Key Marketing Concepts and Their Effectiveness in Ryanair Company
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Added on 2023/01/19
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This report discusses the key marketing concepts and their effectiveness in Ryanair company, including production orientation, product orientation, and sales orientation.
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Marketing Principles & Practice
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Table of Contents INTRODUCTION...........................................................................................................................3 MAIN BODY...................................................................................................................................3 Key marketing concept and their effectiveness...........................................................................3 CONCLUSION................................................................................................................................6 PART B............................................................................................................................................6 Covered in PPT............................................................................................................................6 REFERENCES................................................................................................................................7
INTRODUCTION Marketing is a crucial concept which is associated with the market research, developing product design, promote the services as well as customer engagement. It is the ongoing process which is associated to maintain the relationship and expose target audience by using appropriate channel and gauge the feedback or reaction by facilitating the purchasing process effectively (Jobber and Ellis-Chadwick, 2012). For the better understanding of report Ryanair company has been selected which is the Irish low cost airline that has gained huge market share in 2003 which is relatively more than its competitor British Airways. This report cover topic like application of differentmarketingconcepts,productionorientation,productorientationaswellassales orientation. MAIN BODY Key marketing concept and their effectiveness Marketing management orientationare the broad picture that consist of different marketing concept which are classified under the various approaches of marketing. The purpose of classification is to identify different strategies and anticipate the existing requirement of customer. Marketing management involve the business process that is significant in order to manage the company's product(French and Lefebvre, 2012). In context to Ryanair airline, the company became the revolution under which in comparison to the other rivalries they charged low prices for their services. This lead to the boom or huge change in the economy as it even enhanced the desire of middle class people to afford the flight services and experience the air mode of transportation. The chief executive of company that is Michael O'Leary due to their charismatic leadership style encourage the European Union toinculcatesimilarmarketingorientationstrategyandgiveprivilegetothepeopleby understanding their requirement effectively.
Illustration1:Marketingconcept, 2019 § Production orientation:This concept dominates the market in 1950 which was the beginning of capitalisation. The business used to think that the customer prefers affordable product which is easily available in the near market which led to the mass production. It is based on the concept that companies produce the product at large scale so that they can meet the demand of mass market which even reduces the per head cost of the company. To undergo such process, the Ryanair company, need to manage the supplier supply relationship and try to minimise the cost of company by eradicate the wastage of resources or making unnecessary expenditure in offering highly comfortable or flexible seats(Lagarde, 2012).In context of Ryanair, this enterprise is production oriented enterprise as it focuses upon as this company focuses upon its cost. It provides its airline services at low prices and earn large amount of profits thereby. The basic aim of this enterprise is to reduce cost at minimum. This enterprise believes that offering its services at low prices will kill the competition and help in attracting large number of customers. Product orientation:Within this the firm assumes that customer prefer quality product as this is only the feature which user cannot comprise. So if the quality product is available in the market then it can influence the purchase decision making power. In relation to the Ryanair company can enhance the existing services by revising its product after a specific duration. This can differentiate the aviation services of the company which can appeal the interest of customer on the basis of essential factors like availability, usability and price to cater market need effectively(Kubacki and et. al., 2015).This company do not focus upon its product but it
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focusses upon its production and the needs of customers. This is the reason it offers very common service but these services are offered at low prices. Selling orientation:This concept concentrates on the actual sales of the commodity unlike the above two concepts which were related to the production of commodity. Herein, Ryanair company can use selling concept during the off-season where very low percentage of tourist avail the transportation services. This led to the immense pressure on company due to low profitability. Hence, to cope up with this situation the company can aggressively sell their seats by offering adequate discount and so on(Jackson, 2013). Therefore, it does not meet the customer satisfaction level also the chances of repeat purchases are rare.This organisation always takes care of the needs and demands of its competitors and produce services in accordance. It does not believe in this concept as this concept do not ensure customer satisfaction and moreover it will also enhance the company's cost. Marketing orientation:The business owner gives attention to the needs of customer which is beneficial to fulfil the requirement of both customer as well as company. Here the marketer focuses on the needs, want as well as demand of customer to shape the culture by concentrating on the basic ability to survive effectively(Palmer, 2012). In terms of Ryanair company such pull strategy is widely used as the company understand the emerging need of potential market and reduce the carrier cost. This widely enhance the market share of company and led the company to move ahead of competitors.This enterprise focus upon marketing orientation as it provides low price services to its customers that helps in satisfying them and it also help in reducing company's cost of production as it generates high profits. Societal orientation:This concept is one step ahead of marketing concept under which the company not only emphasize on the needs and want of customer but also on the customer or societal welfare(Charter and Polonsky, 2017). For which it implement the CSR activities by satisfying the human requirement as well as safeguard the interest of society. In context to Ryanair company makes precaution to reduce the emission of carbon, eradicate the use of plastic and increase the workforce diversity. CONCLUSION From the above report it has been concluded that marketing concept determines how the market has drastically changes throughout the different years. Earlier it was more production oriented but now in present it is user oriented. Further, the modern companies relatively focus to
provide the good experience to the customer by setting up suitable strategy for the well ebing of society as well as customer. Recommendation With the change in customer requirement and dynamic trend Ryanair company should bring modification in the existing services of company because the purchasing power of global customer has increased. Along with that the company should provide training to their staff like crew members on the regular basis. This help them to establish the long term relationship with customer by understanding and addressing their need effectively. PART B Covered in PPT
REFERENCES Books and Journal Charter, M. and Polonsky, M. J., 2017.Greener marketing: a global perspective on greening marketing practice. Routledge. French, J. and Lefebvre, R. C., 2012. Transformative social marketing: co‐creating the social marketing discipline and brand.Journal of Social Marketing. Jackson, N., 2013.Promoting and marketing events: Theory and practice. Routledge. Jobber, D. and Ellis-Chadwick, F., 2012.Principles and practice of marketing(No. 7th). McGraw-Hill Higher Education. Kubacki, K. and et. al., 2015. A systematic review assessing the extent of social marketing principle use in interventions targeting children (2000-2014).Young Consumers. 16(2). pp.141-158. Lagarde, F., 2012. Insightful social marketing leadership.Social Marketing Quarterly. 18(1), pp.77-81. Palmer, A., 2012.Introduction to marketing: theory and practice. Oxford University Press. Salvo,S.G.,2015.MassageTherapy-E-Book:PrinciplesandPractice.ElsevierHealth Sciences.