Business is booming in Ukraine at least according to three international airlines planning to expand their service to Kyiv. British Airways and Dutch national carrier KLM have chosen July to increase their number of flights to and from Ukraine to five per week, and on Wednesday July 23 Delta Air Lines announced its entry into the Ukrainian market.
KLM and British Airways have expanded their timetables in response to extra demand fueled by increased business activity in Ukraine, company representatives said. Managers from the two airlines added that the decision to expand their timetables was influenced by a real increase in passenger numbers, rather than competitive factors or high summer season demand: The number of passengers [flying] to and from Ukraine is increasing, said British Airways Ukraine Manager Dominic Paul.
Business in Ukraine is growing, even though it is influenced very much by the unfavorable conditions and legislation, said Serhiy Fomenko, KLM country manager for Ukraine. Changes in passenger volume are very noticeable after some unfavorable law for business is passed, according to Fomenko.
However, the business has reached the point where we can expand anyway, he said.
Fomenko said that before the expansion, KLMs planes had an average loading factor of 80 percent 70 percent in business class. With its new Monday flight, which starts July 28, KLM is hoping to tap into the apparent surge of business activity in Ukraine. Its convenient to start business trips on Mondays, said Fomenko.
British Airways management did not disclose the companys loading figures, but Paul said the airlines business class was more popular than economy class, and that business class sales are constantly growing. Both airlines also said that their service is used mostly by foreigners, who account for 70 percent of their sales.
In another sign that the airline business is soaring in Ukraine, U.S.-based Delta Air Lines announced that it has clinched a codesharing deal with Austrian Airlines to ferry passengers from Kyiv onto the Delta network via Vienna.
According to Deltas general manager in Ukraine, Georgiy Glukhov, the airline hopes to offer its first scheduled flight Monday July 28. And like Paul and Fomenko, Glukhov sees improvements in the Ukrainian business environment as the impetus behind Deltas expansion.
Ukraine has matured for legal businesses … laws favorable for business are gradually being approved, he said.
As with the other major foreign carriers in Ukraine, Delta expects foreign businessmen to account for the bulk of their sales.
We expect 70 to 80 percent of our custom to come from foreigners, mostly Americans, although were hoping that in time well get more business from the growing Ukrainian middle class, said Glukhov.
Delta is currently negotiating another code-share deal with Ukraine International Airlines, according to Glukhov. However, it will be another two years at least before Deltas own planes touch down at Borispol airport, he said.
