AirHelp: From Entrepreneurial Story to $100 Million

In air travel, flight delays, cancellations and overbooking have become common problems for passengers.

However, one innovative company is working to solve these problems: AirHelp.

Since its founding in 2013, AirHelp has achieved significant success by helping travelers claim compensation for flight issues.

This article will delve into AirHelp’s entrepreneurial story, business model, market opportunities, revenue and the inspiration it brings.

Airhelp website: www.airhelp.com

Introduction

Have you ever felt helpless because your flight was delayed or cancelled?

According to the International Air Transport Association, millions of flights are delayed and canceled every year, causing huge financial and time losses to passengers.

AirHelp has seen this and helps affected travelers get the compensation they deserve through professional claims services.

AirHelp’s entrepreneurial story

AirHelp founders Henrik Zillmer, Nicolas Michaelsen and Greg Roodt realized the challenges air travelers faced when it came to claiming compensation after a flight was delayed.

They decided to start AirHelp to simplify the claims process and improve success rates.

business model

AirHelp's service process is simple and efficient. Passengers only need to submit a claim application on the website or mobile application, and AirHelp will negotiate with the airline on their behalf and take legal action if necessary.

They adopt a "no win, no fee" model, that is, only when they successfully help passengers obtain compensation, they will charge a certain percentage of service fees, usually between 25-35%.

Market opportunities and needs

The market potential for air passenger rights protection is huge. According to statistics from the European Commission, there are millions of flights eligible for compensation every year, but less than 10% of people actually apply for compensation.

Specific regulations (such as EU 261/2004) provide legal support for AirHelp, allowing it to legally seek compensation for passengers. AirHelp seized this market opportunity and achieved rapid growth.

Income

AirHelp has seen significant revenue growth since its inception. From meager revenue in the start-up stage to steady growth in recent years, AirHelp has demonstrated strong market adaptability.

The latest data shows that AirHelp has helped 2.2 million passengers obtain compensation and has an estimated revenue of US$132 million.

Revenue sources mainly include the European and American markets, with the European market accounting for the majority of the share.

Success factors

AirHelp’s success is inseparable from the following key factors:

• Technological Innovation: Improve service efficiency through real-time data and intelligent systems.
• Legal Support: Professional legal team ensures high success rate.
• User Experience: Simplified claims process and efficient customer service have won the trust and reputation of users.

Inspiration for us

• Identify unmet market needs - AirHelp saw the pain points of air travelers during the claims process and provided solutions. Entrepreneurs should focus on the inconveniences and unmet needs in daily life to find potential market opportunities.

• Simplify complex processes - AirHelp simplifies the claims process through technological means, making it easier for passengers to obtain compensation. In any field, simplifying complex and cumbersome processes can bring huge business opportunities.

• Use laws and regulations - AirHelp relies on EU regulations to fight for the rights of passengers. Entrepreneurs can research laws and regulations in various fields and find business opportunities that can provide legal support.

• Technology driven - AirHelp leverages big data and smart systems to improve efficiency. Technology-driven business models not only improve efficiency but also provide personalized and efficient services.

• User experience-centered - Providing a simple and convenient user experience is the key to AirHelp's success. Whether it’s an online platform, mobile app or customer service, a good user experience is the foundation of success.

Similar business models

• Medical Claims Service - Similar to AirHelp for airline claims, Medical Claims Services can help patients navigate the complex medical insurance claims process to ensure they receive the compensation they deserve.

• Rental Deposit Claim - Help tenants quickly and effectively claim their rental deposit back at the end of the lease. This service can reduce disputes between tenants and landlords and simplify the claims process.

• Consumer Rights Protection - Provide claims services for product quality, service disputes, etc. Help consumers obtain compensation through legal channels when they encounter unfair treatment.

• Lost and delayed baggage compensation - Provide professional claims services for air passengers’ baggage loss, delay and other issues. This is an expansion of AirHelp's existing services and also has great market potential.

• Traffic Accident Claims - Provide a full range of claims services for traffic accident victims, including medical expenses, vehicle losses and mental damage compensation, etc.

• Travel Insurance Claims - Focus on travel insurance claims services to help travelers quickly obtain insurance compensation when encountering trip cancellation, emergency medical treatment, etc.

• Professional Indemnity Services - Provide claims and legal support services for workplace injuries, unemployment or unfair dismissal issues to help workers safeguard their rights and interests.