The 10 Step Marketing Planfor Cebu PacifcNathania T. VilloncoAteneo Graduate School of Business2013 Edition
210 STEPMarketing Plan forCebu Pacific AirNathania T. VilloncoJune 2013www.nathaniavillonco.blogspot.com
This 10 Step Marketing Plan is part of the mandatoryrequirements of Prof. Remigio Joseph De Ungria’sAGSB marketing managem...
1. Cebu Pacific PTM consists of Filipino travelerswho are price-sensitive2. Who wants to have an and affordable yet high-q...
6. Cebu Pacific provides low-fare flights to 26international and 34 domestic destinations7. Promo prices are 15% to 50% le...
1. Cebu Pacific primary target market(PTM) are the price-sensitive Filipinotravelers 21-35 year old, male or female, soci...
PTM needs an affordable andreliable mode of travel7Reference: Maslow’s Hierarcy of Needs Marketing Management, 11thed, Phi...
2. Young professionals haveunique needs, wants & demandsYoung professionals need to form networks and build relationshipsa...
Domestic PassengerTrafficwww.nathaniavillonco.blogspot.comSource: Civil Aeronautics Board, Scheduled Passenger Traffic 200...
3a. Cebu Pacific has manyformidable competitors Direct: Airphil, PAL, Zestair,SEAair Indirect: Bus Lines, Ferry,Roro Va...
Cebu Pacific is #1 in niche for lowestfare in domestic flightsPrice/ SocialClass MatrixA B C DEHigh priceLow PriceCebu Pac...
Cebu Pacific niche positioning tothe young professional marketBenefit Positioning vs. Brand Matrixas of 2012Functional Ben...
4. Cebu Pacific positions stronglyas providing the lowest faresCebu Pacific is the first airline To provide the market wi...
5a. Based on the Department ofTourism, there have been 37.5 milliondomestic passengers in 20122012: Market size for domest...
5a. Based on the Department ofTourism data domestic passengermarket is 37.5 million in 2012References http://www.rappler....
5b. Based on data from CAB (CivilAeronautics Board), where Cebu Pacificshare is 45%, total market size is 20.57million1. C...
 According to 2009 NSO Survey: Average trips a year: 2 Average Expenditure:Independent travelers: Php 1,818Package tour...
5. Concluded that domestic passengermarket is 37.5 million1. Department of Tourism data= 37.5 million2. Civil Aeronautics ...
6a. Cebu Pacific domesticdestinationswww.nathaniavillonco.blogspot.comDestinations: 32 domestic19 internationalFleet: 41So...
6a. Cebu Pacific competitorsdomestic destinationsDestinations: 29 domestic31 internationalFleet: 40www.nathaniavillonco.bl...
6a. Cebu Pacific competitorsdomestic destinationsDestinations: 30 domestic3 internationalFleet: 21Source: http://www.rappl...
6a. Cebu Pacific competitorsdomestic destinationsDestinations: 14 domestic4 internationalFleet: 14Source: http://www.rappl...
6a. Cebu Pacific competitorsdomestic destinationsDestinations: 10 domestic5 internationalFleet: 5Source: http://www.rapple...
6a. Cebu Pacific competitorswww.nathaniavillonco.blogspot.com
6b. What makes CebuPacific different? Offers the most routes for domestic destinations More options of flight schedule ...
6b. Cebu Pacific Websitewww.nathaniavillonco.blogspot.com
6b. Catchy phrases of CebuPacific Promoswww.nathaniavillonco.blogspot.com
7. Price ConclusionCebu Pacific fares are 15% to 50% lessthan its competitorswww.nathaniavillonco.blogspot.comCebuPacificA...
8a. Which of these modesdoes your product use?** Pls. rank most used, 1-highest usewww.nathaniavillonco.blogspot.com12345
Cebu Pacific Website
8a. Billboard in Butuan Citywww.nathaniavillonco.blogspot.com
Marketing events andsponsorshipswww.nathaniavillonco.blogspot.com
Cebu Pacific tie-up with Citibank Cardfor Advanced alerts and CEB pointswww.nathaniavillonco.blogspot.com
Cebu Pacific Filipino TimeCommercialLink: http://www.youtube.com/watch?v=5atoa8UxRnQwww.nathaniavillonco.blogspot.com
Experience Cebu Pacific’s “Fun-filled” Christmas in the AirLink: http://www.youtube.com/watch?v=p3DZ-_ObIIgwww.nathaniavil...
