Executive Summary

This report describes the concept of Relationship Marketing (RM) can be best demonstrated by the
practices of e-commerce today in the case of Qatar Airways, which is the state airline of Qatar state.
Besides, it is considered as one of the youngest flight companies, which ranks top among prominent
airlines such as Emirates globally (Thomas, 2017). It further analyses the competitive environment in
which this company operates and presents the key strengths and opportunities it faces. Moreover, it
highlights the threats that it faces, such as the political instability and fears of terrorism attacks (Barry,
2015). Besides, the airlines' company report presents an explanation of how the innovation of
relationship marketing practices by E-commerce entities (Internet) is changing the marketplace as it is
known. Additionally, the report presents how Qatar bonds with its customers through Structural bonds,
financial bonding, social boning, and customization bonding.

The report also, it depicts how Qatar airlines have shifted from mass production to mass customization,
and how this has helped to market its products through such a move. As if no enough, this analysis
identified and makes the following three recommendations to Customer Relationship Management for
the company. Firstly, design CRM software that is easily used by travelers, internal customers, and the
organization companies (Avery, 2014). Secondly, as a business, track the behavior of customers during
sales. Lastly, to not only think of using the CRM as the sole sales system that is automated. Besides, the
report presents ways the flight company manages ethical issues originating from the collection of
customer data for CRM.

Introduction

Companies having a sound focus on customers determine their desire towards their potential customers
after that design their products and services in a way that meets the needs of their customers. The
relationship marketing theory focuses on the belief that good relationships with customers make them
feel recognized, cared for, and served with respect (Avery, 2014). Always marketing strategies centers
around two major factors; firstly, to attracts and acquire new customers. Secondly, to retain existing
ones alongside nurturing relationships with them, organizations operate closer to customers to have a
competitive advantage in the market.

Qatar Airways are a state airline company of Qatar as well; it is among the industry aviation source of
the success stories. It was established in 1993 and started operating in 1994 as a small airline company
for the region serving few routes. By 2011, it reached out to over 100 destinations in the global space
(Thomas, 2017). This paper, therefore, addresses the issues of relationship management in Qatar
airways. Besides, it discusses the CRM approach used by the company. It is structured in such a way that
part one analyses the situation of operations; the subsequent parts deal with the RM and CRM and
finally present a recommendation for a better competitive advantage in the future.
PART A (15 marks)

This section should contain a critical situational analysis of the chosen company/product.

This includes Competitive Analysis (assessment on the strengths and weaknesses of current and
potential competitors. This analysis provides both an offensive and defensive strategic context to
identify opportunities and threats), and the Target Market (a group of customers that the business has
decided to aim its marketing efforts and ultimately, its merchandise towards).

Competitive analysis of Qatar Airlines

This analysis evaluates both external and internal factors that affect the flight company's internal and
external environments, given that Qatar airlines among the youngest travel companies that serve six
continents. The Qatar government owns it; this situation gives its powerful competitive advantage over
its competitors in the industry (Carey, 2016). Qatar Airways has immense government support,
originates from an oil-rich country, and targets customers capable of paying for luxurious fees explicitly.
Besides, it plys more than 150 country destinations, premium patronage, and full time winning of the
award are the key competitive advantages and strengths o this flight company (Barry, 2015). The
aforementioned competitive strengths make Qatar airlines a leading global airline. However, the
company faces competition from flight companies that charge low flights since they target travelers of
low income and flight budget.

Famous for opulence in flight, Qatar airlines mainly consider international travel capable of affording the
business category. This strategy is a crucial weakness for the company since it does not provide for the
Qatar locals in tourism (Avery, 2014). As a result of low presence in domestic routes, Qatar airways have
less growth in market share. On the other hand, the travel company has powerful alliance strategies
with premium airways along with its membership in an airline alliance. This depicts that is has a more
significant opportunity to expand more in the international market with an immense presence in the
global alliance acquisition. Moreover, Qatar airways currently increased the portfolio of flights, and
travelers are inquisitive about traveling through their flights because of its renowned services of
premium nature (Avery, 2014). The competition it faces from the airlines of Etihad and Emirates,
unpredicted political environments, wavering fuel prices, disputes in politics and being enclosed by
combative zones such as Palestine and Syria as well as the fear of travelers from attack by a terrorist are
its significant threats (Key, 2017)

