Beijing | August 16, 2018–Xiamen Airlines, which is experiencing major growth across its domestic and international network, is using sophisticated software from SITA to set its fares competitively in all markets. The airline, which handled 32.7 million passengers in 2017, is highly profitable. It has achieved profits 31 years in a row and is now using SITA Airfare Insight to optimize its fares-related decision making.

More than 180 million fares are published worldwide at any one time, and typically full-service airlines will update fares throughout their distribution network of GDSs, travel agencies and websites, several times a day.  By using SITA’s Airfare Insight Xiamen Airlines can stay ahead of the competition. It can set its fares based on a clear view of what its competitors are doing in markets across the world. Airfare Insight automatically identifies the relevant fare changes in the marketplace. It then immediately ensures appropriate prices are in place to support the airline’s overall commercial strategy.

Chen Rong, Committee Secretary, Passenger Marketing & Sales, Xiamen Airlines, said: “Filing fares at the right price and at the right time can have a significant impact on profit margins. SITA’s technology enables our commercial team at Xiamen Airlines to have the right fares distributed to the right customers. It also gives us the capability to analyze all our fares and manage them across multiple locations and time zones,which is vital as we expand our route network.”

Today, Xiamen Airlines serves nearly 400 domestic and international routes covering China, Southeast and Northeast Asia, Europe, North America and Oceania. With 1,074 destinations in 177 countries making sure the right fares are published in the right markets is challenging. SITA Airfare Insight automatically identifies the relevant fare changes in the marketplace. It then immediately ensures appropriate prices are in place to support the airline’s overall revenue management and sales strategy.

May Zhou, SITA Vice President & General Manager, East Asia, said: “Xiamen Airlines is one of China’s great successes with decades of profitability. Industry studies indicate that correct pricing can contribute 3-10% to overall revenues and SITA’s technology allows the airline to distribute all fares to customers at the ideal price point with head-office knowledge and approval. Airfare Insight also simplifies the end-to-end fares management process while putting competitive fares in key markets. A winning formula for this growing airline.”

By achieving profits for 31 years in a row Xiamen Airlines has been an airline that has remained profitable for the longest period in China’s civil aviation industry. It enjoys the highest international financial rating among the Chinese airlines.

Farnborough, UK | July 11, 2016– Boeing [NYSE:BA] and Xiamen Airlines announced today at the 2016 Farnborough International Airshow a Memorandum of Understanding for the purchase of up to 30 737 MAX 200 airplanes, valued at up to $3.39 billion at current list prices.

The airline, which is already a 737 MAX customer, sees the MAX 200 as a fit for its low cost subsidiaries, including Jiangxi Airlines and Hebei Airlines.

Both parties will work closely to finalize the agreement, which requires the approval of Xiamen Airlines board and the China Southern Airline Group board, as well as the Chinese Government.

“We are pleased with this new milestone in our relationship with Xiamen Airlines,” said Boeing Commercial Airplanes President and CEO Ray Conner. “The market-leading efficiency and reliability of the 737 MAX 200 will enable Xiamen and its subsidiaries to expand its growing network, while maintaining an optimal fleet. This MOU further demonstrates the strength of our enduring partnership and we look forward to finalizing the deal in the near future.”

Xiamen Airlines currently operates an all-Boeing fleet of more than 140 airplanes including six 787 Dreamliners, 130 Next-Generation 737s and four 757s. The carrier plans to grow its operational fleet to 200 airplanes by the end of the decade and looks to expand regionally with the new 737 MAX.

Xiamen-based Xiamen Airlines is a stated-owned subsidiary of China Southern Airlines.