Originally Posted by TOM100
(Post 10859747)
I think the last few months have demonstrated what is on sale and what actually flies can be quite different. TUI are still selling Spain, Canaries and Balearics for the end of this month - will they fly ?
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Originally Posted by PDXCWL45
(Post 10859759)
Yep there is a possibility that some flights won't operate but that is completely out of the airports control. I think the last 6 months has shown that the airport is completely at the mercy of airlines.
if the customers don’t come in the volume he needs - he needs to adapt by reducing cost to adjust to the volume reality, adjust his strategy, go out of business or hand over to someone else with new ideas and more forward thinking who can make a success of his business. He doesn’t have the option of saying well what can I do I am at the complete mercy of the customers who won’t come ! |
Originally Posted by TOM100
(Post 10859825)
i don’t fully agree with that last statement - the airport is fully in charge of a large chunk of their operating expenses and commercial activities. That’s like saying my local shop can do nothing unless customers walk through his door (which in the literal sense of course is correct) but if he has a commercial strategy to offer a diversified range of products, keeps his pricing keen, markets his shop intelligently and keeps his overhead costs low so he can invest in the former - he stands a better chance of getting people through the door and making money.
if the customers don’t come in the volume he needs - he needs to adapt by reducing cost to adjust to the volume reality, adjust his strategy, go out of business or hand over to someone else with new ideas and more forward thinking who can make a success of his business. He doesn’t have the option of saying well what can I do I am at the complete mercy of the customers who won’t come ! |
Originally Posted by TOM100
(Post 10859825)
i don’t fully agree with that last statement - the airport is fully in charge of a large chunk of their operating expenses and commercial activities. That’s like saying my local shop can do nothing unless customers walk through his door (which in the literal sense of course is correct) but if he has a commercial strategy to offer a diversified range of products, keeps his pricing keen, markets his shop intelligently and keeps his overhead costs low so he can invest in the former - he stands a better chance of getting people through the door and making money.
if the customers don’t come in the volume he needs - he needs to adapt by reducing cost to adjust to the volume reality, adjust his strategy, go out of business or hand over to someone else with new ideas and more forward thinking who can make a success of his business. He doesn’t have the option of saying well what can I do I am at the complete mercy of the customers who won’t come ! Then the other issue you have is the relative wealth of the catchment area, and it is undeniable that the per capita income on the English side of the Severn Bridge, and the catchment for Bristol is very much higher than you'll find in South Wales. That means that airlines have to think very hard before investing equipment and marketing to a spread of destinations such as Bristol enjoys. Some routes that are good earners from Bristol probably wouldn't work from Cardiff. That's a shame, and it will take a lot of hard work from the Welsh Government to get the inward investment that will lead to increased wealth, and help Cardiff airport. That doesn't mean for a moment that Cardiff is a basket case, things were going in the right direction until the double whammy of Flybe's demise and Covid-19 reared their ugly head. Cardiff is probably no worse off than many UK airports at the moment, aside of probably EMA because of it's cargo operation. Passenger wise it's still dire. |
Is the senior Management team also running St Athan and the passenger services at Valley?
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Originally Posted by caaardiff
(Post 10859869)
Is the senior Management team also running St Athan and the passenger services at Valley?
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Originally Posted by TOM100
(Post 10860027)
i believe they are but those operations are chickenfeed in the scheme of things and there hasn’t been a regular pax operation at Valley for months.....I get other airports are in a similar position but are their management structures as heavy and being paid for by taxpayers ? I honestly don’t know the answer to that question.....
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Originally Posted by caaardiff
(Post 10859869)
Is the senior Management team also running St Athan and the passenger services at Valley?
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Originally Posted by TOM100
(Post 10860027)
i believe they are but those operations are chickenfeed in the scheme of things and there hasn’t been a regular pax operation at Valley for months.....I get other airports are in a similar position but are their management structures as heavy and being paid for by taxpayers ? I honestly don’t know the answer to that question.....
I really would love to see how it can be done better. The hard work and diversification that has already happened seems to have been forgotten about. |
Originally Posted by caaardiff
(Post 10860147)
My point being, even without passenger operations, things still need to be done, especially at CWL and St Athan. So the senior team you seem adamant are useless and inefficient are effectively running 3 businesses. The current structure isn't that much bigger than it was before WG ownership, yet although the Airport hasn't expanded, the business has.
