Marketing Plan of Thy free essay sample

With a population of 75 million, a dynamic economy, a relatively large geographical area (780,000 sq km) and increasing disposable income among its population,Turkey’s air travel demand continues to grow, at a time when the majority of Europe is experiencing sharp reductions. 1. 2 Strategic geographic position: The country is attractively geographically positioned, located only three hours flight time from 50 different countries (according to Turkish Airlines) and its unique position. 1. 3 Strong domestic presence: Turkish Airlines currently operates to 37 domestic destinations. . 4Star Alliance  membership and close relationship with Lufthansa: Most airlines will have to be part of an alliance in order to survive in the future because if you are not a member of an alliance it is very hard to compete with other alliances that offer incredible benefits 2. External analysis. 2. 1 Political factor THY is a government-owned, national flag carrier Labor agreement has powerful(Tur kish Civil Union of Aviation) Discounters suit themselves and make money from receipts thanks to regulations of government In 2002, the new Turkish Government announced, it would not be subsidization for THY The State Privatization Administration launched a public share offering Trust of financial markets without the need for government guarantees 2. We will write a custom essay sample on Marketing Plan of Thy or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page 2 Economical factor Ticket prices have risen because of the increasing in fuel costs Air travel in Turkey will be the biggest growth market THY sells tickets via the Internet so that sales costs can be minimized The number of airline companies will be diminished and the condition of market will change because airline firms in Europe fortificates The number of travelling tourist from Europe to Turkey cut down due to the terrorism International economic situation,or global crisis 2. 3 Social factor In international area, competitors use service culture enough to make their customers comfortable about the airline They have always been transaction- oriented, not customer oriented Swine flu,climate conditions and crash in Amsterdam People’s lifestyle of transportation is changed by development in aircrafts Service culture problem, It will take time Special days . 4 Technological factor Satellite programming, wireless internet access, satellite monitors at every seat and seat –back personal video screens in modish aircrafts Reservation on telephone and on the Internet THY uses IBM computers Turkish Airlines (THY), to take effect the new competitive conditions in the world, which has become an important reality, â€Å"On-Demand Enterprise† business processes in order to become in-house, it heard the need for fl exibility for agencies within the framework of inter-and customers. This is in line with the management of software development, infrastructure, processes and tools needed to standard. 2. x. Coment We did internal and external analysis. It provided to see tool for audit and analysis of the overall strategic position of the business and its environment for us. it is the foundation for evaluating the internal potential and limitations and the probable/likely opportunities and threats from the external environment. It views all positive and negative factors inside and outside the firm that affect the success. 3. Swot analysis. STRENGTHS |OPPORTUNITIES | |Expanding home market economy and favourable demographic; |A growing market, despite the economic crisis; | |Strategic geographic position; |A popular tourism destination; | |Substantial cost advantage over rivals; | Benefiting from liberalisation policies; | |Rising market share; |Extend coverage to Transatlantics; | |Star Alliance membership and close relationship with Lufthansa; |Business customers focus; | |Great flight frequency; |Drawing passengers into onward flights from Istanbul hub; | |Great product and customer services; | | |WEAKNESSESS |THREATS | |Turkey |Currency shifts may inhibit profitability; | |Higher risk organic growth strategy; |LCCs increasing their presence; | |Massive fleet growth to fund; |Lufthansa product differentiation; | |Under-utilising the potential of a strong alliance; |Lufthansa coverage expansion; | |Market adaptation product; | | |Product differentiation; | | |Brand/ specific product awareness; | | II Stage Resarch analysis market and customer 1 Competitors Overview and Situation analysis Turkish Airlines competes with three main airlines on the route London. Istanbul. Theseare: British Airways that execute flights from London Heathrow to Istanbul Ataturk (2-3 flightsdaily), Pegasus Airlines serving London Stansted Istanbul Sabiha Gokcen (1 flight daily)and Easyjet serving London Gatwick Istanbul Sabiha Gokcen (1 flight daily). Based onthe above information, Turkish Airlines main competitor is British Airways as a full serviceairline providing connection from main-to-main airport, whilst Pegasus Airlines and Easyjetare LCC executing flights from secondary airports to Istanbul Sabiha Gokcen airportlocated further away from Istanbul in the Asian side. Turkish Airlines is the only companyserving airports as London Gatwick, London Stansted, Manchester and Birmingham inaddition to its main London Heathrow base. 1. 