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Social Media Marketing: A Case Study on Jet

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Prof.Kavitha Airways
Venkatachari, IBS
Abstract:
Mumbai
Social media marketing has begun to play an increasingly
important role in the Service Industry, particularly the Travel
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Aziz German Wala,
& Tourism industry. This study studies the usefulness of
PGPM
social networking services, micro blogs and social commerce
sites in the field of tourism in India. This study shows that
airline companies make a substantial amount of profits from
their investments in social media marketing activities. Jet
Airways, a leading airline in India, uses a variety of social
media for effective social marketing activities. By
understanding the characteristics of each social medium, the
effectiveness of the companys marketing activities is
maximized. As such, this case study provides opportunities to
understand consumer behaviors influenced by new
information technologies in the travel & tourism industry.
This study presents the effectiveness of the social media
marketing in a case study of Jet airways which is adopted
several strategies at very early stage.
Keywords: Social media marketing; Internet marketing;
Micro blogging; Social networking site.
Introduction:
Social media based on openness, connectedness, and
participation is reshaping the business paradigm. Today a
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Faculty of Information large number of people use a form of social networking
Technology, Mumbai. services, such as Facebook, Myspace, and LinkedIn for their
kavitav@ibsindia.org personal and or professional function of life. As the consumer
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2014 Batch Student,IBS recognizes the role social media plays and its popularity
Mumbai, grows, the tourism industry has invested in the strategic
aziz.german@yahoo.com application of social marketing through social media.
For example, Tourism Australia recently interviews. Experts in the field have stated
developed marketing programs through that case study is a strategy for doing
Facebook and went beyond general online research which involves an empirical
advertising. Continental Airlines, a leading investigation of a particular contemporary
airline company, maintains a constant phenomenon within its real life context
interaction with customers by using instant using multiple sources of evidence.
messages to answer questions from Although it may not be possible to portray
information -seeking customers or the whole context, a generalized idea can
followers. be partly confirmed in a case study based
Therefore, it is critical to understand on particular phenomenon (Robson,
consumer behavior depending on changes 2002).Likewise, using a case study of Jet
of new information technologies, because Airways for this research could be useful
social media marketing is playing an for the purpose of verifying a generalized
increasingly important role in hospitality concept of social media marketing in
and tourism field (Chan and Guillet, 2011; travel industry.
Xiang and Gretzel, 2010).While there is a The research consisted of observations in
growing interest in social media marketing (Phase I) and interviews in (Phase
in the tourism industry, the degree to II).During Phase I, a series of observations
which and the quantity of academic studies were made of Jet Airways social
focused on the topic are negligible. By marketing activities from March 2011to
examining how different social networking April 2012. And the online advertisements
services are used in the case study of Jet related to Jet Airways social media
Airways, this study does not only provide marketing were reviewed and analyzed. In
academic foundation through exploratory the course of Phase I, the interview
approach with a case study, but also framework for Phase II was developed as
present managerial implications in the well. During Phase II, interviews were
strategic application of social media conducted with a couple of marketing
marketing in tourism. personnel of Jet Airways.
Review of Literature There are three types of interviews that
Research Method could be potentially considered: fully
The Research methods used in this case structured, semi-structured, and
study consisted of observations and unstructured interviews (Robson, 2002). A
fully structured interview is based on What are the strategies for each
predetermined questions similar to survey social media, such as Twitter, Face
questionnaires, and is an opposite concept book, and Social Commerce etc?
of open response questions. A semi- What events do you promote to the
structured interview includes customer, using social media?
predetermined questions, and yet semi- What are the customer profiles of
structured interview takes a more flexible the participants in social media
format and may switch the order of marketing campaigns?
questions and add explanations as needed. What are the benefits by doing
In contrast to structured interviews, an social marketing for your
unstructured interview doesnt have a company?
preset of questions or formats and may Case Study Of Jet Airways, The No.1
involve a casual conversation about a Among Indian Airlines For Social
specific topic. Among the types of Media Practice:
interviews, a semi-structured interview About the company:
was selected for the study because it was Jet Airways was formed in 1992,
deemed important to make interviewees following the open skies policy enunciated
feel comfortable (Cha 2009). The by the Indian government in 1992.Jet
interview process included the main and Airways currently operates a fleet of 83
follow up interviews with marketing aircraft, including 10 Boeing 777-300 ER
managers of Jet Airways in May 2012 and aircraft, 12 Airbus A330-200 aircraft, 47
