airlineindustrymarketingppt-100216075651-phpapp02

7/28/2019 airlineindustrymarketingppt-100216075651-phpapp02

1/24

Airlines Industry


2/24

What is Service Marketing?Services are distinguished from products mainlybecause they are generally produced at the same time as

they are consumed and cannot be stored away or takenand enhanced marketing mix need to be deployed .

Its not about simply reaching about to customers withthe right service. But, its also about creating that rightdesire to possess service.


3/24

AIRLINES AS A SERVICE INDUSTRY The Airline industry came into existence during the

17th centuries.

Origin of Indian aviation industry can be traced

back to the year 1912.

Air travel remains a large and growing industry. Itfacilitates economic growth, world trade,

international investment and tourism and istherefore central to the globalization taking placein many other industries


4/24

India has the private airlines as itskey players

75% of the market share is owned bythe private sector.

India is the 9th largest aviation marketin the world.


5/24

Entry

OfPrivatePlayers


6/24

Bharat Airlines

This is the state carrier owned by thegovernment.

Annual turnover touching over 4,500 crores.

Bharat airlines is able to cloak about 260flights touching over 65 domestic destination.

These airlines is have biggest capacity withclose to 35,000 seats.


7/24

Set Airways This airline has very seriously challenged the

monopoly of Bharat Airline.

It operats close to 250 weekly flightscovering around 45 destinations.

Total seating capacity is about 30,000 seats.

Set Airways cloked turnover of around 4,000crore annually.


8/24

Depend Air Depend air is started its operations in 1993. This

is the smallest of the three operations.

It operates around 120 flights ina wek, covering

about 24 destination.

In comparison with Bharat airlins, Depend airsseating capacity is about one third, at about

11,500.

Depend air is is not able to achieve a strongdifferentiated position in market.


9/24

Dr Vijay Mallya is the Chairman and CEO of KingfisherAirlines

Kingfisher Airlines Limited launched scheduled airlineservices on May 9, 2005 with 4 daily flights betweenBOM & BLR and one A-320 aircraft.

There are tools for mood lighting such as web chat,inseat plugins for music, liveTV with 16 channels oneach seat

100 percent E ticket airline

Kingfisher Airlines


10/24

Jet Airlines Jet Airways is an airline based inMumbai, India.

It is India's third largest airline.

Jet Airways also operates two low-cost

airlines, namely Jetlite (formerly AirSahara) and Jet Airways Konnect.


11/24

Top 10 Airline Companies Of India

S.No Site

1. Indian Airways2. Kingfisher

3. Air India

4. Air Deccan

5.

Lufthansa India

Airlines

6. Air Sahara

7. IndiGo

8. Alliance Air

9.

Paramount

Airways Private

Limited

10. Jet Airways
http://indian-airlines.nic.in/home.asphttp://www.allianceairlines.com/http://www.allianceairlines.com/http://indian-airlines.nic.in/home.asp


12/24

PRODUCT PRICE PLACE PROMOTION PEOPLE PROCESSPHYSICAL

EVIDENCE

RAINBOW OF SERVICE MARKETING MIX


13/24

Product Mix Giving a Feel For The Product Inside a Service

Wrapper .

Consumers are demanding not products, orfeatures of products but the benefits they will beoffered.

The airline product includes of two types ofservices:

1. On the Ground Services.

2. In-Flight Services.


14/24

Price MixPremium pricing:-Use a high price where there is a uniquenessabout the product or service. Such high prices are charge for

luxuries

Cheap-value pricing:-This approach is used where externalfactors such as recession or increased competition forcecompanies to provide 'value' products and services to retainsales

APEX fares:-Apex or advance purchase fares are specialfares valid on economy class on specified sectors. They aremuch lower than the normal fares.


15/24

Promotion MixAdvertising- keep in mind the image of the country,tourist attraction, cultural heritage

Publicity- Travel agent, PRO, media people

Sales promotion- Tour operators, frontline staff


16/24

Place mixOnline 24-hour reservation Systems.

Tour Operator

Travel Agent


17/24

People MixReliability

Caring Attitude

Goodwill


18/24

Process mixReservation.

Flight Information.

Facilities at The Airport.

Baggage Handling.

Meal Service.

Flight Entertainment.

Deliver Quality Service


19/24

PHYSICAL EVIDENCEOn the ground:

Booking offices or ticket counters.

Paperwork.

Tickets.

In-flight:

Aircraft, Seating Configuration.

Good Inner-exteriors.Ambience.


20/24

Strength Of Airlines Industry Air South and Spice Air are Using Aggressive Price driven strategy to lure customer to Fly With Them. They Attempted to Dig Into Indian Airlines s Market

With The High Quality Services, Primarily in Plan Careand Entertainment.

Air Travel Market is One Of The Fastest GrowingMarket.

They Offer Services Connecting Various Metros andFirst Class Cities.

In August(2003), Air decan Become India s FirstLow Cost Airline After it launched What Was No morethan Just a Point to Point air Ferry.

Post-nineteen Indian Policies began to Move TowardLiberalization and Pro-Competition Regime.


21/24

Weakness Of Airlines

Industry The Services Were Expensive so

only a Few Could afford Them.

Besides Due To IncreasedCompetition, the Industry isincurring mounting losses

The Customer Did Not Have MuchChoice, but to rely upon theirservices irrespective of ServicesQuality ,Price, connection ,andSchedule issues.

Air Industry In India Was not Open

To Private Players For Long

Lack Of Experience Of TheIndustry and Other Glitches ForcedThem to Exit the Market


22/24

Weakness Of Airlines

Industry Air cargo market has not yet been

fully taped in the Indian marketsand is expected that in the comingyears large number of players willhave dedicated fleets.

The infrastructure development has

not kept pace with the growth inaviation services sector leading to abottleneck. Huge investmentrequirement for physicalinfrastructure for airports.

The infrastructure development hasnot kept pace with the growth in

aviation services sector leading to abottleneck. Huge investmentrequirement for physicalinfrastructure for airports.


23/24


24/24

airlineindustrymarketingppt-100216075651-phpapp02

Documents