A Detailed Report on Marketing Strategy and Plan for Jetstar, Tigerair

This report provides a comparative analysis of the marketing strategies and plans of Jetstar and Tigerair, two prominent airlines operating in the Australian market. It examines customer perceptions of key features for both airlines, explores new service ideas for each to enhance their competitive edge, and discusses brand management strategies to maintain and improve their market position. For Jetstar, the report suggests offering attractive international and domestic travel packages, while for Tigerair, it proposes providing free drop-off services to enhance customer satisfaction. The analysis also covers brand positioning, marketing, performance, and value, emphasizing the importance of adapting to market dynamics and maintaining customer loyalty. The report concludes by highlighting the need for both airlines to continuously innovate and invest in promotional campaigns to sustain growth and competitive advantage.

Running head: Marketing strategy and plan
Marketing Strategy and Plan

Marketing strategy and Plan
Table of Contents
Introduction......................................................................................................................................1
Potential customers perceive the key features of Jetstar.................................................................1
Potential customers perceive the key features of Tigerair...............................................................2
Jetstar new service idea in the Australian market............................................................................2
Tigerair new service idea in the Australian market.........................................................................3
Jetstar brand management strategy..................................................................................................4
Tigerair brand management strategy...............................................................................................5
Conclusion.......................................................................................................................................5
References........................................................................................................................................7
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Marketing strategy and Plan
Introduction
In this report, the discussion will be made on the two airlines which are Jetstar and
Tigerair. Jetstar is an Australian company with headquarter in Melbourne. It is the subsidiary of
Qantas and also it has created a response to the threat posed by the low-cost airline. Tigerair is a
Singapore airline which is the budget airline and the activities of the company are located in
Southeast Asia, China, Bangladesh and Also in India. In this paper, the first phase will discuss
how customers and potential customers perceive the key features of the two budget airline brands
which are Jetstar and Tigerair. Next phase will discuss the how JetStar and Tigerair will possibly
come with two distinctive and competitive new products or service idea in the Australian market
and in the last phase, the strategies related to brand management the company should consider
will be discussed.
Potential customers perceive the key features of Jetstar
Jetstar is known for its high-quality services at lowest of cost. This can be understood by
the fact that it is highly ranked in terms of customer satisfaction in the Airline Industry. Jetstar is
one of the best airlines companies that are operational in the world (Wen & Chen, 2017). With
their services like fare prices for all its products and the service quality which it offers to its
clients, they have been able to make a good image in the minds of their potential consumers
(Jetstar, 2018).
They have made changes in their internal operational methodology of the company. This
was benefitted by the help of implementing technology in their operational procedures. With the
help of technology, they have also increased the quality of customer relationship management
which has helped them in reaching the top (Pearson, Pitfield & Ryley, 2015).
Their products have been designed as per the requirements of their potential target
market. This is the reason why they have been able to capture the larger part of the market. Their
plans like a price reduction, services, and products they have been able to attract their potential
consumers (Kurt, Ben, Kevin & Weiyang, 2015). They do their marketing revolving around the
fact that their customer understands them to be one of the best low fare airlines. One of the best
qualities about Jetstar that enhances the customer perception is the fact that has a unique way of
providing services. This includes the way in which they treat their consumers at the time of
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journey. They are also known for their connecting flights which helps the company in traveling
from anywhere to anywhere.
Potential customers perceive the key features of Tigerair
Same like Jetstar, Tigerair is also known for its low fare high-quality services. They have
trained their employees in such manner that they will be able to provide their services in a
customer friendly environment. Their feature of taking a suggestion from their customers and
acting upon it has helped the Tigerair to make a better image in the minds of customers
(Lohmann & Vianna, 2016). Their image in the market is of the company that is capable of
fulfilling the demands of the customers at one of the cheapest rates in the market. They have also
implemented the best of technology especially the technology related to combining all the media
activity with a real-time reservation have gained high popularity and is attracting a lot of
potential consumers. They are known for their timely services (Srisaeng, Baxter & Wild, 2014).
They also attract the consumers in terms of the fact that their cancellation rates are very
low. This has attracted the consumers who want to book tickets at lowest prices. Their
cancellation rates are even half the cancellation price charged by their nearest of competitors.
Their creativity in their services has also made a good image of the company in the minds of
consumers. Their commitment towards understanding the customer's demand has helped the
company in reaching the top of the industry in terms of customer satisfaction (Tigerair, 2018).
But in the last few years, they have been also been criticized for many service time failures.
