Marketing Differences Between Traditional Airlines And Low Cost Airlines In Europe

Author : Nils Kernchen
Publisher : GRIN Verlag
Page : 64 pages
File Size : 47,8 Mb
Release : 2007-08
Category : Electronic
ISBN : 9783638726849

Get Book

Marketing Differences Between Traditional Airlines and Low-cost Airlines in Europe by Nils Kernchen Pdf

Master's Thesis from the year 2004 in the subject Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media, grade: A-, ESG Management School, Paris, 33 entries in the bibliography, language: English, abstract: European Media is writing daily articles about the situation of the European airline business. The European airline market is, at the moment, with all the important changes and actual turbulences, the most dynamic industry sector. Some of these changes are: The creation of new low-cost airlines in Europe, like Germanwings (Germany), Volareweb (Italy), and Sky Europe (Slovakia); The disappearance and bankruptcy of airlines, such as V-Bird (Netherlands) and Swissair; Air France merges with KLM to become the worlds biggest airline group; A significant increase of purchases of airplanes by Arabic airlines. This thesis focuses on the low-cost airlines, which arrived in Europe during the last 10 years and changed micro and macro environment of the airline business. Low-cost airlines like Ryanair and EasyJet make big profits while Alitalia, British Airways, Air France, and Lufthansa are having enormous problems. The general opinion is that low-cost airlines are successful because of its lower cost in production, and therefore of its lower price they can offer to the customers. The thesis will show that the cost factor is not the only reason for the success of low-cost airlines: "Being cheap is not enough" The objective of the thesis is to find other reasons which explain the success of low-cost airlines by analysing the marketing development of European low-cost airlines with its strategies, positioning, customer satisfaction etc. Of special interest: The question how the low-cost trend changes the marketing and the behaviour of the traditional airlines and how do the customers react. As reaction to this trend the traditional airlines are reducing at the moment costs in salary, distribution, maintenance etc. to survive. Th

Author : Veronika Minkova
Publisher : GRIN Verlag
Page : 89 pages
File Size : 51,6 Mb
Release : 2011-10
Category : Business & Economics
ISBN : 9783656038214

Get Book

Low Cost Carriers - Business Model, Impacts of Its Expansion and Challenges by Veronika Minkova Pdf

Bachelor Thesis from the year 2009 in the subject Economics - Micro-economics, grade: 1,3, Furtwangen University; Villingen-Schwenningen, language: English, abstract: Across a wide range of industries traditional market leaders are threatened by low price competitors. These low price firms are steadily eroding the profit margins and market share of their more established rivals. A vivid example from aviation is the Low Cost Carriers. Beginning in the North America and spreading to Europe, the airline passenger market has witnessed a growing intensity in price-based competition. This intensified competition has been facilitated by policy deregulation initiatives until the emergence of the phenomenon Low Cost Airlines. European Low Cost Airlines have changed people's leisure and travel habits, opening up direct services between city pairs that were not available before. The present thesis aims at analysing the European Low Cost Carriers (LCCs) business model from the perspective of its rapid expansion on the air travel market. In conjunction with the liberalisation of commercial aviation the LCCs' impacts on the European community have been identified in line with the sustainable transport concept recognized as a common goal in the two European Commission's strategic documents: Lisbon Agenda and European Sustainable Development Strategy. The European low cost model is examined in terms; its business model and strategic positioning; the LCCs' positive and negative impacts after its rapid growth; the sector dynamics and its long term sustainability. This LCC multi-dimensional view imposes the main questions of the current work in search for broad analysis of the LCCs trend: "What are the essential characteristics of the LCCs business model?";" How it affects the EU community?"; and "What driving forces stand behind the LCCs model?". The thesis sets itself the following sub-objectives and attempts to answer their corresponding questions: - Overview of the European

Author : Veronika Minkova
Publisher : GRIN Verlag
Page : 82 pages
File Size : 55,9 Mb
Release : 2011-10-27
Category : Business & Economics
ISBN : 9783656038306

