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1.8
1.6
1.4
Million Passenger
Throughput
1.2
450 +
FDI inflows (US $)
1
0.8
2.19
0.6
0.4
0.2
0
2007
2008
2009
2010
Market share
2011
2012
Indigo
Jet Airways
29.5%
19.8%
Air India
Spicejet
19.1%
22.5 %
2.2
Trillion (US $) of Global
GDP
2013
Go Air
Policy factors
FDI
Licensing policy
Product
Place
Price
Promotion
In-flight services:
Cabin service
Check-in service ;
Lounge facility at
airport
Catering service
Ramp service
Product
Product
Place
Price
Promotion
Product
Place
Price
Promotion
Used to convey
superiority of a
product
Cause consumer
backlash
Advance purchase
Excrusion fares
lowest scheduled fares
Restrictions : 14 days or
28 days; minimum stay
requirement( 7 days );
high cancellation charges;
cant change the flight
timing or date of travel
Product
Place
Price
Promotion
Indigo
Jet Airways
Air India
Spicejet
About
Started operations in 2006
By 2014
Largest airline by
Market Share (31.7%)1
Highest profits (Rs. 993
cr)2 in industry
78 Airbus- A320s , 508
daily flights , 36
destinations 3 (6-7 flights
per jet a day)
Ordered 180 Airbus
A320s for $15.6 bn to
complete till 2025 5
Indigo
Jet Airways
Air India
Spicejet
Indigo
Jet Airways
Air India
Cuisines
Virtual
library
Special
assistance
Product
Spicejet
Indigo
Jet Airways
Air India
Spicejet
secondary
hubs
47
destinations
Main hub
Place
Indigo
Jet Airways
Air India
Discount
Value for
money
Price
Spicejet
Indigo
Jet Airways
Air India
Social
Networking
Hoarders
and
banners
JPMiles
Promotion
Spicejet
Indigo
Jet Airways
Air India
Spicejet
Movie screens
in flights
Special
meals(diabetic,
jain etc)
Maharaja
lounge
Product
Indigo
Jet Airways
Air India
Spicejet
Subsidiary :
Air India
express; air
india regional
Delhi ,
Mumbaimajor hubs
Covers total
90
destinations
Place
Indigo
Jet Airways
Air India
Spicejet
Premium
pricing
Extra baggage
cost is
charged per
kg
Reward
points
Price
Indigo
Jet Airways
Air India
Spicejet
Frequent flyer
programme;
discount for
senior citizen
Air India
hockey, football
club, Air India
cricket teams
Konark chakra
Promotion
Indigo
Jet Airways
Air India
Spicejet
PRODUCT
Trasportation service
Spice jet airline are using various Aircraft
models for transportation purposes as
shown in table .
This airlines have only economy seats
.Currently spice jet has its 57 planes in
action
In-flight refreshment
In-flight entertainment
Spice add ons
Spice connect
Corporate frequent flyer offer
Domestic travinsure
SR
NO.
AIRCRAFT
IN
SERVI
CE
ORDER
S
PASSENG
ERS
(economy
)
Boeing 737800
36
189
Boeing 737
MAX
42
BOEING 737900 ER
212
BOMBARDIE
R DASH 8 Q
400
15
15
78
TOTAL
57
57
479
Indigo
Jet Airways
Air India
Spicejet
Product continued....
SpiceMAX (a product that offers you a lot more comfort and convenience)
Enjoy best-in-class legroom, a lot more personal space to work or relax, and
with priority check-in at dedicated SpiceMax counters at major airports.
SpiceMax seats are available at an introductory starting price of Rs.500.
Indigo
Jet Airways
Air India
Spicejet
Place
Hubs
FOCUS CITIES
Kochi, Ahmedabad, Kolkata
Indigo
Jet Airways
Air India
Spicejet
Price
Innovative pricing has also been central to the company's success.
Spice Jet started off its services with a revolutionary pricing of Rs. 99 for the first
99 days. This was followed by air tickets priced at Rs. 500 and Rs. 999 - a pricing
strategy that continues. As a result, the airline's prices compete with first-class
Indian railway fares
It also offers everyday spicy fares, which is very cheap and you can buy your
ticket at extremely low fares
Latest pricing strategies
1. Friends and family special
2. Students discount (5% discount on base fair rate)- The scheme is valid on
bookings done online on www.spicejet.com by opting in for student discount
scheme.
