Iberia rethinks its strategy in Ecuador

Iberia rethinks its strategy in Ecuador after almost 50 añuninterrupted service in the countryís, the main airíne españwave was forced to modify its operationón in order to continue flying to Ecuador, la histórica triangulación with Madrid it ends.

the airínea líder in connections from the old continent with Latin AmericaéRica is making some adjustments in its markets and Ecuador is one of the más histórich and important for the airlineínea, which has witnessed the large migratory flows between both países histórich and culturally connected. Given the economic complexityómica from Ecuador, new competitors on the route and the decreaseón of the traditional migratory flow, is that Iberia has made the decisionón to eliminate the traditional triangulationón between Madrid, Quito and Guayaquil, being this úlast city to leaveá to receive flights from this important airlineíno categoryíthe world.

The “triangulación”

The well-known triáangle formed between Madrid, Quito and Guayaquil have been operating for at least 20 años with the entry into service of the Airbus A340 fleet, with which the aerosolínot alreadyó su operationón with various scales between países of Latinamérich to start direct flights from Madrid to the great majoríof capitals of the regionón. Remember that before the entry into service of the A340 transcontinental, Iberia operated in Ecuador with its Douglas DC-8 and McDonnell Douglas DC-10 aircraft.

This triangulationón birthsó due to the need to have a direct flight from Ecuador to Europe, at that time the old Quito Airport, because of the height at which it was (2.800 meters above sea level) and its short track (2.800 meters), hacídirect flights impossible without a prior stopover. In that panoramaó Guayaquil, like the scale and solutionón perfect so that from sea level the company can fly without restrictions to Madrid and on the way, serve with daily flights to the economic capitalómica from Ecuador, given that, throughout the history of Iberia in the countryís, both cities have been permanently served due to their importance and market.

In the úlast 10 años de operationón of this connectionón between both Ecuadorian cities and Madrid, operó daily on Airbus A340-300 and later with the incorporationón of más large Airbus A340-600 aerolísnow riseó his capacity, before alsoén growing demand. But it does 4 años, with the startó of operations of the New Quito Airport, this operationón towards Guayaquil changedó. The terminal's new runway offersíto the opportunity úunique to begin for the first time in the history of the capital, direct non-stop flights to Europe. Given an increase in 14% in international passengers in Quito after the opening of the new terminal, Iberia tomó I decided itón to start direct flights in November 2013 with 3 exclusively operated weekly flights, for its capacity and high performance due to the greater power of its motors for operation.ón in height, with the A340 in its versionón -600 with capacity for 346, although soon to beán reconfigured with a new class.

Apart from Ecuador, the airínea también has made adjustments to its operationón in other países, as is the case of Colombia, donde la operationón triangular tambiédoes not applyó, hereí after a littleás of añor has your triangle changed?ón between Madrid, Averageín and Cali, eliminating the stop on this úlast since April, starting to operate with 3 weekly flights on Airbus A330 from “The City of Eternal Spring”.

The new operationón

With the start of direct flights between Quito and Madrid, the city of Guayaquil was reduced to 4 weekly flights to Madrid, but thanks to its partner LATAM, clients were able to continue using its services in cóI say shared. Guayaquil in December celebratedó the arrival of Air Europa, offering a new service to the Spanish capitalñola, but also puttingén greater competition in an Ecuadorian market that is currently going through a downturnón económonkey, which has diminished for the first time in 4 añthe growth of international passengers.

Given this complex panorama, where the high operating costs of operating in 2 airports in the same countryís and the decline in migratory movement, is that Iberia announcedó at the beginning of this 2017 the closure of its Guayaquil base to focus all its efforts on Quito, where this change has been in effect since the end of March, and from which to operateá exclusively on A340-600 type aircraft for the reasons explained above, although alsoén Iberia from this toñor has managed to operate directly with its new Airbus A330. The “new” flights beán 6 times a week, ceasing to operate úonly the días miércoles, this until demand adapts to the new service and signs of recovery are shown.ón in occupationón and demand. PráPractically it is a relaunch of a route that will benefitá To Quito, which continues to be the main gateway for foreigners to Ecuador.

For frequent customers of Guayaquil followá there being the optionón from your business partner LATAM Ecuador, which since the prónext months increaseá an additional direct weekly flight from Guayaquil to Madrid and you will also be able toán connect with sun flightséLATAM Ecuador buildings between Guayaquil and Quito with the 6 direct flights and vice versa.

Strategies

Within these changes of the Aerolínea in Ecuador and seeking to attract new customers and reposition the brand among the consumer, is that Iberia in the month of March launchedó together with Visa a new credit cardéhere, called Iberia Produbanco, which to allowá its users to accumulate Avios for every dayólar consumed and múMultiple additional benefits such as access to VIP lounges in Ecuador and the world. Esta implementationóIt is part of a regional loyalty strategyówhat a startó in Center América, encompassing países like Costa Rica, The Savior, Honduras, Guatemala, Nicaragua, Panamá and the caribbeanña RepúDominican War.

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Stadiumísticas Iberia

Source DGCA.