CHAROTAR UNIVERSITY OF SCIENCE AND TECHNOLOGY

INDUKAKA IPCOWALA INSTITUTE OF MANAGEMENT

FACULTY OF MANAGEMENT STUDIES
MASTER OF BUSINESS ADMINISTRATION PROGRAMME
(2021-2022)

INDIGO AIRLINES
SUBMITTED BY:
WAGA GAMLATHLAGE JANAKA RUMESH GAMLATH
STUDENT ID:
21MBA140
SUBMITTED TO:
DR. PRANAV DESAI
 CONTENT
 INTRODUCTION
 DEFINING MARKETING FOR NEW REALITY
 DEVELOPING MARKETING STRATEGIES AND PLANS
 MARKETING MIX OF INDIGO AIRLINES
 CREATING CUSTOMER VALUE SATISFACTION AND LOYALTY
 SWOT ANALYSIS OF INDIGO AIRLINES
 CAMPAIGNS DONE BY INDIGO AIRLINES
 BUSINESS MODEL OF INDIGO AIRLINES
 GLOBAL MARKETS OF INDIGO AIRLINES
 IDENTIFYING MARKET SEGMENTS AND TARGETS OF INDIGO
 DEALING WITH COMPETITION BY INDIGO AIRLINES
 VISION, MISSIONAND TAGLINE OF INDIGO AIRLINES
 CRAFTING BRAND POSITIONING STRATEGIES
 SETTING PRODUCT STRATEGY BY INDIGO AIRLINES
 DESIGNING AND MANAGING SERVICES BY INDIGO AIRLINES
 DEVELOPING PRICING STRATEGIES AND PROGRAMMES
 DESIGNING AND MANAGING VALUE NETWORKS
 BRAND EQUITY OF INDIGO AIRLINES
 MANAGING MASS COMMUNICATION
 PERSONAL AND DIGITAL COMMUNICATION
 INTRODUCING NEW OFFERINGS
 EMERGING MARKET NEEDS AND OPPORTUNITIES
 CONTEMPORARY ISSUES
 CONCLUSION
 REFERENCES
 INTRODUCTION
 Indigo airlines is the largest and leading airline in India by means of number of passengers
handle and number of aircrafts.
 It was established in 2006 in abd based in Gurgaon.
 It has 278 Airbus and ATR aircrafts in its current fleet
 Indigo operates both domestic and international flights from many Indian airports.
 It operates its flights to 94 domestic destinations and 25 international destinations.
 It operates more than 1500 flight per day.
 It has not recorded any fetal accidents since its establishment.
 It has more than 25000 employees.
 DEFINING MARKETING FOR NEW REALITY

 The marketplace is dramatically different from even 10 years ago, with new marketing
behaviors, opportunities, and challenges emerging.
 Factors influenced new reality marketing

 Technology
 Globalization
 Social responsibility
 DEVELOPING MARKETING STRATEGIES AND PLANS

 Even after emerging as the market leader, Indigo is still one of the fastest expanding aviation
companies.
 Indigo was started with one flight that travelled from New Delhi to Imphal with a pause at
Guwahati. From there, Indigo has grown so much that it now has more than 278 flights to its
name.
 After establishing itself in the domestic market, Indigo is now going global with the vision
of expanding its business to new horizons.
 The strong brand name that the company has made in the Indian market has helped Indigo to
launch its global operations much easier.
 Indigo Airlines targets middle-class people. The Lower middle-class people have a
preconceived notion that air travel is expensive than trains and they were not happy with the
price and service of the existing airlines.
 MARKETING MIX OF INDIGO AIRLINES

 The concept of marketing mix typically comprises of 4aspects that are also known
as 4Ps that are as follows

• Product
• Price
• Place
• Promotion
 CREATING CUSTOMER VALUE SATISFACTION AND LOYALTY

 IndiGo airlines with a market share of 39.8% as of April 2018, attracts customers majorly by
offering low fares, being on-time and by delivering a courteous and hassle-free travel
experience. 7 ways they do that are,

