Marketing Plan for British Airways: Launch of New Services

This report provides a comprehensive analysis of British Airways' marketing plan, beginning with an introduction to the marketing planning process and its significance for organizational success. Task 1 evaluates BA's ability to plan future marketing activities, exploring its product, selling, marketing,...Read More

Marketing Planning

Table of Contents
INTRODUCTION......................................................................................................................3
TASK 1......................................................................................................................................3
1.1 Evaluation about BA’s ability for planning its future marketing activity........................3
1.2 Capability of planning Future Marketing Activity...........................................................5
1.3 Various techniques of organizational Auditing and related factors that affect the market
planning..................................................................................................................................6
TASK 2....................................................................................................................................10
2.1: Assessing the main barriers to marketing planning and BA overcoming these
marketing barriers................................................................................................................10
TASK 3....................................................................................................................................11
3.1 Marketing plan for the launch of a new services for BA...............................................11
3.2 Marketing planning is essential in the strategic planning process for BA.....................12
3.3 Examine the new techniques for new product developments........................................12
3.4 Pricing policy, distribution and communication mix for the new product....................13
3.5 Factors affecting marketing plan implementation..........................................................14
TASK 4....................................................................................................................................14
4.1 Ethical issues influences marketing planning................................................................14
4.2 Organization response to ethical issues..........................................................................14
4.3 Consumer Ethics and the effect it has on the marketing Planning.................................15
Conclusion................................................................................................................................15
REFERENCES.........................................................................................................................16

INTRODUCTION
Marketing Planning process can be described as making details and analysing the
report on market place for developing the marketing strategies for organization to enter any
new market and face competition. Marketing plan involves the development and situational
plan related to market. Related market strategies and its implementation to earn profit. At
last, details about performance on financial forecast and control mechanism is studied.
Effective marketing planning is required for developing marketing activity and to get ensured
about the marketing objectives. Planning is required so that resources and opportunities can
be fully utilized. Report consist of details about the internal and external factors that
influences the marketing plan to raise the market value (Hollensen, 2015). Along with it
details about main barriers, there effects and necessary steps to prevent or overcome these
barriers. The relationship between the employees and customers is necessary to increase the
market profit, performance and in achieving the goals and objectives of the organization. This
report helps the learner to understand about the ethical issues, its effect, affect and how to
deal with such condition in developing marketing plans. Learner will gain knowledge about
the marketing planning of any goods and services of any organization related to its aims,
objectives and resources.
TASK 1
Introduction about Organization
British Airways PLC is company to modernize aircraft fleets and provide service with
improved innovation. Board of directors of BA have decided to provide better services and
plan related to it by organizing meeting and discussing new possibilities. The new plan
developed by BA has been acknowledge to generate more revenues than earlier. The new
planning will also contribute in more customer and will provide advantages over competitor.
The director of BA has decided to establish Marketing plan about his new services. This will
also boost the organization profit.
1.1 Evaluation about BA’s ability for planning its future marketing activity
Marketing planning is required by the organization for proper functioning of the organization
ad for achieving the required goals and objectives. Through market planning effective market
position can be achieved and results greatly in market shares (Ratten, 2016). There is various
role that can be applied for future development of BA, some are being described below:

1. It describes the objectives and defines the exclusive new strategies about marketing
and getting proper planning.
2. It defines controls and monitors the objectives using different parameters.
3. Focuses on roles and functionality to be performedwith marketing planning in order to
achieve the marketing objectives.
4. Defines related potential barriers which creates new problems and defines new
objectives with proper assessments.
5. SWOT analysis can be helpful in assuring competitors and customer of BA.
6. Focus on sales forecast and expected sales improves after implementation of
marketing plan.
7. Budgets for all the expanses and making datasheets about the financial requirements.
Changing perspectives related to BA marketing plan are described below:
Concept of Product: the Marketing strategies related to BA is to deliver the services and
products to their customers. They mainly focus on unique customer services and outstanding
journey experience. They create bond between the customer and request for the customer
experience. Catering, the food offered during the flight and on board are quality and cost
effective food. There is hospitality in every area of BA. Food standards and food standards
are kept in mind before providing to the customers. The Aircraft Product Development and
Delivery is premium and has interior finishing in every class. Everything is designed for
customer satisfaction and they develop new innovation to impress the customers (Ayub and
et.al., 2013). The Worldwide Ground Products ensured EA and expectation delivering
competitive advantages to BA.
1. Concept of Selling: BA ensures customer satisfaction and offers them best products
and services. They have never compromised with their standards of services. The
journey provided to the customers is with full hospitality customer.
2. Concept of marketing: BA marketing services about their airways services has always
been aggressive. They always maintain and focus efforts on getting new technology in
airways to influence customers.
3. Concept of Societal Marketing: It has played key role in marketing planning of BA.
BA reached the customers in various ways like taking feedback after flights, customer
care centre, surveys and many more. This helped in establishing new bond with
customer and increasing market profit of the company. Increased in sales and services

of BA. Through feedback provided by customer they have reached millions of new
customers.
1.2 Capability of planning Future Marketing Activity.
British Airways was founded in year March 1974. There are some barriers in every
business and these barriers must be identified and needed to be handled. The future marketing
plan of the organization can have discussed under 5 categories. This capability of the
organization helps to enable the marketing planning of BA and marketing activity as:
Managerial Capabilities: BA has global approach to and availability of flights and on their
customer services. The manager approach to identify the different managing capabilities
required by BA are explained under both the management and leadership/ supervisory
structure. The marketing capabilities of BA have strong base on which the report about the
strategies and function are equally described.
Financial capability: it is related to the financial terms of BA in order to run its different
Airlines in different countries. The business is properly monitored in terms of their internal
structure and statement related to finance are generated to reflect about the company growth
and progress level. The customer feedback can also help in maintain the relation and
monitoring the accounts of the management.BA has greatly reduced the cost of travelling.
BA is having better financial support and better relation which helped in increasing share rate
of BA.
Operational Capabilities: BA publishes their profit and sales each year. There were crises due
to Brexit but overall the company has strong sales. The performance level of BA all over the
world is at fame (McCamley and Gilmore, 2015).
Human Resources Capability: BA has invested in the customer training services in 2007.
Which developed the best employees in BA. The opinion survey “speak up” encourages the
customer to provide directly feedback to the airways about their services. They encourage the
work environment for staff to enhance their skills and abilities. This creates the employee
commitment and they provide reliable services to the customer and organization. Due to such
facts BA is capable of handling more customer through their HR capabilities. Using this type
of marketing strategies are helpful in making future plans.

Brand Capabilities: BA become the 5 stars Airline services. Internationally recognized as the
reputable brand and having a long lasting existence in market. Their brand values help to
setup the future marketing services and plans.
1.3 Various techniques of organizational Auditing and related factors that affect the market
planning
Auditing is done in order to review the business system and prospects. Rather than focusing
on problems, main aim is about the improvement and risk management of BA. Various
techniques are used in order to understand marketing techniques. Some of them are listed
below:
SWOT Analysis of BA
SWOT analysis helps in identifying the better opportunities and strengths in their
organizational operation along with it also helps to develop more consumers for the BA. The
SWOT analysis is done to understand the external marketing environment. It also helps to
increase the competition level of the market.
Internal Strengths  Reputed Brand Image
 High share values, Partnership and
alliances
 Financial support, stability and size
Internal Weaknesses  Past employee relationship bond was
not so effective
 Trust factor and reliability of
customer
 There is great need of innovation in
services and changes are required.
External Opportunities  SkyTrax Quality system
 Increasing competition making
forceful exit of the competitors.
 Reliability factor of the Competitors
towards customers is decreasing.
 Great demand in entry to new
market.
External Threats  Open skies Agreement