Get Book

Low Cost Carriers - Business Model, Impacts of its Expansion and Challenges by Veronika Minkova Pdf

Bachelor Thesis from the year 2009 in the subject Economics - Micro-economics, grade: 1,3, Furtwangen University; Villingen-Schwenningen, language: English, abstract: Across a wide range of industries traditional market leaders are threatened by low price competitors. These low price firms are steadily eroding the profit margins and market share of their more established rivals. A vivid example from aviation is the Low Cost Carriers. Beginning in the North America and spreading to Europe, the airline passenger market has witnessed a growing intensity in price-based competition. This intensified competition has been facilitated by policy deregulation initiatives until the emergence of the phenomenon Low Cost Airlines. European Low Cost Airlines have changed people’s leisure and travel habits, opening up direct services between city pairs that were not available before. The present thesis aims at analysing the European Low Cost Carriers (LCCs) business model from the perspective of its rapid expansion on the air travel market. In conjunction with the liberalisation of commercial aviation the LCCs’ impacts on the European community have been identified in line with the sustainable transport concept recognized as a common goal in the two European Commission’s strategic documents: Lisbon Agenda and European Sustainable Development Strategy. The European low cost model is examined in terms; its business model and strategic positioning; the LCCs’ positive and negative impacts after its rapid growth; the sector dynamics and its long term sustainability. This LCC multi-dimensional view imposes the main questions of the current work in search for broad analysis of the LCCs trend: “What are the essential characteristics of the LCCs business model?”;” How it affects the EU community?”; and “What driving forces stand behind the LCCs model?”. The thesis sets itself the following sub-objectives and attempts to answer their corresponding questions: - Overview of the European civil aviation industry prior deregulation (until 1988): How the industry was regulated and by whom? - Tracing the European air travel industry’s liberalisation: What kind of regulatory changes have been introduced in European civil aviation after 1988? - Consequences of the deregulation processes on the air travel market: What were the outcomes of the air transport industry’s liberalisation and prerequisites for LCCs emergence? - Introduction of the first European LCCs: How the European LCCs emerged? - Analysis of the LCCs competitive and cost advantages: What are the LCCs’ cost advantages and their determinants? [...]

Author : Sven Gross,Alexander Schröder
Publisher : Erich Schmidt Verlag GmbH & Co KG
Page : 324 pages
File Size : 50,9 Mb
Release : 2007
Category : Airlines
ISBN : 3503100814

Get Book

Handbook of Low Cost Airlines by Sven Gross,Alexander Schröder Pdf

Author : Andreas Klein,Kathrin Stiel,Julian Brands
Publisher : GRIN Verlag
Page : 84 pages
File Size : 40,5 Mb
Release : 2007-02-22
Category : Business & Economics
ISBN : 9783638613132

Get Book

Marketing for services - theoretical aspects and practical examples from European low fare airlines by Andreas Klein,Kathrin Stiel,Julian Brands Pdf

Seminar paper from the year 2006 in the subject Business economics - Offline Marketing and Online Marketing, grade: 2, University of Applied Sciences Essen, course: International Management, language: English, abstract: Introduction In recent years, a growing economic importance of services especially in western countries could be observed. This increasing importance of the service sector will continue. It is predicted that a positive balance of additional employment in the next years will only be reached in the service sector. One practical example for the growing importance of services is the European aviation industry. Formerly exclusively dominated by a small number of state-aided airlines, the liberalisation of the industry during the 1990s’ was the starting point for a new era in the aviation industry. The airlines had to face competition and an innovative new sector developed itself to meet the customer needs by offering flights for affordable prices. In 2010 it is expected that the share of low fare air traffic in Europe will reach over 40%. The no-frills-concept of low fare airlines also generated new demand. In 2002 59% of the passengers of low fare airlines would not have travelled by air if the cheap tickets would not have been available. Goals of this study and Approach This study will describe the special characteristics of services and the requirements for marketing activities in the service sector compared to other areas. Thereby, special attention will be paid to low fare airlines, which have contributed to the increasing importance of the service sector in general and the aviation service sector in particular due to the reasons already mentioned. Firstly, the required terms in the context of service marketing will be described and different theoretical approaches will be presented. Several possibilities to define the main terms in the context of this case study will be given. Secondly, the special requirements of service marketing will be shown and compared to the marketing of products. Thirdly, the history and current situation of the low fare airline business will be shown and explained. Afterwards, the special challenges in the marketing of low fare airlines will be discussed. Solutions and possible approaches for a successful marketing of low fare airlines will be presented. The main focus will be on the expansion of the classical marketing mix, i.e. the 3 P people, physical facilities and process management. Finally, a brief outlook will be given which describes possible future developments and highlights several important fields, to which companies should pay attention.

