Social Media Research on Indian Airline Industry

7/31/2019 Social Media Research on Indian Airline Industry

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AIRLINES INDUSTRY IN INDIA

HOW AIRLINES CAN LEVERAGE SOCIAL

MEDIA TO GROW ITS BUSINESS

InRev Systems 2011


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AGENDA

InRev Systems 2011

B

INDUSTRY OVERVIEW1.

1

B

SOCIAL MEDIA INDEX1.

2

B

RESEARCH FINDINGS1.

3

B

SIMPLIFY3601.

4


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INDUSTRY OVERVIEW (1/3)

3.44.9

6.6 6.4 7

45.1

34

-3.5

9

-10

0

10

20

30

40

50

0

1

2

3

4

5

6

7

8

2005 2006 2007 2008 2009

$ Billion

% Growth

InRev Systems 2011

The Indian airlines industry grew by9% in 2009 to reach a value of$7

billion and by 35.5% in 2009 to

reach a volume of73.8 million

passengers

3547.6

58.2 54.5 73.8

36.2

22.2

-6.4

35.5

-10

0

10

20

30

40

0

10

20

30

40

50

60

70

80

2005 2006 2007 2008 2009

Mn Passengers

% Growth

Source: Data Monitor

75%

25%

Domestic

International

The domestic segment is the largest

segment of the airlines industry in

India, accounting for 75% of the

industry's total volume


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InRev Systems 2011 Source: Data Monitor

LEADING COMPANIES

With its first flight in 1993, Jet Airways

now connects 24 international

destinations and operating flights to and

from 51 destinations in India

Awarded 5-STAR AIRLINE' by Skytrax

for the 3rd consecutive year, the

airline has 66 fleets operating in India

and the globe

The company recorded revenues of

$2,413 million in the fiscal year ending

March 2009, a decrease of 21.7%

compared to fiscal 2008. Its net loss was$54 million in fiscal 2009, compared to a

net income of $118 million in the

preceding year

The company recorded revenues of

approximately $1069.8 million in the

fiscal year ended March 2010. Its net

loss was $347.7 million in fiscal 2010


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0

1

2

3

4

5Industry Rivalry

Threat of New

Entrants

Supplier PowerBuyer Power

Threat of

Substitute

Industry

Rivalry

Rivalry is increased by the presence

of low-cost carriers in the market.

Price war occurs. Switching costs

for buyers are low. Overall

attractiveness: LOW

Threat of

New

Entrants

Strong entry barriers like lack of

easy access to capital and

infrastructure bottleneck keeps

down the level of new entrant.

Regulation forms an additionalbarrier. Overall attractiveness: HIGH

Supplier

Power

There are very few aircraft

suppliers and quality of planes

is highly important increasing their

bargaining power. The number of aviation fuel supplier is also few. Overall attractiveness: LOW

Buyer

Power

Indias huge market size, its booming economy, rising disposable income, huge & fast

growing middle class with demand outpacing supply, the pricing power is returning to the

sector. However price sensitivity is high and switching cost is negligible strengthening buyers

power. Overall attractiveness: MEDIUM

Threat of

Substitute

There are large no of substitutes available such as roads, railways, etc. However, the comfort

and time saving especially for business travellers makes it very attractive over its counterparts.

Overall attractiveness : MODERATE

Overall, the attractiveness of the industry is MEDIUM

InRev Systems 2011


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SOCIAL MEDIA INDEX (1/6)

LinkedIn has over 100 MILLION users and adds about 1 MILLION

new users to its service every week. The median age of LinkedInusers is 41, and the average user has 60 connections. 20 percent of

its members are in the service industry

Twitter has more than 145 MILLION users and adds about 6

MILLION new users a month. On average 140 million tweets are

sent a day. More than 460,000 new account have been added every

day . The median age of a Twitter user is 35 years old and theaverage user has 70 followers

Facebook currently has over 500 MILLION active users around the

globe and 50% of these active users log on to Facebook in any

given day. Facebook's median age is 31 and its average user has 130

friends and is connected to 80 community pages, groups or eventswhile average user creates 90 pieces of content each month

