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Lufthansa - Mathew Febin Charles
Lufthansa - Mathew Febin Charles
• Deutsche Lufthansa AG, commonly known as Lufthansa is the largest German airline and
was founded on 6 January, 1953.
• In total, the group has over 700 aircraft, making it one of the largest airline fleets in the
world.
PRODUCT, BRAND & LOGO
• PRODUCT –
2. Logistics
3. MRO
4. IT Services
5. Catering
CONTD.
• BRAND –
2. Customer Centric
3. Focus on Quality
4. Responsible Growth
5. Sustainable growth
6. Continuous Innovation
CONTD.
• LOGO –
• It was part of the livery of the first German airline, Deutsche Luft-
Reederei (abbreviated DLR), which began air service on February 5,
1919.
• Economies of scale • Substituted forms of • Competitive rivalry is high • Labour & Staff costs may
• Buyer power is increased
• Bureaucracy is involved in transport could be road, due to low cost airlines. contribute more than 40%
by the presence of online
setting up a new airline. rail and marine. • Intense rivalry between of total airline costs.
booking.
• The entry barriers for new • Cost of change to rail is airlines to achieve market • Little control over rising
• Passengers are price
airlines are lower in a less expensive. leader status. fuel prices & no subs to
sensitive.
deregulated market. • Low cost airlines offer less • Exit barriers are high. oil.
price than high speed trains • Customers can easily
switch between airlines.
SERVICE MARKETING STRATEGY
• Mission – Lufthansa’s mission is to become a leading name in the world of air travel by being the
top preference of customers and shareholders all over the world. It aims to continue playing a
significant role in shaping the global aviation market as it has been doing for the past decades.
• Core Values –
• Marketing Mix of Lufthansa analyses the brand/company which covers 4Ps (Product, Price,
Place, Promotion) and explains the Lufthansa marketing strategy. As of 2020, there are several
marketing strategies like product/service innovation, marketing investment, customer
experience etc. which have helped the brand grow.
1. Lufthansa charges its customers according to the class they intend to travel.
2. Lufthansa offers 4 classes i.e. Economy, Premium Economy, Business and First class. Economy
and premium economy classes are priced lower as they cater to middle class segment.
3. For Business and First classes premium prices are charged as all high end and business trip
customers travel in these classes.
CONTD.
• Lufthansa Place & Distribution Strategy –
1. Lufthansa has booking options on its website through which a customer can schedule and book
flights according to the needs. Also one can reschedule and cancel flights through the website.
3. Besides this, they also have agents who book tickets for Lufthansa.
4. Lufthansa has city, reservations and airport offices throughout the world from where its
customers can book flights at their convenience.
CONTD.
2. Promotional codes through which the customers can avail discounts on their travel.
5. They also engage with the customers through Twitter where they answer any queries.
ELEMENTS IN SERVICE OFFERING AND RELEVANCE
PartnerPlus benefit
KEY ISSUES AND CHALLENGES
• Tough Competition
• Rising oil prices – Lufthansa can use Connected Aircraft technologies fueled by big data
and advanced analytics to become more efficient managing their fleets and their fuel.
• Losses due to the pandemic – Lufthansa can shut down their non-profitable routes for a
while and increase their traffic to their profitable routes. They can increase their ticket
prices slightly to maximize cash inflow.
• Tough Competition – Provide the best services to the passengers. Allows focus on
customers changing needs as they continually become more demanding.
CONTD.
• Positioning Lufthansa in the Asian route – Improve air traffic route in these routes.
Partner with the most successful Airlines in these routes like Emirates, Etihad Airlines.
THANK YOU