SlideShare a Scribd company logo
1 of 76
 
 
swot analysis of easyjet
strengths
weaknesses
opportunities
Threats
Question 1 How do easyJet’s marketing objectives and its marketing mix strategy affect its pricing decisions?
EasyJet ’s 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.”
objectives  ,[object Object],[object Object],[object Object]
[object Object]
With recognition for providing more efficient, low-cost flights, whilst maintaining as a high quality of service as possible, easyJet is positioning itself to its consumer base as the best form of budget travel in Europe. Price is a crucial positioning factor
[object Object]
[object Object]
[object Object]
[object Object],Promotion/Communications :
Question 2 Discuss factors that have affected the nature of costs in the airline industry since 2000. How have these factors affected pricing decisions?
Factors since 2000 ,[object Object],[object Object],[object Object],[object Object]
Heightened environmental consciousness ,[object Object],[object Object],[object Object]
information age ,[object Object],[object Object],[object Object]
terrorism (9/11 attack) ,[object Object],[object Object],[object Object],[object Object],[object Object]
energy crisis ,[object Object],[object Object],[object Object],[object Object]
Average u.s. jet fuel price
airfare pricing trends ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object]
[object Object],Average air fares
Factors decreasing prices ,[object Object]
factors increasing prices ,[object Object],[object Object],[object Object]
OUTCOME ,[object Object]
Question 3 How do the nature of the airline market and the demand for airline service affect easyJet’s decisions?
nature of airline market ,[object Object],[object Object],[object Object],[object Object]
Demand for airline service (from easyjet’s viewpoint) ,[object Object],[object Object],[object Object]
price elasticity of demand (for easyjet services) ,[object Object],[object Object]
reasons for high ped ,[object Object],[object Object],[object Object]
easyjet marketing decisions ,[object Object]
Competing with other airlines
 
Question 4 What general pricing approaches have airlines pursued?
Pricing strategies matrix Quality LOW HIGH LOW P r i c e HIGH ECONOMY PENETRATION SKIMMING PREMIUM
Full service carriers ,[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],Low cost carriers
[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object]
Question 5 Do you think that EasyJet will be able to continue to maintain a competitive advantage based on price? What will happen if other carriers match the low-price leader?
Current competitive advantages based on prices ,[object Object],[object Object],[object Object],[object Object]
ARGUMENTS AGAINST MAINTAINING COMPETITIVE ADVANTAGES BASED ON PRICES ,[object Object],[object Object],[object Object]
[object Object],[object Object]
Examples of mergers/acquisition
Maintaining NON-PRICE BASED COMPETITIVE ADVANTAGES THROUGH DIFFERENTIATION ,[object Object]
[object Object]
[object Object],[object Object]
[object Object]
[object Object]
recommendations
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Profile #1: Winston
 
INFRASTRUCTURE ,[object Object],[object Object]
discounted contracts ,[object Object],[object Object]
business-select seats ,[object Object],[object Object]
frequent flyer program ,[object Object],[object Object],[object Object]
 
 
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Profile #2: Shermine
 
 
[object Object],[object Object]
[object Object],[object Object]
easyjet backpacker forum (Ebf) ,[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object]
Links between Recommendations and Profiling of Backpackers
Generic recommendations ,[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object]
conclusion “ Come on, let’s fly!!”

More Related Content

What's hot

Ryanair Low-Cost Strategy Business Model
Ryanair Low-Cost Strategy Business ModelRyanair Low-Cost Strategy Business Model
Ryanair Low-Cost Strategy Business ModelKevin Constant
 
Sales Process for Airlines
Sales Process for AirlinesSales Process for Airlines
Sales Process for AirlinesYohan DSouza
 
Strategic management of emirates airline
Strategic management of emirates airlineStrategic management of emirates airline
Strategic management of emirates airlineInstant Assignment Help
 
Yield management in the airline industry
Yield management in the airline industry Yield management in the airline industry
Yield management in the airline industry TTS
 