1 The Competitors Competitors for Turkish Airlines are classified as direct and non-direct threat. Although BA is a direct threat to Turkish Airlines, the latter possess the advantage ofservicing different airports around UK, targeting local communities and businesses on awider spectrum 1. 1. 1. British Airways British Airways is the main competitor of Turkish Airlines on the route LHR-IST. It is a fullservice airline the national carrier of Great Britain. Its strong position in the UK market iswell defined. BA serves more than 680 destinations around the world some of which oncode share bases with One World partner airlines. 1. 1. 2 Pegasus Airlines Pegasus Airlines is a LCC servicing London Stansted Istanbul Sabiha Gokcen Airport. Theairline is not classified as a main threat to Turkish Airlines services as it operates fromsecondary airports and its product has a low value compared to the full service of TurkishAirlines. One advantage of this carrier is the fact that it has extensive route connections inregional Turkey. 1. 1. 3. Easyjet Easyjet is a Low Cost carrier servicing London Gatwick Istanbul Sabiha Gokcen Airport. The airline is not classified as a main threat to Turkish Airlines services, even though itoperates from the 2nd largest airport in London Gatwick. Its product has a low valuecompared to the full service of Turkish Airlines. The airline is better positioned with flightservices within mainland Europe and has no regional connections within Turkey. 1. 2 Competitors products Pegasus Airlines and Easyjet, as low cost carriers have well defined product structure mainlytargeting the leisure market. Their product value refers to the low cost model with fewerservices on board -product that can mainly be directed to travellers on a budget (no seatallocation, paid snacks and baggage allowance, etc. ). Their flights are operated eitherfrom/or to secondary airports which are no attractive to wider group of passengers(especially business). Therefore their product and marketing strategy differs from the one ofTurkish Airlines. British Airways is a full service airline that provide similar product to Turkish Airlines andtherefore is considered as the main competitor. They provide the economy (leisure traveller)product along with the upper economy and business class experience. 2. Customers The primary target market for the airline is corporate business air travel. The main need ofthis type of customers is the corporate discount available in return for volume. The companyproduct will be positioned to these customers to provide significant cost savings overcompetitors. Both London and Istanbul are cities with many multinational companies andbusinesses, which create a vast market for corporate travel. Corporate travellers that TurkishAirlines should be targeting include, Deutsche bank, PwC, Delloit, Shell and several otherprominent corporations with links in Istanbul and London who fly business class and hassignificant volume of business travel between the pair cities. The secondary target market for the airline is the small business and independent businesstravellers who typically fly from Heathrow to Istanbul but also from the industrial cities Manchester and Birmingham. The product will be positioned for these customers byproviding a FFP and a business class fare that is significantly lower than most traditionalfares (the two main needs of business travellers according to surveys). The product will alsobe positioned to this target market as the one with the highest levels of service on board theaircraft, significantly higher levels of comfort offered by the seats and a higher degree ofluxury compared to the competition. The final target market for the airline is the luxury travel market that exists from London andManchester to Istanbul. The product will be marketed and positioned to these customers as a „ first class service at business class fares’ . These customers are generally uninterested inthe frequency demanded by business travellers. III Stage Determine Segmentation strategy and positioning . Target Positioning of Turkish Airlines The primary target market for the airline is corporate business air travel. The main need of this type of customers is the corporate discount available in return for volume. The company product will be positioned to these customers to provide significant cost savings over competitors. Both London and Istanbul are cities with many multinational companies and businesses, which create a vast market for corporate travel. Corporate travellers that TurkishAirlines should be targeting include, Deutsche bank, PwC, Delloit, Shell and several other prominent corporations with links in Istanbul and London who fly business class and has significant volume of business travel between the pair cities. The secondary target market for the airline is the small business