Faculty of Business and Law

Marketing Management- PGBM15

"AIR CANADA"
Intake: October, 2013.

Module Leader: S. Das

Submitted by: Adnan ul Haque. (139071579)

January 22, 2014

WORD COUNT: 4399

TABLE OF CONTENTS
INTRODUCTION........................................................................................................... Mission.............................................................................................................................. Vision................................................................................................................................ Core Competencies........................................................................................................... MARKETING MANAGEMENT.................................................................................. Correlation between marketing strategies & Corporate level strategies........................... SITUATIONAL ANALYSIS......................................................................................... SWOT Analysis................................................................................................................ PESTLE Analysis............................................................................................................. Competitor's Analysis....................................................................................................... Porter Five Forces............................................................................................................. Value Chain Analysis....................................................................................................... STP................................................................................................................................... Market Segmentation &Targeting Strategies.................................................................... Positioning Strategies........................................................................................................ MARKETING MIX 7Ps................................................................................................. Product.............................................................................................................................. Price.................................................................................................................................. Promotion.......................................................................................................................... Place.................................................................................................................................. People................................................................................................................................ Process.............................................................................................................................. Physical Evidence............................................................................................................. CONCLUSION............................................................................................................... RECOMMENATIONS................................................................................................... REFERENCES................................................................................................................ APPENDIX List of Tables Table # 1 Table # 2 Table # 3 Table # 4 03 03 03 04 04 05 06 07 11 14 15 16 17 17 17 19 20 20 21 21 22 22 22 23 24 25

Strengths of Air Canada Weaknesses of Air Canada Opportunities & Threats of Air Canada Value Chain Analysis

7 8 9 16

Introduction: Air Canada, as a Canadian brand, has universal recognition in comparison to any other brands introduced in the Canadian aviation market. The brand itself has a very notorious reputation as a dominator of Canadian domestic airline industry along with highly flawed international airline (The National, 2010). In 1937, it was founded with its 332 Fleet aircraft that facilitates customers in domestic and international destinations by providing both, passenger and goods air transportation (Air Canada, 2013). It has vastly increased its revenue streams further with its smart and strategic promotional offers and marketing strategies such as Executive upgrades, holiday packages, hotel reservations, car offers, travel insurance, vacation offers, executive upgraded in flight, and excellent in flight meal and beverage services (Air Canada, 2013). Air Canada has made sure to make its presence felt, since its launch, at all international airports along with the small airports of remote destination through various tactics that includes; cross promotion, image fit, sponsorship, exhibit space, media support, and significant reach (Air Canada, 2013). Mission Statement: Air Canada's chosen mission statement is "Connecting Canada and the world" (Air Canada, 2013). Here connecting does not only reflects the simple phenomenon of moving people from one place to another, but through enhancing quality experience bring people together. For this, it aims to be a global leader that it demonstrate by taking all the initiatives to live up to the statement as in more than 90 destination, it provides various packages and operate with more than 1370 flights on average daily schedule. Furthermore with its combined air transportation of cargo and passenger, the airline flies to 178 destinations around the globe (Air Canada Annual Report, 2007). Vision: To complement its mission, Air Canada has a vision that "Building Loyalty through passion and innovation" (Air Canada, 2013). To increase customer loyalty, it has simplified process by ensuring to offer convenient travelling facilities through new features, technology, and products. The innovative idea of launching new subsidiary "Rouge" is a classic example of Air Canada. For same purpose, it formed partnership with Walt Disney to train its staff and the efforts paid off as customers are delighted with onboard services of Disney-trained crew members (Truck News, 2013).

Air Canada's core competence: The values are grounds on which mission and vision is developed as it is a touchstone to team Air Canada as a guideline for actions. This include safety of operations, teamwork, and value and complement each other (Air Canada Annual Report, 2011). Apparently, Air Canadas core preposition is based on its customer service strategy, provide you with an air travel experience that meets your needswe aim to deliver a consistent level of service (Air Canada, 2013). This allows Air Canada as a brand to form a strong functional and emotional connection with its end consumer, gratifying their needs for a competitive edge.

