Air Serbia has again ruled out the possibility of joining an airline alliance following several years as part of the Etihad Partners equity alliance formed by its former minority shareholder. Speaking recently to Germany’s “Airliners.de”, Air Serbia’s CEO, Jiri Marek, said, “We have no intention of entering into an alliance again. We do not see any added value that we would gain from it, as opposed to what we would lose in terms of independence. Today, we prefer to maintain strong partnerships with Air France, Turkish Airlines and with Qatar Airways. We offer them strong access to the Balkan region and to Southeast Europe”.
According to Mr Marek, the carrier will continue to prioritise its independence. “We don't want anyone else to tell us who we can and can't cooperate with. Especially since Serbia is a very strong market - this year the gross national product is expected to grow by 4%, and flight demand, it is said, is always double that. And then Expo 2027 will take place in Belgrade, which will also further stimulate the market”. He added, “Since last year, Air Serbia has been 100% owned by the Serbian state again. Today we have a simple business relationship with Etihad. We have reinstated our codeshare and use their frequent flyer program. But we are currently developing our own, so we will see how we continue the relationship with Etihad. This is now a normal commercial relationship between airlines”
All three major global airline alliances are currently present in Belgrade. This year, Star Alliance holds a 15.8% share of scheduled seat capacity at Belgrade Airport. Star Alliance members serving the Serbian capital include Lufthansa, which is the largest among the group in Belgrade this year, followed by Turkish Airlines, Swiss, Austrian Airlines, LOT Polish Airlines and Aegean Airlines. It is followed by SkyTeam with a 1.6% share of seats. Members serving Belgrade include KLM and TAROM. Finally, Oneworld also boasts a presence in the Serbian capital with a 1.5% share. Qatar Airways is the sole operator from the group, following British Airways’ exit from Belgrade in September.
'Today, we prefer to maintain strong partnerships with Air France...'
ReplyDeleteThis is such a strong partnership that Air France discontinued their code-share with Air Serbia for point to point traffic. On top of that they introduced Transavia on ORY-BEG and it remains to be see if they will have a codeshare with JU. At the same time, JU massively butchered frequencies on BEG-CDG for next summer.
Very wise words from the CEO.
+1
DeleteAlso nothing really came out of JU-QR code share, with CZ too and from JV partnership with TK. Except insane prices like one on C/S with Air China.
It was even reported on here a few days ago that QR would cut some flights to BEG. Now, if their code-share with JU was so great then they would be cutting elsewhere. Also the fact that they have not boosted capacity or resumed night flights only goes to show what they think of BEG and their code-share partner JU.
DeleteA problem for QR, TK and FZ is the entry of CZ into the Serbian market. Now they offer transfer options to south-east Asia and they opened a whole new world of transfer opportunities.
Unlike QR, at least FZ and TK have a decent number of frequencies to BEG which makes them more competitive when faced with China Southern.
However, if/when CZ adds a third weekly flight (as they initially planned), then they will have a decent and competitive offer from Belgrade.
Endeed. CZ is/could be a game changer. QR should either follow the KLM path and fight for the market or stay pathetic and go for premium only. Which is limited in BEG. Hopefully not withdraw completely like British.
DeleteI don't see QR leaving the market but they risk becoming less and less relevant as others boost their presence.
DeleteOne problem for all of them is the presence of Chinese carriers. Both Hainan and China Southern seem to do well in BEG so it's logical that they will consider further boosting their presence. Then IST, DOH & DXB will have to fight for transfers with CAN and PEK.
At the same time Air France/KLM offered them to join flying blue which Air Serbia rejected.
DeleteCalling QR pathetic with an 89% load factor on Belgrade flights in first 3 quarters of the year is hilarious.
DeleteI think he is referring to their 1.5% marketshare as being pathetic. Also, when you compare their presence to that of TK or FZ then you realize that they could and should do better.
DeleteYou do realize that there are going to be some months in 2025 when they will have just 5 weekly with the A320? If you average LF is 89% and you are not increasing capacity then there is something wrong - either with your operations or the yields.
You can't compare it to TK whose hub is located barely over an hours flight from Belgrade, whose citizens go in big numbers to visit Serbia and vice versa. You also can't compare it to FZ which flies a huge number of P2P passengers (tourists and diaspora). 99% of QRs BEG passengers are transfers.
