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This course is prepared under the Erasmus+ KA-210-YOU Project titled
«Skilling Youth for the Next Generation Air Transport Management»
Contemporary Managerial
Tools in Aviation
Marketing Management in Aviation
Assoc. Prof. Dr. Savaş. S. Ateş
Dr. Şahap Akan
• Globalization, fierce competition and rapid advances in
communications technologies significantly impact airline
businesses. In this context, airlines are striving to meet
transportation needs by providing safer, faster and more
comfortable travel experiences. At the same time, they strive to
create customer satisfaction and loyalty through the services
they offer.
• As a result, the ever-changing customer desires, needs, and
expectations within global market conditions are consistently
amplifying the significance of marketing management.
Marketing Management in Aviation 2
Overview of aviation marketing
• As is well known, the focus of modern marketing is the
customers. Customers significantly influence the competitive
factors of airlines.
• To survive in the current competitive environment airlines need
to develop various marketing methods and strategies to help
them.
• Therefore, it is essential to consider different marketing
methods and strategies from an airline perspective
Marketing Management in Aviation 3
Overview of aviation marketing
• Definition of Marketing: Marketing is the activity, set of institutions, and
processes for creating, communicating, delivering, and exchanging
offerings that have value for customers, clients, partners, and society at
large (AMA, 2021).
• Definition of Marketing Management: Marketing management is the
process of planning, organizing, implementing, and controlling marketing
activities within an organization. (Kotler & Keller, 2016)
• Definition of Marketing Management in Aviation: Marketing
management in aviation refers to the strategic planning, execution, and
control of marketing activities within the aviation industry. It encompasses
all efforts to create, communicate, deliver, and exchange value to satisfy
the needs and wants of passengers, travelers, and other stakeholders.
Marketing Management in Aviation 4
What is marketing?
• Customer Acquisition: Marketing is essential for attracting new
passengers to airlines. Effective marketing campaigns can drive
awareness and interest in an airline's services, leading to increased
bookings.
• Brand Reputation: Marketing helps airlines build and maintain a
positive brand reputation. A strong brand image can influence
passenger choices and foster loyalty, which is crucial in a
competitive market.
• Route Development: Airlines often use marketing to promote new
routes and destinations. Marketing research can identify demand
and help airlines make informed decisions about route expansion.
Marketing Management in Aviation 5
The importance of marketing in aviation
• Revenue Generation: Marketing strategies, including pricing,
promotions, and ancillary services, directly impact an airline's
revenue. Well-executed marketing can boost ticket sales and
profitability.
• Crisis Management: During crises like pandemics or safety
incidents, marketing can be used to communicate with passengers
and stakeholders, providing timely updates and managing public
perception.
• Technological Innovation: Marketing plays a role in promoting and
facilitating the adoption of technological innovations that enhance the
passenger experience, such as mobile apps and in-flight
entertainment systems.
Marketing Management in Aviation 6
The importance of marketing in aviation
• Key Responsibilities of Aviation Marketers
• Market Research and Analysis
• Brand Development and Management
• Pricing Strategy and Revenue Optimization
• Customer Relationship Management (CRM)
• Advertising and Promotion
• Competitor Analysis
• Market Segmentation and Targeting
• Digital Marketing and Online Presence
• Performance Monitoring and Analysis
Marketing Management in Aviation 7
Role of marketing management in aviation
• Relationship between Marketing and Aviation Success
• Marketing plays a pivotal role in shaping the success of aviation
businesses.
• Effective marketing strategies can lead to increased market
share, revenue growth, and enhanced brand reputation.
• Marketing efforts must align with the broader business goals
and adapt to industry changes to ensure long-term success.
Marketing Management in Aviation 8
Role of marketing management in aviation
• Market segmentation is the process of dividing a diverse market
into distinct and identifiable segments based on specific
characteristics and behaviors. To tailor marketing efforts to the
unique needs and preferences of different customer groups.
• In the aviation industry, segmentation enables airlines and
related businesses to allocate resources effectively and provide
tailored services.
• Benefits: Enhanced customer satisfaction, increased revenue,
improved marketing efficiency.
Marketing Management in Aviation 9
Understanding Market Segmentation
Marketing Management in Aviation 10
Types of market segmentation
• Demographic segmentation in aviation involves categorizing
customers based on specific demographic factors such as age,
gender, income, and education.
• Application in Aviation:
Customized services for different age groups.
Tailored marketing messages for specific income brackets.
Marketing Management in Aviation 11
Demographic Segmentation in Aviation
• Geographic segmentation in aviation involves dividing
customers based on their geographic location, such as regions,
cities, or countries.
• Aviation Example:
Adapting routes and flight schedules for different regions.
