Turkish Airlines has been growing rapidly in the last decade with increasing scale, network, and fleet. The Airline was interested to evaluate and improve its network and hub design for 2012 and 2016.
The InterVISTAS team delivered following activities:
Market analysis: included analysis of supply and demand, changes in the market place, share gap, opportunities to identify fast growth and high yield markets to take advantage of the Istanbul Hub.
Best Practices: included analysis of hub design best practices worldwide, comparison of different hub structures, hub design principles and learnings from successful and capacity constrained hubs.
Market Forecasting: included execution of market forecast taking into account long term/top down forecast driven by GDP growth and travel propensity of TK’s current and projected markets, as well as bottom up analysis including MIDT and IATA PaxIS flown data. A comprehensive analysis of fast growth and high yield markets taking into account circuitry advantages of Istanbul airport was also performed.
Hub Design and Analysis: included development of hub growth and bank structure development scenarios leveraging results of the previous activities. Scenarios were discussed and analyzed using sophisticated network optimization tools working closely with TK network management team, focusing on scenarios maximizing long term contribution.
Implementation Plan: included development of migration activities and operational readiness as well as impact and valuation of constraints.
The project results were approved and implementation executed by Turkish Airlines.