kingfisher final16.03.11

8/6/2019 Kingfisher Final16.03.11

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Kingfisher Airlines

. The king of good times


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Presented by: Dipika MohiteHarshala Halarnakar Parag Lonare

Swapnil PatilVinod Shendge

Guided By:Prof. Brijesh Sharma


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Services are distinguished from products mainly becausethey are generally produced at the same time as they are

consumed and cannot be stored away or taken andenhanced marketing mix need to be deployed .

Its not about simply reaching about to customers with theright service. But, its also about creating that right desire topossess service.

W hat is Service Marketing ?


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T he Airline industry came into existence during the 17 thcenturies.

Origin of Indian aviation industry can be traced back tothe year 1912.

Air travel remains a large and growing industry. Itfacilitates economic growth, world trade, internationalinvestment and tourism and is therefore central to theglobalization taking place in many other industries

A irlines as a service industry


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Entry

Of PrivatePlayers

Entry

Of PrivatePlayers


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Market ShareT he market shares of the Major Airlines (Last quarter 2010)are as given in the pie chart below:


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T he service marketing triangle

One can better understand the workings of airlines bylooking at its marketing triangle.

COMPANY

CUSTOMERPROVIDER

ENABLING PROMISES MAKING PROMISES

KEEPING PROMISES


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K ingfisher Airline is a private airline based in Bangalore,India.T he airline is owned by Mr. Vijay Mallya of United

Beverages Group.K ingfisher Airlines started its operations on May 9, 2005with a fleet of 4 Airbus A320 aircrafts.Operates more than 400 flights a day, network of 77destinations, with regional and long-haul internationalservices.One of six airlines in the world to have a five-star ratingfrom skytrax.

K ingfisher A irlines


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In a short span of time K ingfisher Airline has carved aniche for itself.T he airline offers several unique services to itscustomers.T hese include: personal valet at the airport to assist inbaggage handling and boarding, accompanied withrefreshments and music at the airport, audio and videoon-demand, with extra-wide personalized screens in the

aircraft and three-course gourmet cuisine .


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Main Bases:Bangalore's Bengaluru International AirportMumbai's Chhatrapati Shivaji International AirportHyderabad's Rajiv Gandhi International AirportDelhi's Indira Gandhi International Airport.United Breweries Group, has a 50 percent stake in low-cost carrier K ingfisher Red, formerly known as Air Deccan.In 2008, K ingfisher chairman Vijay Mallya and his Jet

Airways counterpart Naresh Goyal announced astrategic alliance.


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Market Share of KFA

Current ScenarioCurrent Scenario

K ingfisher AirlinesK ingfisher Airlines -->>26.8%26.8%

Jet AirwaysJet Airways --> 17.8 %> 17.8 %

Indian Airlines + Air Indian Airlines + Air IndiaIndia --> 17.2%> 17.2%

IndigoIndigo --> 13.5 %> 13.5 %

Spice JetSpice Jet - -> 12.0%> 12.0%

OthersOthers --> 12.6%> 12.6%


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Total connections to 70 cities including 7 international destinationsflying over 350 flights a day.

Over 45 million guests flown since inceptionCurrent F leet size of 67 aircraft (39 A irbus and 28 ATR s). Market

Share of 20.8%

R ecognized as one of Indias Most R espected Companies in 2006

and 2007 Business W orld

Indias only 5 star airline by independent agency Skytrax

KFA at a Glance


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S TREN GT HSStrong brand value and reputation in the minds of customers.Quality of the service.Route rationalization.First airline to have a new fleet of airbuses.Quality and continuous innovation.

W EAKNE SS E S

Still a not in profit organization.High ticket pricing.Facing a tough competition from competitors.Service delivery to metros and other big cities

S. W .O. T. ANA LYSIS


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OPPO RTUN IT IE ST he expanding tourism industry.T he non penetrated domestic market.International market.Untapped air cargo market.

T HREAT SCompetitors

Infrastructure issues.Fuel price hike.Economic slowdown .


