakarta-Singapore, in Aug-2015 and has Perth in its business plan for 2016. It is planning to accelerate international expansion in 2017 as it takes delivery of new longer-range A321neos.

The Lion Group clearly faces challenges in establishing a significant international presence. The group and its various airlines do not have known brands outside their home markets, and the group's reputation overseas has also been far from stellar.

Lion Group has been gradually working to raise its standards and improve its reputation. An initiative to certify all of its airlines under the IATA Operational Safety Audit (IOSA) began in 2014, following the establishment of a new corporate safety and quality team.

Thai Lion became the first airline to pass an IOSA audit in Sep-2015. Thai Lion was selected as the first Lion Group airline to go through the stringent IOSA process as it is the newest member of the group and was therefore the easiest at which to implement change.

The other four airlines are now in various stages of the IOSA certification process. Batik and Malindo are expected to be added to the IOSA registry within the next couple of months, followed by Lion Air in Jul-2016 and Wings Air in Sep-2016.

IOSA certification is a key milestone in Lion Group’s initiative to establish itself internationally, for several reasons.

From a regulatory standpoint, IOSA certification can make it easier to secure approvals from various authorities. For example, Batik is now in the process of seeking approval from Australia’s Civil Aviation Safety Authority.

No Lion Group airline currently has any codeshares with airlines outside the group
IOSA certification is also often a requirement for codeshare agreements with other airlines. No Lion Group airline currently has any codeshares with airlines outside the group.

However Malindo is now actively seeking to partner with several foreign airlines serving Malaysia, as part of its new full service airline strategy. Over the next couple of years other Lion Group members are also expected to start exploring partnerships with airlines outside the group.

IOSA certification is also a benefit because some corporates have policies requiring employees to fly with airlines on the IOSA registry. In addition, individual consumers often opt for IOSA certified airlines. As a result, IOSA can help Lion attract more international passengers and operate international routes that may only be viable with a heavy concentration of inbound traffic.

Lion Air could be removed from EU blacklist
An exemption from the EU blacklist will further aid Lion’s international efforts, since some authorities – and some corporates – follow EASA more closely than IOSA. Removal from the blacklist would also clearly help from a consumer standpoint.

Lion found itself blacklisted through no fault of its own. EASA automatically put all Indonesian airlines on its blacklist several years ago when it determined that Indonesian authorities did not meet its standards. Airlines are able to be removed individually after applying for an exemption and undergoing a rigorous process. For example, AirAsia Indonesia and Garuda Indonesia are currently exempt from the EU blacklist after following this process.

In Nov-2015 Batik, Lion, and the Garuda budget subsidiary Citilink applied for removal from the EU blacklist. A review by EASA is now under way, with a decision on all three airlines expected in Jun-2016.

If the Batik and Lion applications are successful, the Lion Group also plans to begin the process of seeking an exemption for Wings Air.

Lion seeks to raise its international profile as its 500 aircraft orders are delivered.

The certification work under IOSA and EASA is part of a wider initiative to raise standards, which should in turn help Lion boost its international profile.

The group is also now seeking EASA approval for its maintenance facility in Batam, which is expected to be secured within the next couple of months. Lion is also now seeking FAA approval for heavy airframe checks, which will facilitate efforts to start pursuing maintenance contracts with third party customers.

Separate projects are under way to improve several other areas of the operation, including on-time performance. Only approximately 80% of Lion Air flights are on time. Batik has had a much more reliable operation since launching, with an average on-time performance of nearly 99%, as have Malindo and Thai Lion.

Lion strategically needs a much larger international presence
The Lion Group clearly recognises that it needs to raise its standards if it is to succeed at improving its brand overseas and expanding internationally. Lion strategically needs a much larger international presence as it takes delivery of the approximately 500 aircraft it has on order.

There are huge challenges to overcome, but there is also huge potential for the Lion Group in the international market.

