Ryanair mounts strong challenge to Croatia Airlines in Zagreb
Ryanair is continuing to grow its presence out of its base in Zagreb, with Croatia Airlines beginning to feel the effects of competing directly against Europe’s largest carrier. The budget airline, which launched operations out the Croatian capital just seven months ago, plans to maintain 22.1% of Zagreb Airport’s total capacity this year, with just three aircraft and half a million seats. Additional growth in operations is likely as the airline continues to add routes out of Zagreb with three new destinations already scheduled for the coming months. The airline’s annual share of seats from the Croatian capital is now just seventeen points behind the national carrier, which will stand at 39%. Changes remain possible as Croatia Airlines may begin restoring some of the destinations it suspended during the coronavirus pandemic, although, so far, only one of ten suspended routes is to be restored.
Croatia Airlines is feeling particular pressure on its Dublin and Rome operations, which are proving to be Ryanair’s most successful out of its Zagreb base. According to the “Croatia Aviation” portal, Ryanair’s average cabin load factor on its Rome service over the past three months has exceeded 80% on the Airbus A320 aircraft. On the other hand, Croatia Airlines maintains flights to Italy’s capital via Split with a Dash 8 turboprop. The Croatian carrier has also been forced to temporarily suspend flights to Dublin due to reduced demand, with services scheduled to resume on March 31. In contrast, Ryanair is currently maintaining four weekly flights between the two cities.
Ryanair’s presence in Zagreb is also expected to be felt on Croatia Airlines’ finances. Last year’s results are due to be published by the end of the month, with the carrier noting it will continue to streamline operations and reduce costs in 2022. Ryanair recently said, “Croatia Airlines is a distinguished carrier, but it has lost touch with the development of air travel in Croatia, particularly from Zagreb. We do not see them as a competitor because even on the routes we both operate on we fly to different airports. Ryanair will change travel habits in Zagreb and encourage locals to travel more by air. The fact of the matter is that Croatia Airlines has not achieved growth and profit in the past four years”. Last year Ryanair submitted an appeal to the EU General Court against the European Commission’s decision to approve coronavirus aid provided by the Croatian government to the national airline. A court is expected to rule on the matter this year.
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