A case study of JetBlue airlines Co History New innovations Market overview Fleet CSR SWOT Recommendations

1. JetBlue case study
By: Mohmed Ismaeil
1

2. Agenda
2
Introduction and History
New innovations and facets of JetBlue product
Market overview
Implications of needs, wants and demand in Jet Blue practice
Which of Marketing concepts best applied to JetBlue
What value created by JetBlue
Is JetBlue likely to continue as successful in customer relationship
CSR
SWOT
Recommendation

3. Introduction and History
3
1999 : Founder David Neeleman announces plans for his new airline
2000 :JetBlue launches operations with its inaugural flight between JFK and Fort Lauderdale, FL
2000 :JetBlue flies its one millionth customer and reports $100 million in flown revenue for
(December)
2001 : JetBlue flies its two millionth customer (April)
2002 :JetBlue flies its five millionth customer (March)
2002 :JetBlue launches the TrueBlue customer appreciation program
2003 :JetBlue flies its 10 millionth customer (January)

4. Introduction and History
4
Jet Blue Vision
Is to be the best regional air carrier by providing
low-fare, low -cost, enjoyable and safe flight
experiences to our passengers

5. New innovations and facets of JetBlue product
5
Not to serve meals and give snacks instead
Providing personal television (36 TV channels and 100 Radio station)
Free WiFi in terminals and Free sending emails and massages in the air
Leather seats instead of cloths
Add three more inches for legroom to stretch
Did not use old & cheap planes
Use more fuel-efficient and less maintenance cost Airbus
Did not fly too many routes
Choose point-to-point flight
Use secondary airport which did not handle too much traffic
Use electronic ticketing
Paperless cockpit
Customer-oriented approach
Picking the right people

6. Market overview
6
On of the largest markets in the world
Very competitive market with 18 airline carrier companies
Top Market players are :-
Total no. of passengers 2013 is 740,859,387
Total operating revenue 2013 is 200 Billion $
Delta airlines
Pan American Airlines
Southwest airlines
United airlines

7. Average growth rate 0.8 %
Market overview
7
Market dynamics
Million
* According to Bureau of Transportation Statistics
1%
0.8%
0.8%

8. Market overview
8
Market dynamics
Million
* According to Bureau of Transportation Statistics
8%
3%
9.7%
Average growth rate 7 %

9. Market overview
9
Market dynamics
* According to Bureau of Transportation Statistics

10. Market overview
10
Market Share
Airline Share
Delta 16.8%
Southwest 16.7%
United 15.2%
Pan American 12.5%
US Airways 8.4%
JetBlue 5.1%
Alaska 4.2%
ExpressJet 2.4%
Others 18.7%
* According to Bureau of Transportation Statistics

11. 11
Market Positioning
High price
Low price
Low Quality High Quality
JetBlue
United
Pan American
Southwest
Delta
Air Tran
Frontier
Market overview

12. Market overview
12
JetBlue Fleet
Airbus A320Airbus A320
130

13. Market overview
13
JetBlue Fleet
Airbus A320Airbus A321
14

14. Market overview
14
JetBlue Fleet
Airbus A320Embraer ERJ
60

15. Market overview
15
Branding

16. Implications of needs, wants and demand in Jet Blue practice
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Needs
Wants
Demand
The customer need to travel
Fast reliable flight
ICE (improve customer experience)
Time accurate
Confortable seats
Fun and Entertainment
Low cost flights

17. Which of Marketing concepts best applied to JetBlue
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18. What value created by JetBlue
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Jet Blue Values
CARING
INTEGRITY
SAFETY
PASSION
FUN
Bring Humanity back to travel

19. Is JetBlue likely to continue as successful in customer relationship
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1.9 million follower on Twitter
1 million Liker on Facebook

20. Is JetBlue likely to continue as successful in customer relationship
20

21. Is JetBlue likely to continue as successful in customer relationship
21

22. CSR
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Up for good
In the air and on the ground, we're committed to bettering the lives of our customers, crew
member and communities — and inspiring others to do the same.
Our focus
Youth & Education
Community
Environment
Our giving
The JetBlue Foundation
Swing For Good
Environment & Social Reporting

23. SWOT
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Strength
Low Operating cost
Strong brand
Efficient employee
Single fleet
Consumer satisfaction
Effective use of technology
Advertisement

24. SWOT
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Weakness
Relative new company
Single fleet
Concentration on middle class
Shifting customer’s need

25. SWOT
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Opportunity
Industry
Route & fleet expansion
Creation of Airlines Alliances
Technological Improvements in Airplane
design, operation and maintenance

26. SWOT
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Threat
September 11th attack/Accidents
Security
Increase in fuel price
Strong Competition
Global crisis
New regulations by FAA
union

27. Recommendation
27
Integrate in international Alliance
Invade new Markets Like east Europe and Asia
Recommendations

28. 28
Thank You