DeleteYes and your argument would be valid if their planes were not full, which they are.
DeleteAlso, both FZ and TK face direct competition from LCCs for that O&D market. So there is pressure on their yields.
However, both TK and FZ manage to maintain a decent presence in Belgrade thus enabling decent connectivity.
@ anon 10:18
DeleteQR is pathetic in BEG with their daily flights with the modest A320 for years now while TK, FZ both flying at least double daily fighting for basicly the same market (Midle East, Asia, AUS). Just wait and see them scaling down to 4 pw when CZ build up a little bit more. Hainan too. Even JU with PVG soon.
Hainan has been flying to Belgrade twice per week for 3 years now. They ain't scaling anything up.
Delete@13:01
DeleteOk, but they didn't wanted to do so without a reason. Even JU is considering PEK. Air China was interested too. Eventually we will have 2 carriers to PEK leaving less market share for QR.
We have 2 carriers flying to CAN, and that the biggest hub for entire Asian continent..When you add PVG soon to be opened, QR is gonna be in deep problems if they don't do something about it..
Delete@09:03 Not just butchered,
DeleteAir Serbia dismantled their summer schedule for CDG, that was put on sale..They put min. 3 rotations daily, and as I recall, some days was even planned up to 4.. Now we ended up with 2 daily, for now
Anon 13.01
DeleteHainan wanted to boost BEG to 3 weekly, they even submitted a request at BEG. However, they are still struggling with lack of capacity so they gave up. They have other, larger and more competitive markets to consider before BEG. They will face even less pressure now that JU terminated TSN.
Fair enough, but then build a decent FF program.
ReplyDeleteThey haven't even scheduled the upgrade of Pupin's cabin which is in a dire state. And they are not interested in offering WiFi in 2025!
DeleteI wont hold my breath for introducing a FF program any time soon.
Just my2cents
ARC will be off for maintenance and cabin refit from end of February. ARB is the aircraft that isn't scheduled just yet for cabin refit.
DeleteAnon 11:49 source about Pupin going for a cabin refit from the end of February?
DeleteIt was reportrd many times . You obviously never listen to JU officals interview and reports. They do not know exact day however based on the AC schedule, it should be advertised 21st of Feb.
Delete@11:49 hehe few weeks ago you guys were claiming that JU ARC were going on retrofit end of January...Whats's the next "new" date?
DeleteDidn't you just have an article about cabins on long haul two days ago? Do you really need to go through everything again?
Delete@Treshnja
DeleteShowing the bare minimum of courtesy to the moderators of this site will be a nice start. Read the articles.
https://www.exyuaviation.com/2024/11/air-serbia-schedules-wide-body.html
Since you lack the respect to read the articles, here is a copy paste insert of that article.
"Cabin retrofitting for one of them, registered YU-ARC, is set to begin next year, while another A330, registered YU-ARB, will undergo the cabin overhaul either next year or in 2026."
From memory, I believe that February 21st or 26th 2025 is that last flight for ARC before heading for maintenance and cabin refit.
No Alliance would want Air Serbia!
ReplyDeleteThat's far from the truth.
DeleteWith Lufthansa, LOT, Austrian Airlines and Aegean boosting BEG next summer, and with JU barely growing in 2025, I wouldn't be surprised if Star Alliances comes close to 20% marketshare in BEG.
DeleteSkyTeam wanted Jat Airways back in 2009 so I'm quite sure most of the alliances would welcome JU.
DeleteI work as a travel agent, and we already got some LH cancellation from MUC to BEG on their summer schedule. Looks like they are still struggling with the aircrafts and crews.
DeleteLufthansa initially planned to boost FRA/MUC-BEG from the beginning of the summer timetable. These have been pushed to either May or June, can't remember now.
DeleteWhat Lufthansa usually does is that they keep the same number of frequencies but they boost capacity. The other day both FRA-BEG flights were with the A321.
@Anon 09:05
DeleteI'm afraid that is exactly the reason about JU "independence".
No alliance in interested.
Sure. If TAROM can be an alliance member, pretty much anyone can.
DeleteTAROM wouldn't want JU to become a ST member, it doesn't want competition in the region.