INDONESIA: Tourism In The Indonesian Island Of Lombok

The Indonesian island of Lombok has seemingly forever been a destination pigeonholed in the 'next big thing' category, now finally easing its way slowly out of neighbouring Bali's shadow. There has been a serious push by the Indonesian Tourism Ministry to disperse tourism traffic away from Bali's crowded beach resorts to the regions, with 10 new tourism destinations earmarked for major development and promotion. Lombok itself is perhaps most likely to succeed, able to leverage Bali's well established international air links and sharing the glow of its global exposure.

However much of Lombok's recent limelight on the global tourism stage is all its own doing. At the 2015 World Halal Travel Summit in Abu Dhabi late last year, Lombok took home coveted awards for the World's Best Halal Tourism Destination and the World's Best Halal Honeymoon Destination.

"This is a prestigious award and should be able to sharpen Lombok's positioning as a world-class halal tourism destination," Tourism Minister Arief Yahya said. Of course Lombok is much more than just a Muslim-friendly destination. Arguably for the first time, it now has both a global platform to build upon and a real commitment from regional and national tourism leaders. So what's next for Lombok as a tourism brand? Travelmole's Ray Montgomery recently sat down with Taufan Rahmadi, Chairman of West Nusa Tenggara Tourism Promotion Board.

From day one, Taufan has been on a mission to 'create a wave,' and in doing so virtually transform the mindset of conventional tourism promotion in the regions. The Nusa Tenggara Barat (NTB) province - comprising Lombok and neighbouring Sumbawa - has a tourism promotion budget of a miserly rp 6 billion (about $450,000) which is less than 10% of Bali's funding. These limited resources call for a more creative approach, says Taufan.

"This wave of creative power comes from social media, communications and importantly, bringing people together as destination ambassadors to promote the region. People are the backbone of promotion. These are the tools of our trade."

"We harness the energy of a growing army of savvy local people to volunteer and promote the region, as well as young people from other Indonesian regions and also from overseas, through social media postings, peer outreach and blogging."

Many migrant workers who have left the region to work overseas have been closely involved in the volunteer program from the outset, helping to spread the word in hitherto untapped overseas markets. There is a strong presence in Australia but also growing source markets like South Korea and parts of Europe.

In Lombok, even the lack of a salary on offer hasn't dissuaded highly qualified people from getting involved in the project. Videographers, event planners, designers and even a university communications lecturer all donate their hard earned free time to the cause. The strategy is a simple one - to engage with peers, influencers and other tourism stakeholders in meaningful ways to showcase the NTB brand message. That includes gimmick-free tourism promotion in its purest form. Next month a team will begin spreading the word at local schools throughout Lombok and Sumbawa. It's never too early to 'create a wave.'

Taufan's feverish enthusiasm for the Lombok Sumbawa brand is very evident and you get the impression he rarely takes no for an answer. In the last 12 months he has been able to negotiate high value, free exposure for the destination with in-flight video screenings across the Garuda Indonesia route network (including an unique Lombok focused 'catwalk in the sky') and a marketing partnership with telecommunications giant Telkomsel, reaching the company's nine million users.

In fact Lombok's nomination and ultimate double victory at the World Halal Travel Summit simply grew from a single speculative phone call from the award organizer several months earlier. That phone call, Taufan says, ultimately resulted in huge global exposure for the region reaching an estimated 19 million people.

In just a few short months, this network of passionate social media foot soldiers has grown to more than 70-strong, with more people - locals and international travel bloggers alike - encouraged to join in and share their passion with the world.

Taufan wants to take this 'movement' nationwide to establish similar volunteer programs in every Indonesian region.The benefits of this collaborative effort are obvious with little to no financial outlay producing stellar results, while it has a very authentic storytelling angle produced by people living in the very communities it is showcasing.

Could this be a new template for tourism promotion for emerging destinations?