Author : Sven Gross,Michael Lück
Publisher : Routledge
Page : 241 pages
File Size : 50,5 Mb
Release : 2016-02-17
Category : Technology & Engineering
ISBN : 9781317025054

Get Book

The Low Cost Carrier Worldwide by Sven Gross,Michael Lück Pdf

Low Cost Carriers (LCCs) have become an integral part of today's air transport and tourism industries. Originating in the United States, the low-cost concept has subsequently been adopted by airlines on all continents. LCCs in Europe and North America, and to some extent in Asia, have already been well covered by academic literature. However, scientific publications on the topic of LCCs in Africa, Latin America, the Middle East, Australia and New Zealand are scarce. This volume provides the first comprehensive overview of developments, the legal framework and the current situation of the low-cost carrier phenomenon across the globe. It contains a dozen chapters, each dedicated to a region, all written by highly experienced and renowned experts from around the world. The Low Cost Carrier Worldwide is written primarily for upper-level undergraduate and postgraduate students, as well as researchers and practitioners within the fields of aviation, transport and tourism.

Author : Karel Jan Alsem
Publisher : Routledge
Page : 424 pages
File Size : 41,9 Mb
Release : 2019-03-08
Category : Business & Economics
ISBN : 9780429446993

Get Book

Applied Strategic Marketing by Karel Jan Alsem Pdf

This book, originally published in Dutch, provides a uniquely practical approach to strategic marketing planning. Combining a comprehensive overview of theory with practice, each chapter takes the reader step by step through the strategic marketing process. Beginning with identifying the value proposition, it moves on to the situational analysis that underpins the corporate strategy, and finally details the overall implementation and creation of a customer and brand values. Applied Strategic Marketing equips the reader with the necessary tools and techniques to develop and deliver a thorough and effective marketing strategy. With a broad range of international case studies that bring the theory to life, this well-renowned and updated translation is vital reading for undergraduate and postgraduate students of marketing management and strategic marketing. It should also be of interest to marketing practitioners who want a clear overview to aid them in the planning process.

Author : Sascha Mayer
Publisher : GRIN Verlag
Page : 85 pages
File Size : 52,7 Mb
Release : 2008-06
Category : Airlines
ISBN : 9783638952651

Get Book

Ryanair and Its Low Cost Flights in Europe by Sascha Mayer Pdf

Seminar paper from the year 2007 in the subject Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media, grade: 1,0, University of the Sunshine Coast Queensland (Business Faculty), course: Marketing Management, 19 entries in the bibliography, language: English, abstract: The purpose of this report is to provide a Marketing Plan for Ryanair, which is developed to strengthen the company's position in the market. It is precisely tailored to the company's actual organizational situation and its market environment. The report deals with analyses of Ryanair Holdings plc and its core business - low cost flights - with regards to get a status of its performance and the actual market situation in order to develop a suitable and successful marketing strategy. Ryanair offers low cost passenger flights within Europe. The airline serves short haul, point-to-point routes between Ireland, the UK and Continental Europe. Our idea is it to keep the product as simple as possible. Passengers travel ticketless without any frills in one class without any seat - it is simple air transportation from A to B. The external environment in Europe favors Ryanair and the entire low-cost airline market with an air traffic growth of up to 20%. Regarding the competitive environment Ryanair - with a clear strategy and structure - gains in importance and already became the market leader in the intra-European low-cost airline market - closed-packed with Easyjet and followed by Air Berlin. With its 35 Mio passengers in 2006 and an excellent profitability on a high level of 20% is growing healthy and shows strong financial reserves of more than 2 billion. Our customer is anyone within Europe in the age between 15 and 64, who wants to save money and still be able to travel by air to attractive destinations. This awareness of different passenger types requires marketing campaigns that cover all categories of potential customers. With this in mind we develope

