This website uses cookies to ensure you have the best experience. Learn more

Classic Airline Marketing Solution Essay

2283 words - 10 pages

This paper will cover a full scale and analysis of Classic Airlines, a 25 year airline organization. Classic Airlines demand is over 375 jets that serve 240 cities with more than 2300 daily flights making it the fifth largest airline in the world (University of Phoenix, 2007). Classic Airlines has grown from a small business to an organization of 32,000 employees and earned $10 million on $8.7 billion in sales (University of Phoenix). A general problem-solving process or framework provides leaders with a way to begin managing and understanding a wide range of decisions to be made, problems that needs attention, and concerns that arise from internal and external customers. According to ...view middle of the document...

It is my recommendation that Classic Airlines focus on efforts on improving customer satisfaction and loyalty as this will directly and indirectly improve the sales, employee morale, board of directors, and shareholders. Next, it will be important to use a priority-setting process step to gain an agreement on the problem statement and how the problems are framed. The last action item for this first step is to develop a clear statement with understanding of each gap between what is and what it should be. According to Kotler and Keller (2007) customers compare the perceived service to the expected service and if the perceived service falls below customer’s expectation, customers will be disappointed. On the other hand, if the perceive service meets or exceeds the customer’s expectation; they are apt to use the service again. The Senior Vice President of Customer Service, Renee Epson at Classic Airlines can offer some insight to these expectations. During the past four years with Classic she implemented a customer relationship management system (CRM) program. A survey was also completed with 500 from basic, silver and gold-level Classic Rewards members. The final action item in this first step is to address all the personal interests to proceed. In this Classic Airlines scenario, each department is looking at these issues from their individual perspective and will need to step out of their personal view to come up with a mutual agreement on what is the best change initiative for Classic Airlines.

The second step of the problem-solving method in Hiebert & Bruce model is to analyze the problems for causes. What is causing the shortfall between what it is and should be? There will be lots of data to sort through with many potential and unexpected causes. It is important to use a systematic process for handling the data and finding cause(s) that will be identified and verified. In Classic Airline’s case, possible causes may affect the customer service as a result of implementing cost-savings, failure to address key customer complaints and competitors’ strategy and offerings. Reviewing the results of the customer survey Epson administered a form of data that Classic can use to determine potential causes for decreasing sales and customer satisfaction and loyalty.

1. How many flights do you take per year with Classic Airlines?

a. 1 to 3 – 22%

b. 3 to 7 – 33%

c. 7 to 12 – 31%

d. More than 12 – 14%

2. How many flights do you take per year with airlines other than Classic?

a. 1 to 3 – 29%

b. 3 to 7 – 42%

c. 7 to 12 – 14%

d. More than 12 – 15%

3. How well do you feel Classic’s advertising campaigns convey an accurate and meaningful picture of the airline?

a. Not accurate and meaningful – 14%

b. Somewhat accurate and meaningful – 48%

c. Very accurate and meaningful – 38%

4. How satisfied are you with the customer service you receive from Classic Airlines?

a....

Other Papers Like Classic Airline Marketing Solution

Classic Airlines Marketing Solution Essay

295 words - 2 pages Presently Classic Airlines is one of the largest airline carriers in the world. Last year the company had a net income of $10 million dollars on operating revenues of $8.7 billion. The year before the company had a net income of $71 million on 8.5 billion of operating revenues (Classic Airline Scenario, 2010). The net income has decreased $61 million in one year. One of the reasons for the huge decrease in net profit is because of marketing

Classic Airlines Marketing Solution Essay

1510 words - 7 pages Classic Airlines Marketing Solution Deatria Bookman UOP Marketing 571 Dr. Alan Mandel May 04, 2012 Classic Airlines Marketing Solution Good marketing is an important part of a successful business. Since marketing hugely affects our everyday way of living it is surrounded by everything we do, and see (Kotler & Keller). With many businesses aggressively working hard to stay in business, organizations have stepped up the types of

Classic Airlines Marketing Solution

2118 words - 9 pages Classic Airlines Marketing Solution A study of the Classic Airlines scenario reveals problems within the organization including customer dissatisfaction with customer service, a decline in customer loyalty and problems with employee job satisfaction and retention. Without resolution to the problems faced by Classic Airlines which have resulted in finanacial losses bankruptcy may be inevitable. Resolution or at the very least improvement

Classic Airlines Marketing Solution - 3517 words

3517 words - 15 pages Classic Airlines Marketing Solution Michael R. Engler MKT571 7 May 2012 Professor Alan Mandel Classic Airlines Marketing Solution Classic Airlines is currently in a state of declining demand and the marketing team has been given the mandate not only to identify the underlying problems but also to find a workable solution that meets the company’s objectives (University of Phoenix, 2005). The marketing team has decided to use an

