THAI Sets Up New Program For Top Flyers

[george]

THAI sets up new program for top fliers

Carrier to focus on regional market, premium fliers

BANGKOK: -- Thai Airways International (THAI) recently revealed a 10-year plan to focus on the regional market and appeal to premium flyers.

The two strategies are based on new aircraft THAI has ordered, mostly mid-range types. Since the number of air travellers in Asia will grow quickly over the next decade, mass air traffic will be upgraded to serve the upper-end market or premium travellers who demand better services.

"In Asia for now, many people are ordering private jets, which means they're searching for luxury and a special mode of travel," said president Apinan Sumanaseni.

To tap the growing market, the national carrier will start adding more routes in the region over the next couple of years. It will begin direct flights between Phuket and Seoul in July, with two a week.

The airline will add more frequent flights between Bangkok and Bangalore, India, this month, rising from seven a week now to 20. Also this month, it will increase its number of flights between Bangkok and Madras, India, from four a week to seven.

The airline is considering re-routing two long-haul flights between Bangkok and Los Angeles or New York by adding South Korea or China as stopover stations.

Apinan said the airline had leased 14 Boeing 787-900 aircraft, scheduled for delivery from 2012-15. THAI plans to use the aircraft for regional operations.

THAI also agreed to place a down payment for 20 Airbus A321 aeroplanes, scheduled for delivery from 2012-17. With a capacity of 179 seats, the short-range Airbus A321 is suitable for domestic and regional operations.

The Boeing 787-900 and A321 aeroplanes will replace retired aircraft from the THAI fleet and be used to accommodate growth over the next 10 years.

The new aircraft will use less fuel and therefore minimise effects on the surrounding environment.

Apinan said the airline would focus more on business and corporate travellers by adding more first- and business-class seats.

Six Boeing 777-300s have already been upgraded and another six are being renovated. The improvements will be completed by September.

The airline is spending US$120 million (Bt3.79 billion) for the upgrade, which will take three years.

The airline also plans to increase ticket prices on three major routes between Bangkok and Europe, Australia and the US.

THAI is also responding to customers' misperceptions that the airline favours foreigners over Thais, a finding that came from a recent internal survey. The airline is running a domestic "Smooth as Silk" campaign to reclaim customers.

With all of the improvements, the airline expects to generate more revenue this year, projected at Bt210 billion from between 19 million and 20 million passengers.

Apinan said the average cabin factor in January was the highest in 47 years of operations, 82 per cent, up from 80 per cent in January 2007.

"In January, the cabin factor in first class was very good, 60 per cent, up from 50 per cent in January 2007. Business class also jumped from 60-62 per cent to 75 per cent," he said.

THAI's annual load factor is normally about 72 percent.

The growth was driven by a new campaign in which the airline has been approaching private companies.

THAI's revenue from the sale of goods and rendering of services during last year's fourth quarter totalled Bt53 billion. Its net profit stood at Bt1.8 billion, down 54 per cent from year on year.

As of the end of last year, assets belonging to THAI and its subsidiaries amounted to Bt280 billion.

-- The Nation 2008-02-06

[venturalaw]

I miss how this is appealing to "premium flyers." Now I'll be searching for an airline (once again) to commence non-stop flights between LAX and BKK.

[jimmym40]

I too have had it with Thai. Increasing prices, taking away benefits from their frequent flyer program or at least offering less. I have been making two trips a year from LAX to Bkk on Thai. I am a gold club member, but I reviewed the benefits and decided to use my last upgrade to business class and then switch over to EVA air. This talk about raising prices again was the last straw.

[Prakanong]

I am Gold also on Thai but use other carriers mainly now.

My company flights out of Singapore are on Singapore Air.

Personal flights are usually the cheapest option but like the poster above will be using my last business upgrade with them for aflight back to the UK soon. If it was not for the upgrade I would have been on another cairrier with a half decent economy service.

As for thm getting the premium flyers in the region - forget that outside Thailand - Cathay and SQ have that market sown up and Thai can not lace their boots.

[Thai at Heart]

I am Gold also on Thai but use other carriers mainly now.

My company flights out of Singapore are on Singapore Air.

Personal flights are usually the cheapest option but like the poster above will be using my last business upgrade with them for aflight back to the UK soon. If it was not for the upgrade I would have been on another cairrier with a half decent economy service.

As for thm getting the premium flyers in the region - forget that outside Thailand - Cathay and SQ have that market sown up and Thai can not lace their boots.

With all their best efforts, they will have to change their whole corporate outlook if they are to compete with Singapore airlines. Plus probably get a new airport to compete with Singapore on transit. Whoops, I forgot they get a new airport (that already looks 10 years old).

