Professional Documents
Culture Documents
GROUP-9
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Submitted By:
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PROPOSAL AND
MARKETING PLAN
Kingfisher Airlines
Richmond Road, +919438113456
Bangalore Kingfisherairlines.com
www.Kingfisherairlines.com
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VISION:
The kingfisher airlines family will consistently deliver a safe and
value-based and enjoyable experience to all our guests.
MISSION:
Kingfisher airlines will have “Fly the Good Times” approach and this
will reflect in the experience will offer to passengers.
TARGET MARKET:
The people in the age group of 25-45 years of age are the target audience
of kingfisher airlines. This segment has travelled extensively & is aware of
international travel trends.
They are modern, trendy and upwardly mobile
looking for a great flying experience.
They target young married professionals (age group 20-35) with small kids &
with income levels more than Rs. 10 lakhs per annum; who generally commute
between Tier 1 and Tier 2 cities; travel for business & leisure; frequent fliers;
enjoy the luxuries of life. These fliers are generally observed to be hard core
loyal.
OBJECTIVES TO BE ACHIEVED:
The company has planned to re-launch its
commercial air service called UB Airway again which it had to withdraw it due to
government restrictions. The Company will give best services to its customers
that were like providing world class interiors, and in-flight entertainment
systems. The company earlier came up with only one class airlines but this time
we have decided to come up with other airlines that had Business class,
Economy class, the idea is to combine Business class experiences and
Economy class experiences in one. Having a single class freed up more leg
space for passengers when compared to normal economy class flights.als to
the Decision Making Process of the target market
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Kingfisher airlines has set out its targets for the next seven years, the latest stage of its journey to become
a net positive business by 2050. The new campaign contains ambitious goals for Kingfisher’s operations,
including a commitment to achieving 50% of group sales from products that help customers create a more
sustainable home by 2020. The campaign aims to drive lasting change by translating service into a
language that connects with customers.
We have carried out detailed customer research in five of its Indian markets to gain a deeper
understanding of customers’ views. Through visiting customers’ homes and listening to their wants and
came to understand that now a day’s people are increasingly concerned about their status.
It’s now time to set our new milestones and we know lasting change will only come when we can help
guide the behaviors of our customers. This plan is rooted in real customer concerns and in our commercial
goals. We know we can have a positive impact on the people who do business with us, the communities we
operate in, and on the environment.
MESSAGE:
THE PROBLEM:
Deploying more planes by existing airlines or the launch of potential start-ups would ease the
pain. But Indian carriers are woefully short of planes. Few realise that the US has 11,000
commercial planes. We have 440 commercial planes — that is international, domestic,
turboprop, big planes and all airlines put together. It is nothing. A few carriers such as Go Air
and Indigo have placed huge orders — 72 and 180 A320 Airbus aircraft each — but planes
do not arrive by bucket loads. The acute shortage is evident in the inability of airlines to fill the
arrival and departure slots vacated by Kingfisher. Before its licence was suspended on
October 20, 2012, Kingfisher held 400 slots. The airline applied and received 120 slots for the
winter schedule from October 30, 2012, to March 30, 2013, post suspension. Even those
slots are not.
OUR GOAL:
Kingfisher airlines main essence is to deal with low-cost carrier. Our goal is to
clarify the misconceptions surrounding the brand and re-iterate what kingfisher is all about.
We will focus on smaller air aircrafts (50-70 seaters) and fuel efficient plans for short
distance. Comply with expectations of the society or community both in legal terms of legal
compliance as well as a good corporate citizen.
We will avoid aggressive expansion of fleets. This time we are trying to avoid full
course meals, give snacks.
Remove the flights from low frequency routes.
Holiday packages for the people who frequently travel 3-4 times in a month, from the
same airline.
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We will allow multiple fare options and auctioning of tickets on all traffic routes. The one word
which people associate with kingfisher Airlines is “Experience”. We will create a new category
Aviation Hospitality, thus making hospitality& service the main focus. Consumers know that
they have to pay a bit more for high level of comfort during the journey. This will show how
efficiently we have positioned ourselves in the market as a premium brand that provides high
quality service at a bit extra cost.
KINGFISHER LOUNGE:
Kingfisher lounges were exclusively meant for Kingfisher First
passengers, along with King Club Silver & King Club Gold members.
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MESSAGE APPEAL:
Given that the airline business is highly capital intensive, every airline tries to
increase utilization by scheduling back to back flights with only a 20 to 30-minute
time in between to prepare for the next flight. Within this short period of time,
several tasks need to take place including cleaning, maintenance checks, de-
boarding and boarding of passengers, unloaded and loading of luggage, loading of
meals. Any delays resulted in a delayed take off and a delayed arrival at
destination.
