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Marketing at Qantas.

Extracts from this document...

Introduction

Conventionally, marketing is seen as a business function. The goal is to identify the needs and wants of consumers, determine which target markets to serve, design appropriate products, services and programs, and then publicise and deliver these offerings. This view of marketing is important, but it is a partial view. The discipline is more than a business function - it is also embodies "an attitude of mind". Everyone in the organisation is encouraged to focus on customers. The goal is to create customer satisfaction profitably by building valued relationships with customers, clients, suppliers, distributors, and others. This is about shaping attitudes and behaviour among all employees, not just those whose business function is formally described by the marketing label. This underscores the fact that the principles of marketing have a central role to play in contemporary businesses such as Qantas and within society. In many ways the current marketing activities within Qantas are following traditional and well-tried methods which reflect decisions regarding the product/service provision of routes, seat allocation and types, in-flight and ground-based services, the price structure, distribution channels and promotional activity. The marketing environment, however, is becoming more competitive, as external influences have affected the efficiency and profitability of the airline industry. Many developments have been technologically pushed: thus larger aircrafts have increased capacity, leading to reduced real fares and improved many aspects of the in-flight experience (though the tendency to large aircrafts might have ended with the introduction of smaller plans (Jetstar) ...read more.

Middle

These four airlines generally differ on the destinations they fly as well as their pricing of tickets. All four of these airlines attract different customer, further more, within each of these airlines, they segment the market into even smaller categories by offering a variety of facilities onboard each airline, e.g. Business, First and Economy class. Fig1.1 Qantas's passenger transportation attracts the highest amount of revenue out of all there subsidiary and associated businesses (fig 1.1). Qantas's marketing team promotes this sector of the business as well as the Tour and Travel sector to the general public, while their Freight services are directed at companies rather then consumers .The other remanding companies associated with Qantas's core operations were developed to cut costs for passenger services and therefore require no marketing towards any consumer groups. Determine marketing objectives The marketing objectives of a business set down the goals which businesses wish to maintain or develop in the future operation of the company. Qantas which is a public company listed on the Australian Stock Exchange has a duty towards its fellow shareholders. Operating as a public company means that the marketing objectives are developed in order to satisfy the shareholder, and consequently this leads to the core objective of Qantas is to make a profit. The profit created will provide the shareholders with a satisfactory return on their investments (fig 1.2) as well as to generate enough profit in reserve to fund expansion and acquisition of new aircrafts. ...read more.

Conclusion

Qantas invested more than $300million on upgrading there in-flight entertainment system on it Boeing 747's.The new systems includes video screens mounted on the back of chairs-offering movies and video games for the Economy class. Business and First class received new individual touch screen monitors as well as in-seat power points, while all classes received personal telephones. All the following things are a few thing Qantas had invested in to provide a better Product to its consumers. Qantas has all used other strategies concerning Price, Place and Promotion to increase customer numbers and make Qantas the brand of choice. Place Qantas has to provide easily accessible ticketing and purchaseing facilities to maintain a large customer base.Accessablity is an important factor which relies on both direct and in-direct distribution channels. Directly, customers can visit any of the Qantas Travel Centres called Qantas holiday or such companies as Viva and Jetabout which are also partly owned by Qantas.This vertical intergration Qantas has invested in limits the likelihood of owner entity selling compeditors' tickets.Other services such as telephone and airport ticket sales are were also installed to make the process quicker and more efficient. "Marketing is probably the key ingredient in a company's success. It is hugely important factor in how companies differentiate themselves and get a competitive edge. With airlines we are fighting against becoming a commodity and the way to do that is marketing, positioning ourselves as a company that is offerings something different from our competitors." Geoff Dixon ...read more.

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