Lufthansa Wants To Rebuild

Daniel-Fowkes-Profile
01 Oct 2024
2 min read
· Airlines 
A Lufthansa Boeing 747-8 wearing retro colours.

The Lufthansa Group plays an instrumental role in the global aviation industry and is home to several leading international carriers.

However, arguably, the leader in the business is German flag carrier Lufthansa, which has also been the most problematic.

Lufthansa’s issues have been well documented, including concerns about money bleeding and a rapidly deteriorating brand image.

The demise of the Lufthansa brand is similar to the struggles experienced by British Airways in the 2010s.

Travellers who previously relied on Lufthansa services have been moving away from the flag carrier, citing poor internal decisions that reduced value for money.

Lufthansa is a full-service carrier; however, compared to other leaders and full-service operators around the world, its quality is highly critiqued, alongside substantial add-ons, issues with changing fares, and more.

However, now, a rebuild appears to be in full swing. Lufthansa leader Carsten Sphor has stated that a turnaround is well underway.

He argued that Lufthansa must be the flagship, but he understands that this title has gone missing considerably recently.

The airline hopes that by its 100th birthday, which will be in 2026, it will once more be regarded as a flagship and a state-of-the-art airline.

This is ultimately a bold and rather ambitious timeframe, considering the airline’s struggles are incredibly deep-rooted and won’t be an overnight risk.

However, the airline’s state has gotten out of control recently, and pressure has been placed on it. With now, the realisation change is required and seen as the next step.

The last 12 months have also seen costs rise quite significantly as the airline rectified contracts, which while ultimately improving morale, has cost the airline dearly.

Aircraft Delays Hurt Lufthansa

While Lufthansa has struggled massively due to its own decisions backfiring, it has equally faced great adversity over which it has limited control.

Arguably, with Airbus and Boeing facing such issues across their supply chains and being unable to deliver planes on time, airlines such as Lufthansa have been hurting.

A Lufthansa Boeing 787 Dreamliner
A Lufthansa Boeing 787 Dreamliner

The German carrier hasn’t been afraid to be rather vocal about the impact it has faced because of this. With hundreds of millions lost each month, the airline has also had to change how it operates radically.

Most notably, this relates to the retention of older, less efficient aircraft that are also larger and cost substantially more to operate.

Certification troubles with the 777X are also another avenue over which Lufthansa has had limited control. They now see some six years of delays before they expect the aircraft to arrive.

Daniel-Fowkes-Profile

ABOUT THE AUTHOR

Daniel Fowkes

Daniel Fowkes is a Melbourne-based aviation analyst and journalist with over a decade of industry experience. As founder of Dj’s Aviation, he delivers trusted analysis on aircraft, airline strategy and global aviation trends for djsaviation.net

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  1. I have experienced over 6 years LH fares within Europe for a 1.5 hour one-way flight consistently over €500. Why is that? It is way too much compared to other airlines.

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