Author : Stephen Ison
Publisher : Routledge
Page : 416 pages
File Size : 52,5 Mb
Release : 2017-07-05
Category : Business & Economics
ISBN : 9781351559638

Get Book

Low Cost Carriers by Stephen Ison Pdf

Low cost carriers (LCCs) represent one of the most exciting and dynamic yet often contentious developments in recent commercial aviation history. Formed as a direct result of policies of airline deregulation and liberalisation that were initiated in the United States in the late 1970s before being implemented in certain European, Australasian, Latin American and other world markets from the mid-1990s onwards to encourage competition, LCCs have been responsible for progressively reconfiguring the spatial patterns, operational practices and passenger experiences of flight. In the process, they have enabled growing numbers of people to fly to more places, more frequently, and at lower cost than had been previously possible. In so doing, however, they have generated a number of socio-economic and environmental challenges. The 23 essays included in this volume provide a detailed insight into the emergence, expansion and evolution of the low cost carrier sector worldwide. The volume covers deregulation and liberalisation of the global airline sector, the business models and operating characteristics of low cost carriers, the changing nature of the airline/airport relationship, LCC network characteristics, issues of pricing and competition and the current impacts and likely future trajectories.

Author : Paloma Fernández Pérez,Elena San Román
Publisher : Emerald Group Publishing
Page : 217 pages
File Size : 45,5 Mb
Release : 2023-07-11
Category : Business & Economics
ISBN : 9781801179522

Get Book

Collective Entrepreneurship in the Contemporary European Services Industries by Paloma Fernández Pérez,Elena San Román Pdf

Collective Entrepreneurship in the Contemporary European Services Industries provides a historical account and a managerial approach on how companies in the service industry have grown, innovated, and internationalised along the last centuries in Western Europe.

Author : Thomas C. Lawton
Publisher : Routledge
Page : 206 pages
File Size : 48,8 Mb
Release : 2017-03-02
Category : Transportation
ISBN : 9781351951012

Get Book

Cleared for Take-Off by Thomas C. Lawton Pdf

Competition in air transport has been transformed by industry liberalization initiatives, resulting in the emergence of a wide array of new airline start-ups. Restrictions on low fares have been removed, uniform control requirements have been established, and legislation has facilitated the proliferation of low-fare carriers and competition. The new breed of independent low-fare airlines (LFAs) use market freedoms to shake up the industry's competitive dynamics and offer the customer the alternative of low prices and basic service. A successful low fare business model requires a ruthless and relentless focus on cost cutting and increased operational productivity, combined with an ability to generate and maintain a cash surplus and a cautious but steady fleet and route network expansion. The mastery of these techniques has made Southwest and Ryanair industry leaders, but others such as EasyJet also have a proven record of profitability and market growth, despite not always being the lowest cost or price providers. In this comprehensive and topical study the author systematically provides: · a step-by-step approach to understanding the conditions and choices shaping airline competitiveness, and an assessment of the nature of the low fare market · a comprehensive study of the low fare airline sector's evolution and growth and arguments as to why the European low fare industry is here to stay despite the inevitability of a shake out (reminiscent of the early 1980s in the USA). · unique insights into the success of low fare market leaders in Europe, North America and Australasia and an examination of the experience of US new entrants in the post-deregulations era, to discern strategic lessons for their counterparts; · critical perspectives on strategic management principles and practices in modern airline companies, discussing strategies for survival, and comparing competitive strategies for the main low fare airlines and their limitations; · key reasons for the robustness of the low fare business model during industry crises The book also determines the conditions and strategies that shape sustainable advantage for LFAs in highly competitive deregulated markets where established airlines seek to force out new entrants and considerable political interference remains. Moreover, the book considers why, during the airline industry crisis of late 2001, the market capitalizations of low fare leaders held steady in the wake of the US terrorist attacks, while the major carriers on both sides of the Atlantic were decimated. Cleared for Take-Off is essential reading for airline executives, aerospace manufacturers, regulatory and government transportation agencies, researchers or students of aviation management, transport studies, the travel industry and/or corporate strategy.