and independent business travellers who typically fly from Heathrow to Istanbul but also from the industrial cities Manchester and Birmingham. The product will be positioned for these customers byproviding a FFP and a business class fare that is significantly lower than most traditionalfares (the two main needs of business travellers according to surveys). The product will alsobe positioned to this target market as the one with the highest levels of service on board theaircraft, significantly higher levels of comfort offered by the seats and a higher degree ofluxury compared to the competition. The final target market for the airline is the luxury travel market that exists from London andManchester to Istanbul. The product will be marketed and positioned to these customers as a „ first class service at business class fares’ . These customers are generally uninterested inthe frequency demanded by business travellers. Targeting about customer : Recently , There was newspaper for Business Class in Turkish airlines. But nowadays They don’t have newspaper for any passenger. That’s why one of pollester analyzed this situation. According to polls : And most of passengers who were in business class , wanted to get newspaper during to flight also they wanted to scientific and technical journal. (Therefore They will have newspaper and magazine which are business class interested in. ) During the flight , the shortest flight should take minimum 3 hours. Passengers who are business class want to get free alcohol(Especially wine) and of course they are going to want to eat delicious food. Most of business class of passenger care food and amount of food.. We know that good serves are going to be good memory for passenger. (For this reason , Turkish Airlines Cooker’s is going to flight all time for delicious and fresh cook during the flights. ) The other important things about passengers is fast internet. Because they often need to check their mailbox . And they need to fast internet for follow the â€Å"be up to date† all time. (They will have fastest internet. ) Passengers need to get comfort. Because Generally after flight , they go to meeting to company. Thats why they don’t want to go to company wearily. (THY will have the comfortest seats. ) Also We realized that â€Å"Keeping passenger informed about all types of flight information† is the other important things. (Pilot often should give information. ) Passengers say that the most important thing is â€Å"Cabin ventilation†. We know that â€Å" be able to breathe easily â€Å" mean is positive behavior in this day. And they want to know ; which country are we flying on now ? If flight is going to take long hours , exactly it will be boring. And they can wonder this. That’s why Navigation is necessary for all plane. Surely Turkish Airlines has Navigation but some of planes don’t have navigation. (Airlines is going to put navigation to all planes. )Business Class passenger’s can want to watch movie in their special t. v. Therefore We often need to update the movies . Because almost everyday New movies are come out. And watch movie during the flight is good time for watch.. Segmentation of Marketing in Turkish Airlines (%) : [pic] [pic] [pic][pic][pic] IV Set marketing plan objective and direction 1. Objective The main objective of the marketing plan for Turkish Airlines is to increase the generated revenue in the business segment in order to secure the financial sustainability and future growth of the company and its premium product in the EU market. This will primarily be achieved in three stages; firstly by defining the market to narrow the market focus to consumers and businesses that are qualified to or are already users of business class air travel, secondly by further identifying the available market from main hubs in EU (London, Frankfurt, Paris) and the rest of EU to Istanbul and finally targeting the potential market for additional leisure and business travel on the route. Each segment of the market will be targeted to increase Turkish Airlines sales and improve the airlines load factors. Table 1 below summarises the marketing objectives: Objective |Time period | |Increase revenue in business segment by 15% |Summer 2013/winter 2013/14 | |Increase market share by 4% to 58% |By the start of Summer 2013 | |Increase market share to 62. 4% |During Summer 2013 | | | | |Increase load factor from 68% to 72% |By the start of Summer 2013 | |Further increase of load factor by 5% to 77% |During Summer 2013/Winter 13/14 | |Promote thy. om for bookings to reduce cost |Throughout the whole period | 2. Marketing Plan and Marketing campaigns. Turkish Airlines marketing promotions will be designed to enable the airline to exceed its marketing objectives by increasing interest in the product and the willingness of consumers to buy it. This section of the report proposes several marketing promotions for the airline to increase their sales, brand awareness, and loyalty from existing customers beyond that which can be provided by advertising alone. 2. 