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Taiwan’s TransAsia growth Pt II: responding to LCCs, res system cutover & alliances/partnerships

Analysis

In the second part of this report, TransAsia weighs how it can expand traffic in Northeast and Southeast Asia but also counter growing foreign LCCs as well as the inevitable local Taiwanese LCC that has yet to form. TransAsia has laid out an undisclosed pathway to guide it depending on what outcomes occur in the Taiwanese market with respect to LCC development.

TransAsia believes it can counter LCCs and competitors in general with the carrier's forthcoming cutover to a new reservation system that will offer it greater agility and be the impetus for the carrier to raise online sales from at least 15% to, perhaps optimistically, over 50% within two years.

TransAsia is also watching the developments with alliances and partnerships and it is interested in having more friends, although the carrier thinks it is early days for it to consider joining a global marketing alliance; this could change if it were invited.

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