Marketing Plan Report: Wizz Air's Aviation Life Vest Launch Strategy

This report details the marketing plan for Wizz Air's introduction of an aviation life vest, outlining key strategies and objectives. It begins with an introduction to Wizz Air, its values, and CSR activities, followed by an executive summary highlighting the product's purpose and benefits. The report then defines specific objectives, analyzes the current situation using SWOT and Porter's Five Forces models, and details the marketing strategy based on the SOSTAC model, including segmentation, targeting, and positioning. Tactics, including the marketing mix (product, price, place, and promotion), are also discussed. The report aims to increase revenue and market share by attracting and retaining customers through this innovative safety product. The plan targets high-class passengers and emphasizes digital marketing and premium pricing strategies to achieve its goals. The report concludes by summarizing the key elements and providing a concise overview of the proposed actions.

Principle of Sale &
Marketing

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Company Introduction................................................................................................................3
Company Values.........................................................................................................................3
CSR Activities.............................................................................................................................4
Executive Summary....................................................................................................................4
Objectives....................................................................................................................................4
Situation .....................................................................................................................................5
Strategy ......................................................................................................................................8
Tactics.........................................................................................................................................8
Action Plan .................................................................................................................................9
Controlling And Monitoring.....................................................................................................10
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Marketing plan is defined as a document containing the information that need to undertake
by marketing employees in order to execute new project of an organisation into market with
having different objectives. It defines the roles and responsibilities of each employee which
makes easy for them to execute with more efficiency and brings profitable result to an
organisation. Marketing plan includes mission, vision and objectives of an organisation along
with a model of analysing market environment and marketing mix. The present assignment
report is based on Wizz Air which is a European ultra-low-cost airline having head office in
Budapest. Now the company decides to launch Aviation Life Vest for its targeted customers in
order to attract and retain them with company for longer period of time. The report discusses the
aspects included in marketing plan which includes executive summary, company description,
swot analysis, marketing mix, STP and others.
MAIN BODY
Company Introduction
The Wizz Air is the low cost airline service provider that provides the services across
many countries namely Europe, UK and Africa etc. The company started its operations in 2003,
from there on it started expanding. The company headquarters is situated in Hungary. Wizz Air
is listed on London Stock Exchange. The company own subsidiaries across UK and Abu Dhabi.
The company provides the low cost services focusing on providing efficient services while being
equally accountable and responsible towards environment concerns. The company aims to
provide low cost services and products to passengers with connectivity to leading airports. The
Wizz Air main competitors are EasyJet, Ryanair, Traveloka etc. (Bokek-Cohen, 2016).
Company Values
The Wizz Air guiding values are as follows; Inclusivity: The company believes in teamwork to serve people. Positivity: Wizz Air believes primarily in the happy, positive and open communication
work culture. Dedication : The company principle is to have enterprising attitude incorporated in
everyone. The company helps itself accountable for every action they do. Integrity : They believe in teamwork and collaborative work practice.

 Sustainability : The company aims to be responsible citizen in delivering and fulfilling
its social responsibility role. Wizz Air aims to be the greenest choice of the aviation
industry (Bolisani, Donò and Scarso, 2016).
CSR Activities
Wizz Air believes in the teamwork to give to environment back. The company motto is
that with every travel they get an opportunity with that they can make the world and life around
it better. The Company believes in creating sustainable solutions by integrating its efforts with its
partners.
Executive Summary
The Wizz Air is a leading low cost airline heavily relied on providing the valuable
services to its passengers. The company is focused on bringing in innovation its services and
operations continuously to provide consumers with world class service. The company is bringing
in new product named as life vest jacket. This idea behind bringing this jacket is to save the life
of people in emergency. This jacket will be provided to consumers in case of emergency. The
panel of trained staff will be hired to provide guidance for this jacket usage. This life saving vest
will be available in fleets and Airbuses during travel every time (Daellenbach and Parkinson,
2017). As the step towards environmental concern and as the commitment to provide customers
with healthy and safe journey, the idea of life jacket instigated. Many consumers have height
phobia due to which they avoid the air travel. The introduction of life vest will help the people to
overcome the fear of heights. The effective marketing plan is made using the SOSTAC model to
prove the effectiveness of this product to company. The SOSTAC Model is developed by Smith,
an efficient marketing model which helps in designing an sound action marketing plan.
Objectives
The Wizz Air objectives are as follows with introduction new product;
 To increase the revenue by 40% within one year
 To increase the overall market share by 30% within next 6 months.