Airphil Express Websitewww.nathaniavillonco.blogspot.com
AirPhil express of P1,P27, P88 Promo dealswww.nathaniavillonco.blogspot.com
ZestAir Promotionswww.nathaniavillonco.blogspot.com
ZestAir celebrity endorserswww.nathaniavillonco.blogspot.com
SeaAir Websitewww.nathaniavillonco.blogspot.com
SeaAir Promowww.nathaniavillonco.blogspot.com
9. Cebu Pacific is accessibleanytime, anywhere Cebu Pacific website is accessible 24/7which promotes convenient onlineboo...
10. Cebu Pacificdifferentiation Cebu Pacific’s main strategy is toprovide its passengers with the lowestfares so that eve...
44SUMMARYwww.nathaniavillonco.blogspot.com
1. Cebu Pacific PTM consists of Filipino travelerswho are price-sensitive2. Who wants to have an and affordable yet high-q...
6. Cebu Pacific provides low-fare flights to 26international and 34 domestic destinations7. Promo prices are 15% to 50% le...
The 10 Step Marketing Planfor Cebu PacificNathania T. VilloncoAteneo Graduate School of Business2013 Editionwww.nathaniavi...
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10 step marketing plan cebu pacific

  1. 1. The 10 Step Marketing Planfor Cebu PacifcNathania T. VilloncoAteneo Graduate School of Business2013 Edition
  2. 2. 210 STEPMarketing Plan forCebu Pacific AirNathania T. VilloncoJune 2013www.nathaniavillonco.blogspot.com
  3. 3. This 10 Step Marketing Plan is part of the mandatoryrequirements of Prof. Remigio Joseph De Ungria’sAGSB marketing management class.The data included in this report are based on publiclyavailable data such as those on internet websites,news, package declarations, public reports.When appropriate, data are “masked” so as not tocreate unexpected conflicts.The reports are posted and linked on slideshare, blogsand facebook so that there is easier sharing amongstudents from different marketing classes.Disclaimerwww.nathaniavillonco.blogspot.com
  4. 4. 1. Cebu Pacific PTM consists of Filipino travelerswho are price-sensitive2. Who wants to have an and affordable yet high-quality travel experience3. Can choose Airphil, PAL, ZestAir, SEAair4. Opportunity is providing low-cost fares to themillions of Filipinos separated by our islands5. The market size is 20.57 million domesticpassengers in 2012. Cebu Pacific has 45%market share.Steps 1 to 5Providing ways forEvery Juan to Flywww.nathaniavillonco.blogspot.com
  5. 5. 6. Cebu Pacific provides low-fare flights to 26international and 34 domestic destinations7. Promo prices are 15% to 50% less than itscompetitors8. Makes use of online and android apps for quickpromotional information and easy booking of flights9. Cebu Pacific website and online travel agencies10. “Low fare, Great value”Steps 6 to 10To get every Juan tomore places everydaywww.nathaniavillonco.blogspot.com
  6. 6. 1. Cebu Pacific primary target market(PTM) are the price-sensitive Filipinotravelers 21-35 year old, male or female, social class B and C, single ormarried Young professionals who have the earning capacity to spend onleisure travel at an affordable amount Short travel trips of 2 or more times a year with groups ofworkmates or friends. They demand low cost fares andconvenient flight schedules to accommodate their limited fundsand timewww.nathaniavillonco.blogspot.com
  7. 7. PTM needs an affordable andreliable mode of travel7Reference: Maslow’s Hierarcy of Needs Marketing Management, 11thed, Philip Kotlerwww.nathaniavillonco.blogspot.comI want to fit-in with myfriends/co-workersI am happy when I know myselfthrough traveling and experiencingnew places and cultures
  8. 8. 2. Young professionals haveunique needs, wants & demandsYoung professionals need to form networks and build relationshipsand achieve Social Needs.Young professionals prefer, choose Cebu Pacific over otherairlines because it has established itself as providing thelowest fares through it successful campaigns such as the“Piso Fare”. The company also appeals to the PTM because ofthe “fun-filled” experience that the company promotes.Young Professionals demandAffordable fares for group travels, easy booking andpayment process, convenient time schedule, interestingdestinations, can increase bonding experience amongthe groupwww.nathaniavillonco.blogspot.com
