ISG and CSG form major China Inflight Services JV
By Doug Newhouse |
Inflight Sales Group (ISG) founder and CEO Jean-Marcel Rouff has signed a landmark joint venture airline agreement with the China Sales Group (CSG) to create China Inflight Services – a new company where both parties will work together on supplier negotiations and new business ventures.
As the clear market-leading concessionaire in China, ISG is forming China Inflight Services from September 2016 with the China Sales Group. This company operates all of China’s major international airline inflight retail programmes and it is now headed by newly-appointed CEO, Mr Zhang James.
CSG also has more than 20 years experience in the market – currently holding contracts with Air China, China Eastern, China Southern, Hainan Airlines and others. Along with ISG it also expects that the new China Inflight Services company will be able to generate real growth in inflight sales revenue, benefitting airline customers and ISG and CSG.
NEW MANAGEMENT TEAM
Zhang James and Marcel Rouff will head the company as Co-Chairmen, while Patrick Garreau will be the new Director of Purchasing Services working on day-to-day operations. Meanwhile, CSG’s new offices will be located in CSG’s Hong Kong Tsim Sha Tsui Centre headquarters.
In a statement, both companies said that this new joint venture will streamline and improve procurement for both ISG and CSG by synergising the marketing, sourcing and logistics capabilities of both entities.
Both parties are also promising to pool their expertise to deliver better services to brandowners and provide greater image enhancement for their brands and products – thanks to increased training of airline crew and better inventory management.
The new partners also add that China Inflight Services (CIS) will be better equipped to meet the expectations of both airlines and passengers with ‘the best possible selection of products’ and improved customer experience, through ‘preferred collaborations with brands and more relevant marketing programmes’.
A VERY STRONG ALLIANCE
Commenting, ISG CEO Jean-Marcel Rouff said: “I am very pleased to be deepening our partnership with CSG, which has been a very important one for me. We are confident that together, our synergies will allow both our companies to benefit in today’s environment.
“ISG has recently completed extensions with several major customers, and is well-placed to focus on improving both sales and terms with key suppliers.”
CSG’s Mr ZHANG added: “We are particularly pleased to be working with ISG to reinvigorate our airline inflight retail programmes. CSG has just been awarded a new long-term contract with Air China and with contracts of similar duration already in place for China Eastern, China Southern and Hainan Airlines.
“This allows us to focus on strengthening our position within the market, and working with ISG to advocate for the airline sector in Greater China and APAC.”
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