Marketing Principles and Practices Report: British Airways Case Study

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This report provides an in-depth analysis of marketing principles and practices, using British Airways as a case study. The introduction highlights the importance of marketing in the airline industry, emphasizing its role in increasing organizational activities and maintaining performance. The main body covers key marketing concepts and terminology applicable to British Airways, including branding, product strategy, and promotional strategy. It identifies marketing strategies and programs employed by the airline to achieve its objectives, such as its mission, vision, and specific goals related to market share and customer service. Furthermore, the report discusses two crucial marketing concepts with principles used in the airline's daily operations, focusing on the marketing mix (7Ps strategy) and STP strategy. The report concludes by summarizing the cross-functional relationship of marketing with other departments within the company. This report demonstrates how British Airways uses marketing strategies for achieving its objectives and maintaining a strong market position.
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Marketing
Principles &
Practice
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK 1............................................................................................................................................3
a. Key marketing concepts concluded with terminology that are applicable to the entity..........3
b. Identification of marketing strategies and programs which help the entity in achieving
objectives. ...................................................................................................................................6
c. Two marketing concepts with principles used in organisational daily operational.................7
TASK 2 (Covered in mini poster)..................................................................................................10
Explanation of relationships of marketing with other departments of the company. ...............10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
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INTRODUCTION
Airline industry is consider as a business that provides air transportation services for
travelling passengers and freight. All business needs marketing and promotional activities which
helps to increase the organisational activities and maintain good performance. Airlines uses
aircraft to supply these services to people who wants to travel from one place to another place. In
other words, Airline is a company that delivers air transport services by utilising aircraft
moderate for travellers. To increase their services such airline industry uses different sources of
marketing which make easier and successful business (Benzo, Mohsen and Fourali, 2017). With
the help of marketing, air line is growing which assist organisation to analyse apparent needs
with true preference of customers. This is important for businesses to use marketing and increase
their performance in business area.
The rationale behind this assessment to understand the importance of marketing and its
practices which helps to maintain high productivity. For such assessment, British Airways has
been chosen that is flag carrier of United Kingdom. It has headquarter at Waterside,
Harmondsworth which is near by London. This is second largest airline company, based on
Fleet size and passengers carried. This report covers marketing concepts and its terminology
which are applicable on industry, cross functional relationship between marketing and other
department and last recommendation to improve the business effectiveness.
MAIN BODY
TASK 1
a. Key marketing concepts concluded with terminology that are applicable to the entity
Marketing concept is the defined philosophy that is used by organisational managers to
analysing the needs and frame the implementation for satisfying the customers. Every customers
has different need and wants which is important to satisfied them and increase the productivity
(Worth, 2018). In context to British Airways, managers are suing few concepts and
terminologies in their business which helps to respond the changes effectively. Different types of
terminologies in context to chosen organisation is defined below:
Branding – This refers as a name, term, design, symbol and others which identifies
goods and services in distinct form. People are so much curious about brand which helps them to
make right buying decision and feel comfortable. The main aim of branding is to build
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differentiate its products and services from others and maintain a significance presence in
dynamic market. In context to British Airways effective brand strategy is used by managers
which helps to distinct the airline services from others. This also creates sub brands and brand
extension which helps to increase the number of airline services and maintain the sustainability
(Bush, Bell and Middlewood, eds., 2019). This uses three ways to present their identity in
different environment that are Corporate identity, Brand prefix and In- journey. Moreover,
different types of brand extension strategy is adopted by using Re positioning, getting franchise
and maintaining relationship, changing design and prices which attracts people and increase the
organisational image and productivity. British Airways also uses hashtag campaigns which is
attractive branding strategy for the purpose of increasing brand image and keeping good position.
Product strategy – It can be a roadmap which outlines products and services, providing
by organisation in order to increase the sale and profits. This is another strategy which influences
people to use end to end products for capturing big market share and sustain in business
environment (Dennison and Shenton, 2018). In context to British Airways products level are air
carriers (flights), intangible services. This offers different types of classes to customers for
travelling that are executive class, business class, economic class, club class and premium class
which affects people to buy services. Products which is sold by British Airways that are divided
in to different level, first is core product, basic product and last is expected product which
includes complimentary meals, drinks, on board entertainment and seats.
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Promotional strategy – Promotion is the part of business and marketing which helps to
define and recognise the products. With the help of promotion organisation sale their products
and services and increase their production level. The rationale to adopt the promotional strategy
is to inform, aware and persuade together with inform targeted audience for products and
services (Slack and Brandon-Jones, 2018). In relevance to British Airways, marketing team and
managers are prefers unique advertisement, different flight perks, social media, changing pricing
strategy, accommodation etc. that increases sales volume of flights. For example, marketing team
of British Airways uses a team of top celebrity endorsement includes Rob Brydon, Sir Ian
McKellen and Thandie Newton make appearances and increases sales. This helps to increase the
organisational productivity and profitability of organisation and maintain the good performance.
