Analysis On Kingfisher

Airlines

ContentsAviation industryCompany profile – Kingfisher Airlines7p’s Analysis3c’s AnalysisCustomer recovery & relationship

managementCompany Profile – Jet Airways7p’s Analysis3c’s AnalysisCustomer recovery & relationship

managementComparison – Kingfisher Airlines & Jet

Airways

Aviation Industry in India

Civil aviation in India started with its first commercial flight on February 18, 1911

Journey from Allahabad to Naini

First domestic air route between Karachi and Delhi was opened in December 1912 by the Indian State Air Services in collaboration with the Imperial Airways, UK as an extension of London-Karachi flight of the Imperial Airways.

Sector structure/Market size With a growth rate of 18 per cent per

annum, the Indian aviation industry is one of the fastest growing aviation industries in the world.

Today, private airlines account for around 75 per cent share of the domestic aviation market.

India has jumped to 9th position in world's aviation market from 12th in 2006. The scheduled domestic air services are now available from 82 airports as against 75 in 2006.

Road Ahead Passenger traffic is projected to grow at a

CAGR of over 15 per cent in the next 5 years.

The Vision 2020 statement announced by the Ministry of Civil Aviation, envisages creating infrastructure to handle 280 million passengers by 2020.

Investment opportunities of US$ 110 billion envisaged up to 2020 with US$ 80 billion in new aircraft and US$ 30 billion in development of airport infrastructure.

KINGFISHER AIRLINES

CompanyProfile

Kingfisher Airlines Limited is India's largest airline.

Based in Bangalore.

Operates more than 400 flights a day, network of 77 destinations, with regional and long-haul international services.

One of six airlines in the world to have a five-star rating

Main bases: Bangalore's Bengaluru International Airport Mumbai's Chhatrapati Shivaji International

Airport Hyderabad's Rajiv Gandhi International

Airport Delhi's Indira Gandhi International Airport.

Through one of its holding companies United Breweries Group, has a 50 percent stake in low-cost carrier Kingfisher Red, formerly known as Air Deccan.

May 2009, Kingfisher Airlines carried more than a million passengers, giving it the highest market share among airlines in India.

Frequent flyer program called King Club.

A strategic code-sharing agreement with Jet Airways, & an alliance with the Hilton Hotels Corporation.

Headquarters: UB City, Bangalore

Started operations on 9 May 2005, following the dry lease of four brand new Airbus A320-200 aircraft.

Its first flight was from Mumbai to Delhi

At the launch of the airline, Dr. Mallya said that he is "committed to achieving our ambition of making Kingfisher Airlines India's largest private airline both in capacity and market share by 2010.“

Brand ambassador : Deepika Padukone

In January 2007, Kingfisher entered into a multi-year partnership deal with Toyota Motorsport to be an official partner of the Toyota F1 racing team.

In October 2007, the airline announced Deepika Padukone as its brand ambassador, replacing Yana Gupta.

In September 2008, Kingfisher announced its plans to raise US$ 100 million through equity.

On 13 October 2008, Kingfisher chairman Vijay Mallya and his Jet Airways counterpart Naresh Goyal announced a strategic alliance after a meeting in Mumbai.

The alliance was formed to implement code-sharing between the two airlines on both domestic & international flights, joint fuel management to reduce expenses, common ground handling, joint utilization of crew & sharing of their frequent flier programmes, namely King Club & Jet Privilege.

On 12 January 2009, Kingfisher Airlines announced its alliance with Hilton HHonors, the guest rewards program for the more than 3,000 hotels of the Hilton Hotels Corporation worldwide.

The new alliance allows members of the King Club frequent flyer programme to earn both King Miles and Hilton HHonors points when they stay at Hilton Hotels.

7P’s AnalysisProduct: Domestic & International Air Transport

Service. 74 domestic destinations & 3 international

destinations in 3 countries across Asia & Europe.

On 3 September 2008, Kingfisher Airlines began its international operations by connecting Bangalore to London.

Services:

Domestic & International: Kingfisher First Kingfisher Red Kingfisher Class

Place: Services ranges from Ahmadabad to

Agartala & to the major cities such as Delhi, Bangalore, & Chennai etc.

The main strategy that kingfisher follows is to target the metro cities or the tier 1 cities in India.

Promotion: Events & advertisements Multiple touch points & finer promotional

services working for the promotional activities.