 Airways are mostly affected due to
environmental factors
 Global economic cries and
establishment of brixet rules.
 Other Airways have decreased their
rates to earn profit and increased
competition.
PESTLE analysis:
Next way of auditing an organization is PESTLE analysis. These are the external factors
which describes mostly about the impact on business operation of the business. Such analysis
helps in establishing the market properly by proper understanding. This helps to understand
the market positioning and competitors of BA (Nijssen and Frambach, 2013). It also guides
to understand the present and future challenges.
PESTLE analysis:
PESTLE Key points and its implication for BA
Political  There is increment in the security level of the customer as
there may be threats from terror attacks have increased.
For this customer confidence must be maintained.
 Heavy rules and regulation is required for completion of
such operation.
Economic  Due to competitors have decreased their prices and using
different alternatives of communication with other
companies. BA is at risk and chances are there that UK
airline operation is having poor exchange rate due to
global crises.
 Increased in oil prices have relatively managed the
exchange rates. This has directly affected the BA’s Cost of
fair.
 Due to increase in competition level there are chances of
getting lower customers.
Social  Due to aging of more people there are chances that people

have increased the travelling over outer countries. This has
increased the growth rate of the BA and they had to
implement new resources as people have to spend on
leisure activities.
 Increasing unemployment has created great demand of
bargaining power being as employer.
Technological  Due to internet many customers have visited online sites
and compared the prices of fair. This resulted in consumer
awareness and bargaining power.
 People are more using online booking, so BA must keep
updated with latest technology also they must focus on
those customers who are not able to avail the online
services.
Environmental/ ethical
factors
 The new regulation about the environmental factors have
increased the operational cost.
 Development of Airports requires lot of areas and
expansion will affect the environmental factors. Hence
there is limited capacity of utilization of resources.
 Consumer are against the development of such things
which affects the nature and is building restriction to the
income and reputation of the organization.
 Customers cancelation of flights and loss of baggage’s
have ethical issues have affected the reputation if those
cases are remaining unsolved.
Legal In BA, hospitality services are highly recommended for creating good
customer relation and employee polices at work place.
The Open skies agreement has given BA new opportunity helps the
airways to freely transport between European Union and United states.
Poster Models give clear analysis about the competitive forces and various organizational
structure for creating better strategies and market planning by decision making process (Koh
and Wong, 2015). Poster’s five models enables to make marketing strategic decision for
increment in the profit margin and market values of BA.

Forces Strengths
Competitive Rivalry
 BA has both national and international flights. So there is
little competition in terms of price and services offered to
the customers.
 There is direct competition between various companies like
virgin.
 Competitors consolidation has made the competition level
high
High
Suppliers Power
 Building the new aircraft requires new technology and high
prices.
 Also there is large consumption of fuel in the airplanes.
Which again is costlier.
 Because of internet consumers are selecting low cost flights
or are increasing the bargaining power.
High
Powers of Consumers:
 If there is little bargaining power, then there are low buyers
to suppliers
 Technological advancement has created awareness among
the customers and they can clearly interact with BA
Medium
Threats of New Entrants
 For the maintenance, competitive environment, high per
capital investment and greater regularity requirement are the
significant barriers to the entry of BA in developing.
 More and more competition level is rising.
 The significant failure of certain airlines has also affected
the BA business.
Low
Threats of Substitutes
 There are many substitutes in short and long term travelling
which can affect the business of the organization
Low

