Entry into Emerging Market
A global ground handler entry into a new emerging market was challenged in several areas, primarily related to the economic and pricing landscape, licensing and delivery to global operational/safety standards. The client required a full assessment of the opportunities presented in this significant emerging market, sustainable and robust risk management and mitigation strategies and delivery of global capabilities in an environment that had historically limited new entrant success.
A number of other considerations required careful assessment and management, including the relationships with regulators and airport operators where political, operational and customer prerogatives had not been complementary to a new ground handler market entry.
Through a detailed assessment and analysis of existing global customer acquisition opportunities, in collaboration with the client, we designed and built a model that was premised upon securing a number of primary customer contracts. To support these customer acquisitions a robust business plan incorporating the available market that leveraged existing service level and pricing challenges within the incumbent market was performed and referenced during extensive and detailed dialogue with the airport operator.
Following a detailed macro market assessment and individual customer analysis relating to the opportunities, a case was presented to the client to develop a Joint Venture, ground handling and cargo business that would leverage existing licence assets of the JV partner. The result was such:
- Challenging the handling duopoly that had historically existed for decades.
- JV establishment between local partner and global major aviation services firm
- Award of full ground-handling licence to support passenger, ramp and cargo handling.
- New opportunities and choice for airline clients at price points, service standards and with globally recognised safety outcomes.