Loyalty & frequent flyer programs are also carried out.

Price: Higher income group as well as the

upper middle class background. The youth & the high lifestyle segments. Sec A, sec B+ socio economic class

mainly in the age group of 25-45 years: a specific prices offered by kingfisher.

Services offered by kingfisher do emphasis on their policy to target those segments which are willing to pay for luxury.

People: Hospitality industry, Interpersonal skills,

aptitude, & service knowledge people.

Physical evidence: Exclusive lounge space, Hi! Blitz, Gourmet

cuisine, world class cabin crew, 5 trendy video- Fun TV, 10 music stations -Kingfisher Radio .

Process: Booking the ticket-online booking Tele-booking Kingfisher outlet.

3C’s AnalysisCustomer:Business Class travelers, Corporate,

Leisure travelers, Students, King Club members

Company:

Kingfisher Airlines Airbus A320-200 taxiing at Bangalore International Airport, ATR 72-500, Airbus A330-200, Kingfisher Airlines' fleet

Communication:Advertisements in television, newspapers, business magazines, etc. Very famous Kingfisher Yearly Calendar.Sponsorship to various events.Loyalty programs like King Club.

Customer Recovery & Relationship Management Frequent Flier Program

King Club Membership

Mileage Accrual Benefit

Airport Facilities for King Club Members

JETAIRWAYS

In May 1974, Naresh Goyal founded Jetair (Private) Limited with the objective of providing Sales and Marketing representation to foreign airlines in India.

In 1991, he set up Jet Airways (India) Private Limited, for the operation of scheduled air services on domestic sectors in India.

Jet Airways has emerged as India's largest private domestic airline.

Company Profile

It has been acclaimed by frequent travelers as the most preferred carrier offering the highest quality of comfort, courtesy and standards of in flight and ground service and reliability of operations.

It currently has a market share of 46.7%. Jet Airways has been voted India's 'Best Domestic

Airline' consecutively and won several national and international awards.

Jet Airways is an airline based in Mumbai, India. On 12 April 2007, Jet Airways agreed to buy out

Air Sahara for 14.5 billion rupees (US$340 million). Air Sahara was renamed JetLite

It is India's second largest international airline after Air India and along with its subsidiary, Jetlite, the second largest domestic airline in India.

7P’s AnalysisProduct: Domestic & International Air Transport Service.

Place: Jet Airways serves 44 domestic destinations and 20 international destinations in 17 countries across Asia, Europe and North America. It operates a scissors-hub at Brussels Airport.

Promotion: Companion Free Offer, One Fare, Concessional fares, Jet Privilege Offers, Jet Airways Citibank Credit Cards, Corporate Deal Offers, International Specials, Camp Rock contest, Festival specials, Student specials, Surprises etc. Advertising and Branding, Hoardings, Brand Ambassadors, Sponsorships, Event Organization.

Price: Economy & Club Premiere Fare Discounted fare for senior citizens & defense personnel Advance Passenger Excursion/ APEX Fares One Fare Night Saver Fares Check Fares US Dollar Fares & Visit India Fares.

People: Crew members, ground staff, customers, suppliers.

Physical evidence: Services, Elaborate Flight Offices - Org. & Ticket Booking Agents Virtual Services, Aircrafts, Logo

Process: Booking the ticket - online booking or tele-booking, Ground services

3C’s AnalysisCustomer:Business Class travelers, Corporate, LeisureTravelers, StudentsCompany:

Jet Airways is an airline based in Mumbai, India. It is

India's third largest airline after Air India and

Kingfisher Airlines. It operates over 400 daily flights to

64 destinations worldwide. Its primary base is Mumbai's

Chhatrapati Shivaji International Airport with

secondary hubs at Bangalore, Brussels, Chennai, Delhi

and Hyderabad, Kolkata and Pune as focus cities.

Communication:Advertisements in newspapers, business magazines, etc. Sponsorship to various events.Loyalty programs.

Customer Recovery & Relationship Management“Jet Privilege” Frequent Flier Program

Mileage Accrual Benefit

Airport Facilities

Comparison

Kingfisher Airlines Jet Airways

Strong brand value and reputation in the mind of

customers.

Experience exceeding 14 years

Quality of the services Market Leader

Route rationalization Market Driver

Quality of continuous innovation

First private airline with international operations.

Recruiting staffs, employees personally.

Kingfisher Vs Jet.flv

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