We will make sure that several operating model choices to not only keep its
operating costs low but also to ensure that planes were ready to take off at the
scheduled time. However, none was more important than using only one type of
aircraft, the Airbus A320. Having only one type of aircraft helped improve utilization
of pilots, crew, maintenance and ground staff, as airline staff is typically specialized
to handle 1-2 aircraft types. More importantly, because staff members were
working on only one aircraft type, they could work faster: MRO (Maintenance,
Repair and Overhaul) staff did their maintenance checks faster, ground staff
loaded baggage faster, and cleaners cleaned the toilets quicker. Small efficiencies
added up when they had only 20-30 minutes to prepare an aircraft.
Secondly, our next strategy will be going to implement ‘Sale and Lease Back’ rule
which will deals with aircraft manufacturers i.e. after six years of operation, the
manufacturers will be contracted to take back the planes and we will have brand
new ones. Keeping the average fleet age low not only we will reduce the
maintenance costs but also fewer maintenance operations will be required.
Furthermore, we have decided to use smart choices about our customer facing
policies and processes to drive timely turnarounds. For instance, meals-for-sale will
be restricted to sandwiches or packaged snacks and beverages that could be
loaded much faster than warm full-meals, which were the norm in Indian aviation in
the late 2000s. They even got their customers to help! A few minutes before
landing, an announcement would be made on the PA system requesting
passengers to tidy up their seats. Passengers would then hand over the trash to a
cabin-crew member who would walk the aisles collecting trash.
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Lastly, as the saying goes, “You cannot improve what you cannot measure” –
kingfisher airlines have decided to invest in technology for measuring on-time
performance in an automated and tamper proof manner. Unlike other airlines that
used manual systems, Kingfisher airlines is going to be equipped with Aircraft
Communications Addressing and Reporting System (ACARS). The system enables
automated communication between the aircraft and ground station – whenever a
flight takes off or lands, the time is recorded in the software. Hence, on time
performance can be reported and tracked in real time.
1. ADVERTISING
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2. SALES PROMOTION:
3. PUBLIC RELATIONS:
4. PERSONAL SELLING:
Personal presentation by firm’s sales force for the purpose of making sales
& building customer relationship.
5. DIRECT MARKETING:
Beverage glasses & cups – Paper glass made of a thick cardboard type
material used to serve beverages on board offers great visibility to a material as
the brand is visible not only to the user of the glass but to all other passengers in
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Tray Table – 70% of the passengers open their tray tables during the flight,
guaranteeing a viewing time of 40 minutes – 5 hours, depending on the duration of
the flight. Its large format airline-advertising-agency offers great brand visibility not
just to the user but to the neighbouring passengers as well.
Bus Grab Handles – Every day thousands of people use the grab handles
inside indigo buses, making their proximity and position a sure way to get
passenger’s attention. Irrespective of whether they are arriving or departing it’s a
standout placement option.
MEDIA:
Platform 1: YouTube
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MONEY:
Factors affecting the allocation of your budget:
Market Size: The people in the age group of 25-45 years of age are the target
audience of kingfisher airlines. This segment has travelled extensively & is
aware of international travel trends.
They are modern, trendy and upwardly mobile
looking for a great flying experience.
The size of the market will affect the decision. In smaller markets, it is easier
and less expensive to reach the target market. Too much of an expenditure in
these markets will lead to saturation and the spending will not be effective. In
larger markets, the target group may be more dispersed and thus more
expensive to reach. The former would be much costlier and would require a
higher budget appropriation.
MARKET POTENTIAL:
PEOPLE:
Kingfisher airline is service industry which has two kinds of clients: External clients (passengers)
and internal customers (employees). Kingfisher airlines uses the word “GUEST” for its external
client, Dr Vijay Mallya has clear instruction to his crew that take care of every guest in the same
manner as they have guest in his own home.
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1. Setting objectives: The quicker we can get customers, the closer you are to those
customers influencing others. Focus our product launch marketing messages on them.
Many potential customers will be slow to buy, so don’t waste our launch money on
them; rather, let the early purchasers influence them through word of mouth. Offer
incentives to buy early through sales promotions as well as appealing to a desire to
have something new or better than what currently exists. A marketing objective might
be, “Sell out of the product within 45 days of product introduction.
2. Identifying tasks: The company wants to increase sales by 10% over a three-month
period, then we have determined that we need to run weekly ads in several local
newspapers in order to boost its visibility.
3. Estimating costs:
Total Rs20,00,00,000
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Measurement:
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MMM
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