Service marketing - Essay Example

Cargo transportation accounts to major revenue creation but the brand name has been created due to its passenger transportation service model. Spiciest has around 2500 employees on its roll and its net revenue exceeds $770 million. Its fleet consists of 63 aircrafts and further 70 have been ordered by the company. MARKETING MIX OF SPICE JET: PRODUCT: Core product Aviation / Transportation (Passenger/Cargo) Supplementary product- Check-Len services In-flight refreshment- Provides snacks and beverages in selected longer duration flights, but you have to pay for them in cash on the flight.

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You can buy Vegetarian and Non-vegetarian Snacks, Refreshments and Fruit Juices, etc. On the flight. Drinking Water is available for free to all passengers on Spice Jet fights In-flight Entertainment – Spice Jet is a low cost airline and there is no electronic in-flight entertainment on the flight. Spice Jet has an entertaining In-flight magazine called Spice Route Luggage services. Seating arrangement: Assigned seats, as an additional service feature Spice Jet Guests who book with us over the Internet can select their seats at the time of making their booking Special assistance.

Upon reservation we will make every effort o ensure that any special services you may require such as wheelchairs from the airport check-Len to the aircraft are available for your use. Spice Jet charges RSI 500 per guest for offering this service. PROMOTION: Spiciest has been a pioneer in promotional activities with respect to aviation industry. Its promotional activities included sales promotions, public relation activities and customer engagement activities. During the launch, it Introduced Red Hot Special Fares which ranged from Just RSI 99 to RSI 799. This helped the company company rapidly.

The company has also always focused on word-of-mouth racketing as this is a hybrid-service industry. Repeat customers were the major revenue generators. Passengers, who once traveled on Spiciest and were happy with the service, recommended the same to other people. The print and media ads of Spiciest always focused on the Low cost price promotion as India is a price-sensitive country where the product is not primarily Judged by its core benefit, but by its price point. Spiciest has also introduced Internet media initiatives with major focus on digital promotions.

The outdoor mix is has concentrated primarily on hoardings, railway platforms, airports, shopping complexes, and malls. PROMOTIONAL TECHNIQUES Brand campaign -Its tagging ‘flying for everyone’ The airline has also rolled out print campaigns across all leading newspapers from May 20, one day after the formal launch of the airline. Basically the idea behind the campaign is to empower the ordinary people the power to fly. “Get more when you fly Spice Jet” It positions the brand as one that delivers value beyond the price point.

In addition to providing a safe, modern and young fleet with efficient, warm, friendly and on time service, Spice Jet also listens to its consumers and offers experiences that they value. It aims to entry provoke those who have not experienced flying with Spice Jet or do not fly regularly with it to take note of value-added features and benefits they can expect to enjoy while flying Spice Jet. Spice Jet is a discount airline . Coupons for Spiciest. Com can lower the cost of purchases made through the website.

These coupons come in the form of codes and are specifically called “Spicy Codes” on the Spice Jet website. They can be redeemed by entering them into the “Spicy/Promotional Code” box prior to the confirmation of a reservation. Various promotional offers are also given. The website continues to be a eye channel of distribution and information for our customers. We wish to enhance our online presence to build our brand, understand our customers and drive more traffic to our site. Spice Jet has appointed I -Vista Digital Solutions as its digital agency.

PRICE : Spice Jet is Indian’s ‘best low cost airline’, delivering the lowest air fares with the highest consumer value they have intelligently mixed low-priced ticket prices with decent onboard services to satisfy frequent travelers. Innovative pricing has also been central to the company’s success. It also offers everyday “spicy fares”, which is ere cheap and you can buy your ticket at extremely low fares. Also spicy codes and various promotional offers which give discounts to the travelers are provided. Spice Jet started off its services with a revolutionary pricing of RSI. 9 for the first 99 days. This was followed by air tickets priced at RSI. 500 and RSI. 999- a pricing strategy that continues. As a result, the airline’s prices compete with first-class Indian railway fares. Their pricing campaign Red Hot Special Fares brought in price wars in the PEOPLE: PEOPLE At Spice Jet, ‘people’ are the most important ‘P The restoratives at spice Jet mom in contact with the customers in the process of providing the service, while the cook-pit crew are employees who contribute to the service product but do not come in direct contact with the customers.

At spice Jet the front line staff play a critical role in ensuring that the service is delivered to the customers as promised. Air hostesses at this Airline are to possess a pleasing personality with polite service expected handling PHYSICAL EVIDENCE: Physical Evidence refers to the environment in which the service is delivered and where the service industry and customer interact. All staff are dressed in uniform which are red in color. At spice Jet, the aircraft by itself would make up the physical evidence in this service.

The airline has a single aircraft type fleet, the Boeing 737-800 which allows for greater efficiency in maintenance, and supports its low-cost structure. The airplanes are also colored in red and the company logo is visible. The inside of the aircraft is also well planned and the ambiance created inside the aircraft is also pleasant. Spice Jet’s aircraft are configured in a single economy class having 189 seats, which is among the highest in the industry. In-flight entertainment such as spice route magazine is provided.