3. Corporate Frequent Flyer Offer- spiceJet has introduced an offer for the corporate
frequency flyer where they are entitled to a free one-way trip for every six completed oneway journeys and 2 one-way trip for every ten completed one-way journeys. This is an offer
valid for direct and via flights for corporate bookings only.
Indigo
Jet Airways
Air India
Spicejet
Price strategies(continued)
4. SpiceJets SBI titanium card
a) 5% cash back
b) Discount voucher of Rs 500 on joining
c) 5 in flight meal vouchers
d) 5vouchers of 5kg wavier on excess baggage
5. Indian armed forces discount-25% discount on base fare for
Indian Armed forces bookings are provided
6. Excess baggage charges
within limits
a)
0 5 kg =Rs. 750 extra
b)
5 10 kg =Rs. 1500 extra
Indigo
Jet Airways
Air India
Spicejet
Promotion
1.
a)
Promotional techniques
Brand campaign
Its tagline 'flying for everyone'
The airline has also rolled out print campaigns across all leading newspapers from
May 20, one day after the formal launch of the airline Basically the idea behind the
campaign was to empower the ordinary people the power to fly
b) Entered in the market with Rs99 for 99 days followed by Rs500 and Rs999 ticket
price
Promotion through banks like SBI is providing special Spicejet SBI Titanium Cards
for spice jet users
Advertising is mostly through hoardings, print media and word-of-mouth
Direct Marketing using personalized Emails and SMS
Another strategy that came in way was booking return ticket and pay for one way
only.
Indigo
Jet Airways
Air India
Spicejet
Promotion continued...
In July 2014, SpiceJet announced up to 50 per cent discounts after Jet
Airways announced the same scheme.
Present strategies adopted are.1. On time guarantee -SpiceJet will issue an e-Voucher ("Voucher") [On
Time Guarantee Voucher] to such passengers whose flight has either
been delayed beyond the scheduled departure time of the flight/
cancelled.
For delays:
a. Between 60 to 119 minutes: Voucher worth INR 500/b. Beyond 120 minutes: Voucher worth INR 1000/c. In case of cancellation of the flight: Voucher worth 1000/2. Friends and family
Survey Analysis
Parameter wise Preferences
4.50
4.00
3.50
3.00
1 to 3 m
39%
less than 7 d
50%
Indigo
2.50
7 d to 1 m
11%
Spicejet
2.00
Air India
1.50
Jet Airways
1.00
Go Air
0.50
0.00
Freebies
Safety
Value for
money
Hospitality
Time of boarding
POS Ticket
5%
1% 3%
20%
On Time
Performance
Airline Website
Go Air
16%
Indigo
27%
Jet Airways
Travel Websites
/ Apps (like
makemytrip)
Spicejet
Airline Stores
Air India
11%
46%
18%
69%
Travel Agent
Morning
32%
53%
Evening
Afternoon
Bibliography
Marketing management by Philip Kotler, Kevin Lane, Abrahan koshy,
Mithileshwar Jha; Word of mouth,
Chapter 18, Pg- 489, 490;
Chapter-16 Designing and managing integrated marketing
communications, Pg- 429
Marketing management by Philip Kotler, Kevin Lane, Abrahan koshy,
Mithileshwar Jha; Role of research Chapter-1,Understanding
marketing management, Pg-50
Marketing management by Philip Kotler, Kevin Lane, Abrahan koshy,
Mithileshwar Jha;
Target markets, positioning and
segmentation,Chapter-1,Understanding marketing management,
Pg- 11
Marketing management by Philip Kotler, Kevin Lane, Abrahan koshy,
Mithileshwar Jha; Chapter- 14, Designing and managing integrated
marketing channels
1.
2.
3.
4.
5.
6.
7.
8.
9.
http://en.wikipedia.org/wiki/IndiGo
http://www.thehindu.com/business/Industry/indigo-fy13-profitrises-to-rs-993-crore/article5163806.ece
https://content.goindigo.in/Information/Press
http://strategicmoves.wordpress.com/2013/10/31/indigo-airlinecracking-the-profitability-code/
http://articles.economictimes.indiatimes.com/2011-0113/news/28428535_1_airbus-aircraft-rahul-bhatia-airbus-a320s
http://www.cleartrip.com/graphs/
http://www.yatra.com/baggage-allowance.html
https://book.goindigo.in/
travel.cnn.com/mumbai/life/brand-story-behind-indigo-044435