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Low cost airline 'Ted' to take to the skies in February 2004

Travel News Asia 12 November 2003

Ending days of speculation United today confirmed that Ted is the name of its new low-fare service that will bring travelers a quality experience with simplified low fares.

Culminating a successful guerilla marketing campaign in the city that will be its first hub, Ted has generated buzz and excitement in Denver, achieved through a series of random acts of kindness. Ted's unveiling celebration will take place on November 18 in Denver, officially putting a face to the name.

While the mainline remains United's core product, Ted expands the relevance of United's brand portfolio, capturing an opportunity in a high-growth segment of today’s airline market.

"Customers want low fares, especially in our leisure markets," said Sean Donohue, Vice President - Low Cost Operation. "In order to meet that need and seize the opportunity, United has accomplished substantial cost reductions - nearly $5 billion annually by 2005 - that allow us to offer an operation that is competitive with other low-fare carriers. Ted is supported by a profitable and sustainable plan, with higher aircraft utilization, a simplified schedule and fare structure, and more seats per aircraft."

“Ted isn’t just a low cost initiative, it also creates more revenue opportunity in leisure focused markets,” said John Tague, Executive Vice President - Customer. “Although Ted will be a United branded product, it has been designed with a unique name and personality all its own. United chose the name Ted to emphasize that the service is an essential, integrated part of the company - it's the last three letters of the company's name,” he added. “Through our guerilla campaign in Denver, we've created intense interest in Ted by reaching deep into the community in new and unique ways.”

Ted will begin flying customers in February 2004 with service from Denver to Reno, Las Vegas, Phoenix, New Orleans, Tampa, Orlando, Ontario (California) and Fort Lauderdale, a new Ted market not previously served by United. Beyond Denver, Ted will also offer service between Las Vegas and Los Angeles, Las Vegas and San Francisco and San Francisco and Phoenix.

The Ted fleet will feature the popular Airbus A320 aircraft, launching with four planes based in Denver and expanding to as many as 45 planes by the end of 2004 -- 19 of which will be based in Denver. Each A320 will have 18 more seats than United's mainline A320s -- due to a single class of service -- for a total of 156 seats.

Ted offers a compelling alternative to the current crop of low-fare carriers. Customers can earn Mileage Plus frequent flier miles on all Ted flights; seating is pre-assigned and can be pre-booked; and Ted customers can expect seamless travel around the world on all United offerings, including United mainline, United Express and Star Alliance partners. Ted planes will feature an Economy Plus section with five extra inches of legroom to reward loyal customers. Finally, Ted customers will be able to use United EasyCheck-In and United EasyUpdate to make the travel process as simple as possible. 

Tickets go on sale November 18 online via flyted.com and united.com. United said that more destinations and hubs will be added in the future.

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