1 Advanced Booking Price Promotions Th e main aim of the price promotions will be to reduce the number of empty seats on the aircraft and hence to maximise revenue. Assuming that the existing target load factors are sufficient to generate significant profit additional seats which otherwise would be empty could be sold at significantly reduced prices, however they must still yield a profit for the service provided. Turkish Airlines price promotion will provide significantly low prices for customers who are able to book an anytime seat over one calendar month in advance. This promotion will be targeted at leisure travellers as it is assumed that a majority of business travellers book their seats close to the required date of departure as they are required to leave on short notice. 2. 2Three for Two The main aim of this promotion is to generate additional revenue while not overbooking the aircraft or undermining the passengers who have not utilised this promotion, which would most likely be the case if a buy one get one free promotion were offered. This promotion is based on a consumer or group of consumers purchasing two full fare return tickets and receiving a third one free. This promotion could enable three consumers to travel at once for the price of two, general trends of leisure travellers, or enable a single consumer who purchases two tickets within a month, general trend of a business class consumer, to be offered the third one free. The free ticket will be restricted and must be used within a period of one month. This promotion will be designed to run in May, June, July and August when target load factors are less than 60%. 2. 3Promotional Items for On-line Bookings All consumers who book flights in August through to December directly through www. thy. om will be offered free Istanbul sightseeing tour cards or similar organised tours. This is designed to increase load factors above target load factors for these months but also to reduce distribution costs of tickets. For all business passengers on onward flights from Istanbul, 1 or 2 free nights at luxury hotels will be offered. 2. 4Turkish Airlines Triple Points Frequent Flyer Program MilesSmiles is already a rewarding and generous scheme where passengers can redeem rewards and take advantage of many benefits. In April, June and Oct, the airline will offer triple points on all bookings made on-line. V Marketing plan strategies , problems and support . 1. Marketing Mix (7 P ies) 1. 1Product Turkish Airlines product is providing economy and business class travel between major EU hubs and Istanbul. The airline method of providing its services is what differentiates its product and allows it to offer vast benefits, such as space, seats, comfort and in-flight services, as well as genuine gestures such as Istanbul sightseeing cards and chauffeur services to the existing economy and business class passengers. 1. 2 Price The main pricing strategy of the company is to maintain price leadership. While Turkish Airlines pricing allows the company to achieve its financial goals, i. e. make a profit, it undercuts the realities of the marketplace for the product and service offered by its competitor. Based on competitor pricing customers would be willing to buy at Turkish Airlines prices. Turkish Airlines pricing strategies support the products positioning, as the low price does not act as a substitute for lack of product quality, and are consistent with the other variables in the marketing mix. Pricing is influenced by the distribution channels used particularly in selling to corporate customers. However, through negotiations the airline can achieve great results with its corporate clients. 1. 3 Promotion Turkish Airlines promotional strategy will be carried out with the target customer in mind preventing the waste of time and money on ineffective promotional activities such as TV ads. Other methods of creating awareness of the airline product will include sales promotions and presence at business trade shows, promoting the airlines directly to the target audiences, as well as social websites like Facebook, Twitter, etc. 1. 4 Place A Multi-level marketing strategy will be employed to distribute the product. That is a combination of direct sales and indirect sales through the internet, Business trade shows and corporate travel agencies. 1. 5 People Dynamically and soundly sustaining its growth with a youthful yet experienced team, Turkish Airlines was the author ofgreat successes with 15,384 employees in 2011. In order to maintaining the highest standards of service, Turkish Airlines personnel employed in all capacities perform their jobs with a focus on effective use of technology under the most ideal quality conditions. 1. 