1. Social media
2. Convenience
3. Customer service
4. Timelines
5. Comfort and connectivity
6. In flight meals
7. Offers, loyalty programs and perks
 SWOT ANALYSIS OF INDIGO AIRLINES

Strengths
 Indigo has got a good brand reputation
 Indigo shares a large economy in the aviation market of India.
 Easy Access to the airline’s Website
 Online Check-in facility to reduce the time of the customers
 Indigo has succeeded to make consistent profit every year.
 Indigo is one of the major airlines that maintains the punctual on-time arrival and departure under
normal circumstances.
Weaknesses
 Their flying routes is limited compared to their competitors
 Their services can be copied by their competitors
 They have to explore the international borders
Opportunities
 Indigo has a good opportunity to enter the aircargo market.
 Indigo can increase the frequency of the domestic flights due to its brand reputation
 Indigo has a high opportunity to fly in an international level
Threats
 Indigo has many Indian competitors
 Indigo need to be careful from other international low cost carriers
 Indigo face the problem of other full service airlines offering seats for cheap price
 CAMPAIGNS DONE BY INDIGO AIRLINES
 “2020-The year of Pandemic” has not been most kind to everyone
 Indigo Airlines is up with its campaign #FlyBakshiFly where they turned a simple couple
from Mumbai into an online sensation
 Most brands choose models for their ads, and many try to spread a social message. But
Indigo chose this couple at random.
 This campaign has set the bars high for creative ad makers and also displays that you do not
always need models to star in a campaign to make it successful
 IndiGo, launched its new integrated brand campaign ‘IndiGo Abroad: Happy to be your
first’, to stimulate travelers to explore newer destinations for short and medium -haul
international travel at affordable fares
 The campaign aims to introduce Indian travelers to new and unexplored 6E destinations to
encourage first time international travelers and experiential travelers to look beyond the
regular international destinations, for their next trip abroad with IndiGo
BUSINESS MODEL OF INDIGO AIRLINES
 GLOBAL MARKETS OF INDIGO AIRLINES
 As of March 2022, IndiGo flies to a total of 25 international destinations in Asia and Europe
 Before 2018, the carrier only offered flights to seven destinations outside India, mainly those
in South Asia
 However, with the larger A321neo joining the fleet soon, shrinking profits at home, and an
expanding market, IndiGo decided to grow its reach.
 IndiGo added flights to Ho Chi Minh, Hanoi, and Yangon from its base in Kolkata, creating a
new gateway for Asian routes.
 The airline also began taking a macro approach and targeted underserved markets. One such
market was China, where it saw huge room for growth. In 2019
 Added connections from Delhi to Chengdu and another one from Kolkata to the industrial
hub of Guangzhou
 The airline also added new connections to Hong Kong, serving it from Bangalore and
Kolkata.
 IDENTIFYING MARKET SEGMENTS AND TARGETS OF INDIGO
 Market segmentation is the process through which marketing managers at Indigo Aviation
can divide the large market into smaller segments based on distinct needs, characteristics, or
consumer behavior
 Indigo Aviation can do segmentation based on following criteria – geographic, demographic,
usage, user status, income, lifestyle, value proposition priorities, benefits sought, loyalty
status, gender, social class, self-perception, psychographic factors, and other attitudes
 One of the most widely used multivariate segmentation system is – PRIZM, developed by
Claritas. It is widely used by various marketing and advertising agencies. It comprises 68
customer segments based on the US Household Purchasing Preferences data
 The target market demographics for indigo airlines are approximately 60% official travellers
and rest 40% includes all types of travellers the metropolitans of India, Delhi, Mumbai,
Bangalore and Chennai
 DEALING WITH COMPETITION BY INDIGO AIRLINES
Indian competitors
 Spicejet
 Go first
 Air asia india
 Vistara
 Air India
International competitors
 Air arabia
 Fly dubai
 Air asia
 Lion air
 Emirates
 Qatar airways
 VISION, MISSIONAND TAGLINE OF INDIGO AIRLINES
 Vision
INDIGO’s vision is to provide a meeting place for sharing knowledge and act as a broad
platform for international exchange relating to the representation of Indigenous culture in design