The SWOT analysis

Strengths

Weaknesses

It has substantial growth and profitability

Qatar airlines are or world-class status that offers premium services

It has a backing from the government that is consistent with the state of Qatar

This airline has a network across the world with huge fleets that are modern

Qatar airlines have minimal transparency in operational and financial closures

It mainly depends on non-domestic travelers and has a low local population

Opportunities

Threats

Qatar airlines have the opportunity if implementing the latest technological solutions in fostering travel
service delivery

The scheduled world cup by FIFA to take place in Qatar in 2022 fuels its growth in aviation (FIFA World
Cup Sponsors & Partners 2017)

The financial center of Doha development and the development of an international hub

Its Airlines demand may be affected by political instability and terrorism

It faces enormous competition from major global flights from Emirates, Lufthansa, and Etihad

The airline faces the state's political conflicts that negatively impact in Qatar airways from GCC

PESTLE Analysis

Qatar Airways' PESTLE analysis assists in understanding the effects of the macro-environment and their
influence on the travel business of the company. Additionally, this analysis is useful in understanding the
present external factors such as Political, Economic, Social, Technological, Legal and Environmental
forces and how they affect the business model of Qatar airlines (Young, 2015). Besides, it assists in
understanding the business trajectories, company business case, activities, and monitored by the state
regulators.

The government of Qatar assisted the business in starting the numerous routes linking to major in-
country destinations that enhanced the travel company to serve in the six world continents. But, with
heightening terrorism, some countries blocked trade and communication with Qatar. Besides US
president Trump's ban policy of traveling to the US from a majority of Muslim states as a result of
terrorism, banning the carrying of laptops while on the flight, especially from the Middle East to his
country, impedes Qatar airlines from operating (Carey, 2016). However, this travel company set the
trend and is famous for its premium offers that range from facility of checking in online, luggage and
passenger safety, comfortable and lavish Longue to best waiting times, and customized meals provided
by a variety of cuisines (Key, 2017). In socially impacting the brand of Qatar, Airlines have kept and
improved satisfaction of customers a core value.

Technologically, the company opts to advance its technology in its operations; this has made the whole
flight experience adorable and straightforward for the customers and at passengers' fingertips. They
offer bookings and payment facilities online, and there is also departure and arrival online notification as
well as checking-in online this process has gotten better and is still improving.

The company has the first environmental protection concern that requires immediate intervention from
the flight industry due to much fuel consumption and oil wastage. The government applies policies that
aim at protecting the pollution of the environment (Blachly, 2016). The Qatar airways are liable as a
responsible travel company to adhere to the set regulation.

PART B (70 marks)

The concept of Relationship Marketing (RM) can be best demonstrated by the practices of e-commerce
today.

Based on ONE (1) of the websites above, explain how the innovation of relationship marketing practices
by E-commerce entities (Internet) is changing the marketplace as we know it. Relate to relevant
relationship marketing theories and concepts here.

As seen from the competitive analysis, Qatar airways use online booking, payment, departure
notification, and arrival notification as well as checking-ins for their customers. However, with dynamism
in the industry and competition intensity, the company must initiate other mechanisms for increasing its
competitiveness and market base (Carey, 2016). Qatar airlines have adopted this digital marketing to
build relationships with their customers and the entire business. They have allowed customers to
comment through their online platforms and offer a suggestion about the service quality and product. In
enhancing relationship marketing, they have provided the opportunity for response to customer issues
swiftly. Swift responses to customer queries, complaints, and compliments have built their relationship
with their customers as well as the company (Barry, 2015). Besides, the feedbacks provision makes them
put the customers' interests first and not their products. This focuses on customer retention to the
airlines' company.

The company has strategically considered several aspects of using e-commerce marketing; such
elements include marketing affiliation, advertising through Facebook, and PPC. (Carey, 2016).
Additionally, the market via video, managing social media, and they have developed a proper
understanding of the effectiveness and working of digital marketing approaches. Qatar Airlines' e-
commerce marketing is linked to the growth of sales, given that relationship, marketing focuses on
creating a strategic plan for the commencement of customer retention approach. Given this, the
company has provided opulence to the customers that have made it more desirable, among others.

