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Presentation
     on


  AIR DECCAN
        IndIa’s fIrst low
  cost airlines


               PRESENTED BY
                 GROUP 2
                CUTM - MBA
Summary
• Air deccan lunched its LCA in India on Sep 2003
• Its airfares is 50% of FSA’s
• Targeted people – Frequent business travelers and train traveler
  (those who travel in A/C coaches)
• Offers no-frills services
• For ticket booking customers can call the 24 hour call center or e-
  ticketing
• Tie-up retail outlet where the customers easily book their tickets.
• It launches a Dynafares
• Promoters promoted its services through print and outdoor media
• Tagline – simplify
• Tough competitors are “UB group”, Wadia groups “GO”, “Visa
  Airlines”, “Air-India Express”, “Royal Airlines”.
1. Discuss how effectively
   Air Deccan has used
   the elements of its
   services marketing mix
   to market its services ?
Product
No frills air travel
There is no free food or drink onboard.
  Passengers are buy them onboard.
Price
• Air Deccan has low fares(50% of FSAs)
• 25% of seats at pricing between Rs 700 to Rs
  1500, 50% of seats were priced half of FASs’
  and the rest 25% seats priced 70% FSAs’.
Place
 It provides it’s services in 8 countries
 Customers can book their ticket by calling the 24
  hour call center.
 The customers also get their tickets in retail outlets
Udaya home world (consumer electronics chain
  store, Bangalore)
 Online reservation system
Promotion
 Promoted through print and outdoor media
 Its advertisement mainly focus on low fares.
 Television advertisement
People
 The aircraft appoint only one airhostess to help
  the passengers
 The pilots and engineers are trained by contract
  basis.
Physical Evidence
 Passenger are sit anywhere in a plane
 The air Deccan lunches different prices for seats
  for different seats. The prices depends on the
  time of ticket booking.
Process
 The process begins with seat reservation and
  conformation
 The Air Deccan provided no frills services No food
  service available(loading and unloading)
 Meals and drinks provided only those who are
  interested
 cleaning process was so simple
 The seats are not numbered. So passenger are
  not select a preferred seat
 Takes 20 minutes to fly the plain instead of 1
  hour (more flight per aircraft were possible)
What steps has Air Deccan Taken to reduce the
      negative effects of perishability?
• All seats in a plane are same and the seats are
  not numbers
• For reduce the negative effect of perishability
  The Air Deccan increased its seat numbers To
  meet the demand of customers
• the Air Deccan lunches different prices for
  seats at different times of ticket booking.
• It tip up with retail stores
• THANK U

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AIR DECCAN'S LOW-COST AIRLINE MODEL

  • 1. A Presentation on AIR DECCAN IndIa’s fIrst low cost airlines PRESENTED BY GROUP 2 CUTM - MBA
  • 2. Summary • Air deccan lunched its LCA in India on Sep 2003 • Its airfares is 50% of FSA’s • Targeted people – Frequent business travelers and train traveler (those who travel in A/C coaches) • Offers no-frills services • For ticket booking customers can call the 24 hour call center or e- ticketing • Tie-up retail outlet where the customers easily book their tickets. • It launches a Dynafares • Promoters promoted its services through print and outdoor media • Tagline – simplify • Tough competitors are “UB group”, Wadia groups “GO”, “Visa Airlines”, “Air-India Express”, “Royal Airlines”.
  • 3. 1. Discuss how effectively Air Deccan has used the elements of its services marketing mix to market its services ?
  • 4. Product No frills air travel There is no free food or drink onboard. Passengers are buy them onboard. Price • Air Deccan has low fares(50% of FSAs) • 25% of seats at pricing between Rs 700 to Rs 1500, 50% of seats were priced half of FASs’ and the rest 25% seats priced 70% FSAs’.
  • 5. Place  It provides it’s services in 8 countries  Customers can book their ticket by calling the 24 hour call center.  The customers also get their tickets in retail outlets Udaya home world (consumer electronics chain store, Bangalore)  Online reservation system Promotion  Promoted through print and outdoor media  Its advertisement mainly focus on low fares.  Television advertisement
  • 6. People  The aircraft appoint only one airhostess to help the passengers  The pilots and engineers are trained by contract basis. Physical Evidence  Passenger are sit anywhere in a plane  The air Deccan lunches different prices for seats for different seats. The prices depends on the time of ticket booking.
  • 7. Process  The process begins with seat reservation and conformation  The Air Deccan provided no frills services No food service available(loading and unloading)  Meals and drinks provided only those who are interested  cleaning process was so simple  The seats are not numbered. So passenger are not select a preferred seat  Takes 20 minutes to fly the plain instead of 1 hour (more flight per aircraft were possible)
  • 8. What steps has Air Deccan Taken to reduce the negative effects of perishability?
  • 9. • All seats in a plane are same and the seats are not numbers • For reduce the negative effect of perishability The Air Deccan increased its seat numbers To meet the demand of customers • the Air Deccan lunches different prices for seats at different times of ticket booking. • It tip up with retail stores