Service Marketing- Three Stage Approach
Select the company
Industry profile in India
Process service activity
(pre purchase, purchase
& post purchase)
Service Mix: 7
7 Ps of service mix
Recommendations for Service Gap on 7 Ps
Front stage & back stage service gaps
Prepare activity flow
chart & consumer
Indian Aviation Industry
Aviation industry in India in 9th largest industry and fastest growing industry in the world.
The number of travellers carried by domestic airlines between January and June 2010
increased 21.86 per cent to 25.71 million, contrasted with 21.09 million in the
corresponding time span of 2009, facts and figures supplied by diverse household airlines
With Air traffic extending to augment at over 21 per cent in June, India's largest low-cost
carrier Indigo is catching up to restore Air India at the third spot in terms of market share.
According to the facts and figures issued by the Directorate General of Civil Aviation,
Indigo has expanded its market share to 16.4 per cent, close to Air India's 16.9 per cent.
Amidst the other airlines, Jet-JetLite bagged 26.5 per cent, pursued by Indigo at 21 per
cent and Air India. amidst the LCCs, IndiGo is pursued by SpiceJet at 13.3 per cent, Go Air
at 5.8 per cent and Paramount at 0.3 per cent. The number of travellersoaring in June this
year increased to 4.57 million from 3.76 million in the identical month last year.
Commenced operations AUGUST 2006
Company slogan ON TIME, EVERY TIME
KEY PLAYER MR. RAHUL BHATIA , CHAIRMAN
MARKET SHARE 27%
India’s best performing Low Cost Airline in terms of
Established in 2005 as a subsidary of Interglobe
A fleet of 30 aircrafts making 170 flights daily, across
22 destinations in India
Plans to acquire 125 new aircrafts by 2025
Plans to serve 100 cities in India, South East Asia,
Middle East and China by 2025
Why IndiGo ?
Emergence of the Great Indian middle class willing to
spend money for swifter travel
For the Individual on the Go,who values time and on-
Budget travel is not cheap travel, Quality of Service
Mission Statement :
To be the best Airline in India by providing the following values to the
- Affordable Fairs
- Ontime performance
- Hasslefree Service
• Indigo Airlines commenced operations on the 04th of August 2006 with
their inaugural flight from Delhi to Imphal
• Consolidating its position as the fastest growing airline in India with 237
flights, connecting 25 destinations across the nation, in a short span of
almost five years.
• January 19, 2011– India's largest low fare airline.
AWARDS AND ACHIEVEMENTS
Best Domestic Low Cost Service by TAAI (2010)
Safety Excellence Award by BIAL (2010)
Skytrax Central Asia's best low-cost airline award (2011)
Safety Excellence Award by Rajiv Gandhi
Giving a Feel For The “Product” Inside a Service Wrapper .
•Consumers are demanding not products, or features of products but the
benefits they will be offered.
•The airline product includes of two types of services:
1. On the Ground Services.
2. In-Flight Services.
• Check in
• Food on board
• Connecting flight
• Complementary gifts
• In-flight entertainment
• Frequent flier
• Online booking
• Variety of meal
• Pick up and drop
• Mobile ticketing
• Online 24-hour reservation
• Tour Operator/ Travel Agent.
• Affiliated with companies.
Word of Mouth
‘Customer Loyalty Ladder’ .
The Travel Agents, Tour Operators, Frontline Staffs Contribute a Lot to The Promotion of Airlines Business.
The PRO, Receptionist, Travel Agents, Media People Are Very Important People in Publicizing The Business.
Airlines Advertisement Needs to Keep in Mind the Image of Country, The Scenic Beauty, Tourist Attractions,
Rich Cultural Heritages or Which Would Attract Number of Tourists.
Hoardings at airports with focus on Best on time
Advertisement through social networking medium-
Collaboration with Multiplexes in major cities to
promote the airline and its special offers
Advertisement hoardings in multi-storeyed buildings
Advertisements in magazines targetting Urban
Advertisement Strategy contd..
