Service marketing details of vistara

1. Presented by:
Kushal Arora-19
Karan Khurana-47
Sushmil Sahai-07
Nikhil Saini-10

2. About the company
• Vistara is an Indian airline based in New Delhi
• The full service carrier is a joint venture between Tata Sons and
Singapore Airlines
• The carrier commenced operations on 9 January 2015 and
operates 164 flights per week with 5 Airbus A320 aircraft
• First carrier to offer premium economy seats on domestic
flights in India apart from the usual Economy & Business class
• Current Destinations include New Delhi, Mumbai,
Ahmedabad, Panjim, Hyderabad and Siliguri.

3. Type Of Service
• Vistara, a full-service airline, is a joint venture between Tata
Sons Ltd. and Singapore Airlines (SIA).
Target Segments
• A lot of business and high-end travellers who want
personalized experience and premium services
• Mid-level managers who are prohibited by corporate policies
to travel in business class
• Customers wanting end-to-end service experience i.e. from
the time one reaches the airport to post-flight engagement

4. Service market triangle
INTERACTIVE

5. External Marketing
“Setting the promise”
• On-time performance
• First to introduce in-flight wireless streaming
• First to one to offer 3 cabin services
– 16 business,36 premium & 96 economy
• Mobile phone boarding pass.
• 1.5 million unique visitors on their website
• Introduced 5 meal cycles with weekly menu change.
• Promotions- newspapers,ads on tv, hoardings

6. Interactive Marketing
“Service Encounter”
• Best service among other classes of airlines.
– Comfortable seats (20% more less space)
– 98% on time performance record
– Best quality meal provided Taj Catering.
– Online Gaming Zone
– Movie screening
• Point to point scheduling
• Airbus A320 neo fleet

7. Internal Marketing
• Well Trained employees and are trained to provide
the best in-class facilities
• The front line staff are trained to ensure that all the
services are delivered to the customers as promised.
• Proper dress code for all the crew members
• Vistara works towards learning changing trends in
customer needs and will implement those changes
immediately. Eg. changes in the menu

8. Value Proposition
Costs lower than economy class travel on full service
airlines and marginally more than the ‘bus services’ type
low cost competition
 Delight and pamper their guests through unparalleled
levels of service, comfort, and convenience
 `Designer' aircrafts complete with models as air
hostesses
 In-flight entertainment options
 Lowest per seat mile cost in India

9. MARKETING MIX

10. 7P’S OF MARKETING MIX
PRODUCTS :
• Our core products are our flights. We will provide full meals(vegetarian and non-
vegetarian) during the flight.
• The meals will have an item of local cuisine depending on the source of the flight.
For example: A flight from Mumbai to Pune will contain a local specialty like
“Shrikhand” in the meal. These local specialties will be bought from upcoming
startups, helping us save on costs. Vistara is a low cost airline and there is electronic
in-flight entertainment on the flight.
• Vistara will an offer e-magazine to the passengers so that can browse through latest
news, upcoming trends, etc. and also avail various discounts on product and
services offered in the magazine.

11. PROMOTION
• Print ads in newspapers The brand campaign will promote Vistara with the
tagline 'High Standards, Economically!' The airline will roll out print
campaigns across all leading newspapers. The idea is to target the people of
all walks of life who want a unique experience and value for money.
• Print ads in magazines Primarily in corporate magazine like “Business
Today”, “India Today” and “Forbes India.”
• Promotional Ads in TV commercials at prime time between 8pm to 11pm.
Vistara will promote on News channels like NDTV Profit and CNN IBN,
also on Entertainment channels like Colours, Sony, etc.
• Movies as a medium of theatre promotion
• Outdoor channels like hoardings at prime locations.

12. PEOPLE
• People at Vistara strive to provide excellent service. The airhostesses will
work towards creating a helpful and warm welcoming ambience.
• The front line staff will ensure that all the services are delivered to the
customers as promised. Vistara will employ a team of skilled &
professionally trained pilots, ground staff, flight attendants, freight movers
and packers, security personnel, management decision makers.
PROCESS
• Customers can book their tickets in the following ways:- By logging in to
the website www.tatavistara.in.
• Customers can choose from available flights, select the flight, agree to the
terms and conditions, fill in their particulars, complete the payment process
and finally an itinerary will be generated. The tickets will finally be sent to
the customer’s mobile phones and email id.
• At facilities at the airport, the baggage handling, flight information kiosk
etc also would help delivering quality service and making travel a pleasure
to our customers.

13. PLACE
 Sales offices
 Call centers
 Self-service check-in Kiosks
 Website
 Mobile Application
 Social Media
 Traditional travel agents
 On-line travel agents for eg: Makemytrip
 Tour operators and consolidators

14. PHYSICAL ENVIRONMENT
 On the ground: - This includes everything customers will experiences on
ground Booking Offices or ticket counters: - Customers can book tickets
from Vistara offices and also at Vistara Kiosks on airports.
 On the flight: - Vistara planes are designed with customers in mind and
Vistara with great seating arrangements Entertainment Facilities: -
Customers can enjoy music on the go and also watch movies of their
choice. Interior-Exteriors: - Well-furnished interiors with comfortable seats
and baggage cabin to ensure clients have a comfortable journey

15. Price
• Dynamic pricing model - Multiple fare levels
• Uniform rules
• No hidden restrictions.
• Pricing model - 8 different levels
• Discounts provided from time to time

16. Service Management Process

17. Corporate Social Responsibility
OUR CHARITABLE INVOLVEMENT
 Every year, VISTARA provides support to charitable organizations in the form of
donations or free tickets. Furthermore, company provides discounts to parents
who are accompanying their children for medical treatment overseas.
 In the field of education, company offer special rates and other benefits to
students and accompanying parents. These initiatives are part of our social
responsibility programme, long established in our corporate culture.

