"Ryanair"

In the past week, European carrier, Ryanair, has challenged Athens Airport (ATH) in Greece, over unjustified tax increases.

This article will cover the details surrounding Ryanair’s challenge on the tax increases and their reasoning behind the challenge.

Ryanair’s Challenge Against Athens

On July 26, 2024, low-cost carrier, Ryanair, has confirmed its challenge against the Hellenic Civil Aviation Authority (HCAA) regarding Athens Airport (ATH).  

The Greek Government has made the decision to reduce aviation taxes by 75%. This reduction in taxes will mean that the fee per passenger will reduce from €12 to €3. This is set to come into effect from November 2024. 

Greece’s decision to reduce these taxes is a bid to help grow off-peak connectivity and tourism to Greece. 

The issue lies with Athens Airport and Fraport Greece, whereby they have no plans to adopt these reductions, and instead actually increase their charges. Ultimately, in a bid to combat the Government’s decision of keeping the taxes for themselves.

From Athens, Ryanair currently serves the following countries –

• Albania
• Austria
• Belgium
• Bulgaria
• Croatia
• Cyprus
• Czech Republic
• Denmark
• France
• Germany
• Greece (Other domestic airports)
• Hungary
• Ireland
• Italy
• Latvia
• Malta
• Montenegro
• Morocco
• Netherlands
• Norway
• Poland
• Portugal
• Romania
• Slovakia
• Spain
• Sweden
• United Kingdom

Senior Comments

Ryanair’s Chief Commercial Officer, Jason McGuinness, has commented on their challenge, saying. “Athens Airport and Fraport Greece’s shameless attempt to pocket the aviation tax cut by the Greek State from November 2024, is outrageous, and runs counter to government policy to support growth and tourism.”

“The Greek State took the sensible decision to reduce access costs across all Greek airports from November 2024, positioning Greece to move away from chronic seasonality and position itself for year-round connectivity.”

“Governments across Europe (e.g., Hungary, Sweden, and Italy) are scrapping or reducing their aviation taxes as they realise they need to reduce costs given the constraints within European short-haul capacity.”

“It is unjust for the German monopolies, Athens Airport and Fraport Greece, to be allowed to divert the benefit of Greek tax cuts away from Greek passengers back to their German head offices.”

“Ryanair calls on the Greek Government and the Greek Regulator (HCAA) to protect passengers and local economies by ensuring Athens Airport and Fraport Greece respect the decision of the Greek Government to reduce access costs and pass through the full tax cut to Greek citizens / visitors from November 2024.”

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A Barcelona Commercial Court has issued interim measures against Ryanair, directing the airline to immediately cease its denigrating behavior towards eDreams ODIGEO and its products.

This ruling reinforces a previous decision upheld by Spain’s Supreme Court, which had already mandated Ryanair to halt its unfair tactics and anti-competitive behavior against the online travel agency.

The pre-trial order from Barcelona Commercial Court No. 12 is based on compelling evidence of Ryanair’s long-term smear campaign against eDreams and its Prime programme.

The airline allegedly disseminated multiple false claims to mislead consumers and compete unfairly, violating Article 9 of the Unfair Competition Law (LCD). The Court approved these measures due to Ryanair’s persistent denigrating statements.

eDreams ODIGEO is a global travel subscription platform and one of the largest e-commerce businesses in Europe.

A “Perfectly Organized Campaign”

In a strongly worded judgment, the judge characterized Ryanair’s actions as a “perfectly organized campaign. He said it was “designed to promote Ryanair.com for booking flights and associated services.”

The court deemed this campaign as denigrating advertising, providing consumers with false information about eDreams and its Prime service.

This legal victory for eDreams ODIGEO extends beyond Spain. In Germany, courts have ordered Ryanair to cease multiple anti-consumer and misleading practices.

These include charging consumers for specific payment methods, and lacking transparency in pricing throughout the booking process. It required consumers to create user accounts to purchase tickets.