November 2012, respectively. Table 1 next generation Boeing 737-700/800/900
provides the outline of semi-structured aircraft, and 14 modern ATR 72-500
interview questions. turboprop aircraft. With an average fleet
Table: 1 Outline of Semi-structured age of 4.57 years, the airline has one of the
Interview Questions: youngest aircraft fleet in the world.
Please describe marketing activities Flights to 64 destinations span the length
adopted by you in the area of and breadth of India and beyond, including
online and social media marketing? New York (both JFK and Newark),
How does your company manage Toronto, Brussels, London (Heathrow),
these social media marketing Hong Kong, Singapore, Kuala Lumpur,
activities? Colombo, Bangkok & many more.
Objective of the study: customer preference and needs through
individual interaction with customers
How are the social media (Weber, 2007). Using real-time online
marketing activities of Jet Airways communication tools available on such
managed? social networking sites, Jet Airways
How is Customer analysis done by maintains a friendly relationship with its
the company? customers. Lastly, social commerce sites
What are the issues in Brand health allow customers to make a direct purchase
and awareness and how are they online during a limited time period (Rad
addressed? and Benyoucef, 2010). A jet airway is
What is the rate of return on offering its products for purchase through
investment and potential revenue Autonomy Interwoven. Customers whove
through social media marketing had positive experiences with social
tools employed by the company? commerce voluntarily visit social
commerce sites. This allows Jet Airways
It is important to understand the nature of
to jump start on social commerce business
each social medium when using social
with minimal investment. By
media for marketing purposes. For
understanding the distinct characteristics
example, micro-blogs such as Twitter is a
of each social medium, the effectiveness of
very powerful platform to spread
companys marketing efforts is
information quickly to as many people as
maximized. Moreover, social media
possible (Zhao and Rosson, 2009). Jet
marketing serve as an additional revenue
Airways takes advantage of this property
source for the company through social
of Twitter and posts products which have
commerce.
approaching deadlines in need of quick
Detailed marketing process includes
sales. The success of social marketing
providing travel information services twice
through Twitter can be seen by the sheer
a day on Twitter or Facebook and
number of followers of the Jet Airways
promotional events twice a month through
Tour on Twitter.
other social media by the company staff.
On the other hand, in addition to Twitter,
Products with approaching deadlines are
social networking sites such as Facebook
typically sold at special rates through
are used in order to provide more detailed
social commerce sites. Customer inquiries
information to customers and to identify
are addressed via social media, email and that age groups of those who made online
phone services, in order to improve the purchases through Jet airways Twitte
Twitter or
customer relations. Moreover, offering Facebook.People in their 20s ( 27 %) and
rewards during or after a travel, customer 30s (70%)
%) constituted the majority of on
on-
satisfaction is increased which
h often leads line customer base. Interestingly, there
to repurchase through social media
media. were more on-line
line customers in their 50s
Customer Analysis: (10%)
%) than those in their 40s (12%). It is
A comparative analysis of the customers explained that the Internet access in India
who typically purchase products off-line
off is easily available to people in their 50s
and those using social media provides who tend to have financial stability and
important findings. While the people in more free time. No significant difference is
their 40s or more purchased products off-
off found in gender, however; over 70% of
line, people in their 20s and 30s bought those using social commerce are female in
products using social media sites and their 20s and 30s. Potential customers can
considered price more than the quality of be identified
dentified based on this analysis.
product (Gnther et al., 2009) .It
It is found
Age Kingfisher Jet Airways
13-20 4 10
20-30 40 27
30-40 79 71
40-50 33 28
50andabove 3 10
Table: 2 Customer Analysis (Source: Simplify 360)
Figure: 2 Customer Analysis (Source: Simplify 360)
This table gives us the likes and dislikes of for Jet Airways. Understanding the
customers on various parameters. concerns and requirements of Indian
Customers like good looking and customers, Jet Airways took step to
courteous staff, Punctuality and excellent address those and its consistent delivery in
customer management. However they do a credible and efficient way more than any
not like high pricing. advertisement could have ever done.
While the initial endorsement built the
Brand Awareness:
brand awareness in the market, the
Jet Airways has built its brand by focusing subsequent brand experience that
on the ingredients required to realize its passengers had with Jet Airways helped to
stated corporate mission to be the most cement close ties. This positive experience
preferred airlines in India. When Jet spread by word of mouth among the
Airways entered the market, Indian various segments of the market. It created
Airlines was the market leader and was a a buzz about Jet Airways impeccable
virtual monopoly
oly as it was state owned. service, its friendly staff and its on time
Indian Airlines had built a reputation for flights. All of this enhanced Jet Airways
providing pathetic service, delayed flights, image in the eyes of its prospective
bad food and grumpy and irresponsible customers.
staff. These things initially made it easy
Airlines Positive Sentiments Negative Sentiments Neutral Sentiments
Kingfisher 67.37% 5.04% 27.59%
Jet Airways 55.71% 13.71% 30.58%