Marketing Management: "Marketing is an organizational function and set of process for creating, communicating, and delivering value to customers and for managing customer relationship in ways that benefit organisation and its stakeholders" (AMA, 2004). The definition conveys the overall idea of marketing functions but the scope of marketing and its feature in systematic manner is not clearly explained. However, revise definition by AMA (2007), "Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large". Here, emphasizes is more on marketing's prime role in the society in a broad spectrum. Critical evaluation reveals that focus is on discipline's role in the society, working as "science". The emphasize is on the notion

that "the discipline is not a function, but an educational process" as still it lacks to explain the essentiality of identifying the needs of consumers and the short term (planning) and long term (strategies) to develop market, sales, and smooth communication. As "consumer's need" is essential for the marketing world as no matter how best organisation produces or how properly they market it, if it is not able to "meet the need", the product or services will be an absolute failure. However, Baer (2009) states, "Marketing is a message and/ or action that causes messages and/ or actions". This definition does not explain the procedures, techniques, and activities associated with the marketing as it focuses on action, but to every action there is reaction and to every cause, there are consequences. As per researcher's understanding, "Marketing is a science and art to create the value of a product and services in the minds and eyes of the consumers in order to meet their identified needs on the basis of market segmentation, targeting, and positioning done through marketing mix (Place, Promotion, price, people, physical evidence, product, processes). It understand the buying behaviors of the consumers and respond accordingly to it by communicating value it creates for stakeholders and society and at same time enable firm to gain competitive advantage" (Haque, 2014).

Correlation between Strategic Marketing and Corporate level strategies:

As per Lambin and Jean-Jacques (2000), "Managing resources and capabilities, tactics of growth, and overall profile are integral part of corporate strategies " (P. 441). Whereas, Harrison et al, (2002) explain corporate strategies as, "the purpose of existence of an organisation based on the mission and vision. Tactics, resource utilization, and growth strategies are part of corporate strategies". Davies (2011), elucidate strategic marketing as, "effective and efficient use of core competencies to design the working patterns that differentiate it from other inline competitors as well facilitate firm in creating value for the targeted audience to gain competitive advantage in the market". This means that firms combine marketing mix to attain competitive edge while segmenting, targeting, and positioning itself. Marketing strategies include segmentation, targeting, and positioning designed to attain the mission and vision of the organisation. Marketing strategies are designed to accomplish strategic business objectives, which indicates a strong correlation exists between corporate strategies and marketing strategies.

1.Business 2. Mission 3. Vision

Marketing Strategies (funtional strategy)

1. Values 2. Goals 3. Culture

CORPORATE STRATEGIES

Situational Analysis:

SWOT: According to TAM (2013), Albert Humphrey in 1965 is first person to coin SOFT that later became SWOT. The tool is used for environmental scanning to evaluate its current position and future endeavors. In this analysis, SWOTs prioritizing is done to rank each item from 1 to 3, according to its significance to objectives of a company (3=most important).

SWOT Prioritizing:

Adapted from Dunn (2007) "Air Canada: Here to get you there". P 19 From the above stated SWOT prioritization chart the strengths of Air Canada include strong identity as Canada's national brand, frequently flights to several destination, sustained profitability in international market, capacity deployment, dominant loyalty program, and trained workforce (Appendix A-iii).

Adapted from Dunn (2007) "Air Canada: Here to get you there". P 20

From the above SWOT prioritizing, the major weakness of Air Canada is too much focus on profitability at the expense of customer experience (Appendix A-iv). Moreover, there are labor union which means that high wage cost.

