WORLD ROUTES: A Changing Business in Copenhagen

When Copenhagen Airport won the marketing award at World Routes 2013 and then again at Routes Europe 2014, its CEO Thomas Woldbye saw it as welcome confirmation of two decades of major business change. Airports are no longer mere infrastructure providers but active, commercial business partners in the aviation value chain and attractive destinations for the passengers.

“Twenty years ago, most airports saw passengers as their only customers,” says Woldbye. “Airlines were more or less something that literally came down from the sky. Today, many airports are sharper and clearer on the value chain of our industry, meaning that we now see airlines not only as our main customers but also as close business partners.”

The formerly state owned Copenhagen Airport began the long road to privatisation in the 1990s. The gateway hosted World Routes in 2005 before handing over control to private investors in 2006. Today, the Danish government only holds 39.2 per cent of the shares.

“The privatisation of airports has in many ways been a major driver for change towards more professional, competitive and commercial business strategies,” believes Woldbye. “In short, airports have turned commercial in every positive sense of the word, meaning a sharp customer focus. What do airlines need to conduct a solid business in our airport? That’s the question we must ask every morning on our way to work.”

For Copenhagen Airport, a leading hub of Northern Europe with 132 European and domestic destinations and 28 intercontinental destinations, another game changer in the last 20 years has been the arrival of low-cost airlines. The no-frills business model has led to increased competition and massive growth in point-to-point traffic.

Woldbye says the sharp competition between network and low-cost carriers has been followed by tougher demands on efficiency and operating cost at airports. The challenge is to satisfy the diverse requirements of each business model. At Copenhagen, the solution has been the construction of a dedicated low-cost pier. The notion of one size fits all is no longer appropriate, says Woldbye. Every customer must receive individual attention.

“Finally, I have to mention the benefits of technology for both airlines and passengers,” says Woldbye. “Remember, 20 years ago we all had paper boarding passes and no smartphones. I don’t think that even the biggest optimist would have envisioned that now you can carry all your travel information on a smartphone and that self-service check-in and baggage drop would greatly increase passenger satisfaction while decreasing the operating costs for airlines. And let’s not forget automated boarding and passport control and E-gates, all assisted by airport and airline apps.”

For Woldbye, the next 20 years promise yet more positive changes. “We see an even brighter future for our airport and our industry,” he concludes.

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Richard Maslen

Richard Maslen has travelled across the globe to report on developments in the aviation sector as airlines and airports have continued to evolve and…