Table: 3 Brand Health Comparisons (Source: Simplify 360)

80.00% 67.37%
55.71%
60.00%
Positive Sentiments
40.00% 27.59% 30.58%
Negative Sentiments
13.71%
20.00% 5.04% Neutral Sentiments

0.00%
Kingfisher Jet Airways

Figure: 3 Brand health Comparison between KingFisher and Jetairways


Figure: 4 Number of conversations across the web (Source: Simplify 360)

The analysis of the effectiveness of social media Usage:

Table: 4 Measurement Metrics for Social media marketing (Hoffman and Fodor
2010)

Jet Airways regularly updates on Face allowance). They have uploaded pictures
book and Twitter about their latest travel on image sharing sites such as Flickr and
deals and offers new flight announcements videos on YouTube to showcase their in-
interesting places to visit Queries/ flight features. First-time fliers of this
Redressal (about flight timings, luggage airline can now get an insight of
entertainment and other features offered on and Kingfisher Airlines. Together, they
their flights. Another reason why airlines accounted for 72 percent of the total
are watching the social media closely is volume of results. As observed in many
the factt that 75 per cent of frequent flyers other scenarios, the Pareto rule is found to
would fly an airline if it is recommended be true here. (This rule states that, for
by a friend, rather than flying the cheapest many events, roughlyy 80 percent of the
one, as per MindShift data.Face
Face book effects come from 20 percent of the
followers 64,222 and Twitter followers causes.)Jet Airways and Indigo Airlines
4,348. come in at the third and fourth positions
respectively. JetLite and Spice Jet were
The two most prominent carriers in India
found in a very low number of results.
by volume
me on social media are Air India

Figure: 5 Social Engagement Matrix

According to the recent study by beautifully synchronized their presence


Buzzom.com on Indian Airlines, Jet across social media platforms like
Airways has emerged as the most active Facebook, Twitter, You tube
tube, Flickr,
domestic airline on social media, followed Foursquare and LinkedIn. They have also
by other airlines like spice Jet,, Kingfisher,
Kingfisher started using QR codes.
Air India, Indigo and Go Air. When the
online conversations about various
domestic airlines were studied. Jet has
various products like Jet Mobile, check-in
options, online booking etc. Aside from
that, Jet are also running contests on the
regular basis around events like
Valentines Day, Womens Day etc.,
throughout the year.

Figure:5 Share of a voice(Source:Simplify 360)


Twitter
It has also launched an affiliate marketing
Jet uses Twitter to engage with their
programme as part of the airline's new
customers by responding to their queries
digital marketing strategy. Affiliate
or complaints and updating them on recent
partners may integrate Jet Airways'
news. No wonder they have the largest
booking engine on their site and allow
follower base among Indian Airlines with
visitors to book tickets online. Apart from
more than 8,400 followers, and
getting direct access to the airline's
consequently a high klout score of 53.
customized booking engine, affiliate
They re tweet the positive tweets and try to
partners also get promotional content and
help address the problems in case of
banners on a regular basis. Hence, Jet
complaints or queries. .
Airways, as one of the early adopters of
this model in India, could be setting the YouTubeJet has its official channel on
stage for others to follow suit. YouTube but they havent been able to
leverage on this platform yet. They have
Face book
lot to learn from rival Kingfisher Airlines
On last count, Jet had 211,369 fans on you tube channel which has more than
their Face book page, the highest among 460,000 channel views. They seriously
Indian Airlines. Some of the features on need to create some interesting videos
their Facebook page are information on which viewers feel like sharing with their
special offers, convenience of booking on social networks.
Face book through a widget, customized
landing page for new fans to get an LinkedInJet also recently created a
overview of the airline , flying tips for company page on LinkedIn. Again, Jet is
their guests, crisis updates, awareness of the first airline in India to showcase its
products on LinkedIn, keeping guests JetWings (the in-flight
flight magazine),
updated with the latest initiatives and business cards, press advertisements, etc.
additional services to enhance
nhance their travel To access information, users simply need
experience. The LinkedIn initiative will to scan (take a picture) of the QR code
help make the airline an integral part of (using a QR code reader) with their
their guests (especially the corporate Smartphone which will redirect them to
customers) travel plans and also increase Jets mobile site.
awareness among individuals who seek to
Flickr
experience its services. 2800+ followers
on LinkedIn Page. Jet also has a presence on Flickr where
they upload day to day pictures of the Jets
QR Codes
culture, whether it be their ground staff,
cabin crew etc. This has been done to have
a peek into daily life of Jet which
represents a cool image. Although they are
yett to gain some substantial traffic to
Flickr but continuous updates show their
commitment. What comes out from all this
Jet has also been the early adopter of QR analysis is that Jet is very clear with its
codes.. It provides synopsis of product social media strategy and this is how a
features, advertisements, etc with QR brand should openly approach and adopt
codes across our various communication social media practices into its DNA.
channels including its Face book pages,
Traffic parameters Year ended 31st March

2012 2011

Departures (Number) 41,992 39,003

Available seat kilometers (ASKMs) (Million) 5,829 5481

Revenue
ue passenger (RPKMs)(Million) 4,543 4,340

Passenger load factor (%) 77.9 79.2

Revenue passengers (Number) 4,794,658 4,332,469

(Source: Simplify 360)


Conclusion: use social media marketing tools in hotel
and travel business.
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