ISTAT Jetrader - Autumn 2020 - 28

In summary - what do we need?
* Coordinated global approach to market
access

Urgently need

* International agreement on processes
and procedures to ensure traveller safety
* Emergency underwriting support for

travel insurances
* Reopening of hotels, restaurants, cafes,

Sources: CAPA, with thanks to Hale, Thomas, Sam Webster, Anna Petherick, Toby Phillips, and Beatriz Kira
(2020). Oxford COVID-19 Government Response Tracker, Blavatnik School of Government. Data use policy:
Creative Commons Attribution CC BY standard, and Alton Aviation

transport networks, entertainment
venues

but the fact that established yield
management algorithms will no longer
work; the airlines will be flying blind.
In a sense, the airlines are better off
grounded, but they know they can't
stay in limbo forever.
In order for travelers to return,
clarity from the airlines is essential.
Passengers need to know what to
expect and what is expected of them.
The need for clear communications
with customers has never been
more important. Over and above
the difficulties of planning travel
around border closures, quarantine
requirements, travel insurance, the
status of hotels, restaurants, ground
transport and leisure infrastructure,
there are real and valid concerns
among the traveling public regarding
their safety, not only on board flights,
but also throughout the entire journey
to and through the airport and on
their arrival. To meet these concerns,
airlines have been actively promoting
the safety measures that they will
be implementing on board as well
as in the airports. These include
additional cleaning and disinfecting
of aircraft, adapting the on-board
product, the wearing of protective
clothing and masks by crew, with the
requirements of passengers to also
wear face coverings, and promoting
the technology applied to cabin air
circulation and filtration.
28

* T H E O F F I C I A L P U B L I C AT I O N O F I S TAT

Airlines have also eased up on
restrictions around rebooking and
cancellation, allowing passengers
maximum flexibility to change their
minds and their plans as circumstances
change. Refunds remain a more
thorny issue, but that's more about
time limits and availability. Airports
are also developing their own return
to travel procedures, including oneway systems for social distancing,
temperature checks, straight-line
queuing arrangements, and the EU
recently released guidelines for airlines
and airports. All of these measures
have a gradual effect on coaxing
travelers back into the air, but a global
set of practices and standards for
airports, airlines, hotels and all other
elements of the leisure industry will be
needed before international travel can
begin to feel normal again. Even when
all of these practical issues have been
addressed, airlines still face significant
difficulties in planning the course of
their recovery. While governments
may open borders and allow airlines
and passengers to fly again, the
fundamental growth drivers of
passenger demand have been severely
disrupted by COVID-19. Business travel
represents the most valuable traffic
segment for airlines and will only
recover in line with global and regional
economic activity. Unfortunately, too
many businesses will no longer exist in

the recession of a post-COVID world,
which could remove a substantial
part of the frequent traveler base. In
addition, the experience of businesses
during the lockdown period is likely
to have persuaded some at least
that remote working is now at a level
of acceptable proficiency and will
therefore budget for a lower level of
business travel going forward.
But let's face it, most air travel
and the source of the majority of the
growth potential for this industry is in
the leisure market. The majority of the
200 million new passenger journeys
that were recently being added to the
market each year are either workers in
emerging markets or leisure travelers
in developed economies. Both groups
are dependent on stable levels of
disposable income, which will now be
severely reduced. With workers across
the globe locked down, suffering
loss of income, facing loss to longterm redundancy and living off their
savings, this depletion of personal
balance sheets and safety nets is
going to prevent many of them from
quickly returning to the skies even
when normal service is resumed. So,
when all of this is added together, it's
very clear that market behavior is not
going to mirror past recoveries. Traffic
should not be expected to bounce back
quickly. A recent IATA survey reported
there was a disappointing reduction
in public sentiment compared to the
same survey from April. The proportion
of passengers willing to resume flying
immediately following the end of the
pandemic or within a couple of months
has fallen from 60% to 45% - while
the number of passengers saying they
would wait at least six to 12 months
has increased from 36% to 50%. And
in the U.K., following the introduction
of a 14-day mandatory quarantine
for all arrivals, 77% of Brits surveyed
said they would not holiday abroad if
they had to quarantine on their return,
and a slightly lower 68% do not plan
to travel internationally for the next
six months.