[Payboy]

customers' misperceptions that the airline favours foreigners over Thais

unless said thai is wearing a safari suit and looks like someone who could be a phu yai or may be connected to one....

and unless said foreigner is extremely suntanned by accident of birth....

[Thai at Heart]

customers' misperceptions that the airline favours foreigners over Thais

unless said thai is wearing a safari suit and looks like someone who could be a phu yai or may be connected to one....

and unless said foreigner is extremely suntanned by accident of birth....

And as long as i am competing with local govt honchos who are not paying full fare, I think the issue should be rather that certain stratas of Thai society are more favoured than others.

[Cuban]

I too am Gold with Thai, I think I get one more first class flight out of them before I move to another airline of choice, but yes the standards have dropped. The really sad thing is that I believe someone in accounts at Thai read the story about American Airlines saving $40k a year by removing an olive from their salads and has applied the same logic, but Thai Style. No macadamia nuts with drinks, reduced choice of wines with dinner and removal of the "bar" during the flight. I should spend more time on the FF forums to see if these cut backs are across the board. There was no caviar on my last first class leg.

[Seneque]

The airline also plans to increase ticket prices on three major routes between Bangkok and Europe

And they already are the most expensive ...

I gave up 'thai' a long time ago ... probably the worst 'obnoxious' service on board in Asia ...

Cosmetics won't do it, playing catch up is not easy in this business .... I would think 'thai' will be on the market in a few years.

[Payboy]

.... I would think 'thai' will be on the market in a few years.

singapore air would bid for it then.

it can't happen soon enough though because the nationalist brigade wouldn't allow it

my guess is they will keep it running like the crony operation it has become - as long has everyone has their hand in the cookie jar, they couldn't care less about service or profits..

[astral]

"In Asia for now, many people are ordering private jets, which means they're searching for luxury and a special mode of travel," said president Apinan Sumanaseni.

I have admit that I would not normally use the words THAI and luxury in the same sentence.......

[jimmym40]

Not that it will make any difference or prompt any change, but is there any way that all these posts can be forwarded to Thai/ROP and let them know what some of their passengers are saying about them?

As a previous poster stated, "their prices on those segments are already the highest", and now they want to raise them again?

I'm hoping Singapore airlines start up their service direct from Las Vegas to Singapore, then I can still put the miles on my gold account.

Maybe we should just all send comments to Thai/ROP ourselves. What do ya think?

[Prakanong]

Not that it will make any difference or prompt any change, but is there any way that all these posts can be forwarded to Thai/ROP and let them know what some of their passengers are saying about them?

As a previous poster stated, "their prices on those segments are already the highest", and now they want to raise them again?

I'm hoping Singapore airlines start up their service direct from Las Vegas to Singapore, then I can still put the miles on my gold account.

Maybe we should just all send comments to Thai/ROP ourselves. What do ya think?

I doubt there is the business for SQ to do direct to Las Vegas from Singapore.

Singapore currently only do 2 direct flights to the USA and just announced the other day they will be removing economy seats and make them all biz class only.

So it will be 100 biz class seats instead of 180 mixed.

[cclub75]

-show off about their few "new" airplanes (when emirates, and the chinese have really ordered dozens)

-luxury blabla, private jet bullshit

-future is in Asia, so top flyer blabla

-Direct BKK/Lax... with one stop

-increase prices on Europe/USA/Australia

-and the last straw : "responding to customers' misperceptions that the airline favours foreigners over Thais, a finding that came from a recent internal survey" !

Pathetic attempt do disguise a severe downturn.

The truth is that Thai is way behind. They can't resist new companies, with real growth and real management, that are able to order dozen of new airplanes... When Thai has a few... and wants to use "lease options".

Thai Airways has had its time. 20 years ago, it was definitely exotic.

Let's face it : Thai Airways is now a mere "Retirees Home" for lunatic military personals, and other friends, with a huge weight : the state is shareholder...

Unable to fight a real and globalized competition.

[suiging]

Hope they inform Immigration about their push to get frequent flyers, otherwise their target group will be turned away at the door on their third " frequent" trip without the expense and hassle of the visa process. Left arm not knowing what the right arm is attempting ( poorly) to achieve.

[geriatrickid]

Like others here, I abandoned TG for EVA. The business class fares are much cheaper and the service is certainly better than my last TG flights. If TG raises its fares on the LAX -BKK route, they will lose whatever FF Pax they have left to SQ, BR and others. I have become pretty good at snagging business class fares that are close to full fare economy. hel_l I got a roundtrip BKK -LAX for $1600 last Nov. on EVa. The TG fare was in excess of $5000. If TG thinks I'll pay big bucks for surly cabin crew, broken/dirty seats, mediocre food and a tight liquor policy, I can go to China Air for that at a fraction of the cost. Asiana had a 1 way bizz class fare BKK-YVR last christmas for $1100. Thai Airways needs to get back to basics first.