AOG situations cost airlines an arm and a leg
Sep 9th, 2011
Aviation industry, readily recovering from the global economic recession, is predicted to experience an impressive growth in passenger flow, which, naturally, will result in the rise of profits received by airlines. In Locatory.com experts' opinion, the economic recovery has brought into attention another topical problem the aviation sector is increasingly faced with - airlines worldwide lose money over AOG (Aircraft on Ground) situations on a daily basis.
According to the latest findings, smaller airlines dealing with AOG situations are deprived of more than USD 20,000 per day. Although in the Western countries AOG situations are usually solved within 24 hours, the cost of such single solution may amount to USD 150,000 an hour.
‘Aircrafts are designed to stay up in the air in order to bring profit. However, every day modern airlines are faced with various unexpected aircraft maintenance and repair problems costing sky-high sums of money. For instance, due general lack of necessary contacts in the West and complicated customs' policies, in Russia, an average AOG situation takes up to 15 days to solve.',- commented the Locatory.com VP of Business Development Dmitry Voskresensky.
Aircrafts are designed to stay up in the air in order to bring profit
According to D. Voskresensky the isolated Russian market causes the price of solving AOG situations to be several times higher compared to the global average. For example, in China, which is one of the fastest growing aviation markets in the world, AOG situations are solved incomparably faster - the final result is usually achieved within 24 hours.
‘AOG situations remain and are expected to continue being a substantial problem for both large and small aviation companies. In order to at least partially eliminate the problem, we equipped our global platform that is tailored to provide a local feel, allowing its users to employ direct messaging tools and send out several AOG solution requests for multiple service providers at a time.", - says the Chief Commercial Officer at Locatory.com Vytautas Vorobjovas.
Locatory.com is the first website specially designed for enabling its users to search, sell and buy aircraft spare parts and components. The website can be accessed in 7 languages and contains a number of functions designed with easy communication, efficient decision making and business contact development in mind.