  9. 9. Domestic PassengerTrafficwww.nathaniavillonco.blogspot.comSource: Civil Aeronautics Board, Scheduled Passenger Traffic 2006-2012
  10. 10. 3a. Cebu Pacific has manyformidable competitors Direct: Airphil, PAL, Zestair,SEAair Indirect: Bus Lines, Ferry,Roro Variables: Age, Price, socialclass, income, routes, time ofthe year, flight schedule,seasons, holidayswww.nathaniavillonco.blogspot.com
  11. 11. Cebu Pacific is #1 in niche for lowestfare in domestic flightsPrice/ SocialClass MatrixA B C DEHigh priceLow PriceCebu PacificAirPhilPrice vs. Social ClassMatrixCebu Pacificwww.nathaniavillonco.blogspot.comZestairPALSeaAirPALZestairAirPhilCebu PacificZestairAirPhilCebu Pacificas of 2012SeaAirPALPALZestairAirPhilSeaAirSeaAir
  12. 12. Cebu Pacific niche positioning tothe young professional marketBenefit Positioning vs. Brand Matrixas of 2012Functional BenefitCebuPacificAirphilExpress PAL ZestAir SeaAirWebsite with online bookingFrequent flight schedule optionsBaggage UpgradeInclusive of Food mealsCredit Card paymentsWeb-check inFun games on flightEntertainment T.V.Harder to stand out amidst the competitive clutter.www.nathaniavillonco.blogspot.com
  13. 13. 4. Cebu Pacific positions stronglyas providing the lowest faresCebu Pacific is the first airline To provide the market with thelowest fares that allows young professionals to afford leisure travelPAL has created their own brandof Airphil express to copy theposition of low-cost carriers.www.nathaniavillonco.blogspot.com
  14. 14. 5a. Based on the Department ofTourism, there have been 37.5 milliondomestic passengers in 20122012: Market size for domestic tourists: 37.5 million Cebu Pacific: 45% AirPhil: 22% PAL: 21% Zest Air: 10% SeaAir: 1%www.nathaniavillonco.blogspot.com
  15. 15. 5a. Based on the Department ofTourism data domestic passengermarket is 37.5 million in 2012References http://www.rappler.com/business/18371-low-cost-carriers-drive-aviation-growth http://www.philstar.com/business/2013/02/14/909101/domestic-airline-passenger-traffic-hit-record-20.57-m-2012 http://www.abs-cbnnews.com/business/02/14/13/cebu-pacific-flew-more-local-passengers-airphil-palwww.nathaniavillonco.blogspot.com
  16. 16. 5b. Based on data from CAB (CivilAeronautics Board), where Cebu Pacificshare is 45%, total market size is 20.57million1. Cebu Pacific domestic passengers data may be9.2 million2. Cebu Pacific claims market share of 45%3. The total domestic passenger market size is P 9.2million/.46 = 20.57 millionwww.nathaniavillonco.blogspot.com
  17. 17.  According to 2009 NSO Survey: Average trips a year: 2 Average Expenditure:Independent travelers: Php 1,818Package tour: Php 17,9815c. Consumer data indicates a size of37.5 million domestic passengerswww.nathaniavillonco.blogspot.com
  18. 18. 5. Concluded that domestic passengermarket is 37.5 million1. Department of Tourism data= 37.5 million2. Civil Aeronautics Board data = 20.57 million3. Domestic Passenger market data = 37.5millionwww.nathaniavillonco.blogspot.com
  19. 19. 6a. Cebu Pacific domesticdestinationswww.nathaniavillonco.blogspot.comDestinations: 32 domestic19 internationalFleet: 41Source: http://www.rappler.com/business/18371-low-cost-carriers-drive-aviation-growth
  20. 20. 6a. Cebu Pacific competitorsdomestic destinationsDestinations: 29 domestic31 internationalFleet: 40www.nathaniavillonco.blogspot.comSource: http://www.rappler.com/business/18371-low-cost-carriers-drive-aviation-growth
  21. 21. 6a. Cebu Pacific competitorsdomestic destinationsDestinations: 30 domestic3 internationalFleet: 21Source: http://www.rappler.com/business/18371-low-cost-carriers-drive-aviation-growthwww.nathaniavillonco.blogspot.com
  22. 22. 6a. Cebu Pacific competitorsdomestic destinationsDestinations: 14 domestic4 internationalFleet: 14Source: http://www.rappler.com/business/18371-low-cost-carriers-drive-aviation-growthwww.nathaniavillonco.blogspot.com
