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MARKETING OF
AIRLINES
Presented By
Vaibhav makwana
MBA 1st year
Dev sanskriti Vishwavidyalaya, haridwar
Marketing
“Marketing is the management process responsible for
identifying, anticipating and satisfying customer
requirements profitably.”
Marketing is merely a civilized form of warfare in which most
battles are won with words, ideas and discipline thinking
Marketing is a process involving the complete company,
every department and all staff .
Greater use of low
cost airlines
• 53% of SMEs using these
airlines (amex,2003)
Greater use of non-
refundable tickets
• from 5 1 % in 2000 to 58% in
2003 in the USA
•Tend to book simple point –
to point trips directly with the
airline, more complex
itineraries via an agent
•Greater use of
different distribution
channels
Business Market Trends
HOW SHOULD WE
SEGMENT THE
MARKET?
By Value
Frequency Of
Travel
By Length Of Journey
Cabin Class
Journey
Purpose
By Gender
By
Nationality
Dividing the market into groups of customers with similar product
needs and preferences
Market Segmentation
Marketing-Mix Elements
PROMOTION
Advertising Sales Promotion Salesmanship Publicity
PRICE
Discounts Commissions Surcharges Extras
PLACE
Distribution Channel Method Of Distribution Coverage Location
PRODUCT
Design Quality Range Brand Name Feature
Product Planning
• No. Of cabins
• Size of cabins
• Seat configurations
• Interior design
• Food, toiletry bags.
Inflight products
• Access to and from airport
• Lounges
• Check-in
• Fast track,
• Baggage handling
Ground related products
Which
routes?
• Which
segment of
the market?
•Branding and
Differentiation
Effective differential
pricing
Simplifying
pricing
Value for money
Competition from
network carriers and
low costs
Costs of
service
Innovative pricing
Brand value and pricing
Low cost
pricing
Pricing
Promotion
Defining a distinct market presence and image that is easily
communicable to consumers -corporate or tactical advertising.
• Travel agents
• Travel organizer
• Secretaries (business travelers)
• Travelers themselves
• Corporate
Who is the
target ?
• Direct representation-online
• Press and public relation
• Promotion and sponsorship
• Direct mail
• Advertising (display/media)
Which methods
of Promotion
Airline Distribution Channel - Place
Supplier Web Site
Supplier Call Centers &
Ticket Office
Corporate Travel Management
Traditional Travel Agencies &
Their Web Sites
Tour Operators &
Consolidators
Internet Travel Agency &
Airline Portals
The Future
Thank you

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Marketing of airlines ppt

  • 1. MARKETING OF AIRLINES Presented By Vaibhav makwana MBA 1st year Dev sanskriti Vishwavidyalaya, haridwar
  • 2. Marketing “Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably.” Marketing is merely a civilized form of warfare in which most battles are won with words, ideas and discipline thinking Marketing is a process involving the complete company, every department and all staff .
  • 3. Greater use of low cost airlines • 53% of SMEs using these airlines (amex,2003) Greater use of non- refundable tickets • from 5 1 % in 2000 to 58% in 2003 in the USA •Tend to book simple point – to point trips directly with the airline, more complex itineraries via an agent •Greater use of different distribution channels Business Market Trends
  • 4. HOW SHOULD WE SEGMENT THE MARKET? By Value Frequency Of Travel By Length Of Journey Cabin Class Journey Purpose By Gender By Nationality Dividing the market into groups of customers with similar product needs and preferences Market Segmentation
  • 5. Marketing-Mix Elements PROMOTION Advertising Sales Promotion Salesmanship Publicity PRICE Discounts Commissions Surcharges Extras PLACE Distribution Channel Method Of Distribution Coverage Location PRODUCT Design Quality Range Brand Name Feature
  • 6. Product Planning • No. Of cabins • Size of cabins • Seat configurations • Interior design • Food, toiletry bags. Inflight products • Access to and from airport • Lounges • Check-in • Fast track, • Baggage handling Ground related products Which routes? • Which segment of the market? •Branding and Differentiation
  • 7.
  • 8. Effective differential pricing Simplifying pricing Value for money Competition from network carriers and low costs Costs of service Innovative pricing Brand value and pricing Low cost pricing Pricing
  • 9. Promotion Defining a distinct market presence and image that is easily communicable to consumers -corporate or tactical advertising. • Travel agents • Travel organizer • Secretaries (business travelers) • Travelers themselves • Corporate Who is the target ? • Direct representation-online • Press and public relation • Promotion and sponsorship • Direct mail • Advertising (display/media) Which methods of Promotion
  • 10. Airline Distribution Channel - Place Supplier Web Site Supplier Call Centers & Ticket Office Corporate Travel Management Traditional Travel Agencies & Their Web Sites Tour Operators & Consolidators Internet Travel Agency & Airline Portals