Case Study: Turkish Cargo
Partnership with CargoPoint is enabling Turkish Cargo to grow its market share in Uzbekistan
Partner: Turkish Cargo (TK), www.turkishcargo.com
Timeline: January 1 ~ ongoing
Industry: Airlines, aerospace
Challenge: Increase Turkish Cargo’s air cargo market share in Uzbekistan through robust air cargo sales process and upholding high customer service standards
Services involved: air cargo marketing and sales, cargo reservation, RFS (road feeder services), tracking, coordination
Key benefits: Increased market share, effective capacity utilization, improved customer service
About Turkish Airlines
Turkish Airlines (Turkish: Türk Hava Yolları) is the national airline of Turkey and the largest carrier in the world by number of destinations, operating scheduled passenger and cargo services to 340 destinations in 132 countries in Europe, Asia, Africa and the Americas. It is one of the fastest growing airlines in the world, aspiring to join in the Top 3 global airlines by 2025. In Uzbekistan, Turkish Airlines is a major carrier linking Tashkent, Uzbekistan to global markets via its main hub in Istanbul.
Challenges in Uzbekistan and Central Asia markets
Turkish Airlines operates scheduled passenger and cargo flights to Uzbekistan, linking its main hub in Istanbul to the capital city of Tashkent and the regional airports of Navoi, Bukhara, Samarkand and Fergana. In air cargo, the key challenge in this market is the directional imbalance in cargo space utilization: while there is an overwhelming demand for space on the Istanbul - Tashkent segment, freight capacity on Tashkent outbound flights traditionally remains underutilized. That in effect means lost revenue for Turkish Cargo which, with a little careful approach, could be turned into an opportunity to increase market share.
Our Solutions in Action
CargoPoint is a logistics solutions provider headquartered in Tashkent, Uzbekistan, specializing in building and implementing air cargo sales & marketing solutions for airlines. In 2022, CargoPoint was appointed as GSA for Turkish Cargo in Uzbekistan and tasked with streamlining the carrier's cargo sales and capacity utilization on its flights between Turkey and Uzbekistan.
Having been authorized as designated cargo agent handling Turkish Cargo's sales, reservations and marketing for Uzbekistan, we started off with analyzing the market and setting up a sales strategy. Turkish Cargo, despite having a good market position, was punching well below its weight, especially in the main deck cargo market segment. Space was underutilized and customer service required serious overhaul.
Value of Partnership with CargoPoint
Cargo Sales & Marketing
CargoPoint has been acting as cargo GSA for Turkish Airlines, for the territory of Uzbekistan since January 2022. We act as an extension of the Turkish Cargo sales team, coordinating space, reservations, cargo sales and marketing. Turkish Cargo’s air cargo sales volume from Tashkent to global destinations has doubled in the 10 months of 2022, compared to the previous year.
Road Feeder Services
Turkish Airlines is utilizing CargoPoint’s Central Asian trucking distribution network to deliver offline shipments from Tashkent airport to offline destinations across Uzbekistan and Central Asia, linking our air cargo hub in Tashkent with smaller regional airports. Our RFS product adds value to Turkish Cargo’s regional network in the region, bringing Turkish Cargo’s customers closer in a well-organized air + ground last mile supply chain.
Results & Conclusion
Partnership between CargoPoint and Turkish Cargo has been pivotal in establishing an air cargo supply chain which benefits the airline's local and global customers. Using CargoPoint’s local and international cargo sales and marketing network, Turkish Cargo has been able to improve its financial performance through better management of cargo capacity and creation of new air cargo products to suit the needs of the local market in Uzbekistan. This partnership showcases the value of working with experienced air forwarders well-versed in air cargo sales and marketing.
At CargoPoint, we connect Central Asia to the rest of the world through our forwarding and logistics solutions. We combine our global presence, industry expertise and world-class service to help businesses reach international markets with speed and efficiency. We offer a complete range of services in international shipping, logistics and customs clearance to meet your supply chain needs, regardless of your industry, business size or location. Contact Us if you require assistance with shipping and/or are looking to optimize your supply chain.