Jump to content

Price-cutting not on agenda as THAI seeks turnaround in fortunes


Recommended Posts

  • Replies 62
  • Created
  • Last Reply

Top Posters In This Topic

Top Posters In This Topic

Popular Posts

When one is trying to turn around a business, it is always advisable to NOT be competitive on pricing, and to ignore the signs of a flagging economy. It is also very important to avoid saying NO, to t

All useless measures, not one of those mentioned will have any mediocre impact.   how about admitting the company is a complete failure. 

THAI will cooperate with the Tourism Authority of Thailand to hold a joint marketing campaign in order to boost in-bound tourism and increase national revenue.   So they have failed before t

Posted Images

I don’t think we will see do a flat out NO discount strategy.. (the leading paragraph refers to “heavy” discounting) I think any heavy discounting is a poor path for Thai to take long term.

 

i think Thai needs to be more “competitive” in terms of what they fly (fleet and cabin), where and when they fly (partially a network issue but also fleet size and exact cabin config) and how they fly it (staffing onboard, hard/soft product etc)

 

Therefore I agree with Thai that massive or rampant discounting isn’t the best long term strategy— it’s more “rightsizing” what they currently have and making modifications to the parts that just don’t fit, are financially unjustifiable or don’t fit their current and expected plans.

 

its true that they’ll have to make some staffing cost cuts at the managing director level and higher - and these will most likely be unpopular and probably also politically unpopular- but that’s going to be a part of it... work rule realignment I suspect will also be a part... a reworking of the revenue management picture as well.

 

I’ve said before I think Thai has a near zero chance to survive and prosper long term from only savings alone... they’ll have to also address the revenue side.   To me Thai trying to chase lower fare (lower margin) but perhaps higher volume passengers doesn’t seem like the most viable plan given their inherent and existing legacy cost structure and the plethora of existing competitors who ARE set up from the beginning with LCC cost structures.  
 

they need to position themselves as the best “value” carrier.. that to me is a good strength play for Thai given all that they are, where they are, connectivity they have (via BKK) and all the other parts of the whole.

  • Like 1
  • Thanks 1
Link to post
Share on other sites
5 minutes ago, Khunbilly said:

Just bought tickets the other day and Thai is still 50% more than everyone else one comparative flights.. 

that depend on load and promos. i dont think y bought an full price eco ticket ( in this case fares are comparable). depending on promos and reduced fares, one time this airline cheaper and another day thai.

You cant say Thai is always more expensive espec on longhaul flights. 

 

 

Edited by lapamita
  • Haha 1
  • Confused 1
Link to post
Share on other sites

Just bought domestic economy tickets the other day for later next week travel leading into the return the following week. CM - BKK - CM all on normal week days not on a Friday or Monday and the cost was 6300 baht. Now tell me that is cheap.
 

Edited by holy cow cm
  • Like 1
Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Recently Browsing   0 members

    No registered users viewing this page.


×
×
  • Create New...