- Passenger numbers: 1.7 million, +4.4% year-on-year;
- Passenger load factor: 79.7%, +2.5 ppts;
- Cargo volume: 55,502 tonnes, -3.8%;
- Cargo load factor: 52.2%, -2.9 ppts. [more – original PR]
Thai Airways pax numbers up 4% in Jul-2012, cargo down 4%
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Thai Airways uses Thai Smile to pursue rapid strategic expansion of ASEAN network
Thai Airways and its regional subsidiary Thai Smile are accelerating expansion in Southeast Asia as part of a new strategy for the ASEAN market. Under the new strategy, Thai Smile is increasing focus on Southeast Asia while pursuing closer integration with its parent airline.
Thai Smile plans to launch several new international destinations within Southeast Asia by the end of 2016. The new Thai Smile routes will boost the Thai Airways Group’s ASEAN network from 12 to 18 international destinations, while increasing capacity to some existing destinations which will be served by both brands.
The new strategy is a positive step as Thai has fallen behind its competitors in developing a regional network. The expanded presence in ASEAN – and the long overdue closer integration between Thai Airways and Thai Smile – should also generate new feed for Thai’s long haul network.
Thai Airways regional connectivity Pt 2: Thai Smile international expansion is a strategic necessity
Thai Airways' regional full service subsidiary Thai Smile is expected to accelerate international expansion over the next year as Thai Airways transitions to an all-widebody fleet. Adjustments in the group’s dual brand strategy are also possible as Thai Airways and Thai Smile could benefit from much closer integration.
Thai Smile currently only operates four international routes and allocates 90% of its seat capacity to the domestic market. However, the airline is poised to take over Thai Airways’ four remaining international narrowbody routes and should be used to expand the group’s presence in secondary cities in China, India and ASEAN.
This is the second part of a report on the Thai Airways Group's regional international network and strategy. The first part looked at how the group has fallen behind its rivals in Southeast Asia – particularly the Singapore Airlines Group – in improving regional connectivity. In this second part CAPA focuses on the strategy for Thai Smile and how the Thai Airways group could finally start to use Thai Smile to bolster regional connectivity.