I really would love to see how it can be done better. The hard work and diversification that has already happened seems to have been forgotten about. |
Originally Posted by caaardiff
(Post 10860147)
My point being, even without passenger operations, things still need to be done, especially at CWL and St Athan. So the senior team you seem adamant are useless and inefficient are effectively running 3 businesses. The current structure isn't that much bigger than it was before WG ownership, yet although the Airport hasn't expanded, the business has.
I really would love to see how it can be done better. The hard work and diversification that has already happened seems to have been forgotten about. |
Just out of curiosity did this management team do any marketing to have C19 redundant airliners parked-up at St Athan?
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Oh im a tit I have just been googling what a C19 Airliner is and who flies them. I need to get out more.
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Maybe it’s down to who shouts loudest and has the most clout?
Up here on Teesside we have a mayor..who has a seemingly endless pot of money to help a ..let’s face it..struggling airport survive ? I would have thought Cardiff..capital of one of the home nations would have more requirements for a thriving ,well run ,economically desirable airport than here? Who knows!🤔 |
The Tees Valley Mayor doesn't have "seemingly endless pot of money", but he does have a develeopment budget from central govt, part of which he has chosen to spend on the airport as part of his strategy for increasing inward investment - to quote, "inward investment won't arrive at the bus station, it will walk through the terminal doors".
Where that approach differs to Cardiff is that the WG approach seems to be that the airport is being run as a stand-alone business, without this explicit "global connectivity" aim (or have I missed it?) What is missing in both cases is transparency on what taxpayers money is being used for, and any controls around govt supported businesses competing against private businesses |
Originally Posted by SWBKCB
(Post 10860272)
The Tees Valley Mayor doesn't have "seemingly endless pot of money", but he does have a develeopment budget from central govt, part of which he has chosen to spend on the airport as part of his strategy for increasing inward investment - to quote, "inward investment won't arrive at the bus station, it will walk through the terminal doors".
Where that approach differs to Cardiff is that the WG approach seems to be that the airport is being run as a stand-alone business, without this explicit "global connectivity" aim (or have I missed it?) What is missing in both cases is transparency on what taxpayers money is being used for, and any controls around govt supported businesses competing against private businesses At the Senedd Public Acoounts Committee of 02/03/2020 the senior management stood by their forecast of 2m. passengers and profitability by 2025. This was at the time when we were at risk of the epidemic in China becoming a global pandemic and three days before the flybe collapse when industry insiders could see what was coming. I thought it was an astonishing performance and not for good reasons. |
Originally Posted by supermarine
(Post 10859016)
This is utter , utter madness. The new finance director is on an advertised salary of between £85- £90,000 per annum plus an £8k car allowance.
I really despair how this is justified. |
Originally Posted by PDXCWL45
(Post 10859759)
Yep there is a possibility that some flights won't operate but that is completely out of the airports control. I think the last 6 months has shown that the airport is completely at the mercy of airlines.
I think you are missing the main point ,which Tom100 is making. Has the airport management taken any action in reducing their operating costs/overheads in the past three months? I am aware the C.E.O. has departed, why? Most would think she has done a first class job building CWL up. Is this an opportunity for a much needed restructure. A commercial business facing these difficult challenging times needs a strong FD as I stated in my previous posting the cost of the new FD is not extortionate and if he/she is worth their salt they will more than payback their salary package. |
Originally Posted by Midland Alpha9
(Post 10860999)
PDX I have read your submissions for numerous years and whilst they are mostly interesting and informative it does lead me to the conclusion you are actually a senior manager with Cardiff Airport or an employee.
I think you are missing the main point ,which Tom100 is making. Has the airport management taken any action in reducing their operating costs/overheads in the past three months? I am aware the C.E.O. has departed, why? Most would think she has done a first class job building CWL up. Is this an opportunity for a much needed restructure. A commercial business facing these difficult challenging times needs a strong FD as I stated in my previous posting the cost of the new FD is not extortionate and if he/she is worth their salt they will more than payback their salary package. The analogy with my local shop, of course, is not a direct read across (which it was never meant to be) but just to illustrate some principles of doing business in any sector. i want CWL to thrive, but that also means operating like a true commercial business and showing the leadership and the ability to be nimble - if they can’t do this then it really does make you ask lots of questions about the real business credentials of their senior team. |
I like Deb, I have always got along well with her but hopelessly out of her depth as CEO. Embarrassing for her to have to stay on the Board while someone else takes her job.
I presume all the armchair CEOs on here will be putting in their application for the job. |
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