https://istat.org/istat-online

ISTAT Jetrader - Autumn 2020

Table of Contents for the Digital Edition of ISTAT Jetrader - Autumn 2020

ISTAT Jetrader - Autumn 2020 - Intro
ISTAT Jetrader - Autumn 2020 - Cover1
ISTAT Jetrader - Autumn 2020 - Cover2
ISTAT Jetrader - Autumn 2020 - 1
ISTAT Jetrader - Autumn 2020 - 2
ISTAT Jetrader - Autumn 2020 - 3
ISTAT Jetrader - Autumn 2020 - 4
ISTAT Jetrader - Autumn 2020 - 5
ISTAT Jetrader - Autumn 2020 - 6
ISTAT Jetrader - Autumn 2020 - 7
ISTAT Jetrader - Autumn 2020 - 8
ISTAT Jetrader - Autumn 2020 - 9
ISTAT Jetrader - Autumn 2020 - 10
ISTAT Jetrader - Autumn 2020 - 11
ISTAT Jetrader - Autumn 2020 - 12
ISTAT Jetrader - Autumn 2020 - 13
ISTAT Jetrader - Autumn 2020 - 14
ISTAT Jetrader - Autumn 2020 - 15
ISTAT Jetrader - Autumn 2020 - 16
ISTAT Jetrader - Autumn 2020 - 17
ISTAT Jetrader - Autumn 2020 - 18
ISTAT Jetrader - Autumn 2020 - 19
ISTAT Jetrader - Autumn 2020 - 20
ISTAT Jetrader - Autumn 2020 - 21
ISTAT Jetrader - Autumn 2020 - 22
ISTAT Jetrader - Autumn 2020 - 23
ISTAT Jetrader - Autumn 2020 - 24
ISTAT Jetrader - Autumn 2020 - 25
ISTAT Jetrader - Autumn 2020 - 26
ISTAT Jetrader - Autumn 2020 - 27
ISTAT Jetrader - Autumn 2020 - 28
ISTAT Jetrader - Autumn 2020 - 29
ISTAT Jetrader - Autumn 2020 - 30
ISTAT Jetrader - Autumn 2020 - 31
ISTAT Jetrader - Autumn 2020 - 32
ISTAT Jetrader - Autumn 2020 - 33
ISTAT Jetrader - Autumn 2020 - 34
ISTAT Jetrader - Autumn 2020 - 35
ISTAT Jetrader - Autumn 2020 - 36
ISTAT Jetrader - Autumn 2020 - 37
ISTAT Jetrader - Autumn 2020 - 38
ISTAT Jetrader - Autumn 2020 - 39
ISTAT Jetrader - Autumn 2020 - 40
ISTAT Jetrader - Autumn 2020 - 41
ISTAT Jetrader - Autumn 2020 - 42
ISTAT Jetrader - Autumn 2020 - 43
ISTAT Jetrader - Autumn 2020 - 44
ISTAT Jetrader - Autumn 2020 - 45
ISTAT Jetrader - Autumn 2020 - 46
ISTAT Jetrader - Autumn 2020 - 47
ISTAT Jetrader - Autumn 2020 - 48
ISTAT Jetrader - Autumn 2020 - 49
ISTAT Jetrader - Autumn 2020 - 50
ISTAT Jetrader - Autumn 2020 - 51
ISTAT Jetrader - Autumn 2020 - 52
ISTAT Jetrader - Autumn 2020 - Cover3
ISTAT Jetrader - Autumn 2020 - Cover4
https://www.nxtbookmedia.com