TAP Air Portugal’s Strategic Expansion: Introducing Florianópolis to the Europe-Brazil Market

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TAP Air Portugal has introduced Florianópolis, a city in southern Brazil, to its list of destinations. This move has not only expanded TAP’s market share on Europe-Brazil routes but also solidified its presence in the region. The airline will operate three weekly flights between Lisbon Airport and Florianópolis-Hercílio Luz International Airport using its Airbus A330-200 aircraft. With this new route, Star Alliance now includes Florianópolis as its 13th Brazilian destination.

Henri-Charles Ozarovsky, the Head of Strategy at TAP Group, revealed that the decision to add Florianópolis to the airline’s network was a result of careful analysis and market research. TAP has been monitoring the rising demand in the region and has established codeshare alliances with Brazilian carriers such as Azul and GOL, which have contributed to the decision to expand to Florianópolis. Ozarovsky stated that the airline continuously evaluates regional data to identify profitable and sustainable routes, and the addition of Florianópolis was a strategic move to capitalize on existing business relationships and alliances.

The launch of flights to Florianópolis comes after disruptions caused by floods at Porto Alegre Airport earlier this year. However, Ozarovsky emphasized that the decision to introduce the new route was not influenced by these events but was part of TAP’s long-term strategy to grow its presence in the Brazilian market. He expressed confidence in the demand for flights to Florianópolis and believes that the route will uncover untapped potential in the region.

While TAP has temporarily suspended flights to Porto Alegre, Ozarovsky hinted at the possibility of resuming operations once the airport is fully operational and traffic with Brazilian airline partners returns to normal. Additionally, the airline will relaunch flights between Lisbon and Manaus, the capital of the Amazon region, in November, further contributing to its expansion in Brazil.

According to the OAG Schedules Analyser, TAP currently offers over 51,000 two-way nonstop weekly tickets and 213,600 monthly seats to Brazil, following the launch of flights to Florianópolis. This has positioned TAP with a 27.9% market share in the Europe-Brazil market in September 2024. In comparison, other major players in the market include LATAM Airlines Group with 21.8%, Air France-KLM Group with 13.6%, Lufthansa Group and ITA Airways with 11%, and British Airways, and Iberia with 9.5%.

TAP’s utilization of A321LR aircraft on routes to Belem, Fortaleza, Maceio, Natal, and Recife has contributed to its increased market share. OAG data from September shows that TAP had a 32% share of Europe-Brazil frequencies, surpassing LATAM with 18%. This growth aligns with the overall trend of the expanding Europe-Brazil market, which is expected to reach 847,500 nonstop scheduled two-way seats in January 2025. This figure represents an 11% increase from January 2024 and a 16% increase from pre-pandemic levels.

Despite the growth in the market, Ozarovsky remains cautious about potential overcapacity, particularly in light of travelers’ apprehension due to the fluctuations in the Brazilian real. TAP has been closely monitoring market dynamics and adjusting its capacity expansion to meet demand effectively without saturating the market. The airline will continue to assess the situation leading up to Christmas to ensure a balanced approach to its operations in the Europe-Brazil market.