Ryanair’s Wider Strategy and its Consequences

Ryanair’s strategy has now targeted multiple online travel agents. It appears to be part of a broader plan to coerce competitors into signing anticompetitive and anti-consumer distribution agreements.

This tactic also seems intended to deflect scrutiny from Ryanair’s own controversial practices. This is currently under investigation by authorities across Europe.

eDreams ODIGEO is actively leading or participating in multiple cases against the airline. This includes antitrust proceedings in Italy for alleged abuse of market dominance.

A vast majority of the Italian travel industry, including federations, trade bodies, and consumer associations, supported this case. It allegedly prompted Ryanair to launch a smear campaign targeting the complainants, particularly eDreams and its Prime programme.

The Italian Antitrust Authority (AGCM) has not remained silent on this issue. It defined Ryanair’s actions as a smear campaign aimed at dissuading consumers from using travel agents. It highlighted the airline’s use of false and misleading claims.

Investigations and Legal Actions Across Europe

Data protection authorities from several European countries, including the United Kingdom, France, Belgium, and Poland, are reportedly probing Ryanair’s allegedly discriminatory practices towards customers.

These investigations include allegations of privacy-invasive practices that breach GDPR. This includes requesting unnecessary biometric data and imposing additional fees on consumers based on their booking channel of choice.

The mounting legal and regulatory pressure on Ryanair for its anti-consumer practices is further evidenced by a landmark fine imposed by the Spanish government.

Estimated at around 100 million euros according to consumer bodies, this fine is the highest ever issued by Consumer Protection authorities to a single business. It dwarfs the previous record by 17 times.

In France, courts have recently issued a severe sentence against the airline for deliberately violating passenger rights regulations.

This includes infringing on consumer rights, failing to compensate for flight cancellations and delays, and engaging in deceptive and aggressive practices.

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Major Irish low-cost carrier Ryanair has urged Transport Minister E. Ryan to double the funding cap for Ireland’s regional airports from 1 to 2 million passengers yearly.

This change would ensure their eligibility for government support under the Department of Transport’s Regional Airports Programme.

Currently, the Programme only funds airports with less than 1 million annual passengers, limiting growth in tourism, jobs, and regional economies.

Ryanair: “Capping Contradicts Policy”

Recently, the Department of Transport’s mid-term review claimed the Programme aligns with Ireland’s National Aviation Policy.

This initiative aims to boost connectivity and aviation’s contribution to sustainable economic growth. However, Ryanair argues that capping regional airport growth at 1 million passengers contradicts this policy.

The airline questions why Minister Ryan would maintain this restriction, especially when Dublin Airport already faces a passenger cap that hampers national growth.

Ryanair finds it illogical to penalize regional airports by removing funding as they grow and benefit their local economies.

In March, Ryanair presented Minister Ryan with a plan to increase Irish traffic and tourism by 50% over six years, reaching 30 million annual passengers.

This proposal included a $1.6 billion investment in new aircraft, creating over 800 jobs. It would double traffic at Cork, Shannon, and Kerry airports, and establish a new base at Knock Airport.

The airline says Minister Ryan has not responded to this proposal and continues to restrict regional airport growth through the 1 million passenger cap. Ryanair also notes the failure to address Dublin Airport‘s 32 million passenger limit.

Ryanair CEO Comments

Eddie Wilson, Ryanair’s CEO, gave comment on the issue. “It’s baffling that Ireland’s Transport Minister maintains both the 32 million passenger cap at Dublin Airport and effectively limits regional airports to 1 million passengers through the Regional Airport Programme.”

“This policy discourages growth at regional airports like Knock, despite their efforts to boost local tourism and economies.

Ryanair aims to expand Irish air traffic and tourism, according to Wilson’s statement. He drew attention to the growth proposal, presented to Minister Ryan in March.

