Marketing Strategies in Airline Industry

Airline industry

Table of content
Table of Contents
1.0 INTRODUCTION................................................................................................................................3
2.0 Key marketing concepts and terminology .......................................................................................3
2.1 Branding................................................................................................................................3
2.2 Product Strategy ...................................................................................................................4
2.3 Promotional Strategy.............................................................................................................5
3.0 Marketing strategies and programs that helped Air Canada achieve their objectives. ...................5
3.1 Marketing Strategies and Objectives ....................................................................................6
3.2 Ethical considerations ...........................................................................................................6
4.0 7Ps, STP, Marketing Research used in Air Canada or British Airways daily organisational
operations.............................................................................................................................................6
4.1 7PS used in Air Canada..........................................................................................................7
4.2 STP.........................................................................................................................................8
4.3 Marketing Research...............................................................................................................8
5.0 Poster- Relationships of the marketing functions to other functional areas in organizations. .....10
6.0 Conclusion.....................................................................................................................................12
7.0 References.....................................................................................................................................13

1.0 INTRODUCTION
The concept of marketing is regarded as one of the integral business function in every
type of organisation like manufacturing, airline, service, retail, food and many more. This is
because it is refer as a process or activity which is utilised by an organisation with an aim of
promoting the product or service within an industry in an effective or efficient manner. Along
with this, the core function or purpose of marketing division is to advertising, selling,
delivering the products or services in order to render increased level of customer satisfaction
and also to enhance the overall productivity of firm among competitors (Afonina, 2015). In
regard of this report, airline sector has been considered which is one of the increasing
division in current marketplace. However, the role of marketing in airline sector plays a vital
role as it empower them to enlarge its market share or size and lead them to gain competitive
advantage. For this report, Air Canada has been regarded as it well known as the largest
airline of Canada in terms of fleet size and passengers carried. It is founded in the year of
1937 and serve its services across the globe. This study involves various marketing concepts
and terminology, identification of different marketing strategies and determination of 7Ps.
Finally, analysing the relationship among marketing function and other functional unit of an
organisation for accomplishing the business objective in a better way.
2.0 Key marketing concepts and terminology
In this current era of marketplace, there is an intense level of competition and
challenges among companies which impact over firm's decision making procedure. Hence,
marketing is related to those department of management which tries to design strategies for
building profitable relationships with target consumers. Hence, the marketing concept is
defined as those strategy which establishment implement to satisfy customer needs, increase
sales, maximise profit and beat the competition in an innovative manner. IN regard of Air
Canada, some of its marketing concepts which it practices in order to attain improved level of
consumer satisfaction and it is discussed below:
2.1 Branding
In order to retain existing customer as well as to capture the attention of wide range of
population, an impressive branding activities is considered as an essential requirements. This
is because, branding is related to those process or procedure which enable an organisation to
give an unique name or position for particular product and service by generating and
delivering a best quality commodity. In the activity of branding a products, the term brand
plays a vital role which is the combination of physical and emotional features or idea such as

name, logo, visual identity as well as the message communicated. Hence, with the proper
allocation of resources, it empower an establishment to create a positive response among
targeted market and consumer in an amended way. In relation to Air Canada, its takes an
initiative to make use of all latest or advanced technologies into its functional units as per the
market demand or need. With the help of such contribution, Air Canada is able to acquire the
impressive reputation as largest international airline who serve around more than 220 airports
in six continents. According to the theory of Simmel's opinion, it defined the aspect of
branding as a subjective and objective culture. In term of subjective it encompasses consumer
need or demand and on the other hand objective culture link with adoption of various
promotional tool in order to reach to end user without any hindrances. For example, if Air
Canada make an effort to analyse the market scenario as well as dynamic nature of consumer
then it help them to develop a unique brand image for its commodity among competitors
within prescribed time duration (Bhat and Darzi, 2016).
2.2 Product Strategy
For surviving in a current marketplace for longer time duration, an effective strategy
is an essential element who act as a proper guidance and direction to organisation in order to
accomplish their target in an amended manner. However, the concept of product strategy is
refer as a long term plan that comprises vision, mission, business strategy, marketing mix,
product line and many more with an aim of providing increased level of consumer
satisfaction. The core purpose of this component is that it drive firm to take corrective course
of action as per the changing market condition. In the views of Philip Kotler model of
product strategy, it demonstrate the idea related to identifying the market potentiality as well
as competitors capability and based on that implementing best strategic decision which
empower company to acquire aggressive position in a competing industry in an innovative
style. For example, if Air Canada, take an initiative to determine its targeted market
capability and on the basis of that develop productive marketing strategy and mix, it drive
them to fulfil the requirements of its targeted consumer and also aid them to create a value for
its products and services in an trenchant mode. Hence as per the present performance of Air
Canada, it has been signified that they are capable of focussing over multiple products in a
short time that assist company to make foremost decision regarding target market and market
penetration among rivalries.