Is Ryanair starting to mind its manners?

A long-term shift in the industry could explain why Michael O'Leary's notoriously cavalier attitude toward his own customers is mellowing.

Good manners cost nothing but Michael O’Leary, the chief executive of the budget airline Ryanair, is an expert at putting a price on things people never expected to pay for. Customers who fail to print boarding passes are charged £70, checking in a bag at the airport can cost £100 and the airline periodically moots the idea of charging passengers to use the loos.

Ryanair ticket sales have historically proved immune to O’Leary’s lack of charm, and his boast that “short of committing murder, negative publicity sells more seats than positive publicity” appears irritatingly accurate. In June 2013, the International Air Transport Association reported that more than 80 million people flew Ryanair in 2012, nearly 30 million more than Lufthansa, the second most popular airline.

This makes O’Leary’s recent about-turn all the more intriguing, because he has announced a raft of concessions to make flying Ryanair a bit less unpleasant. The airline is increasing passengers’ carry-on allowance, decreasing penalty charges and giving customers a 24-hour “cooling-off” period during which they can correct mistakes to their booking. Passengers on early-morning or evening flights will no longer be subjected to headacheinducing public announcements urging them to buy e-cigarettes and scratch cards, or a grating fanfare every time their flight lands on time.

One possible explanation for O’Leary’s mellowing attitude is that Ryanair issued a warning that it might not meet its £480m profit target this year. Ryanair blamed the weakness of the European economies and price-cutting by rivals – but it could also point to a long-term shift in the industry. The gap between low-cost and legacy carriers is shrinking. Low-cost airlines were intended to appeal to holidaymakers on a budget but, having crowded out established carriers on some short-haul European routes, they are increasingly being used by cost-conscious business travellers, too.

Ryanair’s main rival, easyJet, has already introduced a series of measures to attract business passengers. Meanwhile, the low-cost airlines are expanding into markets still dominated by the conventional carriers. October brought the maiden international flight for Africa’s first low-cost airline, Fastjet. The same month, Norwegian Air Shuttle, the world’s fastest-growing budget airline, signalled an expansion into long-haul travel by unveiling plans for a flight from London to New York which will cost £149 one-way. On short-haul flights, where legacy airlines are at a comparative disadvantage, some carriers have tried to emulate their budget rivals. Aer Lingus and Iberia no longer provide free food and drinks on some routes.

In many ways, these changes were inevitable once air travel became a more accessible and, by extension, less luxurious mode of transport. In the early days of low-cost flying, passengers might have been willing to put up with rude treatment for Ryanair’s hugely popular £1 flights, but in a more competitive market O’Leary may be learning slowly that bad manners can be costly.

Has Michael O'Leary learned his lesson? Image: Rex Features

Sophie McBain is a freelance writer based in Cairo. She was previously an assistant editor at the New Statesman.

This article first appeared in the 30 October 2013 issue of the New Statesman, Should you bother to vote?

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Is it true that a PR firm full of Blairites is orchestrating the Labour coup?

Portland Communications has been accused of conspiring against Jeremy Corbyn. It's not true, but it does reveal a worrying political imbalance in the lobbying industry.

The secret is out. The Canary – an alternative left wing media outlet – claims to have uncovered the story that the lobby missed. The website has discovered “the truth behind the Labour coup, when it really began and who manufactured it”.

Apparently, the political consultancy and PR firm Portland Communications is “orchestrating” the Labour plotting through its extensive network of Blairite lobbyists and its close links to top media folk. Just when we thought that Tom Watson and Angela Eagle might have something to do with it.

Many Canary readers, who tend to be Jeremy Corbyn supporters, have been lapping up and sharing the shock news. “Thank you for exposing this subterfuge,” said Susan Berry. “Most helpful piece of the week,” enthused Sarah Beuhler.

On Twitter, Mira Bar-Hillel went even further: “It is now clear that @jeremycorbyn must remove anybody associated with Portland PR, the Fabians and Lord Mandelson from his vicinity asap.”

The Canary's strange, yet popular, theory goes like this: Portland was set up by Tony Blair’s former deputy communications chief Tim Allan. On its books are a number of Labour types, many of whom dislike Corbyn and also have links to the Fabian Society. The PR firm also has “countless links to the media” and the BBC recently interviewed a Portland consultant. Err, that’s it.

The author of the piece, Steve Topple, concludes: “The Fabians have mobilised their assets in both the parliamentary Labour party, in the media and in the sphere of public relations, namely via Portland Communications – to inflict as much damage as possible on Corbyn.”

To be fair to Topple, he is right to detect that Portland has a few active Blairites on the payroll. But on that basis, the entire British lobbying industry might also be behind Labour’s coup.

Rival lobbying firm Bell Pottinger employs paid-up Blairites such as the former prime minister’s assistant political secretary Razi Rahman and his ex-special adviser Darren Murphy. Bell Pottinger also has former News of The World political editor Jamie Lyons.

Are Rahman and Murphy also telling docile Labour MPs what to do?  Is Lyon busy ensuring that his old mates in the lobby are paying attention to the Labour story, just in case they get sidetracked or don’t fancy writing about the official opposition imploding around them?

And what about Lodestone Communications, whose boss is a close pal of Tom Watson? Or Lexington Communications, which is run by a former aide of John Prescott? Or Insight Consulting Group, which is run by the man who managed Andy Burnham’s recent leadership campaign?

Having tracked down the assorted Blairites at Portland, Topple asserts: “It surely can be no coincidence that so many of the employees of this company are affiliated to both Labour and the Fabians.”

Indeed it is no coincidence – but not in the way that the author suggests. Since the mid-1990s, Labour lobbyists have tended to come from the pragmatic, Blairite ranks of the party. This is largely because Labour spent the 1980s ignoring business, and that only changed significantly when Blair arrived on the scene.

Whisper it quietly, but Portland also employ a few Tories. Why don’t they get a mention? Presumably they are also busy focusing on how to destroy Boris Johnson or to ensure that Stephen Crabb never gets anywhere near Downing Street.

What is certainly true is that Corbynites are incredibly hard to find in public affairs. As one experienced Labour lobbyist at another firm has told me: “I know of nobody in the industry  or indeed the real world – who is a Corbynite. All of my Labour-supporting colleagues would be horrified by the accusation!”

David Singleton is editor of Public Affairs News. He tweets @singersz.