This outlined significant investments in Ireland’s regional airports, job creation, and traffic increases across regional airports.

“The 1 million passenger cap hinders this potential growth, as exceeding it would result in the loss of crucial funding for regional airports like Knock,” says Wilson.

“Minister Ryan’s policies are restricting growth not only at Dublin Airport but also at regional airports. We call on him to immediately raise the funding cap for regional airports to at least 2 million passengers annually, as permitted by EU regulations.”

“This change would drive more traffic, tourism, jobs, and economic growth to key regional airports and their surrounding communities.”

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Ryanair, the major low-cost airline, has released its July Online Travel Agency (OTA) Pirate survey. The airline has singled out online provider eDreams as what it claims is the leading culprit in Europe.

Ryanair’s survey reveals alleged practices of overcharging and misleading consumers, and expresses concerns about the integrity of some online travel booking platforms.

Alleged Overcharging Practices

According to Ryanair’s findings, eDreams has been significantly overcharging its “Prime members” for various travel services. For instance:

• A 10kg bag on Wizz Air, priced at €14.90 on the airline’s website, was marked up by over 100% to €30.92 on eDreams.

• A reserved seat on British Airways, available for €23.00 directly from the airline, was inflated to €39.49 on eDreams – a 72% increase.

These examples highlight an apparent trend of hidden markups and overcharges, sometimes exceeding 100% of the original price.

Digital Piracy and Consumer Deception

Ryanair labels these practices as “digital piracy,” accusing eDreams of misleading consumers into believing they’re receiving discounts.

In reality, customers are paying inflated prices due to hidden markups. While eDreams is not currently selling Ryanair fares, the budget airline emphasizes that overcharging continues for other airlines’ flights and services.

Call for Consumer Protection

In light of these findings, Ryanair is amplifying its campaign for consumer protection against OTA Pirates.

The airline is urging EU governments and consumer agencies to take swift action to halt this form of digital piracy and prevent further consumer exploitation.

Ryanair spokesperson Dara Brady expressed strong criticism of eDreams and similar OTAs. Brady stated, “Our July OTA Pirate survey exposes eDreams as Europe’s No.1 OTA Pirate.”

“They continue to scam and overcharge their customers by up to 108%,” he claimed.

The airline accuses these OTAs of unlawfully scraping airline websites to overcharge unsuspecting consumers.

Ryanair advocates for transparent pricing and encourages OTAs to follow the model of their “Approved OTA” partners.

Looking Ahead

Ryanair pledges to continue its campaign against OTA Pirates by exposing overcharging practices and calling for their prohibition.

The airline remains committed to protecting consumers from deceptive pricing strategies in the online travel booking industry.

As this issue unfolds, it highlights the need for increased vigilance among consumers when booking travel online.

It also underscores the importance of regulatory oversight in the rapidly evolving digital travel marketplace.

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The tourism tax pressure in Italy by Ryanair continues to bear fruit, as the airline unveils new flights out of Calabria.

For the Irish low-cost carrier, they have been targeting municipal governments in order to allow expansion.

Without further ado, let’s get into it…

Ryanair & It’s Plans for Calabria Flights…

Ryanair plans to expand significantly in terms of flights and operations out of Calabria following the scrapping of tax.

It is understood the airline will add two more aircraft to the base, bringing the total to four.

There is expected to be 50% growth on the route, with one million passengers expected to handle through 15 new routes.

Furthermore, the new flights from Calabria, will see the following:

• Reggio Calabria:
  • London Stansted
  • Brussels Charleroi
  • Milan Malpensa
  • Pisa
  • Frankfurt Hahn
  • Katowice
  • Paris Beauvais
• Lamezia:
  • Tirana
  • Brussels Charleroi
• Crotone
  • Venice Treviso
  • Turin

Ryanair also said that from the Calabria area, they will add four new routes to Trieste, Madrid, Wroclaw and Bucharest from Lamezia Terme.