6 Physical environment Turkish Airlines is not only a substantial full service carrier in its own right, but also maintains a solid position at the low cost end of the market, domestically through AnadoluJet and its Lufthansa JV in SunExpress. This reinforcement allows the flag carrier to focus on its core, full service role, and to continually grow its position in the expanding Eastern European and Middle East and central Asian markets. Turkish Airlines benefits significantly from the combination of its strategically valuable geographic position and its Istanbul hubbing capability. Straddling Asia and Europe, while relatively close to the Equator, Turkey offers its national airlines – and THY in particular – powerful access to: 1. A large and increasingly affluent domestic market and massive expatriate community, much of it in Germany; 2. Western Europe; 3. Eastern Europe; 4. The Middle East; 5. Central Asia; and 6. Long haul one-stop sixth freedom connections, in much the same way as the Gulf airlines, Emirates, Etihad and Qatar Airways have exploited global markets. Unlike those airlines, Turkish has the advantage of a large home base, to generate economies of scale. For THY, there is still considerable upside in the latter of these, which in turn grows its network strength and connectivity options into its extensive short and medium haul European routes. 1. 7 Process The most important factor separating Turkish Airlines from its competitors is its success in maintaining reliability, speed and timeliness without compromising service quality. Flying Turkish Airlines is an experience of its own, always associated with the Turkish hospitality – experience of comfort, quality pre-boarding and onboard services and great customer service. Turkish Airlines competitive advantage in EU is based on its flight operations from all of EU capitals and number regional airports, enabling the company to increase its market share and passenger network. Flights frequencies are another advantage that boosts passengers flying the airline to increase enormously. Regional connections from its main hub in Istanbul, as well as more than 145 onward connections to the Middle and Far East and Asian countries(and further 940 destinations with its code share partners), enables Turkish Airlines to be one of the most desirable airlines. The onboard product combining economy service focused to the leisure passengers, together with the unique business passengers? product, providing services, such as dedicated check-in points, exclusive security gates and effortless passport control at low fares assign the airline as one of the most preferred among different group of passengers. 2 Action and Campaign 2. 1 Internet In order to attract EU leisure and business travellers, Turkish Airlines will market and make direct sales via its web site. This allows for cheap and efficient distribution costs and reaches a wide consumer base. The website allows customers to make reservations for flights and provides purchase and payment capabilities, as well as comprehensive information on offers. Social websites like Facebook and Twitter could create brand awareness and can be used as a marketing tool for promotions of the airline. 2. 2 Direct Sales to Corporations In order to attract large corporations and medium sized businesses, Turkish Airlines will directly contact the travel departments of corporations and businesses in EU with links in Turkey. 2. Direct Sales to Secretaries and PA’s Often PA. s and secretaries are required to book flights for managers. Turkish Airlines must target these secretaries with direct mail so that they are aware of the Turkish Airlines product. 2. 4 Corporate Travel Agent s This has the advantage of offering customers a distribution channel they may prefer in making their reservation. 2. 5 Business and Travel Magazines, Outdoor Adverts Important part of Turkish Airlines marketing strategy will be focused on advertising with leading corporate and travel magazines, as well as outdoor advertising, such as billboards, bus and underground posters. 2. 6 Customer Service Building substantial customer relationship will be the primary objective of Turkish Airlines. That will be achieved through extensive communication with its current customers, special discounts and incentives for regular passengers, etc. 3. Marketing plan problems At present, Turkish really appears to be on a roll. Most of the key ingredients line up to make strengths and opportunities the dominant forces in the carriers landscape. Even its weaknesses are little more than an inability to grasp opportunities fully (such as for example under-use of the potential of Star membership codesharing). In some ways the scenario almost appears too good to last. But most of the right building blocks are now in place for sustained and profitable growth in what is still in many ways an under-exploited market. Turkish Airlines product must be positioned to the target market as one that meets and exceeds the needs of both leisure and business class travellers, who would normally fly with LCC like Easyjet or Ryanayr (leisure passengers) or Lufthansa (business passengers), through increased product innovation and quality. 