Sponsering fashion shows, talent hunts, New Year parties
Collaboration with consumer banks, credit card
companies, hotels, ticketing websites to promote special
offers, discounts and cash back
Giving IndiGo promotion a local flavour by promoting in
regional languages in respective sectors
Sending special offer details to frequent fliers by sms,
Targeting foreigners in Tourist circuits
• On the ground:
• Booking offices or ticket
• Brand Logo.
•Labels or Tag.
The IndiGo Advantage
Multiple Short haul point to point flights
Using only one type of aircraft to minimize Maintenance
Lean Operating Strategy to maximize efficiency
Minimum turn around time, keeping Aircraft in air for
most of the time
Employee welfare and resultant loyalty
Making Low budget flying a pleasant experience
• Making a Reservation.
• Components of the Amount Paid to IndiGo for
Travel: Basic Fare, Surcharges and Fees.
• Changes/ Cancellations/ Refunds.
• Special Rules and Charges for Certain
Customers, Pets and Baggage.
• Checking and Cabin Baggage.
• Onboard the Aircraft
Gaps in the present service design:
• Lack of upward communication:
• The employees of Indigo airlines are don’t do
upward communication with their senior
manager due to which manager can not able to
understand what happening in the organisation.
• The employees of “Indigo Airlines” are not able to
implement the service of serve food to customers
properly due to customers are not happy by the
service of “Indigo Airlines”
• Absence of customer driven standard:
• In the ‘economy class’ there is problem that
Indigo airlines can not able to provide
customers driven standard and quality of
service to the customers.
• In Indigo airlines the airhostess takes lot of
time to deliver the order of customers.
• Failure to match supply and demand:
• Customers are not taking the responsibility
that to keep clean the environment of airlines
and flight, due to which lot of cost incurred in
the cleaning the flight and surrounding of
• Lack of integrated marketing communication:
• The advertising and promotional activities of
the Indigo airlines is very low due to which
there is the problem that customers are not
aware about scheme and discount on flights.
• Inadequate horizontal communication:
Service Gap Recommendations
• Improvement in upward communication
• First of all the employees of the organisation have to encourage to do the communication with the group member
and with the manager even also manager have to appreciate the communication of the employees and have to
give feedback to the person who are doing communication with managers by that procedure we can able to do
improvement in the upward communication of Indigo Airlines
• Service recovery:
• The Indigo airlines have to give training to the employees to the various parameters such as
• 1. How to serve food to the customers
• 2. How to deal with the customers
• 3. How to meet the expectation of customers
• Customer driven standard:
• The Indigo airlines have to give training to the employees that to how to behave ethically with the customers by
the help of training programme and there implementation we can able to meet the customer driven standard
• Demand and supply:
• To meet the demand of the customers and to keep the smooth supply of goods in the flight the ‘supply chain
management’ should maintain properly and to meet the demand of customers.
• GAP - 4
• Integrated marketing communication:
• Indigo airlines should implement the ‘intranet’ facility to set the horizontal communication within the organisation
due to which all problem of horizontal communication will be removed.
• we recommend that IndiGo must increase its
domestic operations by starting flights connecting
to new destinations.
• So using the cost leadership strategy, IndiGo can
gain competitive advantage over its competitors
as the first mover.
• Once the above strategy is successful and results
in promising revenue growth, IndiGo canuse
extension to freight and chartered services as the
next objective for further expansion
• Currently, IndiGo is concentrating only in
domestic passenger flights.
• However, the freight/cargo market and charted
plane service are the areas that can prove to be
good potential market for IndiGo.
• Besides, chartered flight services are an untapped
market for IndiGo.
• Thus, IndiGo has a huge opportunity to expand in
both these arenas.
effective March 08,2011. The launch marks IndiGo’s entry in the Chhattisgarh region, consolidating its position as the fastest growing airline in India with 237 flights, connecting 25 destinations across the nation, in a short span of almost five years.