Author : Frederik Boesch
Publisher : GRIN Verlag
Page : 69 pages
File Size : 45,5 Mb
Release : 2007-06
Category : Electronic
ISBN : 9783638661157

Get Book

The Ryan Air Model - Success and Impact on the European Aviation Market by Frederik Boesch Pdf

Bachelor Thesis from the year 2005 in the subject Business economics - Miscellaneous, grade: 1,3, International University Bremen, 21 entries in the bibliography, language: English, abstract: During the past 15 years, there has been a considerable increase in the share of air travel within Europe that is carried out by low-cost airlines. These new airlines apply the most drastic cost saving measures in order to drive air fares down to a minimum. This paper will first explore the deregulation process of the European aviation market which was the precondition for the emergence of low-fare carriers in the early 1990s. It will then take a closer look at Ryanair, the current low-cost leader in Europe and describe its history, the elements of this distinct business model, its successes, and also some limitations. The last part of the paper will concentrate on the impact that low-fare airlines like Ryanair have on the aviation market. It will explore the changes on the market that can be expected in the long-run and will pay attention to the question if and how traditional full service carriers can respond to the increased competition.

Author : Anonim
Publisher : Emerald Group Publishing
Page : 53 pages
File Size : 49,6 Mb
Release : 2006
Category : Airlines
ISBN : 9781846630125

Get Book

The Airline Industry by Anonim Pdf

The Airline industry has been under increasing pressure recently, from the increased competition of low-cost airlines and the terrorist events of 2001 to name but a few. Various US airlines, including Delta and Northwest, have been declared bankrupt, oil prices have soared, and seat prices are still being forced down, the supply far outweighing the demand. This e-book looks at recent case studies of airlines in crisis (Continental Airlines), and also airlines which have excelled at expansion during this turbulent time such as Easyjet and Ryanair, and offers examples of successful strategies previously used. The collection also features interviews with high-profile figures from airlines such as Go!, Qatar Airways and SWISS International Airlines.

Author : Guido Candela,Paolo Figini
Publisher : Springer Science & Business Media
Page : 626 pages
File Size : 43,6 Mb
Release : 2012-06-30
Category : Business & Economics
ISBN : 9783642208737

Get Book

The Economics of Tourism Destinations by Guido Candela,Paolo Figini Pdf

The book aims at providing an overview of the main economic issues related to tourism activities. While tourism is an important sector, contributing to more than 10% of the European Union’s GDP, research and teaching at the university level has only recently grown to a considerable level, and the field still lacks a firm research methodology. This book approaches tourism economics as an applied field of study in which tourism markets are represented as imperfect markets, with asymmetric and incomplete information among agents, bounded rationality, and with a strong presence of externalities and public goods. The economic issues studied in the book are approached both intuitively, largely using examples and case studies, and formally, with mathematical formalizations in text boxes.

Author : Sean Barrett
Publisher : Routledge
Page : 208 pages
File Size : 43,6 Mb
Release : 2009-05-15
Category : Business & Economics
ISBN : 9781134062904

Get Book

Deregulation and the Airline Business in Europe by Sean Barrett Pdf

Written by a longstanding expert in the field, this book examines the deregulation of the airline industry and the rise of low cost airlines, specifically the success of Ryanair as a key case study.