PRESENTED BY

y Rohit Amrutkar y Parag Deshmukh y Virshree Kale y Nikita Khandalgaokar y Shraddha Malandkar 02 11 22 25 45

Boeing 787 Dreamliner

The Boeing 787 Dreamliner is a long-range, mid-size wide-body, twin-engine jet airliner developed by Boeing Commercial Airplanes. It is the company's most fuel-efficient airliner and the world's first major airliner to use composite materials for most of its construction. The first 787 was unveiled in a roll-out ceremony on July 8, 2007, at Boeing's Everett assembly factory, by which time it had become the fastest-selling wide-body airliner in history with 677 orders. The 787 developments and production have involved a large-scale collaboration with numerous suppliers around the globe. Final assembly is at the Boeing Everett Factory in Everett, Washington. The airliner's maiden flight took place on December 15, 2009, and completed flight testing in mid-2011. Final Federal Aviation Administration and European Aviation Safety Agency certification was received in late August 2011 and the first model was delivered in late September 2011. It entered commercial service on October 26, 2011 in All Nippon Airways (ANA)

Design
The 787's design features lighter-weight construction. The aircraft is 80% composite by volume. Its materials, listed by weight, are 50% composite, 20% Aluminium, 15% titanium, 10% steel, and 5% other. Aluminium is used on wing and tail leading edges, titanium used mainly on engines and fasteners, with steel used in various places. External features include raked wingtips and engine nacelles with noise-reducing serrated edges. The longest-range 787 variant can fly 8,000 to 8,500 nautical miles (15,000 to 15,700 km), enough to cover the Los Angeles to Bangkok or New York City to Hong Kong routes. It has a cruising airspeed of Mach0.85

Assembly Procedures
Subcontracted assemblies included wing manufacture (Mitsubishi Heavy Industries, Japan, central wing box) horizontal stabilizers (Alenia Aeronautica, Italy; Korea Aerospace Industries, South Korea); fuselage sections (Global Aeronautica, Italy; Boeing, North Charleston, USA; Kawasaki Heavy Industries, Japan; Spirit Aero Systems, Wichita, USA; Korean Air, South Korea); passenger doors (Latcore, France); cargo doors, access doors, and crew escape door (Saab, Sweden); floor beams (TAL Manufacturing Solutions Limited, India); wiring (Labinal, France); wing-tips, flap support fairings, wheel well bulkhead, and longerons (Korean Air, South Korea); landing gear (Messier-Dowty, UK/France); and power distribution and management systems, air conditioning packs (Hamilton Sundstrand, Connecticut, USA). Boeing is considering bringing construction of the 787-9 tail in house; the tail of the 787-8 is currently made by Alenia. Unit cost 787-8: US$193.5 million (2011) 787-9: US$227.8 million (2011)

Product Life Cycle

PLC OF Boeing 787

Y-Axis: Sales in Nos. X-Axis: Year

Expected PLC OF Boeing 787

Y-Axis: Sales in Nos. X-Axis: Year

Promotional Campaigns
The promotional mix of the Boeing 787 communicates a consistent message throughout all stages of marketing. The stability and financial power of Boeing is highlighted effectively throughout the advertisements and public relation events. A focus is put on all of the environmental and technological advances that the 787 carries and the benefits of them. The great fuel efficiency is the foundation of the marketing while highlighting the different positives of being fuel efficient. Not only the decrease in operating costs but the overall green; initiative by emitting less emissions and companies shrinking their carbon foot print. A focus is put on why a company should choose Boeing over its competitors, especially on why the 787 should be the chosen model over Airbus's A380. In a price sensitive market, the fact that the Boeing 787 has a lower price point than the A380 will be reinforced consistently. The other mainstay in the marketing will be the projected growth in the travel industry, focusing primarily on the growth of the emerging markets as well as highlighting the Asian market. The most important factor is on the cost effectiveness of the aircraft. With its lower operating costs and three optional layouts, it allows flexibility in what business model is a perfect match for the aircraft. Each of the different models is highlighted throughout the marketing promotional campaign. When targeting a low cost carrier, the model that can carry the most passengers is highlighted and when targeting a major airline, the technological advancements and the fuel efficiency is highlighted. With the volatility in the airline industry, the marketing is focused on the projected growth to eliminate any doubts about making a purchase. The need for longer flight routes is highly stressed as well as a comfortable environment in the cabin to maintain or improve current customer satisfaction levels. Thus, Boeing has undertaken promotional campaigns over a few years to promote their product in the rising competitive market. The company undertakes the promotion by installing prototypes of the actual aeroplane but has eventually also carried the promotion in actual Boeing 787.

Advertisement
Boeing has undertaken heavy advertisement as part of its sales promotion activity. Boeing has its name engraved in the minds of the international flight market. The advertisement campaign undertaken by Boeing is explained as under. Boeing conveyed the excitement of the launching of the newest plane in its fleet, the 787 Dreamliner. The marketing mix focused on advertisements in all different global markets, highlighting the enhanced features of the aircraft. The public relations events had been as grand as the plane itself. Holding different events around the globe has caused great press that transcended to not only current and potential customers, but also to travellers who look to their favourite airline for the latest amenities on their aircrafts.