Jetstar new service idea in the Australian market
It has been seen that to achieve large market share and also to maintain goodwill in the
market, it is important for the company to focus on introducing the new market idea. The
company can introduce new services in the market which is related to offering attractive
packages to their customer or in the Australian market. The customer avails the services related
with the booking of tickets. Therefore, the best option that can be chosen by the company is
introducing new service in the Australian market. The services that can help to achieve large
market share and can also help to achieve success is related with the offering international as
well as domestic package with inclusive flight booking so that customers can feel satisfied and
happy with all the bookings. The attractive booking package should be offered by the company
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Marketing strategy and Plan
so that customers can feel happy at the time of availing the services offered by the company
(Snyder & Pham, 2014).
It is seen that the customers can get more attracted towards the services of the company if
it is availed in an easy manner and also at low cost. The packages should be offered and linked
with the services that are given to the customers so that customers can easily avail the services in
an effective manner (Pearson, O'Connell, Pitfield & Ryley, 2015). Also, the packages which are
selected by the customers should be modified so that customer can feel satisfied at the time of
availing the services. For instance: the new package should be introduced in which the services
that should be offered by the company are related to bookings of flights, hotels and also the
places to visit in the country where the customers want. To promote it the company should focus
on low prices packages so that growth can be achieved in the market. With the flight services, it
can be easy for the company to introduce the new packages in the market so that activities can be
conducted in effectively (Snyder & Pham, 2014).
Tigerair new service idea in the Australian market
In the Australian Market, the company should focus on introducing the service related to
free drop services to the customers in their desired place. The company should introduce this
service so that the customers who are new at the place can feel comfortable and good and also
the old customers can feel relaxed. When the company offers this service then it can be an
advantage for the company as more and more people can be attracted towards the services of the
company. This service can be beneficial for the customers as this will help to enhance the
satisfaction and also the experience of the customers. Tigerair should provide this service
through cabs or travelers (Anggraeni & Hasan, 2016).
If a customer wants to visit a hotel then he or she will be dropped there by the cab or the
traveler of the company and no cost should be taken from the customers who are availing the
services of the flights. It has been seen that this service can be an effective strategy and just
because of this it can be simple for the customers to retain the customers for a long time towards
the services offered by the company. This new service idea can help to maintain their goodwill in
the market and can also help to achieve large market which can give benefits to the company to
survive in the competitive environment (Zhang, 2015).
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Marketing strategy and Plan
This strategy can also change the mindset of the people towards the services of the
company. It has been seen that when customers get free services from the company then it can be
easy for the customers to avail the services. The extra benefits provided by the company helps to
achieve success in the competitive environment. It is important for the company to achieve
success in the competitive environment so that the goodwill of the company can be maintained in
a proper manner (Pearson, Pitfield & Ryley, 2015). To achieve goodwill in the market is the
tough job for the company and by focusing on giving free cab services the company can attain
large market share and also success in the Australian market. This will give a positive impact on
the overall profits of the company and also on the growth of the company. Large customers can
be gathered with the help of implementing the new services in the Australian market (Pearson &
Merkert, 2014).
Jetstar brand management strategy
It is important for the company to consider brand management strategies so that growth
can be achieved in the market. If proper brand management is there then it can be simple for the
company to achieve goals and objectives in a proper manner. The brand management strategies
that can be used by the company in the Australian market are brand positioning, brand
marketing, brand performance and brand value. The company should first focus on the deciding
the brand positioning which the company wants to achieve. In this, it is important for the
marketers to research the positioning. The positioning should be done by focusing on enhancing
the service quality so that goals and objectives of the market can be achieved. It has been seen
that when the focus is given to the maintaining the service quality the company can easily attract
the customers towards the company (Whyte & Lohmann, 2015).
Next focus of the company should be on brand marketing in which it has been seen that
brand marketing should be done in a proper manner in which proper information should be
highlighted so that customers can get knowledge so that customers can know about the services
offered by the company in the market. Marketing through social media should be done by
considering ATL and BTL strategies so that it can be easy for the company to reach to the end
users. Proper communication strategies should be considered so that growth can be achieved
(Cheng, Sugiyama & Kan, 2016). In the Australian market, it is important for the company to
build brand value and it can only be done if proper communication is made with the customers
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Marketing strategy and Plan
and also by giving advertisements in which entire information should be covered. Brand
performance is also the aspect that should be covered to the customers so that it can be easy for
the customers to choose the services among the competitors prevailing in the market. This
strategy can help to achieve competitive advantage in the market (Wen & Chen, 2017).
Tigerair brand management strategy
There are several branding strategies used by the Tigerair. Strategies have helped them in
gaining position in the market and place their brands at the highest of positions in the industry.