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b. Identification of marketing strategies and programs which help the entity in achieving
objectives.
Marketing strategy is consider as overall plan which uses by organisation to reach the
prospective audience. If marketing strategy is used by management then only then can attracts
customers and increase the productivity (Kaynak and Kucukemiroglu, 1993). Marketing strategy
comprises with data related target customers, value proposition, demographics and brand
messaging at high level of dimensions which attracts people. In context to British Airways
effective marketing strategy is used by management in order to accomplish their objectives that
are as defined:
Mission - “One Destination seeks to ensure our customers fly confident that, together, are
acting responsibly to take care of the world”.
Vision – “To build loyalty through innovation and passion”.
Objectives – The objectives of British Airways are as follows:
To meet with customer's needs and improve margins through new revenue stream.
Grow the presence in global cities.
Sustain and build leadership status in London.
Deliver better quality of services and increase the brand image.
Improve the market proportion by 40%.
Be the airline of choice for long haul premium customers.
Overall marketing strategies – British Airways is a large size organisation which offers
quality airline services to its customers at different prices which they wants and build good
relationship with customers as well as diverse market. To increase its marketing strategy
management team uses marketing strategies by involving product strategy, promotional strategy
and branding which helps to increase the organisational productivity and profitability. By using
product strategy, British Airways organise programmes which assist and provide information to
about new services. This helps to increase the workings for reach market enhancing by providing
flight services at reasonable cost (Messner, 2017). It helps to improve brand image and increase
market share that accomplish organisational objectives. At the same time, promotional strategy is
used by respective company through campaigns, social media, brand ambassador etc. which
helps to increase the number of customers and get high profits which aims of organisation. On
the other hand, branding strategy is uses wide campaigns that helps to attracts people and
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improve market reach through programmes and advertisement which increases people's
knowledge and increase customers.
Ethical consideration and objectives
It has determined that all objectives of British Airways are achieved in ethical manner in
which they focuses on safety and security travelling that attracts people and give them safe and
secure ride. By getting safe travelling customer drives satisfaction level. Moreover, top
management of British Airways follows legal compliance and properly booking tickets which
solves customer's problem (Child, 2015). It has also defined that British Airways is making
efforts to become first airline to offset carbon emissions on domestic flights. The management of
such organisation will offset by investing in several global carbon reduction projects. Some
programmes are also run by management such as rainforest protection and reforestation
programmes.
c. Two marketing concepts with principles used in organisational daily operational
Marketing is extensive human activity that consider different concepts and principles to
operate a business across domestic territory. All corporation wants to run their business by
providing better quality of products and services and maintain high productivity. Different
marketing concepts and principles are consider as suitable strategy which attracts people and
maintain high productivity (Folinas and Fotiadis, 2017). For British Airways, marketing team is
using different types of marketing concepts and principles which helps in daily operation that are
as explained:
Marketing mix
The marketing concept is related with set of tactics and plans which can be used in
marketing brand and increases number of customers. Organisation are using guidelines and path
to put the products at right place and maintain the high profitability. With the help of marketing
mix British Airways attracts people and managing the administration properly which are as
explained:
7Ps strategy
The strategy of 7Ps is related to marketing mix elements which are combined factors
which a company control for influencing targetted audiences for making purchase of the
commodities. With this strategy, organisations makes promotions of the brand within competing
market. The administrators of British Airways uses 7Ps for developing strengths along with
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limiting weaknesses, improving profitable collaboration among partners and departments within
daily operations. The 7Ps in context to the respective entity are discussed as:
Product: It is tangible substance that organisation manufactures and refined to sale. The
product element is used at British Airways for satisfying clients needs in suitable manner. The
company offers airline services to various segment which is its core product. Along with this,
other products are accessories, technology, quality services and many more that helps in
satisfying customers along with retaining their loyalty.
Price: It is the money amount which is expected, required as well as given for making
payments to acquire something. Pricing strategies includes penetrating, cost plus, skimming,
differentiation and many more. Among all, marketers of British Airways uses differentiation
strategy for charging distinct prices as compared to other airlines for the similar services with
higher quality (Kumar and Sharma, 2015).
Promotion: The another marketing mix element used at entities for informing addition to
improving awareness of population towards merits of products and its features. Special offers,
free gifts, endorsements, direct mailing, advertising and user traits are part of promotions. At
British Airways, promotions of brand are done through TV commercials, billboards, Internet ads
and many more. Promotions are used at selected firm for increasing awareness, creating brand
loyalty and generating interest of population. British Airways also uses Brand ambassador to
promote its air line services which attracts people and increase the organisational sale.
