Friday, August 17, 2007

PR disaster?

There seems to be an almost universal belief in the media that Aer Lingus's handling of the the Shannon-Heathrow slots switch is a PR disaster for both the company and the government. I'm not so sure.

First of all, the more Shannon protests the more Aer Lingus is getting a good wind behind its sails before it launches the new services up north. This is despite the fact that Aer Lingus is launching this new service 'on the cheap'. The Shannon noise is deflecting attention from Aer Lingus's low cost strategy in Belfast.

Secondly, the government may or may not be experiencing a PR disaster. Obviously, I don't know for sure, but I'd be pretty surprised if this decision (Heathrow slots out of Shannon) was taken on information gathered during the summer. In fact, I would be pretty sure that the company has been studying this one for a good while. I would also imagine that the government, as a major shareholder, was at least aware of this possibility. Maybe it's a coincidence, but the timing of the announcement couldn't have been better for the government - after the election and after the restoration of power-sharing in the north.

If this decision had been announced, or even hinted at, before May 24, the electoral fall-out would have been huge. And, if it had been announced before power-sharing had been restored a great early coup for the new executive would have been lost. As it is, the new executive looks great and the government got the election it needed. And, even though the Shannon protest looks like a tough one for the government right now, I suspect that the negative effect in the Shannon region might be temporary and that the gains in perception among people of the north (that the Irish government values them enough not to cave in to the Shannon lobby) will be longer lasting.