Consolidating to become the largest airline group in Latin America
- The new brand represents the creation of the largest airline group in Latin America and one of the largest in the world.
- “Connecting LATAM to the world, and bringing the world to LATAM. The airline group has grown up alongside each country in the region and has consolidated to offer clients the best network of connections and most modern fleet in Latin America. The passenger experience will improve with access to a single product and service within one network, more powerful online presence and integrated channels of communication, in addition to faster development of innovation and technology in the countries where the Group operates. LATAM will be a brand that builds a culture that is dedicated to taking care of its clients,” said Enrique Cueto, CEO of LATAM Airlines Group.
- The choice of the name LATAM, part of the consolidation of LAN and TAM, is the result of an extensive study conducted in 10 countries following the association of both airlines and their affiliates.
LATAM Airlines Group is currently working on the gradual roll-out of the new corporate brand image over the next three years for airports, aircraft, commercial offices, web pages, and uniforms. The first changes will be visible starting in the first half of 2016 with specific dates to be announced in a timely manner.
After an extensive integration process following the association of LAN Airlines and TAM Airlines – during which the Group made great advances in achieving synergies for internal processes, network optimization, and fleet restructuring and modernization – LATAM Airlines Group has decided to adopt a single name and identity and announces that the new brand for the largest airline group in Latin America and its affiliates will be LATAM. The new LATAM branded airline group will unite all the passenger and cargo airlines for LATAM Airlines Group: LAN Airlines and its affiliates in Peru, Argentina, Colombia and Ecuador; in addition to TAM Linhas Aereas S.A., and its subsidiary TAM Air Transport Mercosur S.A. (TAM Airlines (Paraguay), and the cargo carriers comprised of LAN CARGO, LAN CARGO Colombia, ABSA (TAM Cargo) and Mas Air.
The decision to create a new brand is a historic milestone in the airline industry not only because this is the first time an airline group has chosen to consolidate under a single brand, but because this is the first time a Latin America based airline group aspires to become one of the best in the world.
For that reason, the new brand will incorporate the most valued strengths and characteristics of both LAN and TAM, in addition to the important histories of both carriers, 86 and 39 years respectively, during which they became part of the history of the region by contributing to its growth, development and increased connectivity.
“Out of all of the options that we were considering, the name LATAM always seemed to us to be the most natural evolution of both the LAN and TAM brands, but a period of mutual understanding and maturation was necessary to make the decision. We knew that having a single brand was essential to consolidate the connection between LAN and TAM, and the name LATAM creates a strong identity for the airlines that form the largest airline group in Latin America. The new brand is born from the desire to capture the best of both identities and legacies and consolidate them to create an even stronger one that preserves the essence of each brand – an essence that is truly Latin American,” said Mauricio Amaro, President of the Board of Directors, LATAM Airlines Group.
“With LATAM we will continue on the path of leadership that LAN and TAM started in parallel, working closely together over the past three years to implement an ambitious agenda of innovative projects for our passengers to have a better experience with us before, during and after their flight. The passenger experience will improve with access to a single product and service within one network, more powerful online presence and integrated channels of communication, in addition to faster development of innovation and technology in the countries where the Group operates. LATAM will increase optimization of our fleet, provide easier access for passengers and clients to the best network of destinations in the region while offering a new in-flight experience, updates in service and in-flight entertainment, and innovative technology that gives passengers more control over their travel experience. Our passengers have high expectations and we want to offer them service that meets those expectations. LATAM will be a brand that builds a culture that is dedicated to taking care of its clients,” said Enrique Cueto, CEO of LATAM Airlines Group.
Cueto went on to explain in his own words the choice of the name LATAM: “LATAM Airlines Group was created by two large Latin American companies that started from zero and prospered thanks to their shared passion for flying, vision, dedication and innovation. Both companies and their respective affiliates conquered their markets and connected them with the world, promoting prosperity in the region and becoming known for their on-time performance, service and networks that won them the preference of their clients and become a part of their history. LATAM Airlines Group created a unique partnership in the industry that resulted in the largest airline group in the region. That is why we chose the name LATAM, because it honors who we were and who we want to continue to be, working together with our affiliates to be the ambassadors of a Latin America that grows and prospers, loyal to its natural and human roots – a region that never stops moving.”
The new LATAM logo
When describing the new logo, Jerome Cadier, VP of Marketing for LATAM Airlines Group said, “The logo was inspired by the identity and heritage of the region, incorporating the best of LAN and TAM. For this reason, we selected indigo and coral as the main colors for LATAM. The first represents the best of both worlds as it falls between red and blue which are the main brand colors for TAM and LAN. And the second, symbolizes energy and passion, essential attributes of the new brand. These two colors are supported by secondary colors that bring to life the diversity that is found in Latin America.”
