Thursday, May 23, 2019
Principle of marketing extra credit case study Essay
In stark contrast to British Airways, Aeroflot-Russian Airlines is new to the skies of planetary commercial air lanes. Aeroflots 114 planes transported 3.8 meg passengers in 1996 compared to British Airlines 25.35 million passengers. Aeroflots figures are down considerably from 1991, the year before the dissolution of the Soviet Union, when its 5,400 planes carried 138 million passengers. Since 1991 the airline has had trouble adjusting from a monopoly to a competitive mart as the rival private Russian airline, Transaero, built passenger loyalty by stressing good service and on-time flights.Aeroflots attempt to become a mankind class airline has been hampered by a poor safety record, bad food, surly service, dilapidated cabins and frequently cancelled or late flights. At little than 60%, Aeroflots load factor (the percentage of seats on each flight occupied by paying customers), is the lowest in the international airline industry.In order to expand its business in this highly co mpetitive industry Aeroflot has copied many of the strategies the leading airlines. In January 1997, the airline announced a marketing alliance with Continental Airlines to allow Continental flights from Newark, NJ to Moscows Sheremetyeva International Airport. Aeroflot has renovated its training academy to include a curriculum that focuses on image and marketing, and includes the slogan, the customer is always right. The airline launched Telephone Confidential, a customer complaint line, and in an effort to modernise its fleet ordered 10 Boeing 737s. merchandise has been a big part of Aeroflots fight to gain back passengers. The image the airline has selected for itself in its first multimedia advertising campaign attempts to incite sceptical consumers that the airline has solved its safety and service problems. The campaign uses magazine, billboard and TV commercials, and features a flying elephant witha slogan that translates into light on its feet. The not so subtle message mea ns that if elephants can fly, so can Aeroflot.Aeroflots web paginate (http//www.aeroflot.org), exhibits a decidedly western influence. The home page has links to pages that describe its airplane fleet, a graphic presentation and description of Moscows Sheremetyeva airport, flight schedule, news, information, cargo, routeway, charter, and travel office. Judging from the neat, professional appearance of the tissue page, Aeroflots competitors need to be prepared for a dogfight to keep this airline from cutting into their business.Questions1. What are the advertising objectives for Aeroflots Flying Elephant campaign?2. How could Aeroflots build brand recognition in Vietnam? Explain the process with supporting details.3. Explain how Aeroflot could position their services for maximum competitive advantage in the airline industry in South East Asia.Sourceshttp//www.aeroflot.org Alessandra Stanley, Hod the Jokes, Please Aeroflot Buffs Its Image, The New York Times, June 29, 1997, p. F1 Al Frank, Continental Signs with Aeroflot for Daily Moscow Flights, Knight-Ridder/Tribune Business News, January 15, 1997 On a Wing and a Prayer Aviation in Russia, The Economist, October 5, 1996, p. 103 Victoria Pope, The Gray Chicken is Definitely Out, Aeroflot Tries to Learn Service with a Smile, U. S. News and World Report, October 28, 1996, p. 45.