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2010 Yields High Profits for Turkish Airlines Amidst Route Expansion

By Francisco Birsner


The few years prior to World War II saw the beginning of operations for Turkish Airlines, more specifically in May of 1933. Four planes with a total capacity of 23 passengers marked the humble beginnings of this company. 1945 was the first time they added any new aircraft to their fleet. They recently received one of the twelve Boeing 777-300ER airplanes they ordered, which is a highly advanced long-haul aircraft. Profits and expanded routes have been steadily increasing each year for at least the past five years. Clearly, Turkish Airlines has learned from past mistakes and have progressed significantly since the days when they could only carry 23 passengers at a time.

Turkish Airlines will be establishing a new route to Valencia in Spain at the end of March, 2011, which will be serviced four times per week. The next route to open up will be Istanbul to Malaga, also in Spain, which should start in April. That schedule will operate three times per week. These routes are in addition to the existing Barcelona and Madrid routes. Turkish Airlines will have a pretty full year, judging according to the plans they have disclosed, and this is just the beginning. The airline will be subject to intense expansion throughout the rest of the year, with many routes expected to be opened up. Sometime during the summer, it is expected for flights to Toulouse, Lyon, Paris and Nice in France to start operating. That will bring the total international destinations to 175, and the year has only just begun.

In early February, 2011, Turkish Airlines received leading aviation industry magazine, Air Transport World, "Market Leadership Award 2011". This is an internationally recognized achievement for the airline that was presented during a ceremony held in Washington D.C.

The past few years have a produced very challenging economic environment for many global businesses. On a general basis, the airline industry tends to follow very similar movements to those of the global economy. However, the strong marketing efforts and innovative management of Turkish Airlines saw them ride through the worst of the global financial crisis and still turn a strong profit. Just late last year in October of 2010, English soccer team, Manchester United, and Turkish Airlines completed final negotiations for a contract extending for just over three years. Manchester United will partner with Turkish Airlines for a TV commercial that is meant to position the airline as a great means of travel for business-class passengers. This is an important project for both parties. The new advertisements will show the team's best players travelling and enjoying the airline's business class section.

The purpose of the Turkish Airlines rewards program is to get people to upgrade to better classes as often as possible. Their customer and passengers stand to gain the most benefits from this upgrade. Tickets can be upgraded from Economy, Comfort or Business Class by members of the Miles and Smiles program. Business, First and Comfort class are the options available to passengers who wish to upgrade. Of course, passengers must have sufficient miles to perform the upgrade.

Since the Turkish Airlines have enjoyed a good run of profitable years, they are in an excellent place to do what a majority of business should be doing. The airlines have been displaying their marketing smarts because they are very wisely branding their business in a highly international way. We have the opinion that this company moves fast and is ready to take over the very competitive market of aviation and flight travel globally. Not only are then tons of sports celebrity multi-year contracts, but the company has continued to get more planes and make more improvements all over.




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