Kingfisher Airline


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Kingfisher Airline

  1. 2. <ul><li>Dr Vijay Mallya is the Chairman and CEO of Kingfisher Airlines </li></ul><ul><li>Kingfisher Airlines Limited launched scheduled airline services on May 9, 2005 with 4 daily flights between BOM & BLR and one A-320 aircraft. </li></ul><ul><li>There are tools for mood lighting such as web chat, inseat plug-in for music, live TV with 16 channels on each seat </li></ul><ul><li>100 percent E ticket airline </li></ul>
  2. 3. Value Proposition <ul><li>Costs lower than economy class travel on full service airlines and marginally more than the ‘bus services’ type low cost competition </li></ul><ul><li>Delight and pamper their guests through unparalleled levels of service, comfort, and convenience </li></ul><ul><li>`Designer' aircrafts complete with models as air hostesses </li></ul><ul><li>In-flight entertainment options </li></ul><ul><li>Lowest per seat mile cost in India </li></ul>
  3. 5. STP Analysis <ul><li>Segmentation </li></ul><ul><ul><ul><li>Geographic Region </li></ul></ul></ul><ul><ul><ul><li>Density </li></ul></ul></ul><ul><ul><ul><li>Social Classes </li></ul></ul></ul><ul><ul><ul><li>Income Level </li></ul></ul></ul><ul><li>Targeting </li></ul><ul><ul><ul><li>Kingfisher First </li></ul></ul></ul><ul><ul><ul><ul><li>company executives </li></ul></ul></ul></ul><ul><ul><ul><li>Kingfisher Class </li></ul></ul></ul><ul><ul><ul><ul><li>lower middle, upper middle, lower upper segment </li></ul></ul></ul></ul><ul><li>Positioning </li></ul><ul><ul><ul><li>Lifestyle </li></ul></ul></ul><ul><ul><ul><li>Benefits </li></ul></ul></ul><ul><ul><ul><li>Quality </li></ul></ul></ul>
  4. 6. S.W.O.T. Analysis <ul><li>First airline with full new fleet of aircraft </li></ul><ul><li>Quality hospitality provided to customers </li></ul><ul><li>Route rationalization </li></ul><ul><li>Already have training academy </li></ul><ul><li>Service delivery to metros and other big cities </li></ul><ul><li>Yet not in profit </li></ul><ul><li>High ticket pricing </li></ul><ul><li>High attrition in top brass </li></ul><ul><li>Under penetrated domestic market </li></ul><ul><li>International market </li></ul><ul><li>Untapped air cargo market </li></ul><ul><li>Expanding tourism industry </li></ul><ul><li>Existing Operators </li></ul><ul><li>Infrastructure issue </li></ul><ul><li>Fuel price hike </li></ul><ul><li>Economic slowdown. </li></ul>- Strengths - Weaknesses - Opportunities - Threats
  5. 7. 7 P’s <ul><li>Product </li></ul><ul><ul><ul><li>Fleet Size </li></ul></ul></ul><ul><ul><ul><li>Aircrafts </li></ul></ul></ul><ul><ul><ul><li>International Foray </li></ul></ul></ul><ul><li>Promotions </li></ul><ul><ul><ul><li>Advertisements </li></ul></ul></ul><ul><ul><ul><li>Magazine and Newspaper ads </li></ul></ul></ul><ul><ul><ul><li>Exposure at non-corporate event </li></ul></ul></ul><ul><ul><ul><li>Participation in International Airshows </li></ul></ul></ul><ul><ul><ul><li>Endorsing celebrities like Katrina Kaif and Yana Gupta </li></ul></ul></ul><ul><li>Price </li></ul><ul><ul><ul><li>Dynamic pricing model - Multiple fare levels </li></ul></ul></ul><ul><ul><ul><li>Uniform rules </li></ul></ul></ul><ul><ul><ul><li>No hidden restrictions. </li></ul></ul></ul><ul><ul><ul><li>Pricing model - 8 different levels </li></ul></ul></ul><ul><ul><ul><li>Discounts provided from time to time </li></ul></ul></ul>