Also, this has made their location easy for the customers. For the company to realize more of its
customer retention, it has to design a unique website to provide it with more competitive advantage
upon continuously carrying out research. In the case of Qatar design, it has featured the entire
destination for their flights with visible graphics about company transport appliances ((Blachly, 2016).
These extra features provided acts as after-sale services to the customers in delivering robust services to
customers. Apart from the online, service provided the company has well-trained staff who are smart,
possessing proper etiquettes and attractive image of the company in their relationship marketing, Qatar
airlines have endeavored to meet their clients' needs. Their website should prominently feature brand
promoters and their contact in facilitating process promotion (Key, 2017).

Qatar's online relationship marketing strategy considers an enormous target market, positioning,
segmentation, and its products, in their website design, they catered for all the factors as mentioned
earlier. Permanently, their airways e-commerce marketing does not include discrimination of gender,
sex, age, or customer class; this has made it easy for it to have a broader market base. Given that they
have access across the world, they need to evaluate the progress of the online strategy continuously.
Moreover, the online marketing relationship must be in line with the whole strategy f the business for it
to get its value (Columbus, 2016). As they strive to achieve this, they need to integrate their web design
to be a multi-marketing strategy channel to help its growth and sustainability (Young, 2015). Besides,
the company should necessarily market consistently with the targets and expectations of the customers
at heart. By consistently selling, they create long-lasting relationships with the customers; always, the
company endeavors to differentiate its online marketing strategy from other competing firms such as
Emirates.

FOUR (4) types of bonds can tie a customer to an organization. Using the same

the website above, synthesize how each of these bonds improves the customer retention rate in the
organization.
Bonds in Customer Relationship

In exercising relationship marketing to bond tie customers to organizations. In the case of Qatar airlines
in assessing their applicability to the business such as financial bonds, social bonds, Customization bonds
Structural bonds

Financial bonds. This type of relationship ties customers mainly through the incentive of finances, such
as lower costs in case of high purchases in volume or minimizing costs for customers who have been
with the organizations for longer times (Dapko & Artis, 2014). Qatar airlines offer their old repeat
customers some small discount to financially bond with them.

Social bonds. Inherently long-lasting relationships are created through interpersonal and social links.
Where customers are perceived as prominent clients and not unimportant persons whose wants and
needs are of importance to the business, and the company endeavors to pay attention and understand
(Kannan & Li, 2017). They customize products and services and get in touch with the customers. In using
social platforms, they create social bonding with their clients. Additionally, Qatar airways value their
customers and regard them as essential components of their business.

Customization bonds. There are two popular terms with this type of relationship, which are intimacy of
customer and mass customization. The later focuses on flexible processes as well as structures in
providing various and frequent individualized products and services offered by the organization at
standardized costs of the alternatives provided by the organizations (Columbus, 2016). On the other
hand, customer intimacy encompasses the knowledge about customers as per the database contained
in the online platform used. Qatar airlines have not segregated ages sex, gender, and offers services
that are particular to the target markets. Besides, they have flexible systems and approaches to
customers (Kannan & Li, 2017).

Structural bonds. These are bonds created through service provision to customers that are frequently
designed as per service delivery to clients. As the company structures the service delivery that quickly
reaches its customers globally, the online platforms foster their structural bonding, and the clients have
been accustomed to their operation and easily reach them.

Explain the shift from mass production to mass customization and relate it to the chosen organization.

Mass production to Mass customization

Given the onset of interchangeable components of the industrial revolution, the moving of
manufacturing from the era of crafts to mass production age in contemporary time, another is emerging
known as mass customization (Karp, 2017). Mass customization eminently replaces the craft era, where
clients possessed products made according to their specifications, and the elites were the ones who
could afford such. When mass production came to exist, the majority of clients could now manage to get
the products as a result of affordability. With the trading of traditional products amongst companies,
ideas, and practices for companies have powerfully developed towards mass techniques of
customization (Dapko & Artis, 2014). As a result of the integration of technology in the production
process and service provision, flexible manufacturing that is team-based and mechanization.
Technologies have emerged focusing on mass customization incorporating three dimensions that do the
non-contact measurement of the body's well as digitized printing of documents.

You have to identify and make at least THREE (3) Customer Relationship Management recommendations
for your chosen company. How does the organization manage any ethical issues originating from the
collection of customer data for CRM?

Customer Relationship Management recommendations

It would recommend the company to do the following in managing their customer relationships

Design CRM software that is easily used by both the travelers, internal customers, and the organization
companies. Given that researches have shown that useful CRM ROI for all employees is critical, the
company moving forward should research-purchase (Dapko & Artis, 2014) And first find out what will
meet the demands of the Qatar airways customers. By skimping on this point, the adoption of CRM will
not be easy but challenging to use (Karp, 2017). Besides, in designing the e-commerce platform for
marketing should be done by the end-users in mind. Given that they will enable sales as well as social
productivity.