DeleteTarom became a SkyTeam member ages ago when they were a completely different carrier. It was also a time when purchasing power was much lower in Romania so it made sense for them to carry those lower-yielding passengers to SkyTeam hubs.
DeleteNaturally the situation in Romania has since changed and RO has become a joke.
^^^
DeleteIt is very interesting that while Romania has made huge economic improvements over the last 20 years TAROM has moved to the opposite direction.
@Anon 9:50
DeleteLjubomorko, ljubomorko...
Anon 10.28
DeleteIndeed, I think it's because politicians were too involved in the way RO was run. Now OTP is going to sue them over unpaid bills. Basically one government company is suing another. I think the current or the previous CEO was a tile seller!
Some 15 years ago RO had a great CEO, I think he was from Luxembourg and he made the airline profitable. Naturally he didn't last long as the parasites working at RO had problems with the way he was running the airline.
Tarom is no different than Jat Airways.
I think JU ha past the point where they would be used as a feeder by another airline within an alliance due to its network size. So I don't see why they don't consider an alliance.
ReplyDeleteAgree. I don't think JU would become a feeder by joining an alliance. It already has a well developed network. If anything other airlines could feed its Balkan network.
DeleteYou would be surprised.
DeleteThen you adjust who you could be to potential alliance partners. Air France is notoriously weak in our region. So instead of just filling their flights in CDG, give them an offer they can't refuse. Make yourself sexy as a way for them to cover the Balkans via BEG. Give them very competitive fares for the France-Balkans market. They could use HOP! from secondary markets which would offer connections via BEG. For example, Air France sells LCA via BEG with JU but one way ticket costs 28.000 RSD which comes out to be €240. JU on the same dates is €100. Why would you undercut your partner so much?
DeleteHowever, for this you need a very good commercial and marketing teams.
Alliance membership could help them with the US in particular.
ReplyDeleteYes, it could make them more competitive but I agree that in terms of Europe it would turn them into some sort of a feeder as we have seen with OU and previously JP.
DeleteJU tried to get some partnership with the three major American carriers (DL, UA, AA) but they were not interested.
DeleteSo it partnered with Jet Blue but Delta successfully objected to it with the US Department of transport.
^ You are talking complete nonsense and writing complete half-truths.
DeleteDelta did not object to Air Serbia's codeshare on JetBlue flights. So Air Serbia has a codeshare on over 20 JetBlue routes. What Delta objected to was JetBlue putting its code on flights from Belgrade to non EU destinations.
Stick to facts or google if you don't know.
Only JV would help them with the US market but that is far from being possible at the moment. Being outside of alliances is the best strategy for now
DeleteBeing outside of alliances is the only available option, not the best.
DeleteDo you have any shred of proof it's the ONLY available option? Of course not.
Delete^^^
DeleteWhich of the three alliances wants JU as its member?
You claimed it is the only option, onus is on you to prove it.
DeleteThere is also the option of JU starting its own alliance!
DeleteIf you read the text, it isn't really an option.
DeleteSmart decision, ATM they do need to join any alliance. It is waste of money and not gaining much . They just need to work on better pricing when comes to codeshare with AF and TK (blending fares) which could generates more money for JU.
ReplyDeleteSpecialized Expo, not expo. Huge difference
ReplyDeleteIt's unfortunate. I would love to see them in one of the less represented alliances in our region. Particularly Oneworld.
ReplyDeleteTrue oneworld is really missing an airline in East Europe.
DeleteIn Central Europe in general since the demise of Malev and Air Berlin.
DeleteCompletely forgot Malev used to be part of oneworld. I always wonder how different aviation in this region would have been if they were still around.
DeleteOneworld is essentially IAG, AA, Qantas, Cathay and JAL. Everyone else in an afterthought with very little cooperation between them.
DeleteQR certainly isn't an afterthought.
DeleteIs it true that you have to pay a hefty annual fee to be part of an alliance?
ReplyDeleteI'm sure the membership doesn't come for free.
DeleteThey used to have S7 until the Ukraine war.
DeleteBut they didn't cover southeast Europe at all.
DeleteYes they have had a big whole in this part of Europe since Malev collapsed.
DeleteJoining oneworld would make the most sense but only if they could make the most of it.