Adapted from Dunn (2007) "Air Canada: Here to get you there". P 20

The biggest opportunity is increase in business due to increase in the tourism activities. There is a slight advantage that Canada Government decreasing control on competition so more chances of expansion in the external domain. There are not large number of domestic competitors which means it still have opportunity to dominate in the market through proper marketing stunts. Similarly, there are some threats that has emerged from the internal weaknesses and rapidly changing trends in the environment. With the development of technology, competitors are also

increasing their brand awareness and business promotion through websites. There is also fluctuation in the international market in the price of fuel which is a constant worry sign. The customer experiences are often neglected and effective planning is active in environment, the competitors is always looking for such opportunities (Appendix).

10

STRENGTHS

OPPORTUNITIES

Optimized capacity deployment Frequent Flight travelling

8
Strong National Brand Image

6
Low brand affinity

4
Poor customer Satisfaction

Union labours

0 1 -2
Increase in travelers Decrease in Fuel cost in Canada Less competition in Canada

-4

-6

Industry wide-price presure industry movement to efficnet plane More budgeted airlines entering

-8

WEAKNESSESS
-10

THREATS

PESTLE Analysis: According to Kotler (1998), the strategies related to market, position, growth and decline in the market can be understood through useful strategic tool Pestle Analysis.

Political Trends

Environmental Trends

Economic Trends

AIR CANADA
Legal Trends Social Trends

Technological Trends

Political Factors: "The 'Open Skies Agreement' between governments of US and Canada in March, 2007 came into action as it liberalized the air transportation services. Cargo and passenger services as well greater flexibility in the operations developed" (Air Canada Annual Information Forum, 20112012). Before 1994, in Asian market, it was prohibited but government's dialogue helped it to step in the Japanese market and now due to bilateral ties. Air operations are in China, Korea, Philippine, and Hong-Kong under ASA-Air Service Agreement (Zhao et al, 2008).

Economical Factor: "In early 2000 Air Canada along with entire airline industry face huge loss due to the high global economic downturn. With slow travel outstanding to the downturn and September 2011 incident the airline industry was hit extremely hard. Air Canada consequently posted net losses of C$1.32 billion in 2001 and C$828 million in 2002. Furthermore with the spread for SARS disease Air Canada's Asian route got effected severely bringing the airline to the brink of bankruptcy. On April 1, 2003, Air Canada filed for bankruptcy protection, notwithstanding several cost-cutting initiatives undertaken" (CBC News, 2012).

Technological Factor: The operations and marketing trends for Air Canada has vastly changed due to technological trends, such as "Executive Pod on boeing 787,which offers touch screen, noise cancelling headphone, separate power supply for e-devices. Classic Pod is has massage function, touch TV screen and long lie-flat mode" (Air Canada, 2013). With the changes in consumer's behaviour and trends, these are demands of consumers. Air Canada, understand these trends and carefully use it in its marketing and operations to attain competitive advantage. Social Factors: Air Canada in its value states that safety is its main aspect. This is one of the social aspect that it is demonstrating. On the other hand, the it embrace the new labor law that avoids layoff and job reductions. Moreover it has opted for low cost airline launching that reduces labor cost. There are social factors such as community development, charlotte town summer festival, Jack frost festival etc that have impact on the operations and marketing strategies (Air Canada Corporate Sustainability Report, 2011). Legal Factors: Industrial relation is important and undeniable aspect as in aviation industry from crew cabin to pilot, all work in capacity that is under the law. The legal rights of its employees must not be violated. "For the assurance of smooth operations, Air Canada comply with all the law defined criterion such as no excessive burden etc on employees as per defined by the law. The safety, hygiene, and effective regulations are factors that are legally imposed and Air Canada do operate within the capacity of law" (Vu, 2005). It faced a tough challenge in constructing an effective

business model which could effectively compete with its competitors in the industry. It initiated several reconstructing approaches to draw itself away from bankruptcy by significantly reducing its operating cost by 25 percent. To comply with legal factors, It also took a bold step of retrieving infusion of $700 million against its new build equity from outside investors. Environmental Factors: The new trend in airline industry to use fuel efficient ,high -tech aircraft is of a major concern for Air Canada. It has been under immense pressure to replace its fleet aircraft with more efficient Boeing 777 aircraft, . However the airline has purchased some Boeing777 aircraft but these new purchases are used only for more profitable international routes depriving Air

Canada's domestic consumers of the facility."Air Canada has begun purchasing new, more efficient Boeing 777 aircraft to replace its aging fleet, touting the aircrafts individual on -board entertainment system as a feature to customers"(Air Canada, 2013). Furthermore the varied fuel price have effected pricing policy significantly as its promotional policies are more price point based as compare to consumer based.

