Qantas Cas Notes

6 June 2017

Analyse and interpret data Maintain Qantas/Jetstar’s combined domestic market share of 65% Match capacity with demand sustaining loads around 80% Grow Jetstar in Asia Increase internet sales Increase customer service standards Enhance complementary portfolio businesses like Freight Reduce losses of Qantas international

Transform Qantas International for focusing on right aircraft, right route, network optimisation and margin improvement Grow their frequent flyer program members and partners Market Segmentation and Selection of the Target Market Qantas’ market segmentation is complex because each segment has distinctive and different needs and expectations, such as the need to make stop-overs, the ability to pay fare levels and expectations in terms of in-flight service and comfort. Qantas mainly uses behavioural segmentation to select its target markets. Buyers are distinguished according to trip purpose e. . business and leisure/non-business travellers.

Marketing Strategies Positioning Formulating the Marketing Mix Product Strategies Scheduling features Comfort-based features I ne Qantas Frequent Hyer scneme (H- Intangible benefits Brand name Price Cost plus margin: Qantas determines the cost of production and then adds a margin for profit Market: most fares at Qantas are determined by the market, where demand is matched with supply Competition based: monitoring what other airlines such as Virgin Blue are charging Pricing Strategies Price penetration Full Fares Promotional Fares Loss Leading Promotiono Advertising Sales promotions particularly in periods of subdued demand.

When Qantas first launched Jetstar it released 100,000 tickets at $49. Qantas also launches a two-for- one ticket sale, which allowed a second passenger to fly for the cost of taxes and charges. Personal selling Publicity Place/Distribution Distribution to end customers is achieved by Qantas in two ways, direct and indirect. DIRECT – via its own retail outlets INDIRECT – via sales agents People Because most customers have direct contact with Qantas employees, especially on he ground, the impression they give has a big impact on how Qantas is perceived.

Qantas staff must have appropriate personal attributes and training for their Jobs. Qantas spends more that $275 million a year on staff training to ensure a very positive interaction between its customers. Processes Booking flights online Online check in Mobile check in cnecK In KIOSK Physical Evidence Qantas’ customers are influences by Qantas’ signage, its website, its terminals, its lounges, etc. E-Marketing uses an electronic medium to perform marketing activities, e. g. website, email. Global Marketing is the use of marketing activities across national boundaries.

Qantas uses: Global Branding Standardisation Customisation Implementing, Monitoring and Controlling the Marketing Plan Qantas has a systematic base for continually monitoring, controlling and adjusting its marketing activities using the following tools: Developing a financial forecast of revenue using statistical models, past sales data, executive Judgement and surveys of customer buying intentions. It then estimates costs such as market research costs, promotion costs, product development costs and distribution costs. Comparing actual and planned results using a number of performance criteria.

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