Airline Efficiency Can Be Measured From Employees Per Aircraft Ratio

Employees per aircraft provide one measure of an airlines efficiency with respect to the average number of all its employees per unit of production. The smaller the number of employees per aircraft indicates greater efficiency. An adjustment for average aircraft size would also be relevant when analyzing the number of ground employees an airline employs per aircraft.

The employees per aircraft ratio of Ireland’s Ryanair is just 29.69 because its 9,501 employees are looking after a fleet of 320 aircraft.

SyrianAir (Syrian Arab Airlines) has an employees per aircraft ratio of 400 as its 4,000 employees are taking care of 10 aircraft only!

After SyrianAir, the state-owned Pakistan International Airlines (PIA) has the world’s second worst employees per aircraft ratio of 391 employees per plane.

Employees Per Aircraft Ratio is deemed to be one of the most vital benchmarks of calculating the productivity any airline around the world.

Here follows the staff-to-aircraft ratios of world’s 40 most famous international carriers:

The employees per aircraft ratio of Ireland’s Ryanair is just 29.69 because its 9,501 employees are looking after a fleet of 320 aircraft.

The employees per aircraft of Garuda Indonesia, the flag carrier of Indonesia, is 56.15 because its 7,861 employees are looking after a fleet of 140 aircraft.

The employee-to-aircraft ratio of Turkish Airlines is just 63.36 because its 18,882 employees are looking after a fleet of 298 aircraft.

The employees per aircraft of American Southwest Airlines is only 67.76 only because its 46,278 employees are looking after a fleet of 683 aircraft. Its revenues stand at $18.6 billion.

The employees per aircraft of Air China is just 70.39 because its 25,269 employees are looking after a fleet of 359 aircraft.

The employees-per-airplane ratio of Finland’s FinnAir is 76.01 because its 5,473 employees are looking after a fleet of 72 aircraft.

The employees per aircraft of the Caribbean Airlines of Trinidad and Tobago is 76.19 because its 1600 employees are looking after a fleet of 21 aircraft.

The employees per aircraft of Scandinavian Airlines or SAS is 88.70 because its 12,329 employees are looking after a fleet of 139 aircraft.

The employee-to-aircraft ratio of Swiss International Air Lines is 97.19 because its 8,067 employees are looking after a fleet of 83 aircraft.

The employee-to-aircraft ratio of Air New Zealand Limited is 101.85 because its 11,000 employees are looking after a fleet of 108 aircraft.

The employee-to-aircraft of American Delta Airlines is 110.80 only because its 80,000 employees are looking after a fleet of 722 aircraft. Its revenues stand at $40.3 billion.

The employees-per-aircraft ratio of International Airlines Group is 113.30 only because its 59,484 employees are looking after a fleet of 525 aircraft. Its revenues stand at $22.7 billion.

The staff-to-aircraft ratio of United Airlines is 117.48 only because its 84,000 employees are looking after a fleet of 715 aircraft. Its revenues stand at $38.9 billion.

The employees per aircraft of American Airlines is 120.66 only because its113,300 employees are looking after a fleet of 939 aircraft. The revenues of American Airlines stand at $42.7 billion.

The staff-to-plane ratio of Taiwan’s EVA Air is just 124.04 because its 7,815 employees are looking after a fleet of 63 aircraft.

The employee-to-aircraft ratio of Italy’s Alitalia is just 127.60 because its 14,036 employees are looking after a fleet of 110 aircraft.

The employees per aircraft ratio of British Airways is just 135.07 because its 39,710 employees are looking after a fleet of 294 aircraft.

The employee-to-aircraft ratio of Spain’s Iberia Air Lines is 140.63 because its 18,000 employees are looking after a fleet of 128 aircraft.

The employees per aircraft of Japan Airlines is 141.41 because its 31,534 employees are looking after a fleet of 223 aircraft.

The employees per aircraft ratio of Egypt Air is 142.86 because its 9,000 employees are looking after a fleet of 63 aircraft.