 Mission
INDIGO’s mission is to provide an open and inclusive space for reflection, discussion and action
regarding the contemporary interpretation an application of traditionally inspired Indigenous
design. To promote, encourage and facilitate relevance while respecting its historic and
aboriginal legacy. INDIGO’s vision is to provide an online forum for sharing ideas, information
that fosters discourse and understanding about the representation of Indigenous culture in design
practice

 Tagline
“Go IndiGo”
 CRAFTING BRAND POSITIONING STRATEGIES

The no-frills carrier has a clear positioning – it promises to offer customers

 Fares that are always low
 Flights that are on time
 A courteous, hassle free travel experience
 SETTING PRODUCT STRATEGY BY INDIGO AIRLINES
 Indigo Airlines is one of the leading airline players in India. Indigo Airlines provides low cost
air transportation service to the consumers
 This is their core product in their marketing mix
 They also provide supplementary services like web check in, food on board etc.
 They have a variety of meal options for their consumers
 For consumer’s convenience and comfort Indigo Airlines also provides online booking,
mobile ticketing and pick and drop services
 Indigo’s Cargo services named cargo is also catching up very fast
 They have special packaging for fragile packages which come under 6E priority
 They do not accept perishable shipments like seafood, dairy, plants, meat. Indigo Airlines also
carries postal mails like speed post, ordinary mail and Army mail
 DESIGNING AND MANAGING SERVICES BY INDIGO AIRLINES

 IndiGo airlines design their inflight services according to the latest trends in the world
 They have hired a team of specialists to do the research and design new services to create more value to
customer
 Indigo also offers some discounted price for different category of people such as,
 6E student – discounted tickets for students with extra check in baggage allowance.
 6E forces – discounted tickets are offered to personnel from army, navy and other forces
 6E pension – discounted tickets for old age people
 6E vaccinated – discounted ticket for covid 19 vaccinated travelers
 DEVELOPING PRICING STRATEGIES AND PROGRAMMES
 Indigo Airlines is present in a very competitive airlines segment in India
 Price is what gives Indigo its edge over other competitors, therefore it is an important component
of it marketing mix
 When consumers compare prices they find that Indigo Airlines provides them with low fares and
quality, on time services
 Indigo’s cost control department has a huge role to play in this
 Indigo Airlines saves huge cost on this very expensive resource
 Aviation turbine fuel prices constitutes about 40% of the operating cost of an airline
 It provides optional services of meals which are prepaid
 The consumers have to buy their meals in case they want to have anything on board
 With these little knacks it controls its cost
 DESIGNING AND MANAGING VALUE NETWORKS

 A network which creates partnership and value in purchase, production and selling of
products is referred to as value network
 Value network looks at the whole supply chain system players as partners rather than
customers
 The purpose of value network is to increase productivity, save cost and increase revenue
 Indigo airline has come up with code share partnerships with many other airlines in the world.
Those airlines are American airlines, Turkish airlines, Qatar airways, Qantas airlines, Air
France and KLM airlines
 By coming up with these code share partnerships indigo airlines has entered to a large
exposure to the international passenger movement and is now able to get a lot of international
passengers
BRAND EQUITY OF INDIGO AIRLINES
 MANAGING MASS COMMUNICATION

 Indigo Airlines has come out with a few television Commercials and online advertisements to
promote itself
 Indigo Airlines does a lot of promotions through billboards/hoardings
 The aim of the promotions is to increase the user base and also rope in new customers
 Its Broadway campaign which announced Indigo Airlines going international was done by
Wieden+Kennedy creative agency
 It communicated its key offering of reaching everywhere on time and also announced its
international operations
 Indigo Airlines collaborates with bank for its promotions, for example the Indigo-ICICI bank
promotion where one would get a cashback if one books the tickets using a ICICI debit or
credit card
 PERSONAL AND DIGITAL COMMUNICATION