Competitor's Analysis:

WestJet is a domestic Calgary based airline, a first local air market competitor of Air Canada which filled the vacuum and attracted customers with by being a budgeted airline (Carr, 2013). In mid 2000s, WestJet's expansion by executing excellent corporate strategies of differentiation shrink Air Canada's market share as the revenue tripled within five years (WestJet Annual Report, 2005).

According to Marketing professor at York University- Alan Middleton, "a strong brand is destroyed by mismanagement and negligence of many years, and even more time is required for the revival of the brand that has fallen into state of disrepair." (cited from John, 2006). Since early 2000, Air Canada has struggled to hold its place as a dominator in the market while facing negative criticism on its increased fares, failure to compete in domestic as well international market, and more importantly inefficient customer service (Daro, 2013).

According to MacLennan (2013), to sustain its position in the market, Air Canada used capacity management technique and introduced a subsidiary low cost structure airline 'Air Canada Rouge'. Air Canada Rouge uses CASM- cost per available seat mile technique to its workers whereas capacity management technique, capacity is being added by the Air Canada in new markets. Despite the fact, Air Canada has been long in business and spent $10.1 Billion on expenses that include sales and promotion whereas Wesjet spend 10% of its revenue on sales and promotion. This show how effectively Air Canada is investing to improve its brand image (Libin, 2003). There is direct as well indirect competition between these airlines.

Porter Five Forces: Buyer Power: In airline industry consumers look for convenience and affordability. The growing competition however does provide consumers with several choices and for Air Canada to be efficiently and constantly drawing its consumer it must offer " money for worth" deals, such as new multi-pass product, holiday packages and other promotional deals that has not yet been utilized in Canadian market. The possibility of Buyer power is moderate Rivalry:

Threat of New Entrants: Air Canada can be considered a fortunate airline as it does not have any major threat from new entrant stepping in Canadian airline industry due to the strict government legislation and regulations. Even though the entry barriers for new airlines are lower in a deregulated markets, still prospect of a new entrant entering the market is weak to moderate.

The competition between Air Canada, a traditional carrier , and West Jet, low cost carrier is fairly rigorous in Canadian airline industry. Though Air Canada is Canada's domestic and international airline and has dominant hold in the Canadian market, West jet is giving the airline tough competition with its effective price point, profitable routes with greater focus on domestic market. The rivalry competition is moderate to high..

Supplier power: Most of Air Canada employees, mechanics, electricians and ramp crews, are represented by a union. Unionized atmosphere can cause a significant drop in airline's profitability and financial sales with future threat of strike. The outlook of supplier power is high to moderate.

Threat of Substitutes: In terms of Air Canada, the threat to substitute is less. Canada being a big country and the travel time taken by road is far greater compare to air flight, the consumer prefer to travel by air to reach their destination in timely manner The threat of substitutes is moderate due to the above stated reason.

AIR CANADA

Value Chain Anlaysis:

Adapted on Porter's Value chain analysis for sustaininig competitive advantage. Porter, 1985.

From this anaylsis it is evident that, firm uses inbound logistics such as (low price flights, trainned employees, excellence in services, etc) and form its operations by providing online tickets, baggage handling, etc, combined with outbound logistics, that are hotel offers, holyday offers, car offers, and other services (Air Canada, 2013). As per Chang (2013), when WestJet introduced a strategy on low cost flights, Air Canada offered discounted flights, matching same price with Westet to target its audience and Unique selling point of Westjet was pulled over by Air Canada.

