Marketing Principles of Qantas Company: A Detailed Analysis

This report provides a comprehensive analysis of the marketing principles employed by Qantas, the Australian-based airline. It begins with an introduction outlining the report's objectives, which is to determine the marketing principles of Qantas. The report then delves into Qantas's marketing objectives, which include increasing market share, boosting sales, and enhancing services. It also examines the airline's positioning statement and brand value. A significant portion of the report is dedicated to Qantas's marketing mix strategy, detailing its product, price, place, and promotion strategies. The product strategy focuses on offering a range of services to customers. The price strategy involves premium pricing for business travelers and low-cost options for the local market. The place strategy covers various distribution channels, and the promotion strategy encompasses both traditional and digital marketing tools, including a detailed promotional budget and a calendar of marketing activities. The report concludes by summarizing the key findings and strategies discussed, emphasizing how Qantas aims to achieve its marketing objectives within a specified timeframe.

Marketing Principles
Qantas Company
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Contents
Introduction......................................................................................................................................2
Marketing objectives.......................................................................................................................3
Positioning statement of Qantas......................................................................................................3
Brand value..................................................................................................................................3
Unique selling point.....................................................................................................................4
Marketing mix strategy....................................................................................................................4
Product strategy...........................................................................................................................4
Price strategy...............................................................................................................................5
Place strategy...............................................................................................................................5
Promotion strategy.......................................................................................................................5
Promotional budget..................................................................................................................6
Calendar of Marketing Activities....................................................................................................7
Conclusion.......................................................................................................................................8
References........................................................................................................................................9

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Introduction
The aim of the report is determine the marketing principle of Australian based company that is
Qantas, which is well-known airline performing its business operations in the market. The report
include the different marketing objectives and strategies of marketing mix which are formed by
the Qantas company in order to meet the marketing objectives of the company. In the end, the
budget of the promotional strategy has been proposed with the schedule of all the activities that
are taking place.

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Marketing objectives
Marketing objectives of the Qantas Company are presented below -
 The objective of Qantas is to gain 10% market share increase in Australian market by end
of 2020.
 To increase sales of the services by 25% by the end of December 2020
 To improve the existing services and add new services in the financial year for the
customers
 To increase the number of promotion tools that can generate the awareness about the
services in market by 2020 (Qantas, 2019).
 To increase the number of repeated customers in the airline by 15% by the end of 2020
Positioning statement of Qantas
The positioning statement of Qantas is that ‘to be a great airline that offers the services to the
domestic as well as to the international customers’. For the target market, the company position
itself as the Pioneer Airline majorly in the On-time flights that offers the best flexible booking
schedules as the number of choice to the Airline for the business travellers (Armstrong, Adam,
Denize & Kotler, 2014).
Brand value
According to the research, this has been found that the brand value of Qantas is the 45% to $3.8
billion which has improved its brand strength to 86.6 out of 100% which has accomplished the
brand rating upgrade from AAA- to AAA that contribute in becoming the strongest brand in the

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market of Australia (Travel weekly, 2019). The company deals with the increasing competition
in domestic as well as international routes.
Unique selling point
Qantas Airways unique selling point is the leading official flag carrier of the Australia with the
largest fleet size, international flights, and international destinations. In addition to this, the
company ensures that they are able to offer the delight customer experience to their customers.
Marketing mix strategy
Marketing mix is the set strategy tools which is pursue by the Qantas organisation in order to
meet their marketing objectives in the Australian market (Baker, 2014).
Product strategy
Qantas is well-known flagship airline of Australia who is able to maintain the string presence in
the market with numerous international destinations. The company major service is offered to the
customers through so that they can travel from one place to another (Chernev, 2018). During the
journey, the company offers the best in class with delight service quality with comfort. In the
flight, the company provide the different entertainment facilities inside the flights with the best
in class in terms of the tracking system. Qantas offer the improved services and keep adding the
new services with the help of the advance technology as this will help them to meet their
objective of gaining the market share in Australia. Further, in order to deliver the delight
customer experience the company keep adding new services for the customers in the coming
year. This improvement in the services will meet the objective of number of visits by the
customers.