Boeing invited all major decision makers of their target market and hosted inaugural flights on the 787. This way the customers were able to use the sensory abilities to feel and touch the latest improvements on the jets. They were able to see firsthand on why they need to upgrade their existing fleet with the 787. Along with all the media events, paid promotional material like detailed advertisement brochures were in the forefront in all of the latest aeronautical periodicals and major international newspapers. A virtual tour kiosk has been set up in all major airports around the world, where passengers can get a real life feel of the aircraft.Boeing has also created in-flight advertisements and distributed them to all current customers to show as inflight advertisements, raising the excitement of their passengers. Thus, all the above were the various techniques used by Boeing in their advertisements which had ensured a record breaking product order. The widely successful advertisement campaign and record breaking order placement has proved that Boeing has packed a knockout punch in the heavy competitive aviation manufacturing industry.

Distribution Channels
Boeing has its own distribution channel which has been established and operational for last five decades. Since Boeing manufactures industrial products, its distribution channel is very short and the nature of business is B2B i.e. business to business. Boeing manufactures commercial airplanes and sells them to the aviation service providers like Air France, Quantas etc. Boeing has a distribution channel of two levels. Boeing manufactures and the aviation service providers place their orders directly with Boeing or through ILFC (International Lease Finance Corporation). Boeing relies on its traditional method of sticking to its well established corporate links and goodwill to generate sales and hence the chance of having a long distribution channel is very thin.

Product Mix
Boeing manufactures a long range of products and its various products are explained by the product mix table as under: PRODUCT MIX OF BOEING Commercial Aircrafts Short Ranged 737 MAX 7 900 ER Medium Ranged 747 400 ER BBJ Jumbo Jets 767 777 787 P-8 MA AEW&C KC - 46 SS Cruise Spitfire ISS A ISS 3V Connexion FCS Military Aircrafts Ammunitions Space Systems Computer Services

Summary of Product Mix: a) Product Width 5 b) Product Length 18 c) Product Depth 2 to 3

Segmenting, Targeting and Positioning

Segmenting:
Segmenting refers to the division of market made by the company as per the tastes and preferences of the customers toward the product. Here, in Boeing the segmentation strategy is simple, make variants of aircrafts as per the demands of the buyers and then supply these products to the customers demanding the product. In simple words, for Boeing demand precedes the production as well as conception of an idea. Since the products of Boeing are well known for their quality so also the company is known for making customized product as per the tastes of the customer, hence the regular customers of Boeing send their feedbacks of the current aircrafts performance as well as their expectations in the new aircrafts. The feedbacks regarding the current aircrafts help the company to make changes in the new models so that their product is efficient and stands up to the expectations of the people. Customers like Quantas, ILFC and Air France send their requirements to the company like increased payload, enhanced passenger capacity etc and when the company receives such requirements then its engineers and architects spend rigorous hours of planning and sketching for the new aircrafts. Later this same conceptual product becomes the new aircrafts. Boeing has so far made all its aircrafts keeping in mind the type of customers the aircraft would be attracting. Boeing segments the market on the cost basis. Higher the cost of the aircraft the more the features and the upper the class of people it would be attracting. Boeing has made all its aircrafts as per the demands and requirements of its customers who are the airline service providers. Boeing manufactured its economical aircrafts like 737 which was a low cost aircraft, the 747 which was highly modified for over the globe travel and the 777 and 787 which are the super jumbo jets which carry huge passengers while providing the apex quality of services and features. Thus, it can be seen that the segmentation of Boeing products is on a cost-demand basis.

Targeting:
The segmenting strategy revealed that the company wanted to target the high income earners as the customers of their customers. For the Boeing 787 Dreamliner, the targeting strategy was to attract the upper class or high class people of the various countries. Since these kind of customers demand for higher level of utility during their flight for which they are ready to pay a higher price hence many of the customers like Nippon Airlines and Air

France placed orders for a sophisticated and luxurious aircraft so that they attract their customers. The Boeing 787 Dreamliner is packed with loads of features and modifications which are very costly but also very attractive. Since the primary motive of the company was to attract the upper class or rich people as mentioned by Boeings customers, Boeing decided to make history by making such an aircraft that the passenger feels like he in travelling in a dream hence the name DREAMLINER. Thus, the targeting strategy of Boeing was to reach out to the rich and high paying customers.

Positioning:
Boeing has an unquestionable image in the minds of the customers for its quality assurance and after sales services. For its latest variant the Boeing 787, the segmentation and targeting strategy made it easy to position the product as the company wanted it to be. Since, the end consumer of the 787 were the high income earners hence, Boeing embedded as many security and leisure features as possible into the aircraft so that the consumer feels for everything he has paid for. Boeing has once again proved its name in the market by delivering more than the expectations of the consumers. This is the reason the most powerful man on earth The president of United States of America banks on Boeing for its transport vehicle than any other company. And if such a person has trust in the company product than other customers have no doubt regarding the quality and security of the lives the consumer put in their hands.

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