STP: Market Segmentation and Targeting: According to Weinstein (2004), "communicating through targeted promotional media including interactive websites, personal emails, trade magazines, event sponsorship etc for identifying your consumers, delivering consumers what they exactly want, building strong association with co marketing partners and affiliated channels". On various characteristics such as income, age, gender, psychographic, demographic and geographic etc, market is sub-grouped that enable the organisation to concentrate on specific segments to enhance its expertise and focus on their targeted audience needs. This helps organisation to achieve develop its competencies which leads to differentiate it from the others and ultimately competitive advantage is achieved. "Air Canada through regional alliance has penetrated in the market with main focus is on low, middle. and upper income class. The more division in the income is by splitting it into business, family, frequent travellers, and adventurous customers" (Weinstein, 2004). Air Canada target groups through brand positioning, creative media interaction, online rich media banner advertisement, sponsorship, and campaign management (Dunn, 2007). Positioning strategies: "Air Canada offers competitive, simplified air travel fares and a superior travel experience that our customers love, and our competitors hate" (Air Canada, 2013). For Air Canada to emerge as winner in the competitive market it must use its brand image sincerely, honestly and effectively to build loyal and trustworthy relationship with its consumers. Perceptual Map:

Sponsorship/Brand Publicity: The altered approach of Air Canada towards its customers has developed in a unique way forming positive brand image and change in public perception of the brand along with the brand outlook at its stakeholders. Air Canada took advantage of an opportunity to sponsor Special need Canadian team in 2007 Olympics, held in Shanghai, Peoples Republic of China, with donation of using its Boeing 777-300ER aircraft for carrying athletes, their families along with the support staff to Shanghai (Air Canada, 2013). Air Canada is recognized for having unique aircraft fleet, with most powerful jet engine in the world. Utilizing its brand value in positive manner. Furthermore, Air Canada ,the brand emerged as carrier with heart, that perceive the special need of individuals, highlighting its message of Airline that believes in complete customer care. Another key advantage. Creative Media Strategy: Through interactive media, Air Canada is promoting itself so that it keeps enjoying large market share and active dominance in the market due to star alliance. Through media the focus is on emotional touch development by focusing on emotionally evocative situations identified in target segments. It is done through caring expert workforce. Interesting and exciting videos and commercials are designed to create emotional touch with the brand as it leads to develop brand loyalty.

Marketing Mix: As per Kotler and Armstrong (2010), " The marketing mix is . . . The set of controllable tactical marketing tools product, price, place, and promotion that the firm blends to produce the response it wants in the target market". Air Canada combine marketing mix techniques to increase its competitive advantage by ensuring it remains a brand image and accomplish its strategic objectives as well profitability. As per Wilmhurst (1984), "the organisation's profitability will improve through consumer satisfaction that develops the competitive advantage and this is possible when explore ways to identify, anticipate, and fulfill customer's need".

Product/ Service: As discussed earlier, Air Canada offers various services to its target market. For these services it uses Boeing 777s and Boeing 787s as a visible product. To ensure unique services are delivered it introduced an international routes to Tel Aviv and Tokyo (Air Canada, 2013). Moreover, A 320 is an aircraft that is associated as a family aircraft. A special message is conveyed through this aircraft to families, as a target audience (Air Craft, 2013). Furthermore, Executive Pod, International Business class, Economy class, North America economy class are some of the finest examples of services offered to different target market by Air Canada (Air Canada, 2013). Price: Air Canada assure the consumer's that it's price the best in the region as it states, "Stop searching far and wide. Youll always find the lowest Air Canada prices right here on aircanada.com. Put our guarantee to the test: if you find a lower Air Canada price within 24 hours, well offer you a credit of $50 plus the price difference as well a full refund" (Air Canada, 2013). Air Canada along the way has set itself as brand that is focused on its consumer's affordability aspect.

