The implications of intangibility to the service offered by AirAsia and communication strategies to

The airline industry has long attempted to segment the air travel market in order to effectively target its constituents. The classic airline model consists of First Class, Business Class and Economy, and the demographics that make up the classes have both similarities and differences to the other classes. For instance there may be similarities between business class travellers on a particular flight, but they will not all be travelling for the same reason. An almost-universal characteristic of air travel is that customers do not fly for the sake of flying; the destination is the important element and the travel is a by-product, a means-to-an-end that involves the necessity of an aircraft that gets the customer from point A to point B.

This report seeks to recommend practical strategies on how to improve service productivity, without neglecting service quality of Indigo Airlines.

Brand identity is important in the airline industry, and benefits larger airlines. Major carriers allocate considerable resources to marketing efforts. Frequent flier programs and other incentives have been successful in enticing travelers to fly with certain carriers. The frequent flyer incentive can often be strong enough to cause a customer to choose one carrier over another -- even when the other carrier offers a lower fare.

The service sector is “the section of the economy that involves providing intangible services” (Conley, 2015, p. 554). Some examples of intangible services is restaurant work, teaching, or nursing. Intangible services are something that cannot be touched or felt, but there can be tangible proof of the actual service. An example of intangible service with tangible proof would be a teacher who teaches children, but there is proof of the education in the test scores.

If Southwest decided that they needed to increase their revenue they would have to start by raising the prices of their tickets. The need for increased revenue would need to be passed on to the consumers’. When a ticket price is higher with one airline than the other, the customer

This is done by developing services and products that are viewed to be unique by the customers, and thus the customers are willing to pay premium prices for them (Porter 1985). Airline using this strategy can place a high price for their services and products. The other advantage is that the customers are also willing to pay a high price based on the uniqueness of the product or service. They also tend to be more loyal since the purchasing decision is more related to the quality rather than on the price (Mazzeo

The service industry interacts with our lives on a daily basis. Services can be defined as deeds, processes and performances. When considering the differences between products and services, intangibility and the fact that a service cannot be touched, tasted, viewed or tried on are terms often used (McColl-Kennedy & Kiel 2000). Services differ from goods in essentially four ways: (1) intangibility; (2) inseparability; (3) heterogeneity; (4) perishability (Kotler, Brown, Adam, Burton, Armstrong 2006). To deliver a quality service, managers also pay attention to the importance of tangibles that support service delivery as well as service delivery blueprinting. Managers must also accept that service failures occur and be able to

Although the company has been able to gain a competitive advantage by distinguishing themselves from the competition, it still remains a difficult industry to compete in. Because the competition is very high it is simple for customers to look elsewhere for a better deal. The product is air travel and there are many competitors offering the same destinations. Airfares and rates vary and the competitors are always pushing to lower rates in order to fill empty seats and ensure profits.

Marketing is a vital part of any business and is an integral component of selling any product. Whether the business is a small mom and pop operation or a world leader, marketing is a part of the business. Because there are many ways to fulfill the needs of the customer, a straight-forward approach is to consider the four "Ps" of the marketing mix. This paper will examine the marketing mix and give examples of the marketing mix as it pertains to Southwest Airlines.

The aim of this report is to explain the nature of marketing and the marketing decisions taken by British Airways.

After we have gone through the weakness of AirAsia, now we will discuss about the opportunities that AirAsia Company and their customer will get for being a low cost airlines in our country. The first opportunity is global exposition. The society in our country gets to explore the outside of the country at low cost despite of their financial status. Businesses can consider expanding their business by opening a new branch in foreign country while they are in vacation. They can use many ways to market their product for example by licensing, exporting, joint ventures and other method as long as it will bring profit for them. It is like a new step for our local businesses to enter international business. International businesses are “all business activities that involve exchanges across national boundaries” (Hughes, Kapoor, & Pride, 2012). It can increase our nation’s economic status when their product gains a lot of profit. They also can use these airlines if they have a meeting at farther place either in country or outside the country to save cost.

Air has become the most preferred method of transportation for many people around the world and more travelers are looking for affordable ways to travel between destinations. Consequently, the increase in customer’s demand for cheaper fares has created an excellent business opportunity for low cost airlines to emerge. Low cost carriers have been successful satisfying customer’s demand for cheaper fares and reducing labor cost. “A high quality low-price entry strategy may seem very attractive at first glance. Obviously, an airline, or any startup firm for that matter, is likely to win a market if it can indeed provide a better product for a

Product is a key element I marketing mix. Today as products and services become more, many companies are moving to new level in creating value for customers. In the case of Turkish airlines, it offers following products to their customers-

Sureshchandra, Rajendran and Anantharaman (2002) identified five critical aspects of service quality from the customers point of view namely core service/service product, human element of service delivery, systematisation of service delivery, tangibles of service and lastly social responsibility in order to conceptualise service quality. Table 1 will further provide an explanation to the five critical aspects of service quality as outlined by Sureshchandra et al (2002).

As a part of Crossman Communications, this essay will go into depth about the client, Malaysian Airlines and their recent campaign. Malaysian Airlines founded in 1957, currently flies to 53 different destinations having over 12 000 employees (Malaysian Airlines, 2017). The airline company offers the best way to fly to and from Malaysia flying over 40 000 people everyday (Malaysian Airlines, 2017). The campaign was set to rebuild the trust of Australian and New Zealander flyers due to the multiple aircrafts that have gone missing which have affected families in both countries (Crossman Communications, 2015). Having said that, the goal was to improve bookings, and generate positive media coverage (Crossman Communications, 2015). This essay