Delta airlines presentation

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  • 1. delta airlinesTHE CASE OF BUSINESS TRAVELLERS
  • 2. OBJECTIVE The Presentation analyses the case of Delta Airlinestargeting and re-positioning it’s brand in the Segment of Business Travellers
  • 3. QUICK VIEW• The Case (Slide 4)• The Company (Slide 5)• SWOT Analysis (Slide 6-9)• Segment Research (Slide 10)• Strategy (Slide 11)  Advertising Strategy (Slide 12)  Pricing Strategy (Slide 13) (Slide 4)  Servicing Strategy (Slide 14) 3
  • 4. THE CASE Business Travellers pay 2.5 to 3 times more for ticketsthan leisure travellers. Simply say they are Repeat Audience ofthe Airlines Industry. Companies fight fiercely for attractingthem. However, The Share of Business Travellers is decreasing.In one year alone, The percentage of Business Travellersdecreased from 46 to 37%. The case deals with the Strategy of Delta Air Lines inacquiring Customers from the Segment of Business Travellers 4
  • 5. Delta Air Lines is a major United States airline headquarteredin Atlanta, Georgia, in the United States.. Theairlines hub at Hartsfield-Jackson Atlanta InternationalAirport is the worlds busiest airport by passenger traffic(88 million passengers per year) and number of landings andtakeoffs. Delta is the oldest airline still operating in the UnitedStates. 5
  • 6. STRENGTHS• Excellent Reputation for Service• Convenient Flight Schedules• Wide Choice of Destination cities• Safe and reliable journey• Sensitivity and Understanding nature towards Passengers• Adaptability to needs of its Flyers• Lack of Advanced-Purchase requirements for International Routes 6
  • 7. WEAKNESSES• Poor awareness about Delta Airlines• Business fliers doubt Delta Airlines capability of meeting their business needs• Not well-known for its International Routes 7
  • 8. OPPORTUNITIES• Business Travellers pay 2.5 to 3 times more for tickets than leisure travellers. Simply say they are Repeat travellers• A large amount of Segment is still untapped i.e. Less penetration of Delta in Business Fliers Segment• Travellers do know about the reputation of Quality service by Delta Airlines• Setting up of On-Board Offices with Desks, Fax, Computers, Printers and Phones on Business-Shuttle Flights 8
  • 9. THREATS• Companies moving towards cheaper alternatives to Business travels• Business Fliers numbers are dropping (Segment is Shrinking). Decreased from 46 to 37 % of total Fliers• Highly competitive market  American Airlines upgrading Business Class travel to First Class level cuisine and individual Head and Leg rests  Northwest Airlines rescheduled all its flights reducing the layover time for travellers flying with Connecting flights  Provision of Arrival Lounges for Business Class fliers by British Airlines  Business-one Service (Frequent Flights and Convenience gates) to Travellers by United Airlines in select cities 9
  • 10. SEGMENT RESEARCH• Company closely observed needs and wants of Customers (Business Travellers)  Convenient Flight Schedules  Wide Choice of Destination cities  A safe and reliable aircraft  Service 10
  • 11. STRATEGYDelta followed a Market Penetration Strategy as part of itsFunctional or Marketing Plan of maximizing its Profitability inthe Short as well as Long run by acquiring more number ofCustomers and also their loyalty• Increasing Visibility – Advertisements• Competitive Edge – Pricing• Differentiator – Service 11
  • 12. ADVERTISING STRATEGY• To position itself as an Airline that delivers everything Business fliers need• Ads on Television and other National Media• 30 second TV Ad focuses on Concern of Delta for Unique needs of International Travellers• Radio and Print ads communicate Market specific Information 12
  • 13. PRICING STRATEGY• Lower fares• Enhanced Frequent Flier program• Trans-Atlantic flights’ Fares lowered by 10 to 45 percent• Absence of Advanced Purchase requirements• Lowering of Mileage requirement 13
  • 14. SERVICING STRATEGY• Setting up of On-Board Offices with Desks, Fax, Computers, Printers and Phones on Business-Shuttle Flights* (Feasibility Study in Progress)• Quality Service with Sensitivity, Understanding and Personal Touch• Cultivating Model behaviour and service with Customers in Employees* Being developed by McDonnell Douglas 14
  • 15. _____________/_____________ Thank You 15