DeleteThis membership could:
1. Enable them greater access to LHR where they could offer connections to BA's Americas network.
2. Open the doors to cooperating with AA, not just in Europe, but in JFK and ORD.
3. QR might finally respond more favorably to JU.
4. Potentially allow them to launch HKG where they would cooperate with Cathay. In such a way they could finally offer convenient one stop connections to Australia.
Nemjee Oneworld airlines are real full service carriers. JU needs to greatly improve its onboard product, customer, marketing and sales departments to be able to properly cooperate with the other members.
Delete@nemjee
DeleteAlthough Oneworld has the large gap in our area of Europe, I don't think its the best fit.
1) 9 pw LHR at best lacks alot for any real connectivity via LHR. At best I see BA returning with JU Oneworld membership since JU has been rejected the additional LHR slots it requested. JU's timetable to LHR doesn't make it great currently for any meaningful connectivity via BEG as the flights miss all transfers going east.
2) This is the only real meaningful thing JU would gain with Oneworld membership, especially with MIA expected to be added to their network.
3) QR might respond or they might not. Nothing really came after their code share with JU.
4) Connections to Australia and SE Asia is already taking place through new connections via CAN. For a new route, loads are decent despite the low frequencies. China increasing the visa free transit stay and JU/CZ cooperation set to increase, HKG at this moment isn't really necessary.
Oneworld might allow JU greater flexibility in the alliance seeing as they have no other competitor (partner) in the vicinity, which is a plus. However, JU has minimal links to Oneworld hubs, especially going east so alot will need to be done to improve that connectivity. Future expansion into Asia has JAL being the only potential partner.
Skyteam on the other hand gives JU a tonne more partners and hubs, in Europe especially. CSA is gone, TAROM could soon follow, ITA joining Star, which leaves a large gap in their network in this area of Europe. JU already has multiple daily flights to a variety of SkyTeam hubs (CDG, AMS, CPH, ARN, OSL, MAD, LHR, OTP, JFK) so a JU membership would further strengthen the alliance against Star Alliance.
Totally agree with Nemjee
DeleteNemjee Q&A:
DeleteQ1. Enable them greater access to LHR where they could offer connections to BA's Americas network.
A1: Absolutely not unless they pay for pricey slots. BA would have to restart BEG but we all know how that ended.
Q2. Open the doors to cooperating with AA, not just in Europe, but in JFK and ORD.
A2: At best, they might get some codeshares instead of current interline. Without JV (extremely unlikely even in the long run) there is no beneft for JU. Keep in mind OU didin't even get codeshare from alliance partner UA on EWR-DBV route.
Q3. QR might finally respond more favorably to JU.
A3: Once EK starts BEG with new widebodies in a couple of years, QR is going to be in a deep trouble at BEG. JU would be then better off by codesharing with EK.
Q4. Potentially allow them to launch HKG where they would cooperate with Cathay. In such a way they could finally offer convenient one stop connections to Australia.
A4: If you pay attention to how China is approaching JU's ambition in China, it would be apparent they don't want JU to fly to HKG but rather to other airports in China and to work on transfers at CAN and possibly PVG.
I am not saying JU should aim for oneworld, quite the opposite. I think they should go for SkyTeam.
DeleteI was merely mentioning what would be the benefit and potential upsides to them being part of it.
As for LHR, well, if they were a BA partner then they could receive some slots from them. British Airways could always lease them some the same way Virgin Atlantic leased theirs to Aegean when they operated LCA-LHR.
At the end of the day, oneworld doesn't want JU mostly because there is no love lost between Serbia and the UK. With it there is no love between JU and BA.
Anon 12.39
At this point I don't think a JU-CZ codeshare will happen. They don't even sell JU BEG-CAN flights, not even as interline. They do sell them via other airports but only if your final destination is CAN, the same way they sell them with KL or FZ.
Smart
ReplyDeleteSure...
Delete^ Oh well if you say so then I must change my mind.
DeleteJU does not need to be a part of any alliance
ReplyDeleteAirline alliance membership brings with it a lot of benefits, especially for passengers.
DeleteJU's uniqueness compared with all the other airlines of the world also means it has no need to invest in a FF program, proper and functioning IFE aboard its long-haul fleet and WiFi.