Report on Air deccan culture status
Report on Air deccan culture statusReport on Air deccan culture status
Report on Air deccan culture statusRomn man Shrestha
 
Airline pricing strategies and revenue management
Airline pricing strategies and revenue managementAirline pricing strategies and revenue management
Airline pricing strategies and revenue managementAMALDASKH
 
Scheduling and Revenue Management
Scheduling and Revenue ManagementScheduling and Revenue Management
Scheduling and Revenue Managementnsihammou
 
Air Asia MBA 439 2013
Air Asia MBA 439 2013Air Asia MBA 439 2013
Air Asia MBA 439 2013Vinita Prasad
 
Ryanair - Strategy and Value Creation 2014
Ryanair - Strategy and Value Creation 2014Ryanair - Strategy and Value Creation 2014
Ryanair - Strategy and Value Creation 2014Fiona O'Driscoll
 
Customer Segmentation Analysis - Emirates
Customer Segmentation Analysis - EmiratesCustomer Segmentation Analysis - Emirates
Customer Segmentation Analysis - EmiratesNew York University
 
Ryanair Strategic Management & Marketing Strategy
Ryanair Strategic Management & Marketing StrategyRyanair Strategic Management & Marketing Strategy
Ryanair Strategic Management & Marketing StrategyJoost Narraina
 
Revenue management overview
Revenue management overviewRevenue management overview
Revenue management overviewchinichiang0707
 
Airline Industry Marketing Ppt
Airline Industry Marketing PptAirline Industry Marketing Ppt
Airline Industry Marketing PptAMANPREETJOHAL
 
Easy Jet Case Study - Mis
Easy Jet Case Study   -  MisEasy Jet Case Study   -  Mis
Easy Jet Case Study - MisBERHMANI Samuel
 
Capstone Research-Southwest Airlines
Capstone Research-Southwest AirlinesCapstone Research-Southwest Airlines
Capstone Research-Southwest Airlinescpedersen
 
Strategic management ryanair
Strategic management ryanairStrategic management ryanair
Strategic management ryanairSharif Sabbir
 

What's hot (20)

Ryanair Low-Cost Strategy Business Model
Ryanair Low-Cost Strategy Business ModelRyanair Low-Cost Strategy Business Model
Ryanair Low-Cost Strategy Business Model
 
Sales Process for Airlines
Sales Process for AirlinesSales Process for Airlines
Sales Process for Airlines
 
Strategic management of emirates airline
Strategic management of emirates airlineStrategic management of emirates airline
Strategic management of emirates airline
 
Emirates Airline
Emirates AirlineEmirates Airline
Emirates Airline
 
Yield management in the airline industry
Yield management in the airline industry Yield management in the airline industry
Yield management in the airline industry
 
Report on Air deccan culture status
Report on Air deccan culture statusReport on Air deccan culture status
Report on Air deccan culture status
 
Airline pricing strategies and revenue management
Airline pricing strategies and revenue managementAirline pricing strategies and revenue management
Airline pricing strategies and revenue management
 
Scheduling and Revenue Management
Scheduling and Revenue ManagementScheduling and Revenue Management
Scheduling and Revenue Management
 
Air Asia MBA 439 2013
Air Asia MBA 439 2013Air Asia MBA 439 2013
Air Asia MBA 439 2013
 
Porter's Analysis
Porter's AnalysisPorter's Analysis
Porter's Analysis
 
Ryanair - Strategy and Value Creation 2014
Ryanair - Strategy and Value Creation 2014Ryanair - Strategy and Value Creation 2014
Ryanair - Strategy and Value Creation 2014
 
Customer Segmentation Analysis - Emirates
Customer Segmentation Analysis - EmiratesCustomer Segmentation Analysis - Emirates
Customer Segmentation Analysis - Emirates
 
