2. Overview
⢠Goals
⢠Public Service. (Service to Customers)
⢠Return to Investors.
⢠Country Strategic Resource.
⢠World Players
⢠Delta Airline (US)
⢠United Airlines (US)
⢠Lufthansa (Germany)
⢠Ryanair (Ireland)
⢠Emirates (Dubai)
3. Airline Profitability
Profitability = [yield X load factor] - cost
⢠In order to survive and profit in this tough environment, airlines
attempt to manipulate three main variables:
⢠Cost, calculated as total operating expenses divided by available seat
miles (ASM)
⢠Yield, calculated as total operating revenues divided by the number
of revenue passenger miles (RPM)
⢠Load Factor, calculated as the ratio between RPMs and ASMs,
which measures capacity utilization.
4. Emirates airlines
⢠In 1985, Emirates Airlines was established by Dubai
Government with just 2 aircrafts.
⢠Today Emirates has 83 aircrafts files to 78 destinations in
55 countries worldwide.
⢠It has a large number of cabin crews from 95
nationalities.
5. Marketing Mix
1. PRODUCT
⢠Travel / Cargo
⢠Offer the high-quality, latest technologies and services
⢠Emirates A380
6. Marketing Mix
2. PRICE
First Class Business Class Economy Class
⢠Premium Pricing
⢠Another factor that determines ticket prices is the popularity of the route
and the scheduled time for e.g. a 2 AM flight to London from Dubai will
be cheaper than the morning flights
8. Marketing Mix
4. PRAMOTION
⢠The airline promotes it brand through various internet and
television advertisements along with sponsorship
programs for major events, especially sporting events.
⢠It sponsors the annual Dubai Shopping Festival.
9. Marketing Mix
5. PEOPLE
⢠The employees go through extensive training programs to
ensure high quality service and customer satisfaction.
10. Marketing Mix
6. PROCESS
⢠First and Business Class Lounges, Special Services like assisting
disabled passengers and unaccompanied minors, Customer Relations,
Baggage Services, Check-in and Boarding, and the Millennium
Airport Hotel.
11. Marketing Mix
7. PHYSICAL EVIDENCE
⢠Own terminal on Dubai international airport.
⢠Lounge on most of destination airports.
⢠TV screen for all classes.
⢠World class food