DeleteIt would do you good to read the article about it first. It was published here just two days ago.
DeleteWe all read it. JU does not offer FF program, proper and functioning IFE aboard its long-haul fleet and WiFi,
DeleteAnd Marek seems very hesitant to offer these.
Read it again, no shame in needing multiple runs to comprehend it.
DeleteLol
Delete07:25 is very upset that people are allowed to comment on JU's terrible longhaul product.
DeleteImagine his nerves if he ever reads passenger reviews!
Even better, I tried it myself and it's far better than expected. Those who can't focus on the topic of the day may need help with those nerves.
DeleteI think they should just continue their current strategy and keep developing codeshares with other airlines.
ReplyDeleteWouldn't it membership at an airline save them costs in certain areas?
ReplyDelete+1
DeleteWhich alliance do you guys think Air Serbia should join, if it wanted to join one?
ReplyDeleteOneworld. They have no otter member nearby and they don't un the risk of becoming a feeder as it would be unfeasible to become one for Iberia or British Airways,
Delete*run the risk
DeleteOneworld would bring good connection with sount America via Madrid and Iberia,with British America, the us and canada region with AA.
Delete…
If they could get access to double daily LHR then all of their problems would be solved. With a good network they could get access to BA's massive network to Americas.
DeleteIberia on the other hand could be a good way to cover Latin America but Africa as well, especially western Africa.
^ fully agree but the visa situation with the UK would have to be resolved first.
DeleteHonestly, I think JU should bend over backwards to improve their relations with IB or even TP.
DeleteWith TP they at least have an interline. With IB there is absolutely nothing. Not only could they switch terminals but they could also get access to their massive Latin American network. It would certainly reduce their reliance on KL and AF.
Alliances give you a quota on how many codeshares or closer cooperation you can have so that is a deterrent.
ReplyDeleteBingo. Good decision to stay independent. It allows them to build partnerships where it makes sense instead of being tied to one alliance’s rules
DeleteThey have to work more on codeshares
ReplyDeleteThat's a big share for * alliance
ReplyDelete“We don't want anyone else to tell us who we can and can't cooperate with"
ReplyDeleteRather the CEO doesn´t want anyone else telling him what to do
You have an airline next door that has completely given in to one of its Star Alliance partners. So now it has a poor route network, poor load factor and constant unprofitability. So maybe he is thinking about that.
DeleteThese problems with OU are not due to their alliance membership, but to their poor decision making. LH cant tell them where to fly-as it does not and cannot tell Aegean or Turkish.
DeleteLH can only do this with members of their own group such as OS or LX.
LO's rise within Star Alliance only goes to show how being smart can make you successful.
DeleteCroatia Airlines and LOT are two great stories of how you can use or not your membership at an alliance.
LO's rise also goes to show that Star Alliance isn't really for them. With LH being so dominant in the alliance, LO seems quite sidelined in the alliance. LO isn't even in the TATL JV.
DeleteTrue but I think LH understands that it's better to have LO in Star Alliance than to lose them the same way they lost SK.
DeleteSince LO is not leaving Star then it can only mean they are happy enough to be there. I don't think they need the JV. They have such massive O&D demand from the US that they can survive as a lone player. After all, despite not being part of a JV they seem to be doing well on the TATL market.
Also don't forget that some of the oldest leases on their B788s are officially over so they own one or two of them. Just imagine what a relief this is for them. It will make their financial performance even better.
I think staying independent is a smart move for Air Serbia. Alliances can sometimes restrict flexibility, and the partnerships they have now seem strong enough to serve their goals
ReplyDelete+1
DeleteInteresting strategy, but I wonder if Air Serbia might struggle to compete with bigger alliance-backed carriers in the long run. Time will tell
ReplyDeleteI think that for now they compete with them by cheaper prices in region giving good connection
DeleteHow many decades until their independent frequent flyer program finally launches?
ReplyDeleteTheir frequent flyer program will need to be exceptional if they’re hoping to match what alliances offer. I’m curious to see how they pull this off.
DeleteIt doesn't need to match it, just to have at least some decent benefits for loyat business class passengers. New FF should be one of top priorities for 2025.
DeleteFor over 10 years we keep hearing about a FF program and we are still nowhere near it.