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A wards

K ingfisher Airlines has received 30 awards for innovation,Customer responsiveness and was voted the best new AirlineOf the year within months of its launch.


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K ingfisher Airlines are into the business of transportation, rather in the Aviation HospitalitySpace and believe in offering their guests that

ultimate experience 30,000 feet in the skies.

K ingfisher has touched the consumer pulse andtheir guests keep coming back for more of the`Good T imes onboard K ingfisher Airlines. .

U ltimate E xperience


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Market Player


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7 Ps O F K ingfisher

A irlines


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PRODUC T PRICE PLACE PROMO T ION PEOPLE PROCESS PHYSICAL

EVIDENCE

R ainbow of Service Marketing Mix


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P R OD U CT

Domestic & International Air T ransport Service.74 domestic destinations & 8 international destinations in

8 countries across Asia & Europe.Began its international operations by connecting

Bangalore to LondonServicesDomestic & International:K ingfisher FirstK

ingfisher RedK ingfisher Class


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In-Flight entertainment


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PL A CEServices ranges from Ahmadabad to Agartala & to the major

cities such as Delhi, Bangalore, & Chennai etc.To target the metro cities or the tier 1 cities in IndiaT ickets can be booked through various channels

Online Booking - www.flykingfisher.com

Online Booking - Yatra.com, MakeMy T rip.com,ezeego1.comCredit Cards & Debit Cards PaymentSMS / Call

Outlets in every major city and at every airport across thecountry

Head office is K ingfisher House in Vile Parle (East), Mumbai,well equipped with trained employees &n spread of offices

across India


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P R ICE

Higher income group as well as the upper middle classbackground.

T he youth & the high lifestyle segments.

Sec A, sec B+ socio economic class mainly in the agegroup of 25-45 years

Services offered by kingfisher do emphasis on their policy to target those segments which are willing to payfor luxury.


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P R OMO T ION

Showcase themselves as as new flying experienceMany events and advertisementsMultiple touch points and finer promotional servicesLoyalty and frequent flyer programs are also carried out.

Sponsored many cultural events, sports events andcharity programs


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P R OMO T ION :A DVERT ISE MENT S & P U BLICI T Y

Hoardings Brand Ambassador

NDT V Good T imes Tagline Media &Press Releases


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S A LE S P R OMO T ION T ravel Agencies Offers

K ing Club


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P E OPL E

People are the most important pProvide most services that is the selection, training, andmotivation of employeesT here is the ancillary service personnel, the travel agent whoplays a very important role in creating the service exchangebut is not a part of the service.T he front line staff play a critical role and need to possessempathy

Are sent on a 21 day training programmeOne-month bonus or some incentives


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Emphasizes on the involvement of channels, front linestaff, travel agency offices, offices of the tour Confirmation of seatsDetails of booking

Offers concession and allows a change in thereservation statusPassenger convenience.Provides various facilities at the airport

Convenient travel

P R OC E SS


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Seating configuration and in-flight foodBest commercial aircraft

- Boeing & Airbus -Offers a wide selection of meals & highly comfortable seating

Provides extremely spacious and well designed bookingoffices and ticket countersElegant interiors and well designed seats

PHYSIC A L E VIDEN CE


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CH A LLEN GE S

Excess CapacitySeveral new aircrafts were bought within a short spanof time which resulted in excess capacity of around15% to 20%.

High Debt BurdenT he top three airlines including Air India, K ingfisher Airlines and Jet Airways are now carrying acumulative debt burden of approximately $8 billion.

Poor Infrastructure

Maintenance and Air T raffic Control (A T C)infrastructure are grossly inadequate if the industryexpects to grow any further.


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S U GG E S T ION S T O KFA

T ry to focus on smaller aircrafts (50-70 seaters) and fuelefficient planes for short distance.For a long term strategy, internationally focus should remainon one region at a time.To open separate counter for single baggage and last minutedeparture.Easy information should be available to passengers

regarding transit baggage. Avoid aggressive expansion of fleets.


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kingfisher final16.03.11

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