THE trade is cautiously supportive of SAA’s future, with the airline’s assurance to the public that it remains on track to meet its goal of breaking even by the financial year 2021/2022 as part of its long-term turnaround strategy. The recent resignation of Vuyani Jarana as ceo raised questions around the structures of leadership within the organisation. “People in the position of ceo or members of the board put themselves out there with a lot of risk. The airline needs to have a look at leadership with aviation experience because it has lost a lot of good people,” says Vanya Lessing, md of Sure Travel. The airline, which has had nine acting and permanent ceos since 2009, continues to operate, with agents citing it as a key carrier for travel into Africa. “Overall, access into Africa is lacking and SAA does fill some of that gap,” Vanya says. Travel by Arrangement’s bookings for SAA have remained consistent year on year. Gm, Natalie Swart, says SAA is one of Travel
by Arrangement’s biggest supported airlines purely because of the network it offers, with a number of direct routes. However, Tammy Hunt, md of eTravel, says the group has seen a significant reduction in SAA bookings. She speculates that this decline could be due to uncertainty about the airline’s future. Natalie agrees that consultants are cautious about their forward bookings. Should
the airline go bust, Vanya says there are regulations in place that would protect and compensate passengers should their travels be disrupted. The trade is not unsympathetic to SAA’s situation. “As a state-owned enterprise, SAA has a difficult role to fulfil. It needs to service tourism to and around the country, as well as be a carrier to promote trade and industry. And, of course, should do that all to be profitable,” says Vanya.
Operationally, Vanya says, SAA remains competitive. “It has a good safety record and service on board is consistent.” The airline has also been making moves to develop its network, adding new routes and cementing deals with international carriers. This year, it has added flights to Guangzhou, China, and signed interline agreements with Alaska Airlines and Africa World Airlines. Natalie says the airline has continued to operate with only occasional delays. However, she adds: “The recent domestic route cancellations have had a negative impact on our business-class passengers as they’ve all been re-accommodated on Mango.” Natalie is also concerned that the airline does not provide TMCs with enough support. “We get little to no support due to the hierarchy of authority.” She thinks that, if SAA empowered its sales people to make decisions, consultants would feel more comfortable selling an airline that they know supports consultants in the same way consultants support the airline.
Trade still backs SAA
13 Jun 2019
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