Classic Airlines Marketing Solution - 2479 words

2479 words - 10 pages Classic Airlines Marketing Solution Introduction The world economy is increasingly been fuel by Service businesses, with stiff competitions, most companies are finding it difficult to differentiate their physical products. To have that competitive edge over competitors, it is critical for service businesses to understand the special nature of services (Kotler, & Keller). One such company that is finding it difficult to understand the nature

Classic Airlines Marketing Solutions

870 words - 4 pages Classic Airlines Marketing Solution Donna Tucker MKT 571 May 31, 2012 Ben McCollum Classic Airlines Marketing Solution This marketing solution for Classic Airlines is a reference tool to aide in forming solutions for the organizational issues currently existing. Customer satisfaction is waning and needs to be addressed to reverse declining sales and profit. The marketing solution will contain the nine step problem solving model to build

Marketing Solution

2193 words - 9 pages Marketing Solution MKT/571 Marketing April 25, 2011 University of Phoenix Marketing Solution Classic Airlines, one of the largest airlines in the country, “commands a fleet of more than 375 jets that serve 240 cities with over 2,300 daily flights” (University of Phoenix, Classic Airline Scenario, 2011) and has gained 32,000 employees with earnings of $8.7 billion in sales. September 11, 2001 was the start of the economic crisis

Classic Airlines

1553 words - 7 pages operations will face a cost reduction of 11.5%” (Classic Airlines Scenario, 2012). Classic Airlines needed to come up with a marketing solution to safeguard the survivability of the company, the marketing solution needed to help improve the organization. The marketing solution used created a financial strategy where the company invested certain resources available. Classic Airlines decided to go with the Nine-step method. The method chosen has the

Classic Airlines Marketing Soulution

1689 words - 7 pages program this is setting Classic Airlines up for a problem if the current economy shifts. The company should look at forming alliances with other airlines by merging marketing strategies by doing this the company is utilizing external resources and reducing marketing costs by sharing the marketing budget with the other airline. This could prove valuable in the global market for all involved. Determine the best solution During this step the

Classic Airlines Marketing

1738 words - 7 pages Classic Airlines Marketing Solution Introduction As the world’s fifth largest airline, Classic Airlines serves over 240 cities with more than 2300 daily flights. Facing high fuel cost, tight competition, and low customer satisfaction, Classic airlines currently experiences difficulties to maintain its effective operation. The September 11 terrorist attack in the United States has also affected travelers, as they prefer other transportation

Problem Solution: Classic Airlines

1348 words - 6 pages Problem Solution: Classic Airlines Classic Airlines is the world fifth largest airline employing 32,000 employees and earning 10 million dollars. In recent years, Classic has seen a decline in sales and their customer loyalty program, while there has been an increase in fuel and labor costs. The Board of Directors has demanded and cost reduction while increasing its profits. In spite of rising fuel prices, homeland security threats and the

Related Essays

Classic Airline Marketing Solution Essay

1662 words - 7 pages could not link together the web and phone channels. If Classic Airlines wishes to remain competitive in the airline industry, they must determine how to best make use of their CRM to keep their current customers satisfied and to lure in new and previous customers. Alternative solution for Classic Airlines Classic Airlines’ have limited options available for their marketing problems because of the increase in the cost of

Classic Airline And Marketing Essay

712 words - 3 pages , and financial analysts must use the appropriate marketing approach to address such issues and concerns of the organization potentially filing for bankruptcy. The senior management and analysts at Classic Airlines must use the organizational data to address the organization’s dilemmas; meanwhile, implementing marketing concepts that will be in the best interest of the commercial airline. Marketing Concepts Related to Classic Airlines

Classic Airline And Marketing Essay

519 words - 3 pages way, which the business is being done at Classic Airline is not retaining the customers. This goes to prove that the customer perspective of value as stated in the scenario does not necessarily mean price. The past marketing VP abridged the prices but no raise was seen because a price war started. Boyle’s team knowing the problem to be displeased customers has begun trying to recognize the main reasons that the customers are leaving based on the

Classic Airlines Marketing Solution Essay 2362 Words

2362 words - 10 pages Classic Airlines Marketing Solution Classic Airlines is one of the largest airlines in the world. Their routes include more than 240 cities and more than 2,300 flights a day. In 2004, they had a net operating income of $10 million dollars (Classic Airlines Scenario, 2011). Despite this achievement, Classic Airlines has been experiencing many challenges in operations that are threatening their profitability. These challenges include