With its pricing guaranteed approach the Airline is able to draw consumers to travel with airline with faith that they have spend their dollar in a smart manner. The approach is regarded as a unique selling preposition as it has benefited airline significantly, in 2008, 30 percent more travelers, traveled with Air Canada on a domestic flights than its competitors (Lu, 2013). Moreover, this is a cost effective technique as it saves time and energy for a customer to search more as they direct attain services.

Promotion: Air Canada has promoted itself in the targeted audience through efficient and effective positioning strategy. Onboard Cafe, Maple Leaf Lounges, Aeroplan loyalty program, and Air Canada Altitude program. These are some of promotional strategies and programs that are effectively used to attract the consumer and simultaneously increase competitive edge over rivals. "For the frequent travelers; such as adventures, dreamers, world explorers Altitude is a ticket to enrich their worldly experience" (Air Canada, 2013). It is a membership program that not only promotes the airline in the star alliance but also ensure that firm increase brand loyalty through enriching consumer's experience. Similarly, Aeroplan is a loyalty membership program for frequent flyers. Through this program free miles are awarded as well hotel reservation and car services (Air Canada, 2013). The company is also investing in community and social services, carrying out campaigns, being part of festivals to promote itself in the audience (Air Canada Corporate Sustainability Report 2011.2012). Apart from such promotions Air Canada also offers , with the use of its s subsidiary, numerous Air Canada Vacation package which allows travelers to chose from vacation packages to over 90 destinations. It also introduces low fair subsidiary airline Rouge to provide its end consumer with the cost effective travel plans along with exceptional travel experience. Air Canada. Such approach allows Air Canada to remind its consumer of the brand relation with them while encouraging them to be part of the promotional schemes with Air Canada. Place: Air Canada has strategically placed its self around the domestic as well as international market of airline industry. The airline has proved itself as a premium Canadian brand by becoming a part of Star Alliance, joined other notorious airlines such KLM, Lufthansa airline, Thai airline etc. Furthermore Air Canada has code sharing agreement with more than 26 airlines including Swiss Airlines, Singapore Airline, Etihad Airways and so on. Moving step further Air Canada serves more than 81 destinations around the world making it more accessible airline. With its slogan "Around the world with star Alliance book and fly" and statement "Its easier than ever to book your Round the World fare with Air Canada and its Star Alliance partners. Star Alliance has launched Book and Fly on staralliance.com, which allows you to build and book your ideal

Round the World itinerary - right from your own computer" (Star Alliance, 2013). With this alliance it has built more strong presence and domination in the aviation market as through this 24 star alliance 916 designation across the globe in 160 countries is provides services (Air Canada, 2013). Moreover, the non-stop flights to London in the recent times for Air Canada is a sign of effective operations (Watson, 2013).

people: "At Air Canada, we want to maintain a relationship with our customers after they have travelled" (ACCR, 2013). This concept has enabled the airline to be on top of issues related to customer service and its end consumer. Air Canada in the past has seen huge challenges and has faced strict criticism in terms of its poor customer service and customer relationship. The airline with its effective marketing approach of 'Surprise and delight your customers' encourage its employees to portray the true essence of the brad by surprising its customer with delights that uplift their spirit and make their travel experience memorable. Such approaches are offering free upgrade within its flights to its travelers who are harried and exhausted. It also established a policy of crediting moderate amount of fair back to the customer in terms of flight delays. It also introduced a casual fun environment on its airline, such as rouge staff were trained in partnership with Walt Disney for revamping the boring and old traditional image of Air Canada. Process: The Air Canada is an airline that offers fast track services. The process of ticket delivery is prompt and efficient one. In fact the ticket can be refund within 24 hours (Air Canada, 2013). However, the process is rigid due to policies and regulations of the company. But still it offers excellent personalized sources to deliver tickets to customers on time (Air Canada, 2013). Despite bringing innovations in the process still the strategy of Air Canada at times become too defensive or too offensive which leads to consumer dissatisfaction (Yannopoulos, 2011). Physical evidence: The overall environment of the Air Canada and its outlook is the physical evidence that it conveys to the customers. The strong presence in the regions and on internet are evidences of its physical existence in the dynamic and competitive market. In the value chain analysis, it is comprehensively explained that it everywhere available. The banners, Billboards, and online advertisement reveals its availability to the customers.

