The cancellation brutal 40 to 50 flights per day with immediate effect by the end of October announced by Ryanair, and the communication hazardous that has accompanied it are going to be expensive to the company. More than 5 million euros in less profitability over the next few weeks, and of 20 million euros provided by the company to indemnify the 400,000 passengers affected by the cancellation of these 2.000 flights in total. No fallback solution for the passengers prevented at the last moment that had to, most often, put the hand in the pocket to find the way to arrive at good port.
Bonus to the drivers
Because this decision, taken according to the company to restore on-time performance faulting caused by errors in the schedules of the pilots, aroused the anger of the passengers and dents obviously the image of Ryanair. Michael O’leary, its director-general speaks of “damage to reputation” and even offers, according to La Libre Belgique, a bonus of € 12,000 to his commanders and 6,000 euros to its co-pilots so that they form a cross on 10 days of leave in order to limit the breakage. That could represent almost a month’s salary in some companies, this check says a lot about the magnitude of the quack and its impact on Ryanair.
The change in strategy in 2013
In fact, it dealt a blow to the policy of improving the image of the company low-cost irish put in place in 2013, a key point to the strategy of Michael O’leary who, since, has even put an end to his provocations that he grew before to talk about his company. This will improve the image of the company accompanied by a positioning that is more focused on the major airports and a greater attention to the passengers in order to woo customers with more high-contribution, be it business travelers or leisure, hostile to go to secondary airports even for travel less expensive. A little change is perceptible, for all those who do not travel on Ryanair. For them, the low-cost irish was always the image of a company that, with the exception of extremely low prices is not in the service of the customer. Of the shot in this story of the cancellation untimely flights, Ryanair loses on the two tables. Hyper-mediatized, this quack cools the company’s customers and reinforces those who do not travel on Ryanair not to seek the experience.