Services by Airbus Airbus

Fast 5: Services By Airbus Growing Double Digits

Laurent Martinez, head of Services by Airbus, discusses how the company’s integrated aftermarket portfolio is performing in advance of his keynote address at MRO Europe on Oct. 3.

Your company launched Service by Airbus, intended to bring a more integrated approach—from flight hour packages to material services, training, upgrades, MRO and digitalization--in 2015. At the time, Airbus wanted to grow the 8,500 aircraft it serviced. How are you tracking? 

Our revenue progression is a sign of our increased market penetration with $2.8 billion in 2016 (+18% year over year). We expect a similar double-digit growth this year.

Airbus has welcomed a number of new clients to our portfolio with the likes of Cathay Pacific [A350 Flight Hour Services (FHS)], Singapore Airlines (A380 Tailored Support Package), JetSmart (A320 FHS), Qantas A380 cabin reconfiguration and UPS (avionics upgrade).

How has the creation of Services by Airbus impacted how you deliver aftermarket support and services to your customers? What have been the bright spots—and challenges—in forming and running Services this way?

Services by Airbus was launched in spring 2015 as a consolidation of existing services. Since then we have completely reshaped the organization and portfolio with a user-centric mindset. We have added new services with the launch of Navblue (ex-Navtech) and Airbus Interior Services. Support and Services by Airbus go hand-in-hand to support our airline users, and ultimately support the competitiveness of our aircraft. All this is enhanced by our flagship digital initiative: Skywise.

Airbus launched its MRO Alliance in June with five MROs and one airline (AAR, Aeroman, Sabena Technics, Etihad Airways Engineering, GAMECO and China Airlines)—a much smaller number than what was included in the Airbus MRO Network. What’s different about the Alliance versus the Network, and what specific criteria did Airbus use to select them?

The previous MRO Network that was launched in 2005 had a mission to ensure that the member MROs complied with membership criteria (after audit) ensuring they delivered a certain level of quality to their clients. Today’s Airbus MRO Alliance is a much stronger partnership with on-site support from Airbus and guaranteeing a high level of performance to airlines.

How is Airbus measuring the services performed and how will it “support the participating MROs in the enhancement of their performance?”

The MRO Alliance will offer Airbus-grade services, therefore we will ensure that Airbus MRO Alliance members are meeting the level of performance to enter and remain in the Alliance.

In April, Airbus introduced Airbus Interior Services. What interior services have customers most requested so far and how is Airbus completing the work?

Since the official launch of Airbus Interiors Services (AIS) in April, we have seen strong market traction for cabin upgrades, the most recent deals being cabin upgrades for the A320 fleet and Qantas A380 fleet. AIS brings new ways of working and new products to our cabin offering with user needs in mind.

Airbus

Laurent Martinez, head of Services by Airbus, delivers the MRO Europe Conference keynote address on Oct. 3 in London.

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