  6. 8. <ul><li>People </li></ul><ul><ul><ul><li>Backbone of the brand </li></ul></ul></ul><ul><ul><ul><li>Extensive trainings </li></ul></ul></ul><ul><ul><ul><li>Hospitality industry and consider their customer as guests </li></ul></ul></ul><ul><ul><ul><li>Interpersonal skills, aptitude, and service knowledge </li></ul></ul></ul><ul><li>Place </li></ul><ul><ul><ul><li>Online Booking - </li></ul></ul></ul><ul><ul><ul><li>Online Booking -,, </li></ul></ul></ul><ul><ul><ul><li>Credit Cards & Debit Cards Payment </li></ul></ul></ul><ul><ul><ul><li>SMS / Call </li></ul></ul></ul><ul><ul><ul><li>Outlets in every major city and at every airport across the country </li></ul></ul></ul>7 P’s
  7. 9. 7 P’s <ul><li>Physical Evidence </li></ul><ul><ul><ul><li>Personal valets </li></ul></ul></ul><ul><ul><ul><li>Exclusive lounge space </li></ul></ul></ul><ul><ul><ul><li>Hi! Blitz </li></ul></ul></ul><ul><ul><ul><li>Gourmet cuisine </li></ul></ul></ul><ul><ul><ul><li>world class cabin crew </li></ul></ul></ul><ul><ul><ul><li>5 trendy video- Fun TV; 10 music stations -Kingfisher Radio </li></ul></ul></ul><ul><li>Process </li></ul><ul><ul><ul><li>Booking the ticket - online booking or tele-booking or from any of the kingfisher outlet </li></ul></ul></ul>
  8. 10. Problem identification <ul><li>Current Indian scenario : Air travel </li></ul><ul><ul><li>For majority of people preference-No frills – low cost airlines </li></ul></ul><ul><li>Kingfisher competing with both the “no frills - low cost” airlines as well as those with frills. </li></ul><ul><li>Three unique classes of service :– </li></ul><ul><ul><ul><li>Kingfisher First (Business class) </li></ul></ul></ul><ul><ul><ul><li>Kingfisher Class (Premium economy) </li></ul></ul></ul><ul><ul><ul><li>Kingfisher Red (Low fare) </li></ul></ul></ul><ul><li>Current segmentation based on social class & income level </li></ul><ul><ul><li>Social classes: which use full carrier services and those which use first class services of the railways </li></ul></ul><ul><ul><li>Income level : Low cost carrier for those who travel by first class railway </li></ul></ul><ul><li>Problem with positioning </li></ul><ul><ul><li>Brand relates to Lifestyle </li></ul></ul>
  9. 11. Competitive Pressure Service Price Low cost Carriers changing the game Indigo
  10. 12. Recommendations <ul><li>Needs to change brand perception </li></ul><ul><ul><li>Currently perceived as Lifestyle slogan </li></ul></ul><ul><ul><li>Red color of crew :Reflects Royalty </li></ul></ul><ul><ul><li>Over dependence on brand image of Mr. Mallaya </li></ul></ul><ul><ul><ul><li>Jet airways : Reflects professionalism </li></ul></ul></ul><ul><li>Advertisement reflecting Value for Money </li></ul><ul><li>Gain operational efficiencies through alliances as with Jet Airways </li></ul><ul><li>Leverage Upon: </li></ul><ul><ul><li>New fleet, Unmatched flight service </li></ul></ul><ul><ul><li>Innovative ideas-LIVE TV with 16 channels </li></ul></ul><ul><ul><li>Air Boutique, in Kingfisher Airlines </li></ul></ul><ul><li>A joint promotion, i.e. using MakeMyTrip services and flying Kingfisher Airlines. </li></ul><ul><ul><li>By partnering with Kingfisher Airlines, further convenience in travel is offered at no extra cost- Added value </li></ul></ul><ul><li>Fleet size expansion </li></ul>
  11. 13. THANK YOU <ul><li>Presented By: </li></ul><ul><ul><ul><li>Girish Mittal </li></ul></ul></ul><ul><ul><ul><li>IMT Ghaziabad </li></ul></ul></ul>