HOP stays the course in the face of the train and low-cost services

On Thursday, the management of HOP! Air France presented a review of the past year. At the same time, they affirmed their determination to stand firm in the face of competition from low-cost carriers and the train.
Hop
Alain Malka, Executive Vice President, Hop! Air France

Given the turbulent - even chaotic - context of 2016, the stability of the results posted by HOP! is enough to keep the airline's management happy. On Thursday, Alain Malka and Zoran Jelkic, respectively Deputy Managing Director and Managing Director Market France, presented the results of the Group's short-haul business and their good resolutions for 2017. With more than 13 million passengers carried last year, traffic remains stable and, thanks to a slight reduction in the number of seats offered, has even boosted the fill rate of the company. This was up 1.5 points to 72.5%, while 2017 is shaping up well: " The start of the year has been extremely buoyant, were it not for the week-long air traffic control strike, explains Hélène Abraham, Hop Air France Sales, Marketing and Products Director, who describes it as a ". Recapturing the domestic market initiated four years ago ".

Hop! reports stable results for 2016

Business customers are no strangers to the good performances posted by the short-haul carrier. In fact, this is the clientele that Hop! was targeting last October when it launched its Shuttle service between Orly and Montpellier. This fifth shuttle - already available at Toulouse, Bordeaux, Marseille and Nice - is already proving to be as successful as expected, according to company officials, who report a 15% increase in traffic. Supply has been boosted by 19%.

Shuttle
Launched in Montpellier, will the Navette stand up to the high-speed line between Paris and Bordeaux?

Despite this, a number of points remain unresolved. This is precisely the case with this offer "ShuttleThe Air France KLM group's management has decided to rework the airline's brand image - at least from a marketing point of view. The latter fear a lack of clarity and confusion between the various short and medium-haul offers (Air France, Hop!, Navette). The problem of the Shuttle could be particularly acute in Bordeaux, with the launch this summer of the LGV high-speed rail link. This new competition promises to be tough for Hop!, which is also counting on business customers, who are likely to make the Paris-Bordeaux round trip in the same day. " We're going to fight "warns Alain Malka. " For the time being, we're going to maintain our fourteen frequencies. After that, we'll be pragmatic. But we have no intention of letting our guard down. I've seen some rather exaggerated statements from certain SNCF managers who explained that they were aiming for 100% market share. I don't think they'll get there, and we're not going to make it easy for them. It's important for customers to have a choice between these two modes of transport. ".

Resisting low-cost

As for low-cost carriers, which are flourishing on the transatlantic routes but which are also firmly established in the French sky, Hop intends to stand up to comparison. Including from a pricing point of view. " The low-costs are not inevitable, we have our weapons "says Alain Malka. " As long as we develop appropriate offers, we not only manage to hold our own but sometimes even increase our load factor. If you add to the face price the various options that are added in the low-cost model, there can be surprises that we don't have on our product, which is extremely clear and legible. ". The launch of a new weekend pass will also be part of this strategy to win back customers: from 5 April, this new offer will appear in the Hop! catalogue.