3. Market support strategies Turkish Airlines market presence will be achieved by relying on the strategy of identifying and serving well both leisure and business market. Reservations will be centralised and cost effective, by popularising the official website of the airline. Marketing will be media generated to the business and corporate accounts with combined media and direct sales focused to the leisure market. The product focused towards business travellers allows them to hold in flight meetings in comfort and order meals and services to suit their timetable and specific needs. Although business class travel is not a new product, Turkish Airlines product has improved to the highest level possible, to compete with its major competitors mainly based on price differentiation. The advantage of a local and highly identifiable market is that media selections can be limited in scope. The most effective media is expected to be outdoor billboards and posters on buses and underground, as they have acted as a key generator of sales for other airlines. Presence in the popular social websites would be beneficial in order to increase brand awareness and can be used as powerful marketing tool for advertising promotions, etc. Based on all these actions, Turkish Airlines can meet its challenges and act in order to achieve its set goals and objectives, as well as to maintain its leadership position in the EU market. VI Plan to measure progress and performance . Ansoff Matrix The Ansoff Growth matrix is another marketing planning tool that helps a business determine its product and market growth strategy. Ansoff’s product/market growth matrix suggests that a business’ attempts to grow depend on whether it markets new or existing products in new or existing markets. The output from the Ansoff product/market matrix is a series of  suggested growth strategies which set the direction for the business strategy. These are described below: [pic] That’s why We are going to use Ansoff Matrix for Turkish Airlines. Market Penetration : Market penetration is the name given to a growth strategy where the business focuses on selling existing products into existing markets. Market penetration seeks to achieve four main objectives: †¢ Maintain or increase the market share of current products – this can be achieved by a combination of competitive pricing strategies, advertising, sales promotion and perhaps more resources dedicated to personal selling †¢ Secure dominance of growth markets Restructure a mature market by driving out competitors; this would require a much more aggressive promotional campaign, supported by a pricing strategy designed to make the market unattractive for competitors. Increase usage by existing customers – for example by introducing loyalty schemes A market penetration marketing strategy is very much about â€Å"business as usual†. The business is focusing on markets and products it knows well. It is likely to have good information on competitors and on customer needs. It is unlikely, therefore, that this strategy will require much investment in new market research. For Turkish Airlines : First of all We should keep our attitude in the market. After that We can purpose to incrase our passenger and consequently our income. For this We can keep working with famous person (Messi, Kobe .. ) in our advertisement. Therefore We can get market share of our competitors. But Sometimes everything can not be on the way and company can get damage in market. Thus Our company should get ready for all condition. Also We can increase usage by existing by loyalty. My idea is : we can give to them special things. (if someone use Thy two times in a month , we can give to them extra baggage chance. Not 15 kg. maybe 20 or more.. ) We should feel our customer special for us. I have one really original idea. When they buy ticket , we should learn their birthdate. And The customer which has account in ourwebsite , when Their birthday come ; Our customer can have special promotion. We can send e-mail to them and : Happy birthday. Here is your special promotion number. You can get %40 percent discount with you flight. Remember you should buy till tonight ( But When we are doing this strategy , we should be carefully too much. Because Some foxy person can create unreal birthday ( That’s why we can decide that : Just One person can get this special promotion in each plane. Market development Market development is the name given to a growth strategy where the business seeks to sell its existing products into new markets. There are many possible ways of approaching this strategy, including: †¢ New geographical markets; for example exporting the product to a new country †¢ New product dimensions or packaging †¢ New distribution channels (e. g. oving from selling via retail to selling using e-commerce and mail order) †¢ Different pricing policies to attract different customers or create new market segments Market development is a more risky strategy than market penetration because of the targeting of new markets. For Turkish Ai rlines :Customer of Turkish Airlines are : %59. 4 in Europe , % 15 Middle Eastern , %12. 9 Asia , %7. 6 Africa , % 5. 