SYNDICATE 5

Fly Babo
How can it fly
Listi – Rahmalia-Pingkan-Platto- Ali Fahmi- OK
 Company Profile

 Founded: 2003

 Founder: Julian Cook

 Hubs: Geneva International Airport

 Headquarters : Geneva International

AirportGrand-Saconnex, Switzerland
Company History
 July 2003 Swiss International Air Lines (successor ofbrankrupt

Swissair) drastically reduced its network

 3 airline interested Flybaboo, Hello, Darwin

 Flybaboo uses Dash-8 which is suitable for the route

 1stflight on 2 Nov 2003 from Geneva to Lugano

 May 2004 obtain Air Operator’s Certificate license from Federal

Office for Civil Aviation of Switzerland (FOCA) tooperate its own

Dash-8 50-seater from Bombardier Aerospace

 Later on acquire 2 other Dash-8

Company Strategy and
Business Model
01. Initially business strategy
 business strategy was initially framed in highly opportunistic
terms,
 having emphasized speed and adaptability rather than strategic
planning
 take advantage of the growth potential of low-volume routes
with high yield (revenue per kilometer), I
 operating model could be associated with that of regional
airlines.
 On the marketing and pricing side- y closely emulated
European low-cost carriers such as easyJet and Ryanair.

02. Start-up Strategy

 he first few months of operation was a market test for the
youngFlybaboo team
 This phase would also shore up credibility with investors,
passengers,airports and regulators. The initial focus was on building
traffic –Achievea Critical Passenger Volume
  Business model : point-to-point, short-haul flights
 To keep cost minimum, Cook started with just one
aircraf.
 Flybaboo thus aimed to obtain its own AOC (Air
Operator Certificate) bythe end of March 2004, coupled
with a two-year dry lease on a Dash 8aircraf. This was
expected to reduce operating costs by 15%.
 No catering on board, apart from a free bottle of Fiji

Operating Strategy water, plus freebiessuch as wine from local producers

who viewed it as a marketingopportunity. Regular
catering, explained Cook, would imply a fixed cost ofat
least SFr 200 per flight.
 The number of aircraf would not be increased until
there were enoughroutes to require additional capacity.
Cook planned to stick to theprinciple of one aircraf type
for short-haul destinations
  Like low-cost airlines, Flybaboo aimed to raise demand
through low pricesand to compete with alternative
modes of transportation such as road and rail.
 Enhance demand by offering low fares to a limited
number of passengerswho booked early
 to achieve a similar demand stimulation effect on the
Geneva—Lugano route as easyJet had done from
Geneva to different destinations

Marketing, Sales, and  Pointing to the doubling of the market for flights to Nice
and Barcelona, and the 50% increase for flights to
Distribution London, Flybaboo expected to be able to grow the
Geneva—Lugano route from the 57,000 passengers a
year, who had paid SFr 599 on Swiss International Air
Lines (in September 2003), to 70,000 by the second year
of operations.
TARGET FUTURE

79% 55% 88%

Menambah Frekuensi Penerbangan

Menambah Rute penerbangan
Menambah penerbangan jarak medium
 PESTEL Analysis
Political factors Economic factors
 High political stability provides a stable and friendly  A detailed understanding of the economic environment can
business environment with predictable market growth help Flybaboo How High Can It Fly. estimate the growth
trends. trajectory of industry and organization
 study the current trends in the country's political scenario
as changes in government may alter the government's
priorities towards the development of different industries

Social factors
 The marketing department of Flybaboo How High Can It Fly.
can use the information retrieved from social, environmental
analysis to target the consumer groups and increase the
appeal of offered products to potential buyers.
THANK YOU