Eddie Wilson: The Work Doesn’t Stop There…

Commenting on this milestone was Ryanair CEO Eddie Wilson, who praised the expansion, but highlighted the work is not yet done:

“We are thrilled to announce Ryanair’s significant investment and expansion in the Calabria region, following President Occhiuto’s forward-thinking decision to abolish the municipal tax.”

“This strategic move enables us to rapidly increase our capacity in the region, adding an additional Boeing B737-800 at Reggio Calabria and Lamezia Terme, launching new routes across the Region.”

“Our Winter 2024 schedule for Calabria will deliver 82% growth compared to Winter 2023, with three based aircraft and a total investment of $300 million.”

“Furthermore, we plan to base another aircraft in Lamezia Terme for Summer 2025, bringing our total to four based aircraft in the region and increasing our total investment to $400 million.”

“This will deliver 50% growth next year for the region, supporting over 1,200 jobs and contributing to the economic growth of the region by enhancing tourism, improving connectivity, and offering lower fares to both citizens and visitors.”

“Ryanair now calls on all Italian regions to scrap this regressive tax. Sicily and Sardinia in particular should follow the positive example of Calabria and revolutionise their connectivity by scrapping the tax.”

“Ryanair could deliver an additional 3 million seats annually to Sicily and 2 million to Sardinia, transforming connectivity on a year-round basis, as we did in Trieste and will now do in Calabria.”

Overall…

In conclusion, the expansion of flights from Calabria with Ryanair is a big step in the right direction.

However, from this, it is clear that the airline’s work is not yet done.

The more pressure they place on regional taxes and win, the more flights they can add.

It ultimately means more flights for passengers on a low-cost basis.

All eyes will be on how much further the Irish low-cost carrier can take with municipal governments across Italy.

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Ryanair, has taken another step in its ongoing affiliation OTA program by announcing a new “Approved OTA” partnership with Etraveli Group.

This latest collaboration was announced on 9 July and becomes the latest collaboration in the airline’s ongoing efforts to streamline booking processes and ensure transparency for passengers.

Affiliation with Etraveli Group

Etraveli Group is is a global leader in air content technology, and boasts several well-known online travel agency (OTA) brands. These subsidiary brands include Mytrip, Gotogate, and Flightnetwork.

This partnership now authorizes these platforms to offer Ryanair’s renowned low-fare flights to their extensive customer base.

The Benefits for Travelers

This new alliance brings numerous advantages to European travelers seeking Ryanair’s services:

• Access to low fares
• Choice of over 240 destinations
• Guaranteed accurate booking information
• Direct communication with Ryanair
• Full access to myRyanair accounts

Customers booking through Etraveli Group’s platforms can now enjoy peace of mind, knowing their contact and payment information will be correctly shared with Ryanair.

This ensures seamless access to myRyanair accounts and timely flight-related communications.

Ryanair’s Stance on OTAs

Ryanair has faced challenges with unauthorized OTAs in the past, often leading to issues for customers. Some common problems included:

• Incorrect passenger information
• Overcharging for flights
• Lack of direct communication between Ryanair and customers
• Difficulties in accessing myRyanair accounts

The “Approved OTA” program aims to address these concerns by establishing official partnerships with reputable platforms.

This initiative ensures that customers receive accurate information, fair pricing, and direct access to Ryanair’s services.

Stakeholder Comments

Dara Brady, Ryanair’s Chief Marketing Officer, expressed enthusiasm about the partnership, highlighting the benefits of full price transparency and complete booking access for customers.

He looks forward to a long-term collaboration with Etraveli Group and welcoming their customers aboard Ryanair’s extensive network of flights.

Johan Elwin, Chief Commercial Officer at Etraveli Group, echoed this sentiment. He emphasized how this partnership aligns with their goal of providing the world’s best air content to customers and partners globally.

Elwin also mentioned their plans to leverage advanced tech solutions, such as Virtual Interlining, to further enhance the travel experience.