DeleteThey need to get a cooperation agreement with a major bank so that cobranded credit cards could be issued.
They need to get a long term agreement with a car rental company and many more.
10 years ago they just joined Etihad FF and there were no talks about their own FF.
DeleteAir Serbia may gain flexibility by avoiding alliances, but they risk losing visibility and connectivity in a competitive market dominated by alliance-backed airlines.
ReplyDeleteYes. Alliances also offer marketing power and loyalty programs
DeletePity. They fit perfectly with Oneworld. This area of the world is unserved by that alliance since the demise of Malev.
ReplyDeleteAgree completely. They would be perfect for Oneworld.
Delete+1
DeleteExactly, I pointed this out in my comment later.
DeleteStrategically for the short and medium term, I think it is the right decision but they should review it in several years.
ReplyDeleteTo continue from the article couple of days ago:
ReplyDeleteOur hard product is outdated, catering is bad, IFE also, and we will not be offering any incentives if you decide to regularly fly with us.
Are you okay?
Delete@10:42 are you in denial?
DeleteAlready addressed in the article but Anon 10:10 can't understand it, therefore concern for well-being.
DeleteHopefully next year we will see fly programme. When I see how much money I spent just this year on them, if I would use any other company I would have a lot of points
ReplyDeleteAnd why haven't you used their existing frequent flyer program that gives you points as well?!
DeleteI love today's headline. It sounds as if we live in precarious times and that Serbia will try to avoid war at any cost.
ReplyDeleteFrom a company perspective, maybe there is some reasoning for JU to decide against joining an alliance, but for me as a customer I can say that I’ve decided against booking a flight with JU on several occasions because I wanted to fly with an airline that would bring me frequent flyer miles. I’ve made this decision even when JU had more competitive prices or schedule for my desired destination. I think many travelers (especially business travelers) have a similar way of thinking as me, so that right there is a huge lost market for JU because of the lack of alliance membership.
ReplyDeletePersonally, even an independent JU frequent flyer program wouldn’t work for me, as then I would have to fly exclusively on JU to collect a significant amount of miles, which is not practical or preferable.
+1000
DeleteI don't think that our market is at a stage that an alliance based frequent flyer program is meaningful or plays a significantly important role for JU's pax.
DeleteWhat would be a good start is finally implementing a meaningful frequent flyer program that is of use to its customers as well as greater improvement to its cooperation with corporate clients.
A good FF program could help them further consolidate their position in markets such as Montenegro. Many who fly regularly to BEG might use JU instead of OS or TK for transfer flights. Same with some other markets out there where they have a decent presence.
DeleteNonsense.... but not the first time we hear something like this from Marek. OneWorld would be so beneficiall for JU and its development at this moment and in the future.
ReplyDeleteI have no problem with this, as long as they make and improve their own FF program.
ReplyDeleteJU should create their own alliance! There are a few options out there (Westjet in Canada for the North American market).
ReplyDeleteAre you joking? They do not have money to buy airplanes not to be founder of new alliance
DeleteThat was pure gold! 😂😂😂
DeleteThey have the money but don't want to burn it by purchasing planes.
Delete^
DeleteThey'll probably use all these money to start a 4th global alliance since the existing three are not interested in JU!
LOL😂😂😂
DeleteAnon 10:37 If you just spent couple of minutes reading the article...
DeleteI don't know the latest update regarding Etihad and Air Serbia, since they're still using Etihad's FFP. Giving Etihad is working closer to most of SkyTeam members, I'm not surprised if they're following suit. Unless, they're releasing independent FFP
ReplyDeleteThe relationship between Etihad and SkyTeam is souring. Air France has discontinued its flights to Abu Dhabi as well as its codeshares on the vast majority of Etihad routes. Meanwhile Etihad is starting a second daily A380 to CDG in two weeks from now. Clearly the two are shifting into competition mode.
DeleteWe might also add that Air France has just resumed flying to Manila. They suspended this route some 20 years ago. We all know who were the main players on the Europe-Manila market.
DeleteThis is actually an interesting development as it's the exact opposite of what Lufthansa is doing. AF is actually putting up a fight in Asia instead of just retreating. Spohr spoke of this phenomenon. He said that when he joined LH some three decades ago, they had 30 destinations in Asia, now they are down to just a handful.