TASK 2
2.1: Assessing the main barriers to marketing planning and BA overcoming these marketing
barriers
For planning there is great requirement of business planning and making related strategies.
But there are also several barriers which may affect the overall process of the making
marketing plan. Barriers can be defined as the hindrance or opposition in the process of
business operation. Analysing barriers is considered to be effective process and is considered
significant process in the business field. The Journal of Marketing management have
considerable discussed 10 marketing barriers. The ten marketing barriers are creating
confusion between tactics and strategy, Separating the operation from marketing function,
unable to understand the marketing concepts and function. Difficulties in organizational
structure, improper analysis of market. Confusion between process and various outputs. Lack
in skills, systematic approach, knowledge about marketing planning (Lackman and Lanasa,
2013). Problems in selecting targets and understanding of corporate cultures. Three are being
described briefly:
 Tactical and strategical Confusion: this occurs when marketing strategies are not
made properly. The new marketing strategies requires the social media, Mobile marketing
and customer engagement strategies. This develops and supports the new business strategies.
This are required to achieve the necessary target and achieve the business objectives.
 Separating the market function from operations: Marketing person is responsible for
the development of the market. The person making strategies must be skilful and should have
aptitude about the necessary marketing strategies. There must be contribution of every
department related to customer services and product development. Promotional mix and
marketing mix must be used for understanding market more clearly.
 Confusion related to marketing function and concepts: Sometimes there is confusion
related to marketing strategies and these can be little barriers to the main barriers. Confusion
with sales, Advertising and customer services are the main components about it. Like such
ones a marketing manager said that after having some sales then only marketing is essential.
Now marketing the products will only help to increase the sales of the products. Many think
that advertising is not required and promotion through traditional ways can increase the
business. Along with it, customer services should be handled with hospitality services.

To overcome such issues there are some solution for making effective marketing planning
which can be applied in BA to avoid such problems.
Tactical and strategical Confusion: There are various confusion related to tactics and
strategical approach to the organization. For overcoming this confusion there is need to
develop the strategies so that detailed analysis of the related external factors can be discussed
related to market. This was related to poster’s model, SWOT analysis and PESTLE analysis
along with many other related models. For this the organization should earlier make the detail
external environment of the market and related strategic planning should be made for
studying the main factors and effects on the work place.
The tactical planning should be made in every 2-3 years (Filiatrault and Chebat, 2015). This
is the biggest mistakes marketing companies make that is does not create the marketing
strategies Marketing Function from Operation s and then confusion and other problems
raises.
Isolating the Marketing Function from operation: Leaving the marketing operation can create
big issues in the organization. Corporate driving force dealing with customer satisfaction
process. Leaving of corporate driving force and dealing with customer satisfaction explains
the making marketing arguments are useless. The customer satisfaction has made highest
management. This makes the market near to the customer. Consumer marketing on the
increases the entire sales and marketing operation of the business.
Confusion between Marketing Function and Marketing Concepts: marketing function and
marketing concept determined the market values. The business attitude and functional
activities are required by any business to operate in better ways.
TASK 3
3.1 Marketing plan for the launch of a new services for BA
Marketing planning has helped the BA in expanding the business in various critical aspects
which are related to marketing efforts like pricing, promotional and distribution and product.
Marketing planning essential in terms of external business factors which directly relates to
the competitor and sales, target market(Vrontis and et.al., 2014). It also helps to create the
distribution and marketing promotion activities. Marketing plan for launch of new services
for BA are:

Concept of generating the new products: SWOT and other analysis can be used to identify the
current marketing growth and research towards the airway services.
Screening the concept: BA is based on new concept which can be screen and related relevant
question. the marketing AB new product depends on the marketing situation. Working on
already developed technology will not help there need to be new idea to be implemented.
Clarity mong the organization about the tactics and related strategies. They must have clear
concept about BA services and products.
Concept development, product testing, beta testing and marketing testing: testing is must on
every new product launched for market suitability and customer targeting. For example, new
service in airways like new airplane must be tested with all the marketing test then should be
launched for customers. Also the customer feedback to the new products help in introducing
the ideas and innovation that are related to customer experience (Yıldırım, 2015).
Technical implementation and commercialization: it includes the logistic attributes which are
required by the customer services. Required manpower and technology are required for the
product development. Whereas in commercialization the specific budget and product
promotion time and creating awareness is there. It generally means advertising about the
products.
Products pricing: it is necessary that product pricing for the company to decide the product
price which is suitable for the customer. Pricing strategy are required for implementing
pricing of the products.
3.2 Marketing planning is essential in the strategic planning process for BA
Marketing planning is essential for implementing the market strategies of BA. This are
required for achieving g the market goals and company’s objectives. Overall identifying
internal and external factors and creating tactics and strategies. This are required for new
opportunities and competitive threats (Renz, 2016). For creating marketing plan collection of
information and its integration of this information. The main part of strategic planning’s the
related resources and financial support needed by the organization. This helps BA for relative
market growth rate and increase in the market share.
3.3 Examine the new techniques for new product developments
For the growth in the market there is need of strategic planning. Product and market
development are the basic terms required for the growth of the organization (Turk, Kitapci,