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Price strategy
The company is one of the leading international airline due to which they commands the market
leader pricing in the region. The company generally targets most of the frequent business
travellers that operate the business majorly in the luxury service. This has been found that
company implement the premium pricing strategy in the marketing mix that allows them to cover
all the cost, benefit, value addition majorly in terms of quality service. The company maintains
the status of the safety and comfort better than their customers do for the similar sort of pricing.
However, in the local market the company follows the low cost strategy through which they can
offer the better pricing to their targeted customers. This pricing strategy helps the company to
meet the marketing objective related to the sales of product (David, 2011).
Place strategy
Qantas airline serves the services in the international destinations and thus they offer the tickets
of their flights from different places that include the online mode, different distributors, at the
airport, from agents and many others. The company distribution modes are effective as this the
only way through which they can offer the attractive tours as well as packages. The wide range
of attractive services and easy availability of the tickets helps the company to meet the needs of
the targeted customers and to meet the marketing objectives (Isoraite, 2016). The company will
improve the packages and their distribution section by forming the combos.
Promotion strategy
Qantas Company makes use of different tools for promoting their products in the market that
include the traditional as well as the digital tools. The company has the loyalty program that is
considered as one of the best loyalty options. Qantas promote the services through TV, print,

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online advertisement, social media, and many others in the market. In addition, the company
needs to promote the products through emerging new channels that include Google
advertisement and many other platforms (Kotler, 2015). This will help the company to meet their
marketing objective that is to increase the market awareness, sales, number of customers and
many others.
Promotional budget
The below given is the promotional budget for the Qantas company: -
Promotional Budget
Method Amount
1. Direct Marketing
Online media
Facebook $500.00
Twitter $1,500.00
LinkedIn $1,800.00
E-mail Marketing $500.00
Total Amount of Online Media through Direct
marketing $4,300.00
2. Advertisement
Print Media
Newspaper $750.00
Journals $1,500.00
Online advertisement $800.00
Total amount of Advertisement $3,050.00
3. Sales promotion
Discount Coupons $900.00
Loyalty programs $1,800.00
Total amount of sales promotion $2,700.00
Total amount $10,050.00

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Calendar of Marketing Activities
The below given is the calendar of the marketing activities which include the activities and the
related time.
Activities Responsible person Time (1 year)
Market research Research and development
department
3 months
Considering the needs of
customers
Customer satisfaction
department
1 months
Adding new services Operations department 4 months
Offering the attractive
packages
Marketing and sales
department
2 months
Improving the distribution
for tickets
Sales department 1 month
Generating the awareness
through new channels
Marketing department 2 months

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Conclusion
In the end of the report, it is concluded that marketing principles of Qantas Company shows the
major discussion related to the product, price, place, and promotion strategy. The strategies are
formed by the company so that they meet the marketing objective within a year. These strategies
are formed considering the targeted market present in the Australian market.

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References
Armstrong, G., Adam, S., Denize, S. & Kotler, P. (2014). Principles of marketing. 6th edition.
Welbourne: Pearson Australia.
Baker, M. J. (2014). Marketing strategy and management. London: Palgrave Macmillan.
Chernev, A. (2018). Strategic marketing management. Chicago:Cerebellum Press.
David, F.R. (2011). Strategic management: Concepts and cases. India: Pearson/Prentice Hall.
Isoraite, M. (2016). Marketing Mix Theoretical Aspects. International Journal Of Research –
Granthaalayah, 4(6), 25-37.
Kotler, P. (2015). Framework for marketing management. India: Pearson Education.
Qantas (2019) Our Company. Retrieved from:
https://www.qantas.com/travel/airlines/company/global/en [Accessed on 21st May 2019]
Travel weekly. (2019). New Research Has Found That Qantas Has Taken The Title Of
Australia’s Strongest Brand Off The Commonwealth Bank For 2019. Retrieved from:
http://www.travelweekly.com.au/article/qantas-crowned-australias-strongest-brand-and-
another-airline-makes-the-top-10/