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Marketing mix

Marketing is refers to an activity carry out in moving a product from the idea stage to the
finished stage, for example from a manufacturer to consumer, at a profit. Marketing involves
an exchange of values between two or more people. Marketing begins with customers and
ends with customers, it begin with the need of customer and end with satisfaction of the
customer. (Adam Khan Kasi, 2010)
How to position your market is vital, putting the right product in the right place and time as
well as right price. The marketing mix is a good place to start, when thinking of making a
marketing plan.
The Marketing Mix well-known as the combination of 4 elements which is Product, Price,
Place and Promotion. To create a right Marketing Mix, the organization need to meet the
following conditions.
The Marketing Mix (The 4 P's of Marketing)

The product in marketing can be tangible or intangible. It basically means, tangible product
is a product where can clearly see and touch for example a car, a house. Intangible product
is refers to a services. Services are just like oxygen where you cannot touch or taste.
Major Service with minor accompanying goods for example airline, the airline passengers
buys the transportation service and it will include some tangibles such as food or beverage.
Moreover, the services may include the facilities, well-mannered staff and pure service such
as lawyer services. (Adam Khan Kasi, 2010)
The product has to have the right features, for example functionality, quality and safety,
must be able to perform a task or function with high quality and safety. In addition, the
packaging, repairs and support, warranty. Take Singapore Airline (SIA) as example, the
product must look good and work well in order to attract more customers. Internet Center for
Management and Business Administration (2010)
Such as, the passengers buys the transportation service, therefore the airline industries
(SIA) need to make sure the price must be reasonable and no delay or cancellation due to
simply reason as well as constant availability of seats for passengers.
Moreover, make sure the time of departing and arriving is at the right place and right time.
Product differentiation and product positioning, Singapore airline (SIA) had built it brand
name, the image is luxury therefore (SIA) need to maintain its reputation by repositioning,
adjust durability.
Product support, this is refers to after sales service, for example, the passengers buy the
transportation, thus the agent of (SIA) can make an acknowledgement through email by
sending a customer review or poll.

Price is refers to the amount on the product the customer pay for. In marketing mix, price is
the one which creates sales revenue. The price of an item will determine the value of sale
made, it determines what customer willing to pay for.
Researching customer opinion about pricing is very important. The organization have to
come out with differ pricing strategy in order to increase the sale. The pricing strategy
includes Cash and early payment discounts, Seasonal pricing and Price discrimination.
Internet Center for Management and Business Administration (2010)
For example Singapore Airline (SIA), in order to increase the sale, Cash and early payment
discounts strategy is a foremost, such as the passengers buy the transportation service,
upon the travel period must indicates deadline for early payment discounts for example 5%
to 10%.Hence, this will increase more sale and tariffs.
Moreover, Seasonal pricing strategy is very effective in order to increase more sales, upon
the travel period there must be certain month which consider peak season. For example on
the December to January, Singapore Airline (SIA) can come up with a special travel
Last but not least, price discrimination strategy can be used. For instance, Singapore Airline
(SIA) has to practice selling the goods or services at different price to differ
buyers/customer, by focusing on the basic of income, age, geographic location etc.

Place in marketing mix is refers to the location, virtual place for selling the product. It is the
distribution channels, used to get the product from the manufacturer/service, provide to the
customer, it can as well refer to transportation or place for storing goods.
The term "Putting the right product in the right place and time as well as right price", it
basically refers to in order to make it success, Singapore Airline (SIA) has to ensure the
departing and arriving time or place must be accordingly and properly. Internet Center for
Management and Business Administration (2010)

Promotion is a marketing tool where the marketers can used for promoting or
communication of product or services to the customer. Promotion include advertise, direct
marketing, Public Relation (PR) and internet marketing. (Adam Khan Kasi, 2010)
In order to make more profit, Singapore Airline (SIA) can focus on the promotional strategy,
for example the "push and pull" concept, personal selling and sales force, is all about talking
and how to present it in a proper way, by using an airhostess or celebrity endorsement to
held a promotional activity or event. Advertise through Television (TV), radio, direct
marketing for example through email, flyer, and brochure etc. Internet Center for
Management and Business Administration (2010)
Effective promotion activity will directly target the targeted market at a specific group,
successful promotion will increases the sales, Singapore Airline (SIA) can focus on the food
and beverage category by develop a new breakfast meals and drinks with special offers
together with free seats or special seats for certain period of time with only pay for a certain

Amadeus and Singapore Airlines

Sign Worldwide Content
Amadeus has signed a worldwide content and third party channel parity
agreement with Singapore Airlines, providing Amadeus subscribers access to
the airline's flight schedules, fares and other service information for up to five

Amadeus subscribers will have access to all of Singapore Airlines travel agent and third party
content for up to five years.

Madrid, Spain, 22 March 2011: Amadeus, a leading travel technology partner and transaction
processor for the global travel and tourism industry, has signed a worldwide content and third party
channel parity agreement with Singapore Airlines, providing Amadeus subscribers access to the
airlines flight schedules, fares and other service information for up to five years.

Under the agreement, Amadeus subscribers will have access to all content that Singapore Airlines
distributes to travel agencies and third party channels.