Illustration 1: What is the SOSTAC methodology?,2019
(Source :What is the SOSTAC methodology?,2019)
Situation
The situation analysis helps in analysing the present situation of company in reference to
its projected position. This analysis helps in analysing the opportunities and threats so existing in
future for company and how the company can improve on these parameters to be successful
(Efanny and et. al., 2018).
Swot Analysis
The SWOT analysis helps in examining the micro and macro factors that can affect the
company operations. The macro environment refers to the external factors that affect the
organisation majorly (Iovino and Migliaccio, 2020). The micro environment is based on the
internal factors that are in hands of company to mould and use it to their advantage. The SWOT
analysis of Wizz Air in consideration of new product is as follows;
Strength
 Wizz Air has extensive R&D team
Weakness
 The Wizz Air is lacking expansion in

which brings continuous innovation in
their products and services.
 Amid coronavirus pandemic the halted
operations, Wizz Air managed to
maintain its revenue by offering
supplementary services to consumers .
 The Company has accomplished
workforce which helps in delivering the
world class service to its customers. Wizz Air managed to recover and
compensate the loss suffered due to
impact of Brexit.
developing the connectivity with
leading airports with that as compared
to its competitors such as EasyJet,
Ryanair, etc.
 The company is losing in terms of
market share, product offerings as
compared with the new entrants in
aviation industry.
Opportunity
 The new routes can be developed as
with increased globalisation and
friendly relations between
governments.
 The consumer behaviour is changing as
they now want value for money and
quality services.
 The use of technology in its operations
and by providing loyalty schemes
helped the company to gain large
customer base.
Threat
 The company may not be able to
sustain with new product target
segment, as the life vest target market
is elite people but post lock down the
consumers spending patterns have
changed.
 The Wizz Air could not be able to grow
at increased revenue by providing
services at low cost, because of the rise
in price of raw materials and
unpredictable economic environment.
Porter's Five Force Model
The Porter's model is used intensively to identify the competition level in industry and
drivers of profitability are also identified (Liu, Perry and Gadzinski, 2019). This model identifies

the forces which can affect the organisation hardly. The Wizz Air Porter's five Force analysis is
as follows; Threat of new entrants : In this factor the industry's attractiveness attract the new players
in this industry and affects the operations of existing companies. The industry
attractiveness is being judged by the low entry barriers and high profitability. Wizz Air
can survive by providing high product differentiation and by providing value services to
customers. The Wizz Air is sustaining this factor efficiently by constantly revamping its
product quality (Michel, Schnakenburg and von Martens, 2017). Bargaining Power of Suppliers : When suppliers are in weaker position the
attractiveness of industry increases. The high supplier bargaining power can reduce the
profitability of company. The Wizz Air can use this to their advantage by deploying
extensive product differentiation in the products. When different products are existing,
the high price of some raw material does not affect the operations of other product lines.
Wizz Air should try to develop the strong base of distribution network, which will help
the company favourably by developing such efficient value chain. Bargaining Power of Buyers : This factor have direct impact on company operations.
The buyers are price sensitive and want value for money. In case of Wizz Air the
company should try to give the people constant innovations in their product and service
offerings. The company should always focus on providing value to buyers. With
introduction of new products and services the consumers will seek limited offers on
existing and old products and this will affect the bargaining power of consumers. Threat of Substitute Products : The availability of the high substitutes lowers the
company profitability. The Wizz Air should focus on providing efficient services also
rather than just introducing new products. The life vest is valuable product to make it
successful the utility should be served with combination of product and service.
 Rivalry among existing Competitors : When the services and products are being
differentiable and provided to customers with utility the loyal customer base so
developed will never shift to other company. As in aviation industry the needs and wants
of customers are limited it can be used to advantage by serving them with quality service.

Strategy
The strategy based on SOSTAC model gives an direction to achieve the organisation
objective. The STP model helps in crafting the effective strategy to achieve the objectives so
defined. The strategy for new product of Wizz Air is as follows; Segmentation : The segmentation refers to the process of churning the population into
the defined set of customer segment. The Wizz Air will segment the market on basis of
behavioural, income and psychological basis. The Wizz Air will target the elite, high
class passengers who love to enjoy personalisation and customisation in their services.
The company segment will have the people who love travelling and live the experience
with leisure,comfort and safety. The company will define the segment market further on
basis of interest and opinions of passengers (Nemeş, Fierbinţeanu and Gheorghe, 2019). Targetting : The targetting refers to the specific and defines segment market. The defined
target market helps in effective positioning of product. The concentrated efforts are
diverted towards efficient marketing actions. The target segment would include the loyal
elite passengers who love to travel often and earn points with each travelling. The high
upper class would be the main segment who are not budget conscious and just want
valuable services.
 Positioning : Positioning refers to standing of the product in relation with the competitive
brands. The effective positioning helps in gaining the market share. The Wizz Air wants
to be positioned itself with introduction of life vest as the airlines which provide safety,
comfort and luxury at same time. The Wizz Air wants to attract ultra rich people as its
attraction and dedicated customer base with this product. The good positioning strategy
helps to overcome the failure of previous products and makes the new product and
service success.
Tactics
The tactics refers to Marketing Mix which helps in marketing and promotion of the
product and services to the consumers (Ostrovskiy and et. al., 2017). The marketing mix of life
vest is as following; Product : The Product offered by the Wizz Air is the life vest jacket. The jacket would be
offered for kids, women and men. The jacket would have automatic inflammable option.
It will have the emergency parachute and water tube attached in it.

