Jet Star

Topics: Airline, Low-cost carrier, Southwest Airlines Pages: 7 (1681 words) Published: December 18, 2014
Jet Star
Marketing Objective
Jet Star is a subsidiary airline of Qantas, it is founded in Melbourne, Australia in 2004 starting with 400 employees and up to date they have 7,000 employees under them. Jet Star is one of the largest low- cost airline carrier in the Asia Pacific by revenue Jet Star objective is to offer all day, everyday low fares to allow more people to fly to different places more often. From the advertising slogan of Jet star “All day everyday low fares” we are able to know their objective. Jet Star’s goal is to become Singapore number one budget airline, improve on the brand awareness, and attract more potential customers to fly with Jet star and retaining of existing customers allowing to have an increase in the sales revenue. Target Audience

Jet Star target audience segment
1) Potential Customers that is looking for cheap fares
2) Target group is middle and low class income.
3) Existing customers
4) Families & Friends
5) Tour groups

SWOT
Strength
Weakness
Flexible fare price
Customer Guarantee
Price Guarantee
Loyal customers
Strong Brand reputation
Baby of “Qantas”
Limited Fleet
Limited flight destinations
Comfort level
Opportunity
Threats
Expansion of routes
Increase in Business travellers
Competitors from other budget carrier
Increase of fuel price
Unpredictable disaster factors

Strength: Jet star is known for their cheap fares that allows customers to choose and of fares depending on the customers’ need. Example, Customer is able to choose to have check in luggage or meal on board. Prices is guaranteed to be the lowest among the budget airlines and this leads us to have loyal customers. Jet star is able to have a strong brand reputation as customer will agree to take up Jet Star is because Qantas airline is the “parent”. Weakness: Jet Star has currently 17 destinations across 10 counties in Asia Pacific Due to the limited aircrafts that Jet Star provide, they have difficulties in expanding their market shares to new destinations. The comfort level for passengers is not as luxurious on long haul flights compared to other mainstream airlines.

Threats: The increase in fuel price over the past years has been affecting the growth of aviation industry therefore also affecting Jet Star. Unpredictable accidents that comes from bad weathers or technical problems could also be possible threats to the carrier. Customers may choose the mainstream airlines compared to budget due to the safety in budget airline. Marketing Mix Strategies

Marketing Strategies are necessary for making products services known to the customers. These strategies are supposed to target in convincing the customer to purchase the products through promotional activities. Marketing mix strategies involves the 4Ps which is Product, price, promotion and place. This allows the organisation to analyse on how the products will be distributed to the targeted customer at the right time. 4Ps

Product
Price
Flight Destination

Lowest price
Reasonable price
Place
Promotion
Websites
Ticketing Counter
Low prices when advance booking
Collaborations with banks
Road shows
Social media channels (Facebook campaign)

The product should be standard and customized to suit the needs of all the customers and to compete efficiently in the market. Organizations should be creative and outstanding when designing a new product so that it can be attractive to the users (Donne, 2000). The only product that Jet Star is offering is their flight destinations. They offer destination to customers at the lowest price possible.

The prices Jet Star offers to their customers should be low and reasonable as they are known as a low cost carrier. The prices that the customers have to pay in order to get the services of an organization, it also means the value of it in the market. Princes are often associated with the quality of product and services. According to Pitt (2001) Consumers often thinks that the lower the...

References: Kotler ,P And Armstrong, G (2009) Principles of Marketing
Donne. M. 2000. The growth and long term potential of the low-cost airlines. Travel & Tourism Intelligence, vol 4. Pp-15
Pitt, M. 2001. Strategic Direction in the airport business: Enabling or Disabling Journal of Business Strategy, 19 (3/4), pp 150-156
Spiess, L. & Waring, P. 2005.Aesthetics Labor, Cost Minimization and the labor process in the asia pacific airline industry. Employee Relations, 27(2).
Tigerair story. (2014). Retrieved Dec 15, 2014, from tigerair.com:
http://www.tigerair.com/sg/en/about_us.php
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