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Fly Emirates•Goal:“To reach on top by excelling at what we do.”•Mission Statement:"We exist to deliver the worlds best in-flight experience."•Vission Statement:“To make civil aviation safe, leading and sustainable.”
•Objectives:Tangible objectives pertaining to the goals are :1. Retain and improve frequent business class traveler’s• market share.2. Increase market share 40% to 55% by end of 20093. Tap low cost carriers market to achieve company’sreturn on investment.4. Promote Dubai’s Tourism activities and introduceDubai to the world.Positioning Statement:“The Finest in the Sky”
History&Introduction:•During the mid-1980s, Gulf Air began to cut back itsservices to Dubai as it was concerned it was providingregional feeder flights for other carriers. As a resultEmirates was conceived in March 1985 with backingfrom Dubais royal family and was required to operateindependent of government subsidies.•Apart from US$10 million in start-up capital•Byleasing two of its airplanes - Airbus 300 andBoeing 737 - as well as providing technical andadministrative assistance to the new carrier. AlsoEmirates leased a new Boeing 737–300 and an Airbus300B4-200 both from Pakistan International Airlines
. The airlines first flight, flight EK600, was Dubai–Karachi on 25 October 1985United Arab Emirates and operates over 1,990passenger flights per week, from its hub at DubaiInternational Airport, to 157 destinations in 55countriesacross 6 continentsThe airline ranks amongst the top 10 carriersworldwide in terms of revenue and passengerkilometresEmirates has won numerous awards and is anindustry bellwether for aircraft purchases, purchasingover 130 aircraft in 2007 alone.
•Structure and employment:Emirates employed a total of 38,797 staff at the end ofthe fiscal year on 31 March 2011.Of which 10,785 were cabin crew, 2,237 were flightdeck crew, 1,904 were in engineering, and 9,084 werelisted as other
•Services:1.Cabin:(i) First Class(ii) Business Class(iii) Economy class2. Cargo:•Emirates SkyCargo is the air freight division of Emirates. It beganoperations in October 1985, the same year Emirates was formed. Sincethen it has been the main cargo division of Emirates, and the anchor cargoairline at Dubai International Airport.•Emirates SkyCargo operates thirteen dedicated cargo aircraft, with ten onorder.
3. Ground services:Passengers may check-in between two to 48 hours prior to flight departure.This may be done over the counter or at the lounge within the airport. Self-service kiosks are also available at Dubai International Airport, as well as atcertain stations of the Dubai Metro.•Enviromental Scanning:1. Internal Enviroment:2. External Enviroment:
Swot Analysis:•Strengths:•Has the advantage of size•decision to focus on diversified market•Entering the cargo shipping•Weaknesses:•Does not cater a lot of places in US•Does not cater to middle class & budget traveler•Not all of diversification and approach have been successful
•Opportunities:•To develop continuously new generations of more advanced airline andaviation services.•Budget travelers•Innovation•Threats:•Rival companies are major threats•Rising fuel costs•Low cost carriers - Air Arabia, Jazeera Airways.
PEST Analysis(i) Political:Political situations that affect the airline industry will be mainly warsand terrorism.(ii) Economical:One of the factors following the success of any airlines is to have the mostsophisticated airports which are facilitated with cutting edge technologiesto meet customer’s requirements(iii) Social:The population of the world is shooting at high rates. Thus the socialfactors also increases.
(iv) Technological:New technologies affect this industry in negative and positive manner. Integration of Marketing Mix:1. Price:•Emirates Airline is using the premium pricing strategy, which is to offera higher price than what other airlines in the market offer2. Place:• Emirates Airline has about eleven travel shop branches in the UAE andabout 122 branches outside the UAE all around the world that providessuperior services
•Emirates Airline has also an online website presented in about nine languagesin order to reach all its target segments from different nationalities.3. Promotion:For advertising, it has to advertise in newspapers that mostly attract thissegment like Gulf news and in cheap magazines such as Ahlan.Billboards are good tool for advertising, they are attractive and peopleeverywhere could see them.4. Product:•Emirates is always the first to offer the high-quality, latest technologiesand services to their customers.•Gives travellers the ability to send and receive emails and SMS messages fromany class and the first airline to implement TVs in all classes
5. People:Management of Emirates Airlines are able to promotes the sharing of a commongoal among their employee,hence, make the organization and its team workefficient together. As they work together, they are able to focus on the needs ofthe entire organization which is to sustain their competitive advantage.6. Process:•Emirates Airlines services includes the following key operating departmentssuch as the First and Business Class Lounges, Special Services like assistingdisabled passengers and unaccompanied minors, Customer Relations,Baggage Services, Check-in and Boarding, and the Millennium Airport Hotel(Emirates Wing).7. Physical Evidence:•Emirates fly planes release carbon dioxide through fuel burning. However,while flying planes, Emirates wants to make a different by focusing on how tobe an ecologically-efficient organization. They use fewer resources andcreating less waste and pollution.
TARGETING ANALYSISEMIRATESAIRLINESELITE CLASSForeign tours Business Esteem needs
Targeting :Emirates caters to high ranking executives and businessmen belonging to theage group of 30-60 who are looking for luxury and comfort in travel. It serves allcustomers regardless of nationalityTop Competitors for Emirates:1.Deutsche Lufthansa AG2.Air France-KLM S.A.3.Etihad Airways P.J.S.C.
Segmentation :•Emirates segments its market into two major categories, the profitable (businesstravelers) and the unprofitable one. These can be further divided on the basis of theaverage length of trip, the frequency of trips and the brand loyal customers•Business class passengers are the most profitable to Emirates and are willing topay for their luxurious services as price is relatively inelastic for them. Emiratesoffers these travelers great Wifi services and more room to work and hence theyprefer nonstop trips•Emirates loses out where the economy class travelers are concerned as theyare very price elastic and prefer to choose low cost carriers.
Marketing Plan:1. Marketing Penetration (Improving In-fight Service)1) Retain and boost market share of Emirate airlines product and services.2) Protect market dominance of Emirates airlines existing markets.3) Driving out competitors by restructuring mature market.4) Enhance usage of existing passengers.2. Marketing Development (Extending New Routes)•The objective of Emirates airline is building up Dubai into a popularaviation centre that will finally serve as an important universal long haulhub.•It provides an alternative to the traditional European airline hubs asHeathrow Airport (London), Charles De Gaulle (Paris) and Schiphol(Amsterdam).
3. Product Development (Private Suite)•Introducing new services into existing markets implies product developmstrategy which involves the development of skill and requires business tocustomized services that can apply to current markets.•Emirates airline has more services for business travelers that isreason why Emirates airline introduce high quality first classprivate lounges to attract business traveler,s.•The premium class private suit would be fully outfitted with personal storage,coat cabinet and desk and individual mini bar. Long seat reclines to become fullyhorizontal couch and TV wide screen4. Related Diversification (Low-cost carrier)•The low cost airline offers lower prices than traditional airline by fascinapromotion. The low cost has flexibility fare that is one reason why someis switching cost to them.•Emirates Airlines be supposed to slightly spread from current marketing objectives toobtain the low cost airline market share and to retain its customer base of UAEexpatriate market
•This can be done launching new subsidiary to cater budget airline markeThe key routes should be high demand and large number of expatriate’scountry like Egypt, India and Pakistan.Market ShareMarketGrowth High LowHighh‘Stars’ Emirates BusinessClass, First Class‘?’ Emirates HolidaysLow‘CashCow’Emirateseconomyclass‘Dog’B.C.G Matrix of Emirates AirLines