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Transcript of R 1814 A 07
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ASSIGNMENTOF
Customer Relationship Management
Topic- Touch Points of Indian Airlines
SUBMITTED TO: SUBMITTED BY:
Lect. Rajan Girdhar Ashish Gumber
Roll No- R1814-A 07
Reg. No- 10803979
BBA-MBA
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INDIAN AIRLINES ( Introduction)
There are a lot of expectations riding on Indian, formerly known as Indian Airlines, which has
changed everything from its name to the logo -- and plans a lot more. (The company name,
however, remains unchanged: Indian Airlines Limited.) But more on that later.
Analysts agree on one point, however -- the timing of the strategy. "An Indian today is
considered as making a difference, and his say is of significant value. That positive image of an
Indian is being utilized well with the dropping of the suffix, Airlines," says Harish Bijoor, brand
consultant and CEO, Harish Bijoor Consults Inc.
A makeover was long overdue. The last change at Indian Airlines Limited (IAL) was way back
in 1967. That's when it changed its name from Indian Airlines Corporation to Indian Airlines and
the green, winged logo was replaced by a slanting IA painted in white on an orange background.
In the company spokesman's own words, every airline must revisit its brand every 10 to 15 years.
Besides, competition in the Indian airspace is increasing exponentially. Civil aviation ministry
estimates place the growth in domestic passenger movement at over 50 per cent in the past three
years: from 26.36 million in 2001-02, to 40.09 million in 2004-05. Granted, IAL is also reaping
the benefits of that increased traffic. Its balance sheet is also looking a lot better these day -- the
state-owned carrier posted a post-tax profit of Rs 65.61 crore (Rs 656.1 million) in fiscal 2005.
More important was the dropping of the suffix "Airlines" from the name. "It seems simple, but is
anything but that," says Bijoor, pointing out how the image and name change also involves a
change in mindset -- from a plodding public sector undertaking to an airline that is ready to take
on private airlines.
"But why change the name at all? "When we were named Indian Airlines, we were the only
Indian airline. Now you have so many 'Indian' airlines. It's only fair that we attempt to change
that," says the IAL spokesman.
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Indian Airlines (IA) – the name of India's national carrier conjured up an image of a monopoly
gone berserk with the absolute power it had over the market. Continual losses over the years,
frequent human resource problems and gross mismanagement were just some of the few
problems plagued the company. Widespread media coverage regarding the frequent strikes by IA
pilots not only reflected the adamant attitude of the pilots, but also resulted in increased public
resentment towards the airline.
IA's recurring human resource problems were attributed to its lack of proper manpower planning
and underutilization of existing manpower. The recruitment and creation of posts in IA was done
without proper scientific analysis of the manpower requirements of the organization. IA's
employee unions were rather infamous for resorting to industrial action on the slightest pretext
and their arm-twisting tactics to get their demands accepted by the management.
During the 1990s, the Government took various steps to turn around IA and initiated talks for its
disinvestment. Amidst strong opposition by the employees, the disinvestment plans dragged on
endlessly well into mid 2001. The IA story shows how poor management, especially in the
human resources area, could spell doom even for a Rs 40 bn monopoly.
BACKGROUND NOTE
IA was formed in May 1953 with the nationalization of the airlines industry through the Air Corporations Act. Indian Airlines Corporation and Air India International were established and
the assets of the then existing nine airline companies were transferred to these two entities. While
Air India provided international air services, IA and its subsidiary, Alliance Air, provided
domestic air services. In 1990, Vayudoot, a low-capacity and short-haul domestic airline with
huge long-term liabilities, was merged with IA. IA's network ranged from Kuwait in the west to
Singapore in the east, covering 75 destinations (59 within India, 16 abroad).
Its international network covered Kuwait, Oman, UAE, Qatar and Bahrain in West Asia;Thailand, Singapore and Malaysia in South East Asia; and Pakistan, Nepal, Bangladesh,
Myanmar, Sri Lanka and Maldives in the South Asian subcontinent. Between themselves, IA and
Alliance Air carried over 7.5 million passengers annually. In 1999, the company had a fleet
strength of 55 aircraft - 11 Airbus A300s, 30 Airbus A320s, 11 Boeing B737s and 3 Dorniers
D0228.