Tailoring services to suit local preferences.
Geographic-specific marketing campaigns.
Marketing Management in Aviation 12
Geographic Segmentation in Aviation
• Psychological segmentation in aviation categorizes customers
based on lifestyle, values, and attitudes.
• Use Case in Aviation:
Creating in-flight experiences that align with specific psychographic
profiles.
Crafting marketing messages that resonate with customers' values and
attitudes.
Offering personalized services based on lifestyle preferences.
Marketing Management in Aviation 13
Psychological Segmentation in Aviation
• Behavioral segmentation in aviation involves segmenting
customers based on their past and current behaviors, such as
frequent flyers, occasional travelers, or business travelers.
• Impact in Aviation:
Designing loyalty programs to reward frequent flyers.
Offering personalized promotions based on past travel behavior.
Optimizing pricing strategies for different traveler segments.
Marketing Management in Aviation 14
Behavioral Segmentation in Aviation
Product Price
Place Promotion
People
Process
Physical Evidence
Marketing Management in Aviation 15
The marketing mix in aviation
• Product in aviation refers to the range of services and offerings
provided by airlines to meet the needs of passengers and
travelers.
Components:
In-Flight Services
Seating Options
Entertainment
Additional Services (e.g., lounges, Wi-Fi)
Marketing Management in Aviation 16
Product in Aviation
• Pricing in aviation encompasses strategies and techniques for
setting ticket prices and optimizing revenue.
• Components:
• Dynamic Pricing
• Discount Strategies
• Ancillary Revenue Sources
• Yield Management
Marketing Management in Aviation 17
Price in Aviation
• Place in aviation involves the distribution channels and routes
airlines use to make their services accessible to passengers.
• Components:
Online Booking Systems
Travel Agencies
Airport Locations and Routes
Code-sharing Agreements
Marketing Management in Aviation 18
Place in Aviation
• Promotion in aviation encompasses advertising, branding, and
various techniques used to attract and engage passengers.
• Components:
Advertising Campaigns
Social Media Marketing
Sponsorships
Loyalty Programs
Marketing Management in Aviation 19
Promotion in Aviation
• These elements in aviation marketing focus on the human
aspects, operational processes, and physical facilities that
contribute to the overall passenger experience.
• Components:
Staff Training and Customer Service
Check-in and Boarding Processes
Airport Facilities (e.g., lounges, terminals)
Marketing Management in Aviation 20
People, Process, and Physical Evidence
in Aviation Marketing

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cm-03x01.pdf

  • 1. This course is prepared under the Erasmus+ KA-210-YOU Project titled «Skilling Youth for the Next Generation Air Transport Management» Contemporary Managerial Tools in Aviation Marketing Management in Aviation Assoc. Prof. Dr. Savaş. S. Ateş Dr. Şahap Akan
  • 2. • Globalization, fierce competition and rapid advances in communications technologies significantly impact airline businesses. In this context, airlines are striving to meet transportation needs by providing safer, faster and more comfortable travel experiences. At the same time, they strive to create customer satisfaction and loyalty through the services they offer. • As a result, the ever-changing customer desires, needs, and expectations within global market conditions are consistently amplifying the significance of marketing management. Marketing Management in Aviation 2 Overview of aviation marketing
  • 3. • As is well known, the focus of modern marketing is the customers. Customers significantly influence the competitive factors of airlines. • To survive in the current competitive environment airlines need to develop various marketing methods and strategies to help them. • Therefore, it is essential to consider different marketing methods and strategies from an airline perspective Marketing Management in Aviation 3 Overview of aviation marketing
  • 4. • Definition of Marketing: Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large (AMA, 2021). • Definition of Marketing Management: Marketing management is the process of planning, organizing, implementing, and controlling marketing activities within an organization. (Kotler & Keller, 2016) • Definition of Marketing Management in Aviation: Marketing management in aviation refers to the strategic planning, execution, and control of marketing activities within the aviation industry. It encompasses all efforts to create, communicate, deliver, and exchange value to satisfy the needs and wants of passengers, travelers, and other stakeholders. Marketing Management in Aviation 4 What is marketing?
