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Staff. It was a title that would last less than two years,
giving way to her role as the new Chief Executive of
Transavia's controversial French unit.
Stubler now has the unenviable task of making
Transavia a household name across Europe and
doing so without igniting another wave of industrial
action at home.
"In 2014, Mr de Juniac said: 'We need to improve
the profitability of the group mainly the two legacy
carriers but at the same time we need to grow'," she
recalls in an interview with Low Cost & Regional Airline
Business. "There were three pillars for the growth: first
was longhaul growth; the second was MRO; and the
third pillar was Transavia.
"I think we are on a good track now, because we
have an agreement that allows Transavia France to
grow again. The proof is the growth we have put on the
market in 2014 and 2015," Stubler insists.
PAN-EUROPEAN STRATEGY
Immediately prior to the 2014 walkouts, de Juniac had
unveiled plans to launch Transavia Europe a third
subsidiary with bases spread across the continent. His
idea was for Transavia to ditch its dual nationality in
favour of a pan-European structure capable of rivalling
even Ryanair's economies of scale. French unions were
incensed by the proposal, fearing that their members
would gradually be replaced by cheaper crews
stationed overseas.
In exchange for being allowed to grow Transavia
France beyond 14 aircraft and for preserving the
brand's separate labour contracts within the group
management rowed back on their contentious
pan-European strategy.
"Of course there was this side-discussion about
[establishing bases in] Europe," Stubler says of the talks
in 2014. "But half of the discussions were about the
growth out of France. It was [the aim of management]
to find an agreement to grow Transavia France out
of the country. And this has been done." Things only
became more complex in the aftermath of the deal.
While Transavia France has pledged to limit its growth
within its own borders abandoning any plans for
overseas bases and crews Transavia Netherlands is not
following suit.
The Dutch Transavia began operating flights
from Munich, Germany in March its fifth base after
Amsterdam, Eindhoven, Rotterdam and Groningen.
Transavia's German sub-unit, which deploys four aircraft
with locally-hired crew, serves 18 mostly Mediterranean
routes and plans to launch domestic flights to Berlin in
May. "We discussed many options," Stubler says, when
asked why the group selected Munich for its first foreign
base. "The penetration rate of low-cost carriers was
relatively low. Munich is also a rich area with consumers
that can travel a lot."
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GROUP CONFLICT
The apparent conflict will only be deepened by
Transavia's self-professed strategy of attracting more
business passengers.
Stubler says that about 10% of the 3.9 million
passengers who flew with Transavia France last year did
so "for business purposes". The company aims to grow
that figure to 15% in 2016, leveraging its presence on
Global Distribution System (GDS) channels, as well as its
three-tier fare structure.
While diversifying with business traffic matches
the strategy of most other European LCCs, the
target market will inevitably be drawn from existing
customers of Air France raising the spectre, once
again, of cannibalisation.
Some analysts have suggested that group
management may be buying time for Transavia,
gradually building up its presence with a view to scaling
back mainline shorthaul capacity at a later date. Neither
Stubler nor Mattijs ten Brink, Chief Executive of Transavia
Netherlands, has confirmed this.
But, even if true, it is not clear how stalling the next
inevitable union showdown will benefit Air France-KLM.
As recently as February, pilot union SNPL reiterated
that any growth by Transavia with or without mainline
reductions will be considered objectionable by its
members. "The future is not, and never will be, the
supposedly 'ambitious growth plan' presented a few
weeks ago," the union said, describing even the Munich
base as de facto offshoring. "The excellent results of
2015 [in which Air France-KLM posted an 816 million
operating profit] and their overall upward trend should
enable the group and its employees to face the future
more serenely."