Marketing Plan of Emirates Airline

The United States carries over one third of the globe’s total traffic, where Over 1.5 billion passengers fly annually. Over the past 20 years, air travel has grown at an average of about 5% per year, the reason for annual change is usually differences in economic growth, and of course other environmental factors, such as the current war. As a rule, the annual growth in air travel has been about twice the annual growth in GDP. Deregulation, liberalization, and competition have essentially altered the management strategies and practices of airlines. Productivity improvements and cost management have been two of the greatest concerns for US airlines for the past twenty years. As a whole, the airline industry must continue to improve their specialization in terms of fleet utilization, pricing and revenue management, and schedule optimization.

Modern airline travel has become so commonplace that it is very similar to the crowded train system of the 1920s and 1930s. In the highly competitive airline industry, while not the largest company, the company that seems to glean the most press for providing innovative solutions and customer service is

The airline industry has been a major factor in the globalization of the world economy. It connects the sellers and the buyers as well as transports goods across countries. It also breaks the time and distance barriers. In the past, air travel was considered a luxury but it is now a common necessity.

American airline industry is steadily growing at an extremely strong rate. This growth comes with a number economic and social advantage. This contributes a great deal to the international inventory. The US airline industry is a major economic aspect in both the outcome on other related industries like tourism and manufacturing of aircraft and its own terms of operation. The airline industry is receiving massive media attention unlike other industries through participating and making of government policies. As Hoffman and Bateson (2011) show the major competitors include Southwest Airlines, Delta Airline, and United Airline.

The Airline companies now a day are mainly depending on marketing to attract new customers and to maintain sustainable relationships with them by promotions, Rewards and Loyalty programs.

The company can create strategic alliances and promote growth in the airline industry by leveraging code share agreement with other airlines. Codeshare arrangement between airlines has been a developing strategy on the rise within the airline industry, where one flight operated by an airline is jointly marketed as a flight for two or more airlines. This approach has been a key feature in promoting major alliances between airlines. It offers the airlines the opportunity to broaden its services in unfamiliar, new markets and destinations as well as assist in reduce operational cost, since the airline would sacrifice its capacity to the operating code sharing partner who bares the operational cost. Code sharing creates opportunity for airlines to establish connections beyond their own network and boost sales across the industry.

The airline industry is greatly influenced by the the travel and tourism trends across the globe. The World Travel and Tourism Board states that the the level of tourism is likely to grow even as the years progress. The growth in the level of tourism is expected to grow at a level of 4.5 per cent annually. This is expected to continue upto 2017. Thus the organization should fully prepare it self and take over the tourism market.

The airline industry has some current undergone radical changes in which how he operates. This fact makes it impervious that each airline challenges to find those personalities on which

The airline industry has always been a fiercely competitive sector. Since the invention of low-cost carriers, also known as no-frills or

Airlines Industry is large and growing, it is also the most fiercely competitive sector. It facilitates international trade, world economy growth, tourism and international investment. The airline industry has over time with the use of modern technology been able to take advantage of the short haul, high frequency and gained a competitive advantage over other forms of travel, such as buses and railroad travel. Additionally, the airline industry still holds the market for global travel at a low cost and convenient way to travel. The aviation industry gives a good contribution to the GDP which includes the following: airline services, general aviation, civil airport operations, aircraft manufacturing, and

In 2015, American Airlines (AA) posted a record profit of $7.6 billion, which also included special items. A large portion of this gain came from the forth Quarter, which netted a $3.3 billion profit. AA credits a large portion of their success in 2015 to the plummeting oil prices, which was warmly welcomed across the airline industry. Fuel, which is a third of AA’s operating cost, declined 40.8% in consolidated cost.

In an extremely regulated and thus relatively uniform industry such as the commercial airline industry, the successful airline is the organization which sets itself apart from the competition. Within an industry that requires customer planning to interface with flight schedules and security measures, a major operational aspect which can aid an airline in gaining an edge on the competition is customer service. The effective consumption of air travel (finding flights, buying tickets, getting through the airport, boarding a plane, and finally reaching the final destination) is not the same simple consumer –supplier

Airline alliance can be defined as an agreement that consist of multiple independent airline to partner up or collaborate in various streamline costs activities and expanding market penetration and global reach (Hu, Caldentey, & Vulcano, 2013). Nowadays there is a lot of Airline Alliance in the globe that serve in many different regions throughout the world with the purpose to expands each existing airline in the alliance network by using the code-sharing, reciprocal agreements, frequent flyers programme and many other more (Pitfield, 2007). Currently there are three main Airline Alliance that consist of numerous number of airlines in each alliance. The Airline Alliance are Skyteam, Oneworld, and Sky Alliances. As stated before each one of the alliance have the same purpose which is code sharing, frequent flyers programme and many other more. The rise of the airline alliances has given significant positive impacts towards the industry, passengers and the airline itself. According to Pitfield (2007), the airline alliances give serious impact in term of passenger traffic, market shares and concentration.

In less than twenty years, the global industry has gone through tremendous change. Several airlines had gone out of business that had been on top of the industry for years. One of the remarkable changes had been airline alliances. The case focuses on the airline industry and how airlines are forming alliances and joint ventures. It then introduces the partner firms Air France KLM , and Delta . Air France KLM had over 25 collaborative agreements with other carriers and was a founding member of Skyteam, one of the leading airline groups. Air France KLM and Delta Airlines formed revenue

By pooling resources alliances can reduce unit costs and achieve greater cost efficiencies through more efficient utilisation of resources such as sharing landing slots, maintenance teams, IT systems and labour. Airlines also have the opportunity of engaging in joint purchasing agreements and make considerable savings. When we look at the Star Alliance which was founded in 1997 we see that they have made considerable savings from joint purchasing agreements. Earlier this year The Star Alliance leveraged its purchasing power with the procurement of new economy class seats. As well as reducing the cost of seat ownership the airline will also benefit of reduced future fuel costs due to the seats being made of lighter materials.