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TSM10106 Airline Marketing & Management

Lecture 12: Review of module and


Portfolio workshop

Edinburgh Napier University

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Lectures: Topics 2-7

Topic 1 Topic 2 Topic 3


Introduction The Airline Airline Competitive
and airline Marketing Strategies
marketing Environment
context

Topic 4 Topic 5 Topic 6


Marketing Airline Alliances Airline
Information & Partnership marketing
& Research Strategies strategies
Lectures: Topics 7-12

Topic 7 Topic 8 Topic 9


Product Price and Selling, Advertising
Management Revenue & Promotional
& Brand Management Policies
Positioning

Topic 10 Topic 11 Topic 12


Current and Customer Portfolio
Future Relationship Assignment
Distribution Management clinic
Channels
Overview of Tutorials

1. Marketing strategy, tactics and 7. Positioning Southwest airlines


mix through Employee branding

8. Case study: Turkish Airlines’


2. Tools for environmental analysis
sponsorship deals

3. Analysing Marketing Strategy 9. Case study: Kulula’s marketing


campaigns

4. Case study: Lufthansa


10. Portfolio guidelines workshop
5. Role of marketing and
components of marketing strategy
11. Social Media as a CRM tool
6. Report guidelines workshop
12. Assignment Clinic
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Two assessments:

• Assessment 2 1
• A 2500
2500-word
word portfolio
report
• 50% of module grade

• Lectures/Tutorials 7-12
1-6 relate to assessment 2
relate to assessment 1
• Submission Date :
•• Submission
TBA Date:
TBA

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Assessment 2: Portfolio

You are expected to collate a


portfolio of evidence accompanied
by a 2,500 word report that covers
the following topics:


Choose two different types of airline and appraise one of the main marketing
tactics that both airlines share

Compare and evaluate the marketing mix that delivers this tactic in each airline

2500 word portfolio - submit by …TBA

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Step 1: Choose two specific
airlines.
• Each airline must be of a different type.
• Types include: Low cost carrier (LCC); regional
carrier; full service carrier (FSC); charter carrier
(there are others, e.g. freight carriers that might
also be appropriate)
• For example:
• Ryanair as a LCC and British Airways as a FSC
• Thomson as a charter carrier and Flybe as a
regional carrier.
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Step 2: Portfolio of Evidence

• As appendices to your report will be a Portfolio of


Evidence that illustrate elements of the marketing
mix
• Elements of the marketing mix are the 5 Ps
• Within each ‘P’ there are sub elements
• Eg Place = channels of distribution, networks,
airports
• FEW (in-depth) better than LOTS (superficially)

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Overview
Airline 1 Airline 2
Type of airline Different type

Shared tactic

Airline 1 compare
Airline 2
1st ‘P’ 1st ‘P’

Airline 1 compare Airline 2


2nd ‘P’ 2nd ‘P’

conclusion
Example 1

Strategy Tactics Mktg Mix


Adapting the Mix:
Maximise profits
• Mostly F&C class
Our strategy is Ways to do this: • High volumes of Y
to maximise • Maximise • Increase load factors
return on profits Reduce costs
investment • Reduce staff:pax
• Reduce costs • Start charging for
services
Widen Range of
Passenger
• Widen range of • Consider promotions
passengers and targeted advertising
• Etc, etc • Adjust price to appeal to
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different customer
groups
Example 2

Strategy Tactics Mktg Mix

Our strategy is to Ways to do this: Adapting the Mix:


grow our customer • Encourage CRM existing customers
base repeat purchase Price deals repeat purchase
• Promote Promotions
customer loyalty Loyalty cards
• Target new FFPs
customers
• Introduce new
markets Each of these tactics
would have a different
mix to make them
happen

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Annual reports to identify tactics

Use annual reports to


identify tactics arising
from their stated strategy

Look at the sheet


handed out

How many potential


permutations can you pick
out between these 4
carriers?
Click on logos to
open annual 12
reports
The key factor about the two airlines you choose is that they
should share a similar tactic.

EXAMPLES OF POSSIBLE TACTICS – choose ONE only:

• Encouraging repeat • Brand positioning


purchase • Brand awareness
• Improve customer • Rebranding
loyalty • Maximise network
• High profit coverage
• High volume • Geographical coverage
• Domination in a market
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Sources of info:

Social networking
Airline websites Company reports sites (FB, Twitter,
Tripadvisor)

Trade journals/websites
Academic journals
Newspaper articles – (Flightglobal,
Travelmole, Tourism
(Air Transport
current and archive
review) Management)

Youtube captures of
TV & radio adverts or Emails from airlines
PR material
even viral or web (database marketing)
marketing (web link)
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Bloom’s Taxonomy of Cognitive Verbs

Evaluation

Synthesis

Analysis

Application

Understandin
g

Knowledge

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