Skip to main content
Logo of Startup City Hamburg
Success Stories Startups Ecosystem Hamburg

Day by day, the chaos at German airports is increasing. Endless waiting times and numerous flight cancellations are an annoying daily routine there. And the trouble continues when those affected by cancellations want to claim the compensation payments to which they are legally entitled. Startups such as EUflight and Wir Kaufen Deinen Flug are profiting from the misery and, ideally, promise payment within a few hours.

The business model is the same for both Hamburg-based startups. Passengers whose flights have been significantly delayed or canceled altogether fill out an online form with the relevant data and facts. The startups check whether the complaint is basically justified and, if the decision is positive, immediately pay out the amount due. However, they retain a commission of up to 36% plus VAT.

©Pixabay

EU regulation regulates compensation, airlines stonewall

Since 2005, the amount and modalities of compensation have been regulated by an EU air passenger rights regulation. Depending on the length of the journey, aggrieved parties are entitled to up to €600. In principle, anyone could take legal action without startup assistance. Experience shows, however, that airlines often delay payments or even take legal action. With the express payout model, the startups assume this risk; even if they fail in court, customers can keep their money. This also applies in the event of the airline's insolvency.

Wir Kaufen Deinen Flug was founded in 2015, supported among others by Sebastian Diemer, who as founder of the now defunct fintech Kreditech is one of the best-known figures in Hamburg's startup scene. EUflight was launched in 2016. Managing director Dr. Lars Watermann reports that inquiries in June had increased more than sixfold compared to the same period in 2019. And the trend is still upward. After all, the summer vacations haven't even started yet in most German states.


Author

Startup City Hamburg

At Startup City Hamburg you can find Hamburg’s inspiring startup ecosystem gathered into one space.


Share this article

  • The link to this article has been copied to the clipboard

Stay updated - sign up for our Newsletter!

Subscribe Now