The employee-to-aircraft ratio of UAE’s Eithad Airlines is 148.84 because its 17,712 employees are looking after a fleet of 119 aircraft.

The employees per aircraft ratio of Saudi Arabian Airlines is just 152.40 because its 24,842 employees are looking after a fleet of 163 aircraft.

The employees per aircraft of Air Canada is just 157.89 because its 27,000 employees are looking after a fleet of 171 aircraft.

The employees per aircraft ratio of Chile’s LATAM is just 165.85 because its 53,072 employees are looking after a fleet of 320 aircraft.

The employee-to-aircraft ratio of China Eastern Airlines is 166.36 only because its 68,874 employees are looking after a fleet of 414 aircraft. Its revenues stand at $14.6 billion.

The employees per aircraft ratio of Air France-KLM Airlines is 166.67 only because its 94,666 employees are looking after a fleet of 568 aircraft. Its revenues stand at $27.8 billion.

In case of Iran Air, it is 174.41 because its 7,500 employees are looking after a fleet of 43 aircraft.

The employees per aircraft ratio of China Southern Airlines is 175.78 only because its 90,000 employees are looking after a fleet of 512 aircraft. Its revenues stand at $17.6 billion.

The employees per aircraft ratio of Qatar Airways is just 179.19 because its 31,000 employees are looking after a fleet of 173 aircraft.

The employees per aircraft ratio of Malaysian Airlines is just 181.82 because its 14,000 employees are looking after a fleet of 77 aircraft.

The employee-to-aircraft ratio of Russian Aeroflot is 187.21 because its 30,328 employees are looking after a fleet of 162 aircraft.

The employees per aircraft of Lufthansa Airlines is 193.13 because its 118,781 employees are looking after a fleet of 615 aircraft. Its revenues stand at $33.8 billion.

The employees per aircraft of the South African Airways is 216.81 because its 11,491 employees are looking after a fleet of 53 aircraft.

The employees per aircraft ratio of Australian Qantas is 218.49 because its 28,622 employees are looking after a fleet of 131 aircraft.

The employee-to-aircraft ratio of Singapore Airlines is 219.84 because its 23,963 employees are looking after a fleet of 109 aircraft.

The employee-to-aircraft ratio of Emirates Airlines is 231.53 because its 56,725 employees are looking after a fleet of 245 aircraft. Its revenues stand at $24.2 billion.

The employees per aircraft ratio of Sri Lankan Airlines is 283.33 because its 6,800 employees are looking after a fleet of 24 aircraft.

The employees per aircraft ratio of Air France is 295.97 because its 69,553 employees are looking after a fleet of 235 aircraft.

The employees per aircraft ratio of Thai Airways is 308.82 because its 25,323 employees are looking after a fleet of 82 aircraft.

Pakistan International Airlines (PIA) has the world’s second worst employees per aircraft ratio of 391 staff per plane.

SyrianAir (Syrian Arab Airlines) has an employees per aircraft ratio of 400 as its 4,000 employees are taking care of 10 aircraft only!

Tourism Trade Grows In Asia

The tourist trade in Asia is continuing to grow at an impressive rate, according to the Pacific Asia Travel Association (Pata).

Flights to JakartaJet-setters planning to purchase Garuda flights to Indonesia may be interested to learn that a survey on the global online travel market revealed there has been a surge in the number of people travelling in Asia, reports the Independent.

Marcio Favilla, executive director of the World Tourism Organisation, said at a recent Pata conference: "The Asia Pacific is getting a bigger share of the tourism pie."

He noted that 30 years ago, about 70 per cent of travel was within advanced economies.

However, Mr Favilla said that last year there were just six percentage points separating travel in developed and emerging nations.

The expert asserted that "in no time" this will change to a 50-50 split.

Those who purchase flights to Jakarta with Garuda may want to travel to the country in July to witness the Bali Kite Festival, which takes place near Sanur Beach.

Use Alternative Airlines to book your cheap flights to Jakarta