So, we all know that Japan Airlines has filed for bankruptcy, is de-listing from the Nikkei Stock Exchange, will be selling all 30 Boeing 747s, shedding 30% of their staff and has hired a new CEO who used to be a monk. But what is the impact of all this? And where does a potential deal with Delta Airlines and Skyteam fit in the scheme of things? What happens to Oneworld? I answered these questions and more during my Live interview with CNBC’s Worldwide Exchange today. I’m sharing the 5 min interview video below and would love to hear your thoughts on my take. (Click here if you cannot view the video)

I bet anyone who’s got anything to do with flying is now well aware of the incident that happened on-board Northwest Flight 253 over Christmas, where a bomb was almost set off.

Reading through my airline branding lense I could tell the confusion the event was causing among travelers, especially in this peak travel season. And this went through the roof when FAA/TSA came up with knee-jerk measures to beef-up security on US-bound flights.

It’s difficult for most passengers to distinguish whether the inconvenience they’re being put through is something the airline has initiated or is it something beyond their control. These are what I called Brand eXternalities in my 6X model – where the customer has the tendency of forming an impression about the brand, even when the events are beyond the airline’s jurisdiction. At this time, the airline needs to ensure that it nullifies any adverse impact on the brand. Here’s how.
Prepare for the confusion – It will arise, even for Finnair!
I was browsing through Airliners.net the day after the incident and chanced upon an interesting comment. Take a look:
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As a number of you who follow me on Twitter and tracked my travels on TripIt know, I’ve traveled from Singapore to London to New York to Atlanta in the past one week. My Singapore to London flight was on the brand new Singapore Airlines’ A380 (my 2nd time on this “whale” in one month!), I flew from London to New York on Virgin Atlantic B747 and the last leg was on a Delta B757. I was excited like a kid in a candy store! And took away some lessons from each airline in branding too!
Singapore Airlines – there’s a reason why they are the best

As I boarded the A380, the first words in my head were, “Recession? What recession?!” It was a full-load double-decker aircraft from Singapore to London I was getting on, with more than 450 passengers on-board. Yet, I was personally led to my seat by an Singapore Girl. My coat was neatly hung in the cabinet, and she helped me with my hand-luggage too. The in-flight service was impeccable as ever, and the quite, new aircraft was like an icing on the cake.

Just a day …

At the Aviation Outlook Summit in Sydney early this month, where I delivered a keynote on airlines + social media branding, the first day was mostly doom and gloom whereas the second day was much more up-beat. Not surprisingly, executives from legacy carriers like Qantas, Air New Zealand and the European Commission spoke on the first day, and up-beat executives from rising stars like AirAsia X, Oman Air and Gold Coast Airport spoke on the second day. That got me thinking…are legacy airlines dead? I now believe they are. Here’s why.
1. Legacy airline brands come with legacy baggage
Unions, legacy systems, government bureaucracy, old planes, old workforce, high costs, bankruptcy… these are all words that can be easily associated with Air India, Alitalia, Japan Airlines, Air Canada and many more legacy airlines. And these are all aspects that do not allow these airlines to function efficiently in the current climate.

The airline industry has evolved drastically in the past decade. With each new shock (9/11, SARS, H1N1…) we see new stars emerging, which have streamlined costs, efficient operations and specifically targeted markets they go after. And they beat the hell out of monolithic airlines that legacy carriers have become. Just read …