  • 5. • Customer Acquisition: Marketing is essential for attracting new passengers to airlines. Effective marketing campaigns can drive awareness and interest in an airline's services, leading to increased bookings. • Brand Reputation: Marketing helps airlines build and maintain a positive brand reputation. A strong brand image can influence passenger choices and foster loyalty, which is crucial in a competitive market. • Route Development: Airlines often use marketing to promote new routes and destinations. Marketing research can identify demand and help airlines make informed decisions about route expansion. Marketing Management in Aviation 5 The importance of marketing in aviation
  • 6. • Revenue Generation: Marketing strategies, including pricing, promotions, and ancillary services, directly impact an airline's revenue. Well-executed marketing can boost ticket sales and profitability. • Crisis Management: During crises like pandemics or safety incidents, marketing can be used to communicate with passengers and stakeholders, providing timely updates and managing public perception. • Technological Innovation: Marketing plays a role in promoting and facilitating the adoption of technological innovations that enhance the passenger experience, such as mobile apps and in-flight entertainment systems. Marketing Management in Aviation 6 The importance of marketing in aviation
  • 7. • Key Responsibilities of Aviation Marketers • Market Research and Analysis • Brand Development and Management • Pricing Strategy and Revenue Optimization • Customer Relationship Management (CRM) • Advertising and Promotion • Competitor Analysis • Market Segmentation and Targeting • Digital Marketing and Online Presence • Performance Monitoring and Analysis Marketing Management in Aviation 7 Role of marketing management in aviation
  • 8. • Relationship between Marketing and Aviation Success • Marketing plays a pivotal role in shaping the success of aviation businesses. • Effective marketing strategies can lead to increased market share, revenue growth, and enhanced brand reputation. • Marketing efforts must align with the broader business goals and adapt to industry changes to ensure long-term success. Marketing Management in Aviation 8 Role of marketing management in aviation
  • 9. • Market segmentation is the process of dividing a diverse market into distinct and identifiable segments based on specific characteristics and behaviors. To tailor marketing efforts to the unique needs and preferences of different customer groups. • In the aviation industry, segmentation enables airlines and related businesses to allocate resources effectively and provide tailored services. • Benefits: Enhanced customer satisfaction, increased revenue, improved marketing efficiency. Marketing Management in Aviation 9 Understanding Market Segmentation
  • 10. Marketing Management in Aviation 10 Types of market segmentation
  • 11. • Demographic segmentation in aviation involves categorizing customers based on specific demographic factors such as age, gender, income, and education. • Application in Aviation: Customized services for different age groups. Tailored marketing messages for specific income brackets. Marketing Management in Aviation 11 Demographic Segmentation in Aviation
  • 12. • Geographic segmentation in aviation involves dividing customers based on their geographic location, such as regions, cities, or countries. • Aviation Example: Adapting routes and flight schedules for different regions. Tailoring services to suit local preferences. Geographic-specific marketing campaigns. Marketing Management in Aviation 12 Geographic Segmentation in Aviation
  • 13. • Psychological segmentation in aviation categorizes customers based on lifestyle, values, and attitudes. • Use Case in Aviation: Creating in-flight experiences that align with specific psychographic profiles. Crafting marketing messages that resonate with customers' values and attitudes. Offering personalized services based on lifestyle preferences. Marketing Management in Aviation 13 Psychological Segmentation in Aviation
  • 14. • Behavioral segmentation in aviation involves segmenting customers based on their past and current behaviors, such as frequent flyers, occasional travelers, or business travelers. • Impact in Aviation: Designing loyalty programs to reward frequent flyers. Offering personalized promotions based on past travel behavior. Optimizing pricing strategies for different traveler segments. Marketing Management in Aviation 14 Behavioral Segmentation in Aviation
  • 15. Product Price Place Promotion People Process Physical Evidence Marketing Management in Aviation 15 The marketing mix in aviation
  • 16. • Product in aviation refers to the range of services and offerings provided by airlines to meet the needs of passengers and travelers. Components: In-Flight Services Seating Options Entertainment Additional Services (e.g., lounges, Wi-Fi) Marketing Management in Aviation 16 Product in Aviation
  • 17. • Pricing in aviation encompasses strategies and techniques for setting ticket prices and optimizing revenue. • Components: • Dynamic Pricing • Discount Strategies • Ancillary Revenue Sources • Yield Management Marketing Management in Aviation 17 Price in Aviation
  • 18. • Place in aviation involves the distribution channels and routes airlines use to make their services accessible to passengers. • Components: Online Booking Systems Travel Agencies Airport Locations and Routes Code-sharing Agreements Marketing Management in Aviation 18 Place in Aviation
  • 19. • Promotion in aviation encompasses advertising, branding, and various techniques used to attract and engage passengers. • Components: Advertising Campaigns Social Media Marketing Sponsorships Loyalty Programs Marketing Management in Aviation 19 Promotion in Aviation
  • 20. • These elements in aviation marketing focus on the human aspects, operational processes, and physical facilities that contribute to the overall passenger experience. • Components: Staff Training and Customer Service Check-in and Boarding Processes Airport Facilities (e.g., lounges, terminals) Marketing Management in Aviation 20 People, Process, and Physical Evidence in Aviation Marketing