Emirates partnership with easyJet set to strengthen company’s European network

Emirates partnership with easyJet set to strengthen company’s European network
Emirates has around 130 non-stop flights from Britain to Dubai per week. (Shutterstock)
Updated 02 December 2018

Emirates partnership with easyJet set to strengthen company’s European network

Emirates partnership with easyJet set to strengthen company’s European network
  • Emirates has long eschewed the formal alliances favored by the likes of British Airways
  • The easyJet tie-up, although initially restricted to flights in and out of London Gatwick, could bring significant benefits

Emirates’ fledgling partnership with low-cost carrier easyJet will strengthen the Dubai-based company’s European network, industry experts predict, enabling it to indirectly serve destinations that would otherwise be beyond logistical reach.
Emirates has long eschewed the formal alliances favored by the likes of British Airways, instead agreeing codeshare partnerships with 21 airlines, including several budget carriers such as US-based JetBlue Airways and Australia’s Jetstar Airways.
Last year, it began a complex partnership with FlyDubai, which is also wholly owned by Dubai’s government, in which the duo will codeshare, integrate their networks and deliver “fleet synergies.”
The easyJet tie-up, although initially restricted to flights in and out of London Gatwick, could bring significant benefits; easyJet customers can now make a single booking for its flights to Britain’s No. 2 airport that includes a connecting Emirates flight to Dubai. The same is available in reverse.
The agreement will be expanded to other destinations, the companies said in a joint statement — easyJet’s fleet of 308 aircraft flies to 159 airports in 34 countries. Emirates, meanwhile, flies to 150 destinations worldwide and has about 130 non-stop flights from Britain to Dubai per week, including three daily from Gatwick.
“Emirates gets to leverage the strength of easyJet’s broad European network — particularly to those cities that Emirates itself either doesn’t serve or has no plans to serve due to various restrictions on access, airplane size or slot availability,” said Saj Ahmad, chief analyst at StrategicAero Research.
“It’s really a win-win situation from a connectivity standpoint, as well as offering the chance to accrue Skywards miles that could also be used on FlyDubai flights too.”
EasyJet has similar agreements with the likes of Virgin Atlantic, Norwegian, WestJet and Singapore Airlines, which typically include a minimum 2.5-hour connection time between flights to ensure passengers make their connecting flights. These tie-ups are in response to the growing trend of “self-connecting,” whereby passengers make bookings with multiple airlines to reach particular destinations at the lowest price, even though this requires collecting baggage and checking in again.
“It’s an extra opportunity because easyJet knows some people will self-connect anyway, so by facilitating that through agreements with other airlines it can generate extra revenue,” said John Strickland, a director at London’s JLS Consulting.
“Although this is relatively incremental in the case of easyJet because it’s flying about 95 percent full on most routes, so can’t squeeze on that many more people.”
EasyJet’s partnerships span 11 European airports, including Amsterdam, Barcelona, Paris, Milan and Berlin, and the disparity between an Emirates flight and flying budget should do little to deter travelers.
“It’s really not any different to traveling economy on any other conventional airline and making a connection,” said Strickland.
“The service experience is no different. If you fly BA short-haul, there are buy-on-board products for food and drink. Seat space in economy is about the same. It would be different for Emirates business-class travelers, but the vast majority of passengers doing self-connections will be flying economy.”
He believes easyJet would want to link with Emirates at all airports where the pair overlap, such as Paris Charles de Gaulle, Milan Malpensa, Geneva, Lyon, and Nice.
“There are quite a lot of places around Europe where they could do it, providing the necessary facilities were in place,” said Strickland.
StrategicAero’s Ahmad was more cautious, predicting that Emirates — which in May reported an annual profit of 2.80 billion dirhams ($763 million), up 124 percent year-on-year — would wait to assess the impact on its Gatwick-Dubai service before expanding the easyJet partnership.
Emirates is ranked the fourth most valuable airline brand worldwide, according to Brand Finance, behind US trio American Airlines, Delta Airlines and United Airlines, which are also the only airlines to rank higher in terms of passenger miles flown. The Dubai carrier’s various codeshare agreements support its brand, analysts said.
“Emirates’ brand is immense globally. Arguably, it’s the most recognized airline anywhere in the world,” said Ahmad.
“Given that Emirates is not choked by the reins of an alliance, it is free to supplement its organic expansion with industry peers that also want to enjoy that growth.
“This flexibility bolsters Emirates’ branding and partnerships with other carriers — and passengers will ultimately like what they see when Emirates provides them with a platform that covers the entire planet.”
In September, Emirates and Abu Dhabi-owned Etihad both denied a Bloomberg story that the Dubai company would buy the main airline business of its loss-making rival.


Dubai completes first phase of e-commerce free zone

Dubai completes first phase of e-commerce free zone
Updated 18 April 2021

Dubai completes first phase of e-commerce free zone

Dubai completes first phase of e-commerce free zone
  • It includes 470,000 square feet of real estate
  • The e-commerce sector in the Gulf is booming with the forced closure of bricks and mortar shops during the pandemic giving the industry a further boost

DUBAI: The first phase of a new Dubai fee zone dedicated to e-commerce has been completed.
It includes 470,000 square feet of real estate.
The 3.2 billion dirhams ($871 million) Dubai CommerCity project also includes 145,000 square feet of e-commerce logistics units and warehouses in a cluster managed and operated by Hellmann Worldwide Logistics and DHL.
It has leased 51 percent of the logistics warehouses to companies operating across IT, fashion, jewelry and electronics.
“The launch of Dubai CommerCity aims to lead the future of e-commerce business in the region,” said Sheikh Ahmed Bin Saeed Al-Maktoum, chairman of the Dubai Airport Freezone Authority. “The project has been thoroughly studied not only to provide foundational solutions, but also to stimulate and support business and prosperity at a time when the sector is going through peak growth.”
The e-commerce sector in the Gulf is booming with the forced closure of bricks and mortar shops during the pandemic giving the industry a further boost.
The free zone provides opportunities for manufacturers, distributors and global e-retailers while offering tax and investment incentives, it said.
It is divided into three main clusters — Business, Logistics and Social.