Conclusion: Concluding the marketing management of Air Canada, it has strong policies that are based on marketing research (segmenting, targeting, and positioning) through marketing mix. The

strategic approach of Air Canada encompasses, business class, adventurous, family travelers who wants the convenience of hassle free travel within the domestic region. Learning from the past experiments, Air Canada has a sole focus on a marketing blueprint to affirm its consumer of renewed commitment of the brand for consumer's complete gratification. The intention behind Air Canada Here to Get You There campaign is to connect emotionally with its customers. It has introduced different loyalty programs to attract new customers while increasing loyalty in the old consumers. Marketing technique is through one satisfied customer promote through word-ofmouth about product and services he/she has positively experienced. In the past, due to poor performance along with excessive airport duties, fare tax and fuel surcharge customers have face tremendous check while purchasing or booking tickets. currently it is four star airline. To retain its market position, Air Canada has star alliances. Moreover, it has used the marketing mix to ensure its services are effectively marketed and efficiently managed along with strong positioning in the market. There are various offers like aeroplan, altitude, etc to market itself properly and attract the consumers in more direct manner but at the same time there are various obstacle that it has to deal with such as, consumers complains increasing about the rigid process, legal and ecological factors, etc. To market its services in right manner it has used marketing mix especially pricing as a key notion.

Recommendations: From detail analysis of Air Canada, there are following recommendations: CHIP-CARD: It should focus on Unique selling point by introducing a technique of introducing a CHIP-CARD that contains both features (a) aeroplan and (b) altitude. This way adventurers, business people, and families will be attracted in two dimensional approach. Through this CHIP Card, travelers do not need to wait in for boarding cards, direct swap and they can enter in lounge. Booking and online hotel reservations can also be easily done. This technique has yet not being used by any airline therefore using this marketing technique will add to its core competencies. D-I-Y: The customer services need to be more prompt and for this it should D-I-Y (do it yourself) technique that when customer is communicated about the on-boarding etc so that when they miss flight they do not hold staff responsible (McCutcheon, 2013). With this proper training is also important. This recommendation is given on case of customer complaining for a refund. IF company introduce this system, customers cannot blame them on social sites for something they have not done incorrect Modification in Piston: It should focus on disruptive technique by installing four piston on its engine. This way horsepower increase and operations can be quicker. More speedy services will communicate strong image and marketing department should use it as an addition in mission, "Connecting Canada and the World in speedy manner". Web Analytics: It should use web analytic tool to measure which advertisement and promotional campaign is helping it to improve and invest more in improving knowledge about consumer behavior through partnering up with behavioral and psychological research institutes. Business Class Lounge: It should also follow the strategies of Emirates Airlines innovative leadership by introducing the business lounges for business class people. Through this high class international business delegations can be attracted by developing a comfort touch. This a technique used by Emirates to target business class. Similar stunt can help Air Canada as there are frequent business delegations flying from Canada to US and middle east.

Cellular-Application-Store: It should incorporate Android specialist to develop an application store in cellular-phone to provide the details about flights, tickets, and reservations. Nowadays, cell usage is common, to those consumers whom internet is not available but application software that gives undated details about operations can communicate its strong brand image. Target Children's Market: Since Air Canada is focusing on the emotional touch to enhance its current market share therefore it should target kids market. This can be done through introducing marketing campaigns to invest in the programs for children and introducing gifts and toys for the children travelling with Air Canada. The kids will urge their parents more to fly with same airline and at the same time when children are being treated with delight, parents will be more willing to consume their services.

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onboard.[online]12

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