Place: It is defines as physical location that customers uses for purchasing organisational
product. British airways flies around more than 450 locations across world an d have major
presence in Gatwick, London addition to Heathrow city Airport. It uses multi channel, Internet
and sales orders for selling sits tickets. Along with it, a customer also purchases tickets from
sales agents addition to other intermediaries.
Physical environment: It is related to the ways organisational functions are operated.
With this element, a business is distinguished from competitors. At British Airways, physical
environment in form of comfort, smart, run down, facilities are interfaces are used for charging
prices for services as well as establishing positive experience.
Process: The element encompasses interfaces among consumers and business. It also
includes the ways both deals at distinct service stage with each other. Wide types of processes
are used at British Airways for achieving marketing, growth and other goals. Service delivery is
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essential consumer touchpoint which company uses to provide essentials so that consumers
consumes the services (Oswald and Oswald, 2015).
People: These are said to the individuals who operates practices for the company. All
organisations employs wide types and number of people along with this, also provide them
training for goal achievements. In regards to British Airways, its key people are customers,
management, employees and other stakeholders.
STP:
This is another marketing strategy which helps to operate the business effectively and
increase the business operations. This strategy is related with segmenting, targeting and
positioning that demonstrate connection between entire market and states ways to face the
competition. British Airways uses marketing principle in which management divide whole
market in smaller group that are as defined:
Segmentation – In this, market is categories in to smaller groups which possess different
characteristics and suits to target market. The market team of British Airways has segmented the
market in to following dimensions:
Demographics – In this, management of British Airways focuses on income group,
education level and family status which helps to increase the operation of organisation.
Geographic – In this, British Airways has segmented the market audience as per location
such as city, Continent, District, Region.
Psycho-graphic – The management focus on lifestyle, perception, interest and attitude of
air travellers which helps to maintain the daily organisational operation](Rowley, 2017).
Behavioural – In this, market people are divided on the basis of previous behaviour for
brand. Management increases awareness of people in ticket rating, usage level, purchase pattern,
product knowledge and more purchase.
Targetting – This means targeting people and provide products and services accordingly
which helps to maintain the which helps to maintain the profits. The manager of British Airways
mainly focuses on targeting population between the age group of 20 years to 65 years, high
profile and medium status who purchases tickets to travel.
Positioning – This consider as final component of STP processes in which British
Airways emphasis on different ways by providing airline services. By offering airline services at
different classes and advertisement campaigns it is maintaining good position in business world.
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TASK 2 (Covered in mini poster)
Explanation of relationships of marketing with other departments of the company.
CONCLUSION
From the above report it can be concluded that marketing is the important area or
function of organisation which helps to9 increase the sales volume and capture high market
share. In business environment there are different strategy such as product, promotion and
branding which is used by organisation to increase the production and profitability. In airline
industry, there are many services which is provided by managers to increase their sales volume
and operate business successfully. Marketing mix is the combination of different products and
services which attracts people and encourage them to buy them. This involves product, price,
place, promotion, physical evidence, process and people which operate business easily and
maintain high profitability.
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REFERENCES
Books and Journals:
Benzo, R., Mohsen, M. G. and Fourali, C., 2017. Marketing research: planning, process,
practice. Sage.
Worth, M. J., 2018. Nonprofit management: Principles and practice. Sage Publications.
Bush, T., Bell, L. and Middlewood, D. eds., 2019. Principles of Educational Leadership &
Management. SAGE Publications Limited.
Dennison, W. F. and Shenton, K., 2018. Challenges in educational management: Principles into
practice. Routledge.
Slack, N. and Brandon-Jones, A., 2018. Operations and process management: principles and
practice for strategic impact. Pearson UK.
Kaynak, E. and Kucukemiroglu, O., 1993. Successful marketing for survival: The airline
industry. Management Decision, 31(5), pp. 32.
Messner, W., 2017. Does Value for Money Create Advocates? A Study in the International
Airline Services Industry. Journal of Glob
Child, J., 2015. Organization: contemporary principles and practice. John Wiley & Sons.
Folinas, D. and Fotiadis, T., 2017. Marketing and Supply Chain Management: A Systemic
Approach. Routledge.
Kumar, R. and Sharma, V., 2015. Auditing: Principles and practice. PHI Learning Pvt. Ltd..
Oswald, L. R. and Oswald, L., 2015. Creating value: the theory and practice of marketing
semiotics research. Oxford University Press, USA.
Rowley, J. E., 2017. Information marketing. Routledge.
(Benzo, Mohsen and Fourali, 2017)(Worth, 2018)(Bush, Bell and Middlewood, eds., 2019)
(Dennison and Shenton, 2018)(Slack and Brandon-Jones, 2018)(Kaynak and
Kucukemiroglu, 1993)(Messner, 2017)(Child, 2015)(Folinas and Fotiadis, 2017)
(Kumar and Sharma, 2015)(Oswald and Oswald, 2015)(Rowley, 2017)
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