“The implementation of rebranding in our industry is a gradual process and requires a long period of development. It will require a lot of time and effort, but as we work on the implementation of the new brand, we will continue to work in parallel to unify the in-flight experience offered by the LATAM Airlines Group airlines,” explained Cadier.
LATAM Airlines Group is currently working on the new corporate brand, a process that will take approximately three years to complete and will begin to be visible in the first half of 2016 with a gradual roll-out for airports, aircraft, commercial offices, web pages, and uniforms. Some of these change are already visible and can be observed principally in the in flight experience with new redesigned aircraft cabins, the new VIP lounges in Sao Paulo and Santiago – the largest in the region – that are open to the public and form part of the best network of lounges for frequent flyers in the region as well as digital platforms like the option to access onboard entertainment via mobile devices.
The LATAM Airlines Group carriers will be consolidated with the objective of offering unified service in alignment with the new brand. These changes will be announced to passengers and clients in a timely manner.
The Frequent Flyer Programs for LAN, TAM and its affiliates will continue making improvements to the existing programs with any changes also communicated in a timely manner.
LATAM: Consolidating Leadership in Latin America
After the association of LAN and TAM, the Group consolidated its operations in seven domestic markets in the region as well as regional networks within South America, international flights and cargo operations.
Together, both airlines have continued to operate as pioneers in the aviation industry with important achievements such as the unification of their network of passenger and cargo destinations and the renewal of their fleets, incorporating some of the most modern and efficient aircraft in the industry. LAN was the first airline to take delivery of the Boeing 787 in the Americas and TAM will be the delivery client for the Americas for the Airbus A350-900 XWB.
In addition, both companies have unified the interior design of aircraft cabins and onboard service. For the past seven consecutive years, LAN and TAM have alternated between first and second place in the Skytrax World Airlines Survey “Best Airlines in South America” award category, considered to be one of the leading authorities for levels of satisfaction for the global airline industry.
Both airlines have made investing in a sustainable operation a priority which resulted in LATAM Airlines Group becoming the first airline group in the Americas to join the Dow Jones Sustainability index in 2014.
Choosing the name LATAM
Throughout the integration process the importance of a single brand for the Group was clear.The process through which the brand was defined consisted of several stages where all possible brand scenarios were reviewed. For this process, LATAM Airlines Group hired the brand consultant Interbrand to conduct a study in 10 countries, five of them where LATAM Airlines Group has domestic passenger operations in addition to important long-haul destinations including Brazil, Chile, Peru, Argentina, Colombia, the United States, Spain, England, France and Italy. The study also incorporated input from partners and the needs of clients across the markets where the Group operates, all collected in a thorough study that resulted in the creation of the new value proposition.
Among the various options, the name LATAM always stood out as the best choice for a variety of reasons:
- The best option to, from and within Latin America: LAN, TAM and their respective affiliates have a complimentary network and fleet which presents one of the largest advantages for consolidating under a single brand.
- LATAM is the group of airlines with the largest presence in the region with more than 1,500 flights per day, domestic passenger operations in seven countries, more than 140 passenger destinations in 24 countries with daily flights to Europe, the United States, Australia, the Caribbean and 144 cargo destinations in 26 countries.
- No other airline group has as powerful a presence in the region as LATAM. The LATAM brand will maintain and strengthen the leadership in connectivity to and from the region for passengers as well as cargo.
- A single travel experience with world class standards: One of the objectives of the Group is to provide a single in-flight travel experience with a world class standard of service for passengers that reflects the best that Latin America has to offer and is identified with a single brand name.
- Greater Efficiencies: LATAM Airlines Group is currently one of the 12 largest passenger and cargo airlines in the world. In the three years since the association of LAN and TAM important synergies have been achieved across different areas of the business and the transition to a single brand like LATAM will further facilitate the consolidation of advantages and benefits for customers, employees and shareholders and move the group towards the goal of being among the top three airlines in the world.
- A new culture with the best of both worlds: Before the association, LAN and TAM shared a long history and several similarities in their corporate vision in addition to a great workforce. LATAM Airlines Group has a robust team of 53,000 people around the world dedicated and passionate about achieving the goal of being one of the top three airlines in the world.
More information and news regarding the implementation of the new LATAM brand can be found at: www.latam.com/building-latam or email firstname.lastname@example.org.