Stelios lines up travel brands to rival easyJet

Alex Brownsell, marketingmagazine.co.uk, Tuesday, 20 July 2010, 8:45am,

Sir Stelios Haji-Ioannou, chairman of easyGroup, plans to roll out a suite of "spoiler" travel products to take on easyJet, as his court case against the airline he founded reaches its climax.

Stelios Haji-Ioannou: in disupte with easyJet

Stelios Haji-Ioannou: in disupte with easyJet

Haji-Ioannou, who wholly owns easyGroup, launched easyJet in 1995, but now holds only a minority stake in the airline. He stands to profit if the judge rules that easyJet is prevented from entering other areas of the travel industry.

The entrepreneur has launched a digital and outdoor ad campaign to promote easyHolidays.co.uk, a yet-to-launch travel proposition that will go into direct competition with a similar service launched by easyJet in 2007.

His group has also set up holding sites for easyFlights.co.uk and easyAir-tours.com.

Haji-Ioannou has accused easyJet of reneging on its brand-licensing agreement to derive three-quarters of all revenue from core aviation activity. A verdict is expected either later this month or in the autumn.

Speaking exclusively to Marketing, Haji-Ioannou confirmed the launch of the easyHolidays.co.uk proposition, but would not give any details.

He said: 'I always announce my new ventures years in advance. The ads have generated several leads for business partners.'

However, he insisted the new brand would benefit consumers, as the 75-25 licensing rule places a 'limit' on how far easyJet can extend a holiday service.

Haji-Ioannou said: 'The easyGroup brand licences always anticipated and, in fact, encouraged a degree of overlap.'

Editor's comment: Method in Stelios' madness

This article was first published on marketingmagazine.co.uk

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