Emirates NBD, Etihad Credit Insurance ink deal to ease trade finance access for UAE businesses

Emirates NBD, Etihad Credit Insurance ink deal to ease trade finance access for UAE businesses
Updated 18 April 2021

Emirates NBD, Etihad Credit Insurance ink deal to ease trade finance access for UAE businesses

Emirates NBD, Etihad Credit Insurance ink deal to ease trade finance access for UAE businesses
  • The deal will help the UAE lender to reduce any risks that may be associated with credit facilities

DUBAI: UAE export credit company, Etihad Credit Insurance (ECI), has signed an agreement with Emirates NBD to improve liquidity of UAE exporters by easing their access to credit facilities.
The deal will help the UAE lender to reduce any risks that may be associated with credit facilities, so businesses can pursue export and expansion opportunities, according to a joint statement.
More than 80 per cent of world trade relies on trade finance, ECI’s chief Massimo Falcioni said, and the agreement will allow Emirates NBD to offer innovative financial solutions to their clients.
Governments in the Gulf have been investing in strengthening local businesses as a strategy to recover from the COVID-19 pandemic, and to gradually veer away from oil-dependence.

 

 


Italian fashion brand Diesel launches online shopping platform in KSA, UAE

Italian fashion brand Diesel launches online shopping platform in KSA, UAE
Updated 18 April 2021

Italian fashion brand Diesel launches online shopping platform in KSA, UAE

Italian fashion brand Diesel launches online shopping platform in KSA, UAE
  • The website will feature new collections of the fashion line, as well as exclusive deals for online shoppers

DUBAI: Italian fashion retailer Diesel has launched its own e-commerce platform for customers in Saudi Arabia and the UAE, the company said on Sunday.
The website will feature new collections of the fashion line, as well as exclusive deals for online shoppers. It will also offer free shipping for customers in both countries.
Diesel has been in the market for four decades and is known for its denim and casual fashion offerings.
The COVID-19 pandemic has created huge demand for online shopping in the Gulf, with many retailers accelerating their digital efforts to take advantage of it


Kuwaiti coffee delivery app raises $10m in new funding

Kuwaiti coffee delivery app raises $10m in new funding
Updated 18 April 2021

Kuwaiti coffee delivery app raises $10m in new funding

Kuwaiti coffee delivery app raises $10m in new funding
  • The funding was provided by Kuwaiti listed investment house Al Imtiaz Investment Group
  • COFE was conceived in 2017 by Kuwait-based founder Ali Al-Ebrahim, developed in Silicon Valley and launched in 2018

DUBAI: Kuwaiti coffee delivery app COFE has raised $10 million in new funding, which it aims to use to scale up its operations in Kuwait, Saudi Arabia, the UAE and the UK and to expand into Egypt and Turkey.
The funding was provided by Kuwaiti listed investment house Al Imtiaz Investment Group. COFE was conceived in 2017 by Kuwait-based founder Ali Al-Ebrahim, developed in Silicon Valley and launched in 2018.
“From its early days, COFE has shown tremendous potential as a unique offering that caters to discerning coffee connoisseurs and their consumption habits, while helping to grow and transform revenue streams for vendors. Our partners have recognized this and are confident in our ability to serve existing customers and vendors, while expanding into new markets,” Al-Ebrahim said in a press statement.
Zev Siegl, a co-founder of international coffee chain Starbucks, is also an adviser to COFE. “I am happy to collaborate with the COFE App team and proud of the success and development they’ve achieved,” Siegl told the Mubasher website in April 2019. “During my stay in Kuwait, I visited more than 20 coffee shops and I was impressed by the high level of service, innovation and the high demand on coffee shops which ensure that the COFE app market will keep on growing and will reach the international market very soon.”


Israel and Greece sign record defense deal

Israel and Greece sign record defense deal
Updated 18 April 2021

Israel and Greece sign record defense deal

Israel and Greece sign record defense deal
  • The agreement includes a $1.65 billion contract for the establishment and operation of a training center for the Hellenic Air Force

JERUSALEM: Israel and Greece have signed their biggest ever defense procurement deal, which Israel said on Sunday would strengthen political and economic ties between the countries.
The agreement includes a $1.65 billion contract for the establishment and operation of a training center for the Hellenic Air Force by Israeli defense contractor Elbit Systems over a 22-year period, Israel’s defense ministry said.
The training center will be modeled on Israel’s own flight academy and will be equipped with 10 M-346 training aircraft produced by Italian company Leonardo, the ministry said.
Elbit will supply kits to upgrade and operate Greece’s T-6 aircraft and also provide training, simulators and logistical support.
“I am certain that (this program) will upgrade the capabilities and strengthen the economies of Israel and Greece and thus the partnership between our two countries will deepen on the defense, economic and political levels,” said Israeli defense minister Benny Gantz.
The announcement follows a meeting in Cyprus on Friday between the UAE, Greek, Cypriot and Israeli foreign ministers, who agreed to deepen cooperation between their countries.