Looking Ahead

This partnership between Ryanair and Etraveli Group represents a latest step forward in the carrier’s to improve customer experience and streamline booking processes. As more airlines and OTAs collaborate, travelers can expect:

• Increased transparency in pricing and booking
• Improved communication with airlines
• Enhanced access to loyalty programs and account features
• A wider range of flight options through trusted platforms

By addressing common issues associated with third-party bookings, Ryanair continues to demonstrate its commitment to customer satisfaction and industry leadership.

For travelers, this partnership means easier access to Ryanair’s extensive network of destinations and competitive fares.  It means the convenience of booking through familiar OTA platforms can be conducted with confidence by customers.

As the online travel industry continues to evolve, collaborations like this one between Ryanair and Etraveli Group are likely to set new standards for customer service and booking transparency.

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Ryanair, Europe’s leading low-cost airline, has reached a significant milestone at Birmingham Airport (BHX).

The carrier has now transported over 30 million passengers through BHX since beginning operations there in 1987.

This achievement highlights Ryanair’s substantial growth and impact on the region’s air travel landscape.

Birmingham Airport: A Hub for Low-Cost Travel

Birmingham Airport, located in the heart of England, has become a crucial hub for low-cost air travel. The airport serves millions of passengers annually, connecting the Midlands to destinations across Europe and beyond.

BHX’s strategic location and modern facilities have made it an attractive base for airlines like Ryanair.

Ryanair’s presence at BHX has evolved dramatically over the past three decades:

• Pioneering low-cost flights: In 1987, Ryanair launched its first route from Birmingham to Knock, Ireland.
• Steady expansion: The airline gradually increased its route network from BHX.
• Current operations: Ryanair now offers 50 routes to 17 countries from Birmingham.
• Fleet investment: Seven Ryanair aircraft are based at BHX, representing a $700 million investment.
• Job creation: The airline’s operations support over 2,400 local jobs.

Summer 2024: Ryanair Birmingham Airport

This summer, Ryanair is set to operate its most extensive schedule ever at Birmingham Airport:

• Over 400 weekly flights
• 50 routes in total
• 9 new destinations added

The new routes for Summer 2024 include:

• Agadir, Morocco
• Berlin, Germany
• Budapest, Hungary
• Marrakesh, Morocco
• Paphos, Cyprus
• Paris, France
• Seville, Spain
• Tirana, Albania
• Valencia, Spain

This expanded network offers Birmingham travelers unprecedented choice and connectivity at competitive prices.

Impact on Local Tourism and Economy

Ryanair’s growth at BHX has significant benefits for the region. It firstly means enhanced international connections for local travellers.

The increased level of inbound tourism also has a flow-on effect for the regional economy and for local businesses.

In terms of regional economics, it has also meant the creation of jobs and employment opportunities for locals.

Jade Kirwan, Ryanair’s Head of Communications, expressed enthusiasm about the milestone

“We are thrilled to celebrate over 30 million Ryanair passengers through Birmingham Airport. This achievement underscores our ongoing commitment to growth and investment in Birmingham.”

Looking Ahead: Ryanair’s Future at BHX

The airline shows no signs of slowing down its expansion at Birmingham Airport. Kirwan added:

“We look forward to carrying millions more passengers on Ryanair’s low-fare flights to and from Birmingham in the coming years.”

Conclusion

Ryanair’s 30 million passenger milestone at Birmingham Airport marks a significant chapter in the airline’s history and the airport’s development.

With its largest-ever summer schedule in 2024 and plans for continued growth, the budget carrier is cementing its position as a key player in Birmingham’s aviation sector.

This expansion not only benefits travelers with more choices and competitive fares but also contributes substantially to the local economy through tourism and job creation.

As Birmingham Airport and Ryanair look to the future, their partnership seems poised for further success. This promises further exciting opportunities for air travel in the Midlands and beyond.

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