and Dortyol, 2014). Ansoff Matrix can help in better understanding the organization present
growth. Through this BA can rise its market values. It helps to under market penetration,
market development, product development and diversification
It helps in attracting more customer. Increases the brand value. New technologies will help
BA in attracting more customer towards its services and will help in attaining competitive
advantage from the market
 Techniques that could be used by Apple for product development are:
 It can upgrade the software of the mobile phone
 Could launch an upgraded series having more features
 Could launch the product in android that could attract most of the people who are
present into the market
3.4 Pricing policy, distribution and communication mix for the new product.
Pricing policy: These are those customers who are willing to pay high prices for good
quality services. As sometimes services provided by BA are high quality and has standards.
For example, the market segmentation of BA that is about the targeted customer. BA
emphasis on the product quality and services provided to the customer.
Distribution: BA has very effective distribution system. Through distribution system
they are able to acquire more market target. The related distribution channel of BA is
Manufacture, whole seller and retailer.

Communication Mix: it supports in marketing about the company. And right message
delivers to the customer. It focuses on the communication mix to influence customer and take
competitive advantage of market. Promotional techniques are used by BA to attract more
customer.
3.5 Factors affecting marketing plan implementation
Various factors for effective implementation of the marketing plan:
Information about target segments: For BA customer are of any age. There advertisement
campaign is focused mainly on the business professional and tourist going for visit. There are
already limited products and services that can be deliver by the BA.
Measurable Goals and objectives: Marketing team of BA has clear goals and objectives
which are required for organization success. Marketing plan isunderstanding the success of
product launched. Proper forecasting techniques can be helpful in implementing this services
(Chern, Lee and Wei, 2015).
Proper and effective communication tactics: BA are very thoughtful in communication with
customer and applying communication strategy. For examples the launching the campaign for
f new services can be helpful in implementing the product and increasing marketing plan.
TASK 4
4.1 Ethical issues influences marketing planning
BA has developed many ethical issues, which relates to the marketing plan. There are
many customers which requires the quality of product and its raw material. For example,
British is considered to be among the developed countries which makes they choose services
of high standards. Implementing of this strategies help in establishing the business. Such
ethical issues help to implement new strategies and expanding the business. Also Marketing
Mix has helped the company to develop more.
4.2 Organization response to ethical issues
BA has experienced the exponential growth in the international market. But achieving this
growth requires greater abilities. For example, the new product launch has led to the ethical
issues in the customer and gave positive publicity to the organization (Turk, Kitapci, and
Dortyol, 2014). For achieving this position BA has to make several sacrifices and adopt many
strategies. The brand, social responsibilities and accepting mistakes of their negligence has
created the market of BA.

4.3 Consumer Ethics and the effect it has on the marketing Planning
Consumer ethics had developed great impact in focusing on the marketing strategy of
the company. The company’s ethical services have given advantages to the BA. This also
made the company to understand more about costumer and their basic needs. The strong
brand image and marketing planning has grown the company market values and profit of the
organization.
Conclusion
Marketing planning is very necessary for implementation of new business. The report is
about the marketing strategies and marketing planning. The future marketing activity and
related theories are being described. External and internal factors are described in the above
report. Barriers to the market and launch of new services are being described. Related new
strategic planning and product developments also been described. Polices, distribution and
communication mix are also describing. and effective implementation of the marketing
service are explained here. Influence of marketing planning in terms of ethical issues, its
responds and consumer ethics are beinganalysed. Here discussion is about the BA is shown
and related study on such topics.
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