THAI books Bt12bn net loss

[Chris Lawrence]

How did they loose so much?

Edited February 26, 2014 by Chris Lawrence

[Ricardo]

There's nothing wrong with the service.

Thai airways has to deal with inept management instated due to cronyism.

It also has to give alot of non-paying first class rides to government officials and VIP freeloaders.

Its has to deal with a very strong union workforce with demands of lifelong employment and unrealistic benefits in these days of fierce competition.

Basically it gets screwed alot because it is run by the state and not as a business.

"It also has to give alot of non-paying first class rides to government officials and VIP freeloaders"

Simple solution ... take out First, and use the space for more revenue-earning Business & Economy seating !

And hope that the poo-yais then boycott the airline ?

[Chris Lawrence]

Not impressed with them. Flew Sydney/Bangkok last October. Coming back, the hosties hogged the exit row seats using them for about 2 hrs only. Asked if I could move into one I was told they were being reserved for people who may get sick during the flight. I thought u had to be able bodied to seat in these seats?

I also asked half way thru the flight for a drink (hard to get in and out of seat if the one in front is reclined back); the poor dear told me to go up to the galley next time. I just thought you lazy cow. Some of the crew are great, but this flight I felt as we had some prima-donna's princess types. They didn't really care.

Emeriates has always been good. Thai Air have some tired planes doing the Syd/BKK route.

[shaurene]

They employ Thai people who do not have any experience to run a company like this, they are to proud to search the world for a top guy like all other countries in the west do, look at Emirats they took a Western country guy from the start and they are one of the top airlines.

I used Thai all the time from 20 yrs ago, they were good, competitive, good food and service, good mileage points but over the last few years have gone so expensive and cut the mileage points right down.

I fly New Zealand - BKK return 3 times a year, I bought the cheapest return I could get on Thai and they class it as a super cheap price with no mileage points, even at a cost of NZ$1,800 or 48,000Bt. I now fly Qantas $500 cheaper and get points and 30kg baggage. I also had to stay in hotel over night for my flight to Khon Kaen as the Thai flight got in at 8.30pm the Qantas gets in at 3.30pm I get my Khon Kaen flight at 6.30pm so I also save the hotel cost for the night. I will never fly Thai again.

They need to be competitive, many times even Singapore are cheaper than Thai. Are they blind or just plain ignorant on running an airline that has to have the number one reason to survive, COMPETERTIVENES to be on top.

[senor123]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

Many people say this but I always take Thai from Sydney to Bangkok.

I can usually get a flight for under $UA1k but then my credit card insurance doesn't kick in so I opt for a fare over $au1k.

So, say it costs me $au1100.00 Sydney Bangkok return with a daytime flight over and a daytime flight back and insurance included, it is not such a bad deal.

The food is excellent in economy and the service is good.

You could be right on a few points but I take issue with the service comment. Don't agree.

Sometimes I upgrade to Business Class and it is top notch silver service.

I know I can get much cheaper flights but they do not go direct.

[Bpuumike]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

..and re-launch the BKK-ATH route..

Couldn't they get a foothold into Manchester ??---Emirates and Etihad Turkish etc all doing well, WHY should they go there ?? they have the edge--NON STOP.

Indeed, it would seem the be the perfect route, for their smaller (than B744s) A340s, currently stood doing little-or-nothing ?

Or perhaps TG believe they can't compete against any other halfway-decent airline ?

They can't. Check out Emirates, Qatar Airways, Etihad, Oman Air for a quantum leap in all-round service (and price).

[mortiboy]

Thanks Suthep doing great job destroying the nation.

Whats the sentence for Treason in Thailand?

[JoeThePoster]

I am not sure cutting the cheese plate and celery from J class at the beginning off the month will make a difference. Although it did succeed in pissing me off.

It's gonna affect the dinner parties at the staff residences, that's for sure.

[laocowboy2]

Number one problem of Thai is not the shoddy service (which is nevertheless a problem) but the waterhead of personell.

Singapore Airline runs roughly the same amount of planes with only half as many staff. Problem is, that every male retiree from the air force will automatically get a job at Thai Inter. Many are just sitting in an office, trying hard to find at least something to do.

Next major problem is the amount of corruption within the company.

Fix these two issues and Thai will not write red figures. Improve service, quality and pricing and they will get many customers back and make a profit...