YouTube has 2 BILLION views per day, and 24 hours of video is

uploaded every minute. YouTube achieved for the first time the

milestone of 100 videos watched per user last year

InRev Systems 2011


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InRev Systems 2011

JET AIRWAYS Facebook PageJET AIRWAYS engaging with customers in Facebook

Jet Airways adopt different social

media channels as a means of

engaging with customers


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InRev Systems 2011

Jet Airways in Flickr a

very good approach of

portraying to the world

what Jet Airways is all

about

Jet Airways use Twitter

as an agent for both

engaging wit customersand giving

announcement


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InRev Systems 2011

Banks No of Channels Social Grades

SOUTHWEST AIRLINES 5 4.43

AMERICAN AIRLINES 5 3.7

BRITISH AIRWAYS 4 3.42

LUFTHANSA 4 3.24

CATHAY PACIFIC 5 3.14JET AIRWAYS 6 2.87

SPICE JET 5 2.62

KINGFISHER AIRLINES 5 2.59

KOREAN AIR 4 2.45

AIR INDIA 4 1.46

INDIGO 3 0.95

SINGAPORE AIRLINES 3 0.75

GO AIR 2 0.66

Indian Airlines

Foreign Airlines

SOCIAL MEDIA

GRADES is calculatedbased on the

interactivity level of the

Airlines in

Facebook, Twitter, Link

edIn, YouTube and

Blogs. It shows how

active the Airlines arein the social media

space

No of Channels

represents the number

of social networking

sites an Airline is

present in


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InRev Systems 2011

0

0.5

1

1.5

2

2.5

3

3.5

4

4.5

5

0 1 2 3 4 5 6

Interacti

vity

Level

No of Channels

Social Engagement Graph: Interaction Plot of Airlines in the Social Media Space


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InRev Systems 2011

0

0.5

1

1.5

2

2.5

3

3.5

4

0 1 2 3 4 5 6

Interacti

vity

Level

No of Channels

Social Engagement Graph: Interaction Plot of Indian-origin Airlines in the Social Media Space


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RESEARCH FINDINGS

InRev Systems 2011

Jet Airways is talked

more about in theSocial Networking

Sites. There has been

an average of 4000

conversations about

Jet Airways within a

time span of 2 weeksalone

Number of conversations across web

BRAND AWARENESS


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RESEARCH FINDINGS

InRev Systems 2011

Airlines POSITIVE SENTIMENT % NEGATIVE SENTIMENT %

KINGFISHER AIRLINES 67.37% 5.04%JET AIRWAYS 55.71% 13.31%

SENTIMENTS across web for different Airlines

BRAND HEALTH

Even though Jet Airways is more popular in the social

media space, its negative sentiment as a percentage of

total talk is much higher than that of Kingfisher Airlines


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RESEARCH FINDINGS

InRev Systems 2011

Demographic Age Groups

DEMOGRAPHIC

Twitter demographics shows that both Kingfisher Airlines and Jet Airways has the

same age group of people patronizing them. It is essential for them to differentiate

their service as much as possible for customer retention and attraction


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RESEARCH FINDINGS

InRev Systems 2011

Demographic Location

DEMOGRAPHIC

Both Kingfisher Airlines and JetAirways are more or less

represented in the same manner

in India

However, Kingfisher Airlines is

talked about more in theinternational level and so Jet

Airways need to increase its

international brand image


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RESEARCH FINDINGS

InRev Systems 2011

UNDERSTAND Industry Trend - TRACK specific keywords to see what is happening in the industry

Southwest Airlines has got many negative comment about

its flight being delayed. It should ACT accordingly

11.6% and 10.2% of air travellers who tweet about flight-

delay also use iPhone and Blackberry respectively

11.60%

10.20%

78.20%

iPhone

BlackBerry

Others

Tracking the keyword Flight Delay


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SIMPLIFY360

InRev Systems 2011

The Research is done usingSocial Media Monitoring

Product, Simplify360

Brand Monitoring & Sentiment Analysis

Social Analytics Dashboard

Schedule Messages and RSS Feed

Personalized URL Tracking

Download Data and Reports

Creating Polls and Sharing

Email Campaigns

Team Collaboration and Work Assignment

Email and Notification

ALL THESE AND MORE IN

SIMPLIFY360


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SIMPLIFY360

InRev Systems 2011

Simplify360 is a web based social media

engagement and analytics platform thatoffers a ONE STOP SOLUTION to the social

media needs of a business and lets you

engage with your customers and interpret

your social presence

Simplify360 provides an easy to use platform for

tracking and listening to what people are talkingabout your brand in social communities.

With Simplify360 you can not only LISTEN to what your

customers are talking about your brand but also ENGAGE

with them!

Simplify360 lets you ANALYSE the social media

presence of your brand by giving you actionable

insights


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SIMPLIFY360

InRev Systems 2011

People Talk a Lot About Companies.

But tracking conversations happening online is easier said than done.With SIMPLIFY360, you can track what customers are talking about

your airlines good or bad feedback or even suggestion

Engage with such customer proactively

with the help of SIMPLIFy360 engagement

console tool


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InRev Systems 2011

For Details, Visit -

http://simplify360.com/

http://simplify360.com/blog/

http://www.facebook.com/simplify360

@simplify360

Or Send a Mail to -

[email protected]

Start Using Simplify360 Today

VP - Sales,

InRev Systems
http://simplify360.com/http://simplify360.com/blog/http://www.facebook.com/simplify360mailto:[email protected]:[email protected]:[email protected]:[email protected]://www.facebook.com/simplify360http://www.facebook.com/simplify360http://simplify360.com/blog/http://simplify360.com/blog/http://simplify360.com/http://simplify360.com/

Social Media Research on Indian Airline Industry

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