18. FOR A CARBON-NEUTRAL AIRLINE INDUSTRY
VISTARA is one of the signatories of the IATA's (International Air Transport
Association) Declaration on Commitment of Action on Climate Change,
which urges the air transport industry to take measures to reduce CO2
emissions produced by aircraft and to work towards carbon-neutral growth
in the medium term and a future free of carbon emissions. Our company
participates in raising awareness around this initiative.
OUR ENVIRONMENTAL INVOLVEMENT
 The ecosystem of VISTARA is unique, and we do our best to help preserve
it by supporting pro-environment initiatives. One of the flagship initiatives
of the partnership is the "One Take-off, One Tree" campaign, whereby one
tree is planted for each take-off of an VISTARA airplane .

19. SWOT Analysis
Strengths
• Point-to-point Scheduling
• Airbus A320 neo fleet
• Pre-eminent Customer Service
• Successful Marketing
• In-Flight Services
 Free Meals on Flight
 Online Gaming Zone
 Movie screenings
Weaknesses
• Growth into congested markets
• No International Flight
• Trifling Fleet
• Low Revenue Projections
Opportunities
• Expansion in International destinations
• In-flight Wi-Fi
• Live sports
• Provision of Charging Points
• Massage-booths in Flight
• Integration with Boeing 737s
Threats
• Fading Advantage as Low
• Cost Carrier
• Fuel Price Volatility
• Government Regulations
• India’s Economic Condition
• Terrorism

20. Consumer behavior
Need
recognition
•Travel from one place to another
•Save time
•More comfort
•Moderate cost
•Availability of flights from one place to another
Information
gathering
•Search about all airlines
•Internet
•Social media
•Word of mouth
•Third party mobile applications
Alternatives
•Compare other airlines
•discount offered by other airlines
•Food services
•Best on board services
•Special offers
•Loyalty programs

21. Consumer behavior
Purchase
decision
•Through airport counters
•Website
•Third party
Post
purchase
behavior
• Satisfaction
• Brand loyalty
• Good word of mouth
• Dissatisfaction
• Complain
• Bad word of mouth

22. Market competion
• The Indian civil aviation industry is among the top 10 globally with a size of
around US$ 16 billion, as per a KPMG report.
• It produces over US$ 2.2 trillion of the global gross domestic product
(GDP)
• According to data shared by Air Asia Group while releasing financials in
Dec, 2012, India has a fleet of around 422 aircraft for a population of 1.2
billion. In comparison, China has a fleet of 1,981 aircraft for 1.3 billion
citizens.
• While 2.2 crore flew Air India and Jet Airways, 3.9 crore flew low-cost
airlines IndiGo, SpiceJet, GoAir according to Centre for Asia Pacific
Aviation (CAPA)

23. Top airlines in India
• IndiGo 37.1
• Jet Airways 24.3
• Air India 17.8%
• SpiceJet 9.2%
• GoAir 8.9%
• Air Costa 1%
• AirAsia 1.2%
• Vistara 0.5%

24. Strategies followed by Vistara
• Since the launch date for Vistara is 14-11-2014, the ticket rates for
all locations are maintained at Rs.1414/- flat.
• For the upcoming week the discounts would still be given at
Rs.1514/- , Rs.1614/- and so on up to 20-11-2014
• Post that the rates will range between RS.2500/- to Rs.9000/-
depending on the place of travel.
• Airport lounges will also contain Taj outlets and Massage parlors for
entertaining the customers as they wait for their flights.
• Customer loyalty program (FF program) will include a PayPal card
that will 10 credit points on every Rs.100 purchase. These points
can be redeemed to order food items (other than the free meals)
on flight or for future ticket reservations.

25. ENSURE MAXIMUM CUSTOMER
SATISFACTION
• First airlines to offer THREE CABIN
SERVICE
• 16 Business, 36 premium & 96 economy seats
• Premium facilities offer business class
facilities at lower price.
• Jet has two class business & economy

26. • Loyalty points on money spent.
• More Legroom in economy class.
• Third full service domestic airlines.

27. Service Failure
• FLIGHT CANCELLATIONS
• FLIGHT DELAYED
• FLIGHT DIVERSIONS
• OVERBOOKING OF FLIGHTS

28. RECOVERY
• FULL COMPENSATION
• VOUCHERS,DISCOUNTS.
• BOOKING ON NEXT FLIGHT.
• FOOD COUPONS.
• APOLOGY AND INFORMING PASSENGERS ABOUT
THE STATUS.

29. BLUEPRINT