David Doctor, Director Airline and Travel Agency Distribution, Amadeus, said, Singapore Airlines is
one of the worlds most respected brands and a leading airline not only in Asia, but globally.
Amadeus is proud to partner with Singapore Airlines for their distribution and information technology
needs. This new content agreement ensures that Amadeus subscribers globally will have access to
all fares and services available to travel agencies and third party channels.
- Ends -

Notes to the editors

About Amadeus
Amadeus is a leading transaction processor and provider of advanced technology solutions for the
global travel and tourism industry.
Customer groups include travel providers (e.g airlines, hotels, rail, ferries, etc.), travel sellers (travel
agencies and websites), and travel buyers (corporations and individual travellers).

The group operates a transaction-based business model and processed 850 million billable travel
transactions in 2010.

Amadeus has central sites in Madrid (corporate headquarters and marketing), Nice (development)
and Erding (Operations data processing centre) and regional offices in Miami, Buenos Aires,
Bangkok and Dubai. At a market level, Amadeus maintains customer operations through 73 local
Amadeus Commercial Organisations covering 195 countries.

Amadeus is listed on the Madrid, Barcelona, Bilbao and Valencia stock exchanges and trades under
the symbol AMS.MC. For the year ended 31 December 2010, the company reported revenues of
EUR 2,683 million and EBITDA of EUR 1,015 million. The Amadeus group employs over 10,270
employees worldwide, with 123 nationalities represented at the central offices.

To find out more about Amadeus please go to

To visit the Amadeus Investor Relations centre please go to

About Singapore Airlines

When Singapore Airlines was formed in 1972, it operated a modest fleet of 10 aircraft to just 22
cities in 18 countries. With a commitment to fleet modernisation, product and service innovation and
market leadership, the Airline quickly distinguished itself as a world-class carrier.

Today, Singapore Airlines operates a modern passenger fleet of more than 100 aircraft and its
network, including Singapore Airlines Cargo and SilkAir destinations, covers a total of 100
destinations in 39 countries.

In October 2007, Singapore Airlines, a member of the Star Alliance, made aviation history as the
first to fly the worlds largest passenger aircraft, the Airbus A380.
customer satisfaction

The success of an intangible service, relies heavily on its ability to make an emotional bond with its
customers. Each moment of truth creates an experience that enhances the relationship and brings
about loyalty in the customers. Singapore Airlines (SIA), the worlds second largest airline based on
market capitalisation, has been successful in delivering an excellent service and in creating an
exceptional experience for its customers throughout their journeys.
SIA has successfully maximised its shareholders value by leveraging its relationships with employees
and customers. A continuous innovation in enhancing employees competencies, product and service
design are the key drivers. Motivated and happy employees will provide exemplary services to
customers, which will subsequently lead to increased customer loyalty and market share.
Furthermore, the direct and indirect by-products of customer retention and increased market share are
spear-heading operational costs and higher profit. The high profitability allows SIA to reward its
employees and to develop a consistent innovation in terms of technology and trainings for the
employees, and subsequently it reinforces SIAs strong position in the airlines industry.

SIA engrosses heavily on recruiting and retaining the best people in the industry. SIAs applicants
have to go through a rigorous recruitment process, that involves three-rounds of interviews,
functional skill and soft skill tests, which help the company to identify candidates who chime in well
with the customer-centric company culture. Annually, SIA hires 500-600 new flight attendants from
16,000 applicants. SIAs employees are required to complete a four months training in order to serve
a customer, nearly twice as long as the industry average. Moreover, SIAs pilots are required to attend
frontline staff training to fully understand the customers needs.

SIA, as a luxury airline, has been successfully managed its relationship with the customers by
identifying the right customers, keeping track of customer lifestyle, and fulfilling customers high
expectations with a personal approach. SIAs value propositions rely on two main pillars; continuous
innovation and service excellence. SIAs continuous innovation is based on its extensive customer
feedback process. Customer information is gathered from surveys, staff input, call center, social
media and database, this information is then compared with competitor information from
benchmarking surveys (IATA and Global Performance Survey) and spy flight. Consequently, SIA
has managed to be not only be the pioneer of many products and services throughout the airlines
history. But also, to be the first airlines that uses new aircraft models, such as Airbus A-380, Boeing
777, and Boeing 747 jumbo jets.
Moreover, SIA has comprehended that treating customers as human beings, rather than just a sales
point is the main driver in delivering an excellent experience for the customers. Its goal is to be the
best company not only in the airlines industry, but also in the entire service sector. SIAs flight
attendants have been trained to anticipate and fulfill the customer needs. They have been trained not
only to follow a set of rules, but also to be flexible, to some extent, in fulfilling those needs,
especially for the premium classes where service is more personalised.

In order to maintain customer satisfaction and credibility, SIA has developed an elaborate system to
handle customer complaints and compliments. A factual example was when a customer complained
about her broken in-flight entertainment, the flight attendants manager proposed a USD70 voucher
for in-flight shopping to maintain her satisfaction of SIAs service. Furthermore, for more than 39
years, SIA has been able to sustain its safety record with two fatal accidents and one hijack related
Nevertheless, SIAs reputation has created a high expectation among its customers, and subsequently
it will jeopardise the relationship because customer will easily be dissatisfied. Another issue would
be in identifying the real value of customers and in building relationships with the right customers.
Loyalty programs are not sufficient enough since many valuable customers prefer not to register in
any frequent flyer schemes. Furthermore, a decreasing switching cost in the airlines industry has
lowered customer loyalty this in turn will prevent SIA to build a long term relationship with its
customers in a less costly way.