Or perhaps consider giving a management contract to someone like Emirates?

[laocowboy2]

How did they loose so much?

Bad management, bad service, excessive staff to aircraft ratio, corruption, political interference - I could say more but why bother. They will not change.

[ExpatOilWorker]

It is all my fault. I haven't used Thai for more than 2 years, since my Gold card expired. I did ask for an extension, but they said NO and then I said bye!

[negreanu]

It's gonna affect the dinner parties at the staff residences, that's for sure.

Not too much I fear because my wine glass was mainly empty on a 4 hour flight i can only imagine they have replaced the cheese with Bordeaux.

I especially liked the fact after they served one glass of wine this week that they didn't offer anymore voluntatrily until after the entree. gotta love a empty glass of wine with your appetiser and entree.

Luckily the call bell was working on the empty seat next to mine (Not mine) and I was able to press it repeatedly for them to top up the smallest wine glass in any J class.

Best 55k ticket I have ever spent..... They even managed to fail to attain their usual low standards...Smooth as silk.

On a positive note the old dark skinned isaan couple that were sat on adjacent row's next to mine moved up after takeoff seemed to enjoy the service after they figured out what the hot towel was for and were presented with a "carry off" bag of 2 bottles of champagne from their daughter on the crew. They didn't enjoy the scallop as that was spat back onto the tray.....bugger

Profits nah - Big face is what we need.

Edited February 26, 2014 by negreanu

[smutcakes]

I dont have a problem with the service- in fact flying into BKK i make a point of using Thai as they seem to get preferential treatment at the airport.

Flying first class from the UK you can be off the plane and through customs within 10 minutes of landing.

Its the actual business and structural side of things they fail at.

[ginjag]

Thanks Suthep doing great job destroying the nation.

Whats the sentence for Treason in Thailand?

Did you get on the wrong bus ???

[Suriya4]

Don't worry.

THAI have some A340 sitting in Don Mueang that they can sell for 24 billion.

Enough to cover all lose, TWICE.

[SOTIRIOS]

....is this the company that boasted paying their employees an annual bonus equivalent to 2 years salary......???

[laobali]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

..and re-launch the BKK-ATH route..

Couldn't they get a foothold into Manchester ??---Emirates and Etihad Turkish etc all doing well, WHY should they go there ?? they have the edge--NON STOP.

You really think there's enough traffic to fill a direct flight between MAN and BKK - even without the Gulf operators?

[Suriya4]

It is all my fault. I haven't used Thai for more than 2 years, since my Gold card expired. I did ask for an extension, but they said NO and then I said bye!

Oh... It is people like you who keep asking for freebie, hence the losses.

[Chicog]

Given the strategic advantages that Thailand Airways has over other global airlines, there is no excuse for failure on that level.

Tell me what strategic advantages they have over Qatar, Etihad and Emirates. Go on.

[negreanu]

Tell me what strategic advantages they have over Qatar, Etihad and Emirates. Go on.

Their asian network from BKK. If you live in BKK and need travel around asia on a flexible schedule..

[Chicog]

Tell me what strategic advantages they have over Qatar, Etihad and Emirates. Go on.

Their asian network from BKK. If you live in BKK and need travel around asia on a flexible schedule..

That's more of a regional airline and they are struggling to compete with those.

[smutcakes]

Given the strategic advantages that Thailand Airways has over other global airlines, there is no excuse for failure on that level.

Tell me what strategic advantages they have over Qatar, Etihad and Emirates. Go on.

I am unsure in comparison to the Arab states but i would presume one major saving that they would have over western airlines particularly would be labor costs.

[ExpatOilWorker]

It is all my fault. I haven't used Thai for more than 2 years, since my Gold card expired. I did ask for an extension, but they said NO and then I said bye!

Oh... It is people like you who keep asking for freebie, hence the losses.

I fly SA now, still get the points, just not enough to maintain Gold status, but THAI still have to redeem my points. Freebie at THAI - business for SA.

[bangon04]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

..and re-launch the BKK-ATH route..

and spend a lot of money repainting the planes in the old Thai colours like in the OP photo. Nostalgia for the good old days. Pretend that THAI is still a world class airline like years ago....

[LuckyLew]

Well at least their loses were not as bad as the rice scam loses

[ginjag]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

..and re-launch the BKK-ATH route..

