Presentation of Recommendations

1. ASSESSMENT 4: PRESENTATION OF
RECOMMENDATIONS

2. INTRODUCTION
This presentation is to inform Virgin Australia Senior Marketing Manager of strategic
recommendations for the purchase of a flight from Melbourne to Sydney, based on the Marketing
Strategy Report by JPCME Consultants. It will provide key information of the recommendations in
the following three areas–
SELECTED
TARGET
MARKET
VIRGIN
BRAND
VALUE
PROPOSITI
ON
MARKETING
MIX

3. SELECTED TARGET MARKET
Segment
Profiles
Estimated % of
consumers
Segmentation
growth
Purchase
behaviour
Brand
preference
Potential
revenue
Frequent
Professionals
23% Grow
More
professionals
will begin to
join loyalty
programs, as
their
expectations
for service
levels will
grow.
This segment
will have an
assistant /
travel
agent/unit go
straight to the
Virgin website
with their
membership
account to
purchase a
flight at the
preferred
time and date
of the client in
business class
with
additional in-
flight
purchases.
This segment
will remain
loyal to Virgin
over any
other airline.
High Growth
There is
growth here
for return on
investment of
direct mailings
to increase
loyalty
programs into
other services
offered by
Virgin and in-
flight add-ons.
Demographic Behavioural Variables
Occupation - Professional Brand loyal
Frequent Professionals
Professional that flies frequently
due to work commitments and is
part of a loyalty program
Careful
Professiona
ls , 9%
High
Spenders,
10%
Frequent
Profession
als 23%
Unfaithful
Professiona
ls , 8%Savers, 9%
High
Achievers ,
15%
Straight
A’s, 21%
Unsettled
Students ,
5%
Virgin Airlines Melb to Sydney Estimated
Consumer Segmentation
The selected target market chosen is Frequent Professionals (23% market share)based on the highest percentage in
the consumer segmentation pie graph.

4. VIRGIN BRAND VALUE PROPOSITION
VIRGIN-
Skytrax World Airline Awards
Best Staff Service Australia Pacific
Roy Morgan Customer Satisfaction Awards
Domestic Business Airline of the Year
Food, checked baggage and entertainment are now complimentary on domestic flights
QANTAS – currently the number one airline in the country according to the 2015 Skytrax Awards (Skytrax 2015) and have also, despite the
economic difficulties experienced both in Australia and worldwide over the past several years; QANTAS is the best performing ASX100
Company for 2014/15 (Qantas Media Release 28/08/15).
Consumer’s perception of the Qantas brand as being a trusted, reliable and safe airline to fly with.
Qantas launched an Auto-Check-in for mobile users, removing the need for printed boarding passes or costly staff intervention as passengers
scan a barcode on their mobiles at check-in.
JETSTAR - Lowest airfare .
Qantas Frequent Flyers travelling on eligible Jetstar fares are eligible to earn Qantas Points and Status Credits. You must be a Qantas Frequent
Flyer member to earn and redeem Qantas Points. A joining fee may apply. Membership and the earning and redemption of Qantas
Points are subject to the terms and conditions of the Qantas Frequent Flyer program which can be found at qantas.com/frequent flyer.

5. POINT OF DIFFERENCE
* Below, flight comparison for Melbourne to Sydney flight for 20/11/15 departing at
7:00am between Virgin, Qantas & Jetstar
Carrier Depart Arrive Flight Saver Flexi Business
VIRGIN
MEL6:30
AM
SYD7:55
AM
VA 807
Non-
stop 1hr
25min
Operator: V
irgin
Australia
$129.00 $389.00
$469.00
QANTAS 06:30Mel
bourneD
uration: 1
h 25m
07:55Sydn
ey Stops: 0
QF404
$140 $399 $519
JETSAR
6:20
AMMelb
ourne
(Tullama
rine)
7:45
AMSydne
y
Direct
flight1hr
s25mins
$95
Virgin Business class
Fare Conditions Domestic Australian flights
Checked Baggage 2 pieces included (32kg)
Additional may be purchased
Food and Beverage Included
Visit virginaustralia.com for details
Flight Changes
Permitted anytime before or after
flight departure.
No fees. Conditions apply.
VoluntaryCancellations
Permitted anytime before or after
flight departure.
No fees. Conditions apply.
ExtraLeg Room Business Seating
Extra space and comfort
Advanced Seat Selection
Included
(V)PriorityCheckin
Included (where offered)
(V)PriorityBoarding
Included (where offered)
(V) LoungeEntry
Included (where offered)
(V) = Based on Velocity Tie

6. MARKETING MIX
VIRGIN
PRICE
PRODUC
T
PROMOTION
PLACE

7. PRODUCT
Melbourne to Sydney flight –
Target frequent professionals already using this product and encourage
consumers to be involved in the social media campaign to ‘like and
share’.
20/11/15 departing at 7:00am

8. PROMOTION
Social media campaign targeting users based on demographic information
showcasing the best deal on airfares and inclusions.
Share and like campaign to receive extra velocity points.

9. PRICE
Price will vary according to dates and times.
Happy Hour is an exclusive sale where you can book discounted flights, holidays
and much more! Visit the page during Happy Hour, which runs from 4pm-
11pm AEDT every Thursday, to view the week's exclusive offers.

10. PLACE
Social media campaign; direct consumers to Virgin website
Posters at airports

11. REFERENCE LIST
Virgin, viewed 30th October 2015, http://www.virginaustralia.com/au/en/
viewed 1st October 2015.
http://www.brw.com.au/p/business/domestic_leisure_seekers_are_the_mU8
cXoJCXB4QTSjfZ3jvLN viewed 2nd October 2015.
World Airline Awards 2015, Best Airline - by Region, Skytrax, viewed 30th
July 2015, <
http://www.worldairlineawards.com/Awards/best_airlines_by_world_regi
on.html>
Facebook , viewed 30th september 2015,
<https://www.facebook.com/events/1726817890873714/.>
Jetstar, viewed 30th October 2015, <http://book.jetstar.com/.>
Qantas 2015, viewed 30th September 2015,
<http://book.qantas.com.au/pl/QFOnline/wds/OverrideServlet>.