2 America. America is far from Turkey. That’s why person who is from America, can choose another company which is located in America. Although Africa close to Turkey , There is just less our customer in Africa. We can focus on the our customers which live in Africa. Well , What Can we do for get more customer from Africa ? [pic] We can see from this picture : We are flying just 3 destinations which are in Africa . That’s why Our percentage of customers which are in Africa , too less in our all customers. We can fly 2-3 new destinations more. We know that their economics are not good but we can provide low price with small plane and make no compromises from our quality. And also we can campaing. For example : When you buy Turkish Airlines ticket , 10% of The money which you pay , goes to homeless or person who cant find food.. It will be better. Because you know most of them cant find food. It ? s good to loyalty for Turkish Airlines. Product development Product development is the name given to a growth strategy where a business aims to introduce new products into existing markets. This strategy may require the development of new competencies and requires the business to develop modified products which can appeal to existing markets. A strategy of product development is particularly suitable for a business where the product needs to be differentiated in order to remain competitive. A successful product development strategy places the marketing emphasis on: †¢ Research development and innovation †¢ Detailed insights into customer needs (and how they change) †¢ Being first to market For Turkish Airlines Istanbul Ataturk Airport has parking problems. There is not enough empty places for all of passengers cars. And passengers usually does not enough time to fing for parcing area. Turkish Airlines can provide their customers about parcing service. Our advice is to avoid loss of time looking for a place to park when you arrive at the airport by your car, why not leave your car at one of the valet delivery points in front of the domestic international terminals and THY CIP Building taking advantage of the comfort and for 3 hours it can be free. The other problem is delays. There are lots of reason about delays but passengers are not responsible about this topic. In case of a 3  h delay THY can returns the ticket; and in case of a 5  h delay it both returns the ticket and gives free ticket to its passengers. New products for turkish airlines can be PS3 which is game console. You can play a lot of games during the flights. Th? s ? dea is better for customers who are between 15 and 30 years old. Maybe ? t ? s not good for business class but they are people. It doesn’t mean they are working all time. Sometimes They need rest and don’t want to think about work , spend time for different things. It ? s good choose for think about different . Diversification of products (services) Diversification is a form of corporate strategy for a company. It seeks to increase profitability through greater sales volume obtained from new products and new markets. Diversification can occur either at the business unit level or at the corporate level. At the business unit level, it is most likely to expand into a new segment of an industry that the business is already in. At the corporate level, it is generally via investing in a promising business outside of the scope of the existing business unit. The strategies of diversification can include internal development of new products or markets, acquisition of a firm, alliance with a complementary company, licensing of new technologies, and distributing or importing a products line manufactured by another firm. Generally, the final strategy involves a combination of these options. This combination is determined in function of available opportunities and consistency with the objectives and the resources of the company. For Turkish Airlines Improving in-flight services is a major move that could differentiate Turkish Airlines. Providing a different in-flight product, such as catering that influence the Turkish tradition (cuisine) and hospitality, and specific product tailored for the business travellers focusing on their needs and wants, would attract more passengers looking for enjoyable and influential travel experience. Entertainment and communication in-flight systems are major advantage of Turkish Airlines. A great opportunity for Turkish Airlines, as the largest carrier for Turkey in the EU market is to expand its presence and extend the route networks into regional airports. This will enable the company to draw huge amount of traffic, knowing that the EU travel market is a lucrative opportunity. Turkish Airlines is one of the very few airlines in the world that implemented private suite on its long haul fleet. This is a unique product focused towards the needs of superior customers and awareness of this product in the EU market will increase the passenger demand for the onward flights of Turkish Airlines from Istanbul. Cost reductions can be achieved by reducing the office premises and ground staff the airline use. Focusing on online bookings, e-customer services and e-technology will be a major objective in achieving cost cuts. Thus, the benefit would be given to consumers in the way of cheaper tickets or special discounts.