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Easyjet  a marketing profile
 

Easyjet a marketing profile

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    Easyjet  a marketing profile Easyjet a marketing profile Presentation Transcript

    • EASYJETCome on, lets fly!!
    • HISTORY 1995: Stelios creates easyJet and starts flights between Luton and Scotland 1996: easyJet opens international routes to Amsterdam, Nice and Barcelona 1997: the website easyJet.com goes live 1998: easyJet acquires a Swiss airline and becomes Geneva’s defacto home carrier
    •  1998: BA launches GO airlines in response to easyJet – Stelios is on their first flight 1998: easyJet is elevated by the media as the arch rival of BA and credited with sparking a price war 1998: as the airline becomes a “brand” Stelios starts to work on brand extension and founds the easyGroup
    •  1999: the TV docusoap on easyJet is first broadcast on Britain’s ITV to an audience of 9m viewers 2000: easyJet PLC is partially floated on the London Stock Exchange 2001: easyJet PLC acquires go airlines nearly doubling in size 2005: easyJet reaches 100 aircraft in the fleet.
    • AND NOW, IT IS One of Europe’s leading airlines with some 170 aircraft flying over 400 routes between 103 airports in 26 countries. Approximately 45 million people a year fly with easyJet enjoying more value for less! The airline is based at EasyLand, at Luton Airport.
    • EASYGROUP easyJet  easy4men (male easyInternetcafe toiletries) easyValue  easyPizza easyCar  easyMusic easyMoney  easyCruise easyCinema  easyMobile easyBus  easyWatch easyHotel  easyVan easyJobs  easyOffice
    • BRAND VALUES great value taking on the big boys for the many not the few relentless innovation keep it simple entrepreneurial making a difference in people’s lives honest, open, caring and fun SHOW VIDEO: Stelios with Riz Khan.flv
    •  Modeled after Southwest Airlines of the US. Stelios borrowed these features from SW airlines:  One type of aircraft  Point to point short haul travel  No in-flight meals  Rapid turnaround time  High aircraft utilisation
    • AND THEN,STELIOS ADDED HIS OWN TWIST: • No travel agents • No tickets; A six character booking reference number is issued. • Encouraged direct sales over the internet • Flew brand new Boeing 737’s • Used maximum seat capacity of 149 seats • No free drinks or peanuts.
    •  Stelios championed the idea of no frills travel. The only free item on board an easyJet flight is an easyRider, the airlines in- flight magazine. Stelios remains the biggest single shareholder of easyJet PLC and a non- executive director
    • MISSION STATEMENT To provide our customers with safe, good value, point-to-point air services. To effect and to offer a consistent and reliable product and fares appealing to leisure and business markets on a range of European routes. To achieve this we will develop our people and establish lasting relationships with our suppliers.
    • TARGET SEGMENT Young people Leisure Travellers Business clients able to plan in advance.
    • KEY MARKETS UK Germany Switzerland Italy France Spain
    • COMPETING ON COST Up to 50% lower costs compared to traditional carriers. Higher plane productivity. Secondary and regional airports. (Luton) One type aircraft fleet.(Brand new Boeing 737’s) Focus on direct sales(90% on internet)
    • COMPETING ON SERVICE No pre-assigned or business class seating. First come first serve basis. Yield management: ‘more the demand, more the fare.’ No meals. Outsource everything except planes, pilots, cabin crew, marketing and sales people.
    • ORANGE Extensive use of the color orange. The crew wore orange clothes, the planes and the office building were painted orange, and even the trash bags were orange. The neon orange represents  value for money.  creates a theme park kind of atmosphere.
    • CREATING BRAND AWARENESS Does not use television advertising much. Relies heavily on press, outdoor and radio advertising , mobile display unit (buses) and PR. EasyJet also uses its own aircraft as airborne billboards. All EasyJet sales promotions are exclusive to the internet. Awareness of EasyJet has also been raised by Airline the ITV docu-soap.
    • CREATING BRAND AWARENESS Run into well publicized, frequent trouble with the Advertising Standards Authority. Low fares neednt B A con -2003 The airline once painted the Loch Ness monster on the side of its aircraft to announce the launch of its services from Luton to Inverness. Web’s favourite airline’ as against BA’s; ‘World’s favourite airline’
    • COMPETITION AND CONSOLIDATIONS Ryanair: took over BUZZ: KLM’s low cost airline, in 2003. British Airways’ low cost carrier, ‘Go Fly’ was acquired by easyJet in 2002.
    • CHALLENGES High overcapacity Race of traditional airlines to catch up Airline offerings are becoming homogeneous.  Lowcost carriers, charters, and scheduled airlines are battling for many of the same price-sensitive customer groups. Lowcost carriers need to pursue three strategies:  cost leadership,  differentiation, and  diversification.