Ryanair Strategic Management & Marketing Strategy
Ryanair Strategic Management & Marketing StrategyRyanair Strategic Management & Marketing Strategy
Ryanair Strategic Management & Marketing Strategy
 
a case study of Emirates
a case study of Emiratesa case study of Emirates
a case study of Emirates
 
Revenue management overview
Revenue management overviewRevenue management overview
Revenue management overview
 
Airline Industry Marketing Ppt
Airline Industry Marketing PptAirline Industry Marketing Ppt
Airline Industry Marketing Ppt
 
Service Brand study on Emirates
Service Brand study on EmiratesService Brand study on Emirates
Service Brand study on Emirates
 
Easy Jet Case Study - Mis
Easy Jet Case Study   -  MisEasy Jet Case Study   -  Mis
Easy Jet Case Study - Mis
 
Capstone Research-Southwest Airlines
Capstone Research-Southwest AirlinesCapstone Research-Southwest Airlines
Capstone Research-Southwest Airlines
 
Strategic management ryanair
Strategic management ryanairStrategic management ryanair
Strategic management ryanair
 

Similar to EasyJet's Low-Cost Leadership Strategy: Maintaining Competitive Advantage Through Differentiation

The Airline industry An european Perspective
The Airline industry An european PerspectiveThe Airline industry An european Perspective
The Airline industry An european PerspectiveCletus Henry Roche
 
From Brick Mortar To Online Click Organisation
From Brick Mortar To Online Click OrganisationFrom Brick Mortar To Online Click Organisation
From Brick Mortar To Online Click OrganisationKartik Mehta
 
Analysis of Ryanair's Competitive Advantages
Analysis of Ryanair's  Competitive AdvantagesAnalysis of Ryanair's  Competitive Advantages
Analysis of Ryanair's Competitive AdvantagesMohammadtaghi Abedian
 
Marketing Airline
Marketing AirlineMarketing Airline
Marketing Airlinezeeshanvali
 
Marketing for travel and tourism 2015
Marketing for travel and tourism 2015Marketing for travel and tourism 2015
Marketing for travel and tourism 2015Felecia Palmer
 
Luftansa vs emirates airlines
Luftansa vs emirates airlinesLuftansa vs emirates airlines
Luftansa vs emirates airlinesBhavin Agrawal
 
Measuring Passenger Experience for Airlines
Measuring Passenger Experience for AirlinesMeasuring Passenger Experience for Airlines
Measuring Passenger Experience for AirlinesNajmuddin Jabalpurwala
 
Southwest airlines
Southwest airlinesSouthwest airlines
Southwest airlinesitsika
 
Airlines 2020 substitution and commoditization
Airlines 2020   substitution and commoditizationAirlines 2020   substitution and commoditization
Airlines 2020 substitution and commoditizationMarinet Ltd
 
Issues & Trends - The Global Budget Airline Industry V2
Issues & Trends - The Global Budget Airline Industry V2Issues & Trends - The Global Budget Airline Industry V2
Issues & Trends - The Global Budget Airline Industry V2ahabib10
 
Low cost airlines in INdia
Low cost airlines in INdiaLow cost airlines in INdia
Low cost airlines in INdiamehakmonga
 
Indian Civil Aviation Industry
Indian Civil Aviation IndustryIndian Civil Aviation Industry
Indian Civil Aviation IndustryNeha Kumar
 

Similar to EasyJet's Low-Cost Leadership Strategy: Maintaining Competitive Advantage Through Differentiation (20)

Jet Blue
Jet BlueJet Blue
Jet Blue
 
The Airline industry An european Perspective
The Airline industry An european PerspectiveThe Airline industry An european Perspective
The Airline industry An european Perspective
 
Southwest
SouthwestSouthwest
Southwest
 
From Brick Mortar To Online Click Organisation
From Brick Mortar To Online Click OrganisationFrom Brick Mortar To Online Click Organisation
From Brick Mortar To Online Click Organisation
 
Analysis of Ryanair's Competitive Advantages
Analysis of Ryanair's  Competitive AdvantagesAnalysis of Ryanair's  Competitive Advantages
Analysis of Ryanair's Competitive Advantages
 