 Price : The premium price would be kept for the life vest. As the product is targetted for
premium segment so the price option will be kept high. The bundle pricing option will
also be provided for introduction phase of product to attract the consumers and would
help in the promotion also. Those who want this facility will have to pay extra defined
charges. Place : The product will be easily available in flight with the business class and premium
seats. On demand product will be made available to other passengers. In emergency kits
will also be the part of journey. Promotion : The promotion will be made using the digital marketing strategy
extensively. The Search Engine Optimisation (SEO) and Social media marketing(SMM)
digital tools will be used for promotion. The advertisements will be placed on billboards,
high viewership magazines, newspapers and televisions. The company website will also
be redesigned. The sales promotion push technique will be used extensively to attract
manufacturers and consumers. Physical evidence : The life vest will be provided with the detailed guide to use. The
manual guide will also be provided that will have the detailed description of the product
usage. Process : The third party logistics and expert institution will be used to made the jacket.
The life jacket manufacturing will be made under the expert guidance lab. The efficient
supply chain will be created to make the product. The product will be tested on the
quality standards so set. The Wizz Air will tie up with the travel agents also to attract and
promote the consumers.
 People : The employees will be given special training to provide instructions for life vest
jacket. The Wizz Air will hire the related expert and trainers also to provide guidance and
deliver value services to passengers.
Action Plan
The Action plan is the proven method of allocation of finances to achieve the predetermined
objectives. The prepared budget will assist Wizz Air to approximate their cost and revenue
which they can generate from the launch of there new product. This estimation of budget will
help in easy procurement of funds from finance department of company (Popescu, 2018). This
budget so drawn will help them to keep track of their cost and will help to monitor the financial

performance by comparing the actual and budgeted cost per activity The budget statement is
given below :
Particulars Amount (£)
Marketing 15000
Promotional activity 20000
Plant and Equipments 750000
Print media 8000
Total 793000
Controlling And Monitoring
The controlling and monitoring is the reference point to check whether we are going in
right direction or not. The various controlling techniques and tools are used to measure the
performance with the objectives so set. It helps in achieving the predetermined objectives by
continuous tracking of performance and involves controlling whenever deviations are there
(Ranjan and Kushwaha, 2017).
 The most effective monitoring and controlling tool used to contrast and compare the
performance of Wizz Air to that of others is comparing its performance with its
competitors. The top competitor of Wizz Air is Ryanair, in terms of operations, revenue
and services this company excels against Wizz Air in all terms. With this comparison the
differentiating points can be list out where Ryanair is giving tough competition to Wizz
Air, and then strategies can be developed to improve the performance of Wizz Air
wherever it is lacking.
 Another most used technique is evaluating the ROI(return on investment), in this
technique the payback of each cost is compared. The each element of input cost is taken
such as cost of marketing activities, salaries of workforce etc. is taken and compared with
the results so achieved till far. With this interpretation the comparison the payback is
achieved and if it infers to be positive then the strategies so applied proved to be
successful and if negative outcome is inferred, the modification is required in the strategy
and structure. Wizz Air can use this efficient technique to achieve its target (Sharma and
Sharma, 2017).

 The Wizz Air can Checking the Sales figure also to measure its performance. In this
technique the sales figure of Wizz Air after introduction of new product can be compared
with that of its before introduction of new product. The deviation in this figure will help
to measure the effectiveness of new product precisely.
CONCLUSION
It has been concluded from the above report that marketing plan is necessary to formulate
for the growth and success of new project that an organisation wants to introduce into market.
For this, marketing manager is responsible to produce an effective marketing plan which helps
employees in identifying roles and responsibilities towards proper execution of desired project.

REFERENCES
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Ranjan, R.K. and Kushwaha, R., 2017. Impact of Green Marketing Strategies on Consumer
Purchase Behaviour. Review of Management, 7.
Sharma, S. and Sharma, P., 2017. Marketing Mix Strategies for FMCG Companies in
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Online Source
Wizz,2020 [Online] Available Through <https://wizzair.com/>