  23. 23. 6a. Cebu Pacific competitorsdomestic destinationsDestinations: 10 domestic5 internationalFleet: 5Source: http://www.rappler.com/business/18371-low-cost-carriers-drive-aviation-growthwww.nathaniavillonco.blogspot.com
  24. 24. 6a. Cebu Pacific competitorswww.nathaniavillonco.blogspot.com
  25. 25. 6b. What makes CebuPacific different? Offers the most routes for domestic destinations More options of flight schedule Pioneer in creative pricing strategies Offers fun in the skies with its games on boardknown as Fun Flights Fun shop of Inflight Duty Free merchandise First local airline to introduce e-ticketing, prepaidexcess baggage and seat selectionwww.nathaniavillonco.blogspot.com
  26. 26. 6b. Cebu Pacific Websitewww.nathaniavillonco.blogspot.com
  27. 27. 6b. Catchy phrases of CebuPacific Promoswww.nathaniavillonco.blogspot.com
  28. 28. 7. Price ConclusionCebu Pacific fares are 15% to 50% lessthan its competitorswww.nathaniavillonco.blogspot.comCebuPacificAirPhil PAL SeaAirManila-Cebu 2,316 5,072 3,176 2,654Manila-Davao 2,787 5,132 4,576 2,550Manila-Iloilo 2,664 5,352 2,606 3,126Top 3 Domestic DestinationsRound TripJune 12-18, 2013
  29. 29. 8a. Which of these modesdoes your product use?** Pls. rank most used, 1-highest usewww.nathaniavillonco.blogspot.com12345
  30. 30. Cebu Pacific Website
  31. 31. 8a. Billboard in Butuan Citywww.nathaniavillonco.blogspot.com
  32. 32. Marketing events andsponsorshipswww.nathaniavillonco.blogspot.com
  33. 33. Cebu Pacific tie-up with Citibank Cardfor Advanced alerts and CEB pointswww.nathaniavillonco.blogspot.com
  34. 34. Cebu Pacific Filipino TimeCommercialLink: http://www.youtube.com/watch?v=5atoa8UxRnQwww.nathaniavillonco.blogspot.com
  35. 35. Experience Cebu Pacific’s “Fun-filled” Christmas in the AirLink: http://www.youtube.com/watch?v=p3DZ-_ObIIgwww.nathaniavillonco.blogspot.com
  36. 36. Airphil Express Websitewww.nathaniavillonco.blogspot.com
  37. 37. AirPhil express of P1,P27, P88 Promo dealswww.nathaniavillonco.blogspot.com
  38. 38. ZestAir Promotionswww.nathaniavillonco.blogspot.com
  39. 39. ZestAir celebrity endorserswww.nathaniavillonco.blogspot.com
  40. 40. SeaAir Websitewww.nathaniavillonco.blogspot.com
  41. 41. SeaAir Promowww.nathaniavillonco.blogspot.com
  42. 42. 9. Cebu Pacific is accessibleanytime, anywhere Cebu Pacific website is accessible 24/7which promotes convenient onlinebooking Travel Agencies Online Travel service providers Cebu Pacific ticketing officewww.nathaniavillonco.blogspot.com
  43. 43. 10. Cebu Pacificdifferentiation Cebu Pacific’s main strategy is toprovide its passengers with the lowestfares so that everyone can fly It differentiates itself through its variousgames on board to make theexperience uniquely Cebu Pacificwww.nathaniavillonco.blogspot.com
  44. 44. 44SUMMARYwww.nathaniavillonco.blogspot.com
  45. 45. 1. Cebu Pacific PTM consists of Filipino travelerswho are price-sensitive2. Who wants to have an and affordable yet high-quality travel experience3. Can choose Airphil, PAL, ZestAir, SEAair4. Opportunity is providing low-cost fares to themillions of Filipinos separated by our islands5. The market size is 20.57 million domesticpassengers in 2012. Cebu Pacific has 46.1%market share.Steps 1 to 5Providing ways forEvery Juan to Flywww.nathaniavillonco.blogspot.com
  46. 46. 6. Cebu Pacific provides low-fare flights to 26international and 34 domestic destinations7. Promo prices are 15% to 50% less than itscompetitors8. Makes use of online and android apps for quickpromotional information and easy booking of flights9. Cebu Pacific website and online travel agencies10. “Low fare, Great value”Steps 6 to 10To get every Juan tomore places everydaywww.nathaniavillonco.blogspot.com
  47. 47. The 10 Step Marketing Planfor Cebu PacificNathania T. VilloncoAteneo Graduate School of Business2013 Editionwww.nathaniavillonco.blogspot.com

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