Marketing Airline
Marketing AirlineMarketing Airline
Marketing Airline
 
Marketing for travel and tourism 2015
Marketing for travel and tourism 2015Marketing for travel and tourism 2015
Marketing for travel and tourism 2015
 
Luftansa vs emirates airlines
Luftansa vs emirates airlinesLuftansa vs emirates airlines
Luftansa vs emirates airlines
 
Measuring Passenger Experience for Airlines
Measuring Passenger Experience for AirlinesMeasuring Passenger Experience for Airlines
Measuring Passenger Experience for Airlines
 
Southwest airlines
Southwest airlinesSouthwest airlines
Southwest airlines
 
Airlines 2020 substitution and commoditization
Airlines 2020   substitution and commoditizationAirlines 2020   substitution and commoditization
Airlines 2020 substitution and commoditization
 
Issues & Trends - The Global Budget Airline Industry V2
Issues & Trends - The Global Budget Airline Industry V2Issues & Trends - The Global Budget Airline Industry V2
Issues & Trends - The Global Budget Airline Industry V2
 
Core product
Core productCore product
Core product
 
Low cost airlines in INdia
Low cost airlines in INdiaLow cost airlines in INdia
Low cost airlines in INdia
 
4
44
4
 
Low frill airlines
Low frill airlinesLow frill airlines
Low frill airlines
 
The Future of Air Travel
The Future of Air Travel The Future of Air Travel
The Future of Air Travel
 
Delta
DeltaDelta
Delta
 
Airline Industry
Airline IndustryAirline Industry
Airline Industry
 
Indian Civil Aviation Industry
Indian Civil Aviation IndustryIndian Civil Aviation Industry
Indian Civil Aviation Industry
 

EasyJet's Low-Cost Leadership Strategy: Maintaining Competitive Advantage Through Differentiation

  • 1.  
  • 2.  
  • 8. Question 1 How do easyJet’s marketing objectives and its marketing mix strategy affect its pricing decisions?
  • 9. EasyJet ’s 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.”
  • 10.
  • 11.
  • 12. With recognition for providing more efficient, low-cost flights, whilst maintaining as a high quality of service as possible, easyJet is positioning itself to its consumer base as the best form of budget travel in Europe. Price is a crucial positioning factor
  • 13.
  • 14.
  • 15.
  • 16.
  • 17. Question 2 Discuss factors that have affected the nature of costs in the airline industry since 2000. How have these factors affected pricing decisions?
  • 18.
  • 19.
  • 20.
  • 21.
  • 22.
  • 23. Average u.s. jet fuel price
  • 24.
  • 25.
  • 26.
  • 27.
  • 28.
  • 29.
  • 30. Question 3 How do the nature of the airline market and the demand for airline service affect easyJet’s decisions?
  • 31.
  • 32.
  • 33.
  • 34.
  • 35.
  • 37.  
  • 38. Question 4 What general pricing approaches have airlines pursued?
  • 39. Pricing strategies matrix Quality LOW HIGH LOW P r i c e HIGH ECONOMY PENETRATION SKIMMING PREMIUM
  • 40.
  • 41.
  • 42.
  • 43.
  • 44.
  • 45.
  • 46.
  • 47. Question 5 Do you think that EasyJet will be able to continue to maintain a competitive advantage based on price? What will happen if other carriers match the low-price leader?
  • 48.
  • 49.
  • 50.
  • 52.
  • 53.
  • 54.
  • 55.
  • 56.
  • 58.
  • 59.  
  • 60.
  • 61.
  • 62.
  • 63.
  • 64.  
  • 65.  
  • 66.
  • 67.  
  • 68.  
  • 69.
  • 70.
  • 71.
  • 72.
  • 73. Links between Recommendations and Profiling of Backpackers
  • 74.
  • 75.
  • 76. conclusion “ Come on, let’s fly!!”