 IndiGo, India’s largest and most popular passenger airline. With its customers already
accustomed to online bookings, check-ins and interactions before the pandemic, the
company was well positioned to boost its digital capabilities and experiences in 2020
 IndiGo is focusing on four key priorities to enhance its digital capabilities:
 Making experiences simpler
 Understanding customer sentiment
 Embracing automation
 Delivering tailored content
 INTRODUCING NEW OFFERINGS
 IndiGo introduces 20 new domestic flights on several routes
 The flights have been introduced on various routes including Pune-Mangaluru, Pune-Visakhapatnam, Hubli-
Hyderabad, Jammu-Varanasi and Tirupati-Tiruchirappalli. The country's largest airline will be introducing 20
exclusive routes as well as re-commence 16 exclusive flights apart from starting RCS services between Prayagraj
and Lucknow
 Indigo also offers many new offerings to its customers. Such as,
 • 6E quick board
 • 6E prime
 • 6E seat select
 • 6E tiffin
 • 6E excess baggage
 • 6E travel assistant
 • 6E bar
 • 6E travel kit
 • 6E lounge service
 • 6E sports equipment
 • 6E insurance
 EMERGING MARKET NEEDS AND OPPORTUNITIES

 Indigo Airlines targets middle-class people. The Lower middle-class people have a
preconceived notion that air travel is expensive than trains and they were not happy with
the price and service of the existing airlines
 Everyday there is a new demand in airline industry. India, being the 3rd largest aviation
sector in the world creates new facilities everyday to the aviation sector such as
constructing new international and regional airports, expanding flight networks, expanding
export zones and many more. These creates an emerging market need for indigo airlines as
the leading airline ion India
 CONTEMPORARY ISSUES

 While indigo airline is ruling the sky as the leading airline in india and the 3rd largest low
cost airline in the Asia it also face many difficulties in the market. These contemporary
issues have a major effects on indigo airlines day to day operations and it also affect the
market share that indigo holds in the Indian aviation. Some of the major contemporary
issues indigo airlines facing are,
 PW engine issue
 Increased fuel price
 Covid 19 pandemic
 Increasing competitors
 Renovations of airports
 CONCLUSION
 Indigo is a low-cost airline in India based in Gurgaon and operates both domestic and
international flights
 Currently indigo is the leading airline in India by means of passenger handling and number
of aircrafts
 Indigo operates to 94 domestic destinations and 25 international destinations and it has a
fleet of 278 Airbus aircrafts
 Indigo airlines targets middle-class low-income customers as it offers fairs at very low price
 Indigo promotes its brand through different media such as mass media personal and digital
media etc
 Indigo has both domestic and international competitors in the market
 They have a high brand equity in the market as they are the leading airline in india and 3rd
largest in Asia
 Finally we can we how indigo has become the largest and the leading airline of india just
within 16 years of starting operations in 2006
 REFERENCES

 https://www.mbaskool.com/marketing-mix/services/17079-indigo-airlines.html
 https://www.marketing91.com/marketing-strategy-of-indigo-airlines/
 https://iide.co/case-studies/marketing-strategy-of-indigo-airlines/
 https://thestrategystory.com/2021/01/01/indigo-airlines-strategy/
 https://www.slideshare.net/BhooshanKanani/pricing-strategy-of-indigo-airlines
 https://brandequity.economictimes.indiatimes.com/social-analytics/airline/indigo-airlines/527
 https://brandirectory.com/brands/indigo/
 https://en.wikipedia.org/wiki/IndiGo
 https://www.ipl.org/essay/Indigo-Airlines-Marketing-Strategy-F3FM5W36J48R
 https://www.managementstudyguide.com/value-networks-and-marketing-channels.htm
THANK YOU