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In 1994, the Air Corporation Act was repealed and air transport was thrown open to private
players. Many big corporate houses entered the fray and IA saw a mass exodus of its pilots to
private airlines. To counter increasing competition IA launched a new image building
advertisement campaign. It also improved its services by strictly adhering to flight schedules and
providing better in-flight and ground services. It also launched several other new aircraft, with a
new, younger, and more dynamic in flight crew. These initiatives were soon rewarded in form of
17% increase in passenger revenues during the year 1994.
Company Profile
Founded- 1953Hubs
• Indira Gandhi Airport , Delhi (primary hub)• Chhatrapati Shivaji Airport , Mumbai• Meenambakkam Airport , Chennai• Subhash Chandra Bose Airport , Kolkata
Focus cities
• Bangalore• Bangkok • Hyderabad
Frequent flyer program Flying ReturnsAlliance noneSubsidiaries Air India Regional (formerly known as Alliance Air )
Fleet size 64 (+27 orders)
Destinations 80
Parent company NACIL
Company slogan New Horizons. Enduring Values.
Headquarters New Delhi , India
Touch Points Wheel of Indian Airlines
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Meal onDemand
Flat bed
seats
Post-Purcha
se Experie
nce
ApexFares
Well-Trained
SalesPerson Online
Purchase&
Cancellation of
tickets
Purchase
Experience
Advertisement onT.V &Print
Media
Firstclass,
Executiveclass,
Economyclass
Facility
Desh-Videsh,Bharat
DarshanCorporate
Schemes
AttractiveMaharaja
hPackages
ContactVia
Directweb-
site& tollfree no.
Pre-
Purchase
Experience
TouchPointWheel
of Indian
Airlines
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Pre-purchase touch points:-
Schemes Offered-
• Desh VideshIndian Airlines had launched a short term promotional scheme named “Desh Videsh”. There are
three Desh Videsh schemes: Desh Videsh I, Desh Videsh II and Desh Videsh III.
• Bharat Darshan
To promote domestic tourism & travel on the domestic network of Indian Airlines and Alliance
Air, Indian Airlines had decided to launch “Bharat Darshan”, a new short term promotional
scheme w.e.f 1 st July 2002.
• Sleepover packages
Indian Airlines had introduced Sleepover packages for providing value addition to passengers by
facilitating their stay at various cities. Thus, passengers avail the special discounted hotel rates at
the selected hotels at the time of check-in.
• Frequent Flyer Programme
The Frequent Flyer Programme offered by Indian Airlines is named as “ Flying Returns ”. Flying
Returns give several opportunities to members to earn free tickets, to over 200 destinations on
Indian Airlines extensive network. Plus it provides a host of exclusive privileges and unmatched benefits for members to enjoy.
• Corporate Scheme
Indian Airlines had relaunched the Corporate House Scheme in a modified form with a view to
expand their base of corporate houses and offer them incentive levels that are most competitive
in the market.
• Apex Fares
Special fares are offered in case the flier book the ticket at least 21 days prior to the travel date inany of the fifty sectors.
The research conducted was descriptive as well as exploratory in nature. Therefore, in order to
know the awareness about the various schemes of Indian Airlines, the schemes were studied and
then a survey of 100 passengers was conducted at the Arrival hall of the Domestic airport. With
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Meals: Indian Airlines offers Salt Free / Fat Free Meal,Sugar Free Diet Meal, Vegetarian Meal, Non - Vegetarian Meal, Continental Meal.
• Special attention is always given to younger patrons of Jet Airways.
• Handicapped and infirm passengers can also look forward for a comfortable, safe and
hassle free journey by wheel chair assistance.
• Expectant Mothers till 36 weeks of pregnancy can be permitted to fly on Jet Airways
flights
Recommendations:-
Indian airlines can attract more customers by good deals as the other airlines offers various
packages for corporate travelers or other frequent travelers at Low cost Indian Airline tickets can
be availed with their time to time offers.
Reference:-• www.indian-airlines.nic.in
• www.ezinearticles.com
• www.viewspaper.net .
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• http://www.indiamarks.com/guide/Indian-Airlines-/653/
• http://www.rediff.com/money/2006/jan/25bspec.htm
• http://www.hindustantimes.com/business-news/sectorsinfrastructure/indian-
airlines-economy-pack/Article1-651919.aspx
• http://www.tribuneindia.com/2010/20100812/biz.htm#5
• http://www.tribuneindia.com/2010/20100812/biz.htm#5