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Vueling S.A. SWOT and PESTLE Analysis

ID : 521403653| Feb 2023| 21 pages

COMPANY PROFILE -Vueling S.A.

Business Sector :Aviation

Operating Geography :Spain, Europe, Global

About Vueling S.A. :

Vueling S.A. is a Spanish low-cost airline headquartered in El Prat de Llobregat, Greater Barcelona, with hubs at Barcelona-El Prat (main), Paris-Orly Airport in Paris, France, and Leonardo da Vinci-Fiumicino Airport in Rome, Italy (secondary). It is Spain's largest airline in terms of fleet size and number of destinations. Vueling served 122 destinations in Africa, Asia, Europe, and the Middle East as of 2022, having carried more than 34 million passengers. It has been an operating as subsidiary of International Airlines Group, the parent company of British Airways and Iberia, since 2013. Vueling was founded on February 10, 2004, and began operations on July 1, 2004, with a flight between Barcelona and Ibiza. Apax Partners (40%), Inversiones Hemisferio (Grupo Planeta) (30%), Vueling's management team (23%), and V.A. Investor (JetBlue Airways) (7%) were the company's initial major shareholders. Vueling has won the award for the “Best Low-Cost Airline in Europe 2021” at the World Airline Awards.

The USP of Vueling lies in it being the largest airline in Spain. Vueling’s mission statement states, “We love connecting people and places, creating value for our shareholders, employees, customer and society whilst shaping our future in a sustainable way.”

Vueling S.A. Revenue :


€1016 million – FY ending 31st December 2021
€574 million - FY ending 31st December 2020

Competitive Analysis of Vueling S.A.

SWOT
PESTLE
The SWOT analysis for Vueling is presented below in a matrix followed by the detailed analysis report:
StrengthsWeaknesses
1. Spain’s largest low-cost airline
2. Diversified fare option to suit various needs of people
3. Strong focus on continued network expansion
4. Strong performance amongst all the subsidiaries of IAG during uncertain times like the COVID-19
5. Strong alliances with Iberia and British Airways
1. Frequent cancellation of flights due to cabin crew strikes
2. Frequent internal flight issues will lose customer’s faith in the airline
OpportunitiesThreats
1. Rising demand of the customers for payment through cryptocurrency
2. Launch of metaverse ticket sales to enhance customer experience
3. Boost in connections with long-distance flights through virtual interlining service
4. UK is the biggest market for Spanish tourism, boosting the airline service of Vueling
1. Negative impact of inflation on the aviation industry
SWOT & PESTLE (combined)
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Detailed SWOT Analysis of Vueling S.A.

Strength

This section is available only in the 'Complete Report' on purchase.

Weakness

1. Frequent cancellation of flights due to cabin crew strikes: On November 1st, as its cabin crew started taking strikes, the Spanish low-cost carrier Vueling cancelled 54 flights. The walkout takes place in the midst of a protracted summer of strike activity in the Spanish aviation industry, which has seen walkouts by Ryanair and Iberia Express. The workers' union, Stavla (Airline Flight Auxiliary Crew Union), has asked for pay increases of 13.4%. Employees are also protesting the unstable working conditions that have existed in the industry since before the Covid-19 pandemic. The airline is still experiencing losses from the invasions totaling €1 billion. Right now, Vueling is standing firm and refusing to concede to the demands of the employees. The demands are referred to as "unfeasible," and the workers' strike is being criticised. This has led to inconvenience for the consumers.

The remaining section under "Weakness" is available only in the 'Complete Report' on purchase.

Opportunity

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Threat

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TABLE OF CONTENTS
DELIVERY AND FORMAT
WHY CHOOSE US?

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Check Out Analysis of Other Relevant Companies

References used in Vueling S.A. SWOT & PESTLE Analysis Report

1. Vueling's Capacity Has Recovered To Pre-Pandemic Levels - https://simpleflying.com/vueling-capacity-fully-recovered/
2. Our alliances - https://www.vueling.com/en/vueling-services/our-alliances
3. Inflation’s Effect on the Air Travel Industry - https://www.cheapair.com/blog/inflations-effect-on-the-air-travel-industry/
4. IAG carrier Vueling releases interline technology for passengers - https://www.routesonline.com/news/29/breaking-news/296127/iag-carriervuelingreleases-interline-technology-for-passengers/
The detailed complete set of references are available on request in the 'Complete report' on purchase.

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