Moreover, it is essential to note that not all users will be logging in every day and use the online
platform. By abbreviating fields may be perfectly sensible to sales options but maybe confusing the field
representatives, so customizing the CRM that fits all end-user needs is desirable. Also, the company
should pay keen attention to their interface design, and consider human factors which are pertinent
(Duclos, 2014). The designs should enhance the seamless flow of screens to match the flow of work.
Additionally, manage more the security, confidentiality, and privacy aspects with the travel clients' data.

As a business, track the behavior of customers during sales. The management of Qatar airlines before
calling sales should collect data concerning social media prospects to identify the information types to
share across their online channels because the CRM tools are the ones providing the adaptation to sales
possibilities to the platforms (Columbus, 2016). After making sales call, the sales representatives or the
marketing team should track the resonating content to customers; this will make the travel company
have to click customers that are important in determining the mobile devices to add to already existing
platforms (Duclos, 2014). Besides, as a global travel company, Qatar airways should have applications
that support all mobile devices and keep knowing new mobile apps that have been brought into the
market. In so doing, the company will continue its customers abreast of information about mobile apps
used by customers. In turn, the company will not only understand the trending needs of customers but
also improve in predicting their future trends and design their marketing content and service in line with
a confident plan for the subsequent approach (Columbus, 2016).

Qatar Travel Company should not only think of using CRM as the sole sales system that is automated.
Because in many cases, organizations tend to believe that sales start and stop with the CRM (Nguyen &
Simkin, 2013). Consequences are there for such thoughts such approaches leave some organization
departments off the loop, limiting and, at times, completely deny them system accessibility. As a result,
they fail to sufficiently integrate their designed CRM alongside other interfacings with clients (Duclos,
2014). Given that failing to integrate the service desk with the system of CRM, the company front office
team may be left behind of the trending advancements relating to customer status already shared with
customers; this makes them miss opportunities for engaging and building relationships.

Ethical issues management

The flight company manages ethical issues originating from the collection of customer data for CRM
through the following ways. In 2016 the company adopted the state-of-the-art system of document
management that enables the business to have the capacity of hosting and sharing the company's
policies and operation manuals in real-time for promoting ethical practices towards customer
information (Karp, 2017). Additionally, from the security and safety point of view, the company is pro-
actively working in pursuit of IOSA decrees and recommendations of having data management to be
through centralizing organization schemes. This communicates the controls and procedures. Besides,
Arconics integrated the AeroDocs to its operational Qatar Airways system that minimizes operational
costs and caters to the accuracy of information (Kannan & Li, 2017).

Moreover, the senior vice president of the carrier, who is the group security and safety Mr. Jain, noted
that with the growth, the company has invested in the technology that integrates teams in creating
platforms that are secure and efficient (Young, 2015). The safety officer remarked that their live
organizational system of document management and the web-based operation designed for the
company chance to ensure consistency. Besides, their online orders are compliant to regulations and
control quality in a way that conforms to their business growth projections that are customer-friendly
and do not infringe on their privacy (Nguyen & Simkin, 2013). Besides, the corporation enables its
subject matter experts to liaise well as offer real-time tracking of questionable practices that can
interfere with customer data and strengthens compliance and safety in the enterprise.

Conclusion
Conclusively, therefore, Qatar Airways' success story in marketing has more backing from the
government that initiated its operations and continuously offered its support. Besides, from the
situational analysis, the company of Qatar airways' targets customers capable of paying for luxurious
fees. And is currently plying more than 150 country destinations, has premium patronage, and full time
winning of the award are the key competitive advantages and strengths this flight company (Blachly,
2016). Additionally, the flight company bonds with its customers through aspects such as Structural
bonds, financial bonding, social boning, and social bonding. Besides, Qatar airlines have shifted from
mass production to mass customization, and this has helped to market its products through such moves
(Karp, 2017). As if no enough, this analysis makes the following recommendations to Customer
Relationship Management for the company. Firstly, Qatar airlines should design CRM software that is
easily used by both the travelers, internal customers, and the organization companies. Secondly, as a
business, track the behavior of customers during sales

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