Two branding strategy that cited firm can use are:
a.) Creating a new value curve: Since the competition, the market has
increased hence it will be better that Tigerair uses Blue Ocean Strategy Canvas. This
suggests the company compete in the market with the services that their competitors have
failed to deliver (Srisaeng, Baxter & Wild, 2015). New disruptive innovation could help
the company to add a new value to its brand name. The strategy of differentiation could
be highly beneficial in this regards.
b.) Heavy investment in promotional campaigns: One of the best branding
strategy on which Tigerair could be emphasised upon is communicating well. This can
only be done with the help of aggressive promotional campaigns. Their communication
strategy must focus on the clients whom they understand to be their future potential
consumers (Keller, Parameswaran & Jacob, 2011). Communicating the features and USP
of the company needs to be highlighted in a better way so that impression about the
company's services can be enhanced. Branding in the form messaging their vision and
mission in the minds of consumers can also be helpful.
Conclusion
By analyzing the report it can be concluded that both the companies have maintained
goodwill in the market. In the Australian market, the JetStar should focus on introducing the
packages related to the new service so that growth can be achieved and Tigerair should focus on
offering the free service related to drop facilities so that satisfaction level of the customers can be
enhanced. The strategy that should be considered by the company is related to brand
management in which brand positioning, brand marketing, brand performance and brand value,
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Marketing strategy and Plan
communication strategy, promotional strategies are considered. If the company focus all these
aspects then it can be easy to accomplish overall goals and objectives in an effective manner.
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References
Anggraeni, A., & Hasan, K. (2016). The Effect of Country of Origin Service Quality and Brand
Redeployment after M&A: The Case of Tiger Air-Mandala Airline. International Journal
of Asian Business and Information Management (IJABIM), 7(1), 42-55.
Cheng, J., Sugiyama, K., & Kan, M. Y. (2016, July). Linking organizational social network
profiles. In Proceedings of the 39th International ACM SIGIR conference on Research and
Development in Information Retrieval (pp. 901-904). ACM.
Jetstar, (2018) Retrieved from: https://www.jetstar.com/au/en/business
Keller, K. L., Parameswaran, M. G., & Jacob, I. (2011). Strategic brand management: Building,
measuring, and managing brand equity. Pearson Education India.
Kurt, F., Ben, D., Kevin, O., & Weiyang, Z. (2015). Geographic correlates of lowest available
airfares on Australian air routes. Journal of Air Transport Studies, 6(2).
Lohmann, G., & Vianna, C. (2016). Air route suspension: The role of stakeholder engagement
and aviation and non-aviation factors. Journal of Air Transport Management, 53, 199-210.
Pearson, J., & Merkert, R. (2014). Airlines-within-airlines: a business model moving
East. Journal of Air Transport Management, 38, 21-26.
Pearson, J., O'Connell, J. F., Pitfield, D., & Ryley, T. (2015). The strategic capability of Asian
network airlines to compete with low-cost carriers. Journal of Air Transport
Management, 47, 1-10.
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Pearson, J., Pitfield, D., & Ryley, T. (2015). Intangible resources of competitive advantage:
Analysis of 49 Asian airlines across three business models. Journal of Air Transport
Management, 47, 179-189.
Pearson, J., Pitfield, D., & Ryley, T. (2015). Intangible resources of competitive advantage:
Analysis of 49 Asian airlines across three business models. Journal of Air Transport
Management, 47, 179-189.
Snyder, D. J., & Pham, A. (2014). Customer satisfaction at low cost airlines: a case study of
Jetstar Pacific Airlines (JPA). In The Clute Institute International Academic
Conference (pp. 254-265).
Srisaeng, P., Baxter, G. S., & Wild, G. (2014). The evolution of low cost carriers in
Australia. Aviation, 18(4), 203-216.
Srisaeng, P., Baxter, G. S., & Wild, G. (2015). Forecasting demand for low cost carriers in
Australia using an artificial neural network approach. Aviation, 19(2), 90-103.
Tigerair, (2018) Retrieved from: https://tigerair.com.au/customer-service/customer-charter
Wen, C. H., & Chen, P. H. (2017). Passenger booking timing for low-cost airlines: A continuous
logit approach. Journal of Air Transport Management, 64, 91-99.
Wen, C. H., & Chen, P. H. (2017). Passenger booking timing for low-cost airlines: A continuous
logit approach. Journal of Air Transport Management, 64, 91-99.
Whyte, R., & Lohmann, G. (2015). The carrier-within-a-carrier strategy: An analysis of
Jetstar. Journal of Air Transport Management, 42, 141-148.
Zhang, Y. (2015). International arrivals to Australia: Determinants and the role of air transport
policy. Journal of Air Transport Management, 44, 21-24.
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