Couldn't they get a foothold into Manchester ??---Emirates and Etihad Turkish etc all doing well, WHY should they go there ?? they have the edge--NON STOP.

You really think there's enough traffic to fill a direct flight between MAN and BKK - even without the Gulf operators?

Just taking an average number persons that are ex BKK-middle east--change aircraft and on to Man.4 or 5 operators going in, x 1-2 per day.

that is a fair amount of Man passengers.

This competition is strong BUT they all do well, Thai have the advantage on them all NON STOP, it has to get 90% full if the aircraft is modern and the prices are even comparable. I would think if they were 5,000 baht more per ticket they would sell.

Just note Emirates go into Gatwick-Birmingham-Manchester-Newcastle-Glasgow- Ireland.

Without a google search they would be the only Far East Airline to fly into Man direct from BKK. My Idea-BUT it's a gut feeling. No doubt some poster will pick up on my post and google up everything to prove me wrong. it's my dig at Thai as a suggestion.

Edited February 26, 2014 by ginjag

[Ricardo]

Couldn't they get a foothold into Manchester ??---Emirates and Etihad Turkish etc all doing well, WHY should they go there ?? they have the edge--NON STOP.

You really think there's enough traffic to fill a direct flight between MAN and BKK - even without the Gulf operators?

If they offer direct non-stop service, at a similar price to the Gulf-hub airlines, I think they can probably fill an A340 to a reasonable load-factor out of MAN, if not daily then a few times per week to start with. Thai nationals would always prefer them, given the option, and a 'helpful' weight-allowance for pressies for trips 'home' !

OK they can never offer the range of other UK-airports that Emirates can, that's the power of the Gulf-based hub-and-spoke system, but only one UK-airport ?

At present they're losing all the North-of-England trade, who'd want to faff around going via LHR on an elderly Jumbo, when there's a cheaper better-quality modern-plane service via the Gulf ?

So TG are currently not-even-trying to retain/win that market ! Despite having suitable aircraft stood mouldering on-the-tarmac ! Dynamic Management it's NOT !

[captspectre]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

not surprised, service lousey, false advertisment, bought a "business class" ticket, ended up in "thai smile" with three seats across! was told that was the new business class!

[ginjag]

Couldn't they get a foothold into Manchester ??---Emirates and Etihad Turkish etc all doing well, WHY should they go there ?? they have the edge--NON STOP.

You really think there's enough traffic to fill a direct flight between MAN and BKK - even without the Gulf operators?

If they offer direct non-stop service, at a similar price to the Gulf-hub airlines, I think they can probably fill an A340 to a reasonable load-factor out of MAN, if not daily then a few times per week to start with. Thai nationals would always prefer them, given the option, and a 'helpful' weight-allowance for pressies for trips 'home' !

OK they can never offer the range of other UK-airports that Emirates can, that's the power of the Gulf-based hub-and-spoke system, but only one UK-airport ?

At present they're losing all the North-of-England trade, who'd want to faff around going via LHR on an elderly Jumbo, when there's a cheaper better-quality modern-plane service via the Gulf ?

So TG are currently not-even-trying to retain/win that market ! Despite having suitable aircraft stood mouldering on-the-tarmac ! Dynamic Management it's NOT !

Give it a try Thai, if me and Ricardo think it's "on" it'll be a winner, 2wice a week Midnight ex Bkk arrive morning 6am Man.

Try an A340, then use a 777er later if need be.

[geriatrickid]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

TG has done just that by withdrawing from the competitive domestic market and creating the low cost Smile operating unit. It will take a year or so until that significant change shows up in the finances. However, in respect to wages, and pension/benefit costs, the lower costs are all being demonstrated.

In the past year, the number of complaints in respect to the quality standard setters of Ethihad/Emirates/Qatar have increased. Those airlines that once made everyone else look terrible are now having their own problems as their hubs have exceeded capacity and on time performance falls.

For more competition, TG must reduce its seat pitch to 29"/39" and reduce its seat width just like the other carriers. By cramming at least 20-50 more passengers on long haul, it will make more money. It should also reduce its F&B and match the offerings of other premium long haul carriers. The pax do not need edible food. Give them macaroni and cheese like on some carriers. Start charging for every extra. Reduce the baggage allowance.

Yes by all means, cut the fares in economy by 20%, but start charging the economy class passengers for anything extra just like Air Asia.