Wizz Air Switches Warsaw Network to New Modlin Airport

Central and Eastern European low-cost carrier Wizz Air has confirmed plans to open a base at the new Warsaw Modlin Airport, which is due to open to commercial air traffic in third quarter of this year. The budget airline is currently bases three aircraft at Chopin Airport, the main gateway into the Polish capital, and will introduce a fourth from April 2012. However, it is to move its entire operation to the new facility, when it opens in July 2012, as part of this new arrangement, launching flights there on July 18, 2012.

This is a major development for Modlin Airport as it marks its first customer. The airport has been working closely with respected aviation consultancy ASM Ltd since April 2011 to develop a sustainable brand and marketing strategy and to work with airlines and tour operators to being customers to the facility.

Speaking exclusively to The HUB ahead of the announcement, Tony Griffin, Senior Vice President, ASM Ltd said: “We are delighted that Warsaw Modlin has reached agreement with Wizz Air to be the first major customer at the airport. Their decision to base aircraft at Modlin represents a huge commitment and demonstrates the exciting potential that Modlin offers to airlines in Europe and globally. ASM were pleased to have played a part in making this agreement happen.”

Modlin is being developed as Warsaw’s second airport and is particularly of interest to low-cost carriers as its cost structure enables it to offer better incentives to these type of airlines. However, in the current economic environment it has not ruled out attracting major regional and network carriers, although it has ruled out Star Alliance members as these all have existing partnerships with fellow member LOT Polish Airlines and which uses Warsaw Chopin as its hub.

LOT currently dominates the capacity at Warsaw Chopin with a 52 per cent share of the available seats. Wizz Air is currently the second largest carrier with a 15 per cent share. This summer it was planning to offer services on 19 routes from the airport with 90 weekly departures and will likely provide the same offering from Modlin. As the table below illustrates, London Luton is its largest market with multiple daily flights, although a daily schedule is also offered to Brussels Charleroi, Rome Fiumicino and Stockholm Skavsta. All other destinations are served on a less than daily frequency, with some markets only seeing two flights per week.

“Wizz Air is pleased to be the first carrier to offer passengers the opportunity to fly from the new Warsaw Modlin Airport,” said John Stephenson, Executive Vice President, Wizz Air. “Warsaw Modlin offers the ideal balance of convenience and value that Wizz Air seeks for its customers. The more efficient airport will allow for a more flexible schedule and more flights. We are confident that customers will welcome the cost savings we can now provide and follow us in our move.”

Wizz Air’s decision to open a new base at Warsaw Modlin will have a significant impact on the city’s main gateway. As the number two carrier, the transfer of its entire network to the start-up airport would reduce capacity by just over a sixth and traffic by around 15 per cent. The airline’s existing schedule is forecast to handle around 1.4 million passengers per annum.

The concept of Modlin as a second Warsaw airport has been around for a number of years but it has only been the last couple of years that the project has come to fruition. The airport is 35km (approximately 30-35 minutes) north of the centre of Warsaw and is currently linked by car along a dual carriage highway, or by rail to Modlin town rail station and then a bus transfer. There are plans in the next 12 months to establish direct rail access to the airport.

The management of the airport is aware of the risks associated with having just a single customer and are now working hard to attract further carriers. The confirmation of Wizz Air’s arrival will on one hand help its strategy, but on another could limit its options. Talks have already taken place with Ryanair and although the Irish low-cost carrier is unlikely to now establish a base at Modlin it is understood to still be interested in serving the facility from other points in its network.