Booking offices and ticket counters at spice jet Airlines are extremely spacious and well designed with good looks. Further the aircrafts are given excellent exteriors and are maintained well. The booking counters are also well planned and are usually 10-15 counters in number in most of the airports. These are able to handle crowd/queuing effectively. The online websites are also user-friendly and an average customer will be easily able to book an online ticket. The website shows all details that a customer might be searching for and shows all flight plans and routes that are covered.

There Economy and Business class in the airplane is provided so that customers can choose their preferred option. The Business class is made elegant and the ambiance is very good. PROCESS: The process at spice Jet begins at the time of reservation goes on to the confirmation of seats. Booking The airline sells its tickets the following ways: -Online Booking -Agent Booking -Airport Booking -Spiciest Office The booking process is standardized and is very easy. The customer has to provide the required details.

Check in Process Once the customer reaches the airport, he has to go through security checks by the airport authorities and has to head over to the Spiciest counters to checking. Mobile/ Web checking option is also available. The customer has a choice of selection of the Once the customer receives the boarding ticket. , he/she can move over to second level of security check at the boarding gate. The airport authorities will inform the customers of the gate no of the respective flights. The customer heads over to the specific gate and alights a bus which takes the customer over to the aircraft.

Take off / Travel Once the customer boards the aircraft, he/she heads over to the designated seat and he airplane staff helps the customers to get seated and for securing their luggage in over-head compartments. SERVICE TRIANGLE Internal Marketing: Spice]et employees are rotated with respect to their Job duties and responsibilities. The employees enjoy this very much as it brings a dynamic factor in their working process. The company has a dynamic and 360 degree appraisal process which is appreciated by many in the aviation industry. They follow contemporary model of appraisals and the traditional method is no longer used.

The company employees can also refer people to the hiring team in the company. Cabin crew feral process is very elaborate and is very demanding. But this gives the company an option to easily recruit the best available talent in the industry. The staff also receives incentives and awards based on their performance and this brings in positive-reinforcement within the employees towards Job attitude and dedication. The staff also have to go through an annual training process which goes on for a week and primary skills and soft skills of the employee is improved during such workshops and training sessions.

Interactive Marketing: Regular customers of the company receive frequent information regarding special accounts and offers that the marketing team of the company is currently running. Most of the current passengers avail such discount coupons and repeat customers are easily attracted back to the company. The company sends such information regarding the offers through SMS/email/media ads. The company website is also very user-friendly and a customer can easily login to the website and book ticket between any two cities easily.

The company also has good presence on social media like Backbone, Twitter etc. The digital website of the company is also very interactive and also has details about vacation spots and travel itinerary. The company also has dedicated call centers where the customer can call in at any time and enquire about anything regarding his/her travel itinerary or regarding any information that the customer wishes to seek. External Marketing: focus is always on their on-time performance which they highlight in most of their ads or promotions.

They also advertise through social media like Backbone, Twitter and Youth. It also has special collaborations with major malls in tier 1 cities to promote the company and the specific offers that the company is running. They also have major collaborations with Credit-card companies that the customer may choose to buy. Advertisement hoardings are also put up in corporate buildings and offices to target corporate fliers. Frequent flier program has also been introduced by the company to attract corporate and regular travelers who frequently travel by air.

All these combined complete the service delivery model and make the service much efficient and pleasing to the customer. 1. Facilitating Services- Information – The customer needs to be educated about the details of the flight and any other detail that would be relevant to the customer. The information can be passed to the customer through multiple channels. Hence the staff/management has to be cautious and not overuse these communication channels Order-Taking – The staff should be well trained in understanding the exact needs of the customer and delivering the guaranteed service to the customers.

This can be done online, through agents, through airport counters or at Spiciest offices. Mobile booking option has also been introduced for the benefit of the customer. Billing – Billing can be done as per the convenience of the customer. The generated bill consists of the taxes, duties and other charges as per government regulations. Payment – The payment needs to be one before the Journey by the customer and there are various payment channels from which the customer can pay to the company. 2.

Enhancing Services Consultation – The staff is well trained to understand the travel needs of the customer and is always ready to consult and provide proper information to the customer. The company also has a dedicated call-centre team to take care of such needs. Hospitality – Hospitality is a major part in travel industry. The customers needs to feel at ease while traveling and should not be tensed while flying. The flight staff provides food and beverage to the customer. Also blankets and pillows are provided to the customer during the flight duration.

All proper steps are undertaken by the flight staff to make the customer comfortable. All flights have washroom service for the convenience of the customer. Safekeeping – The check-in luggage of destination of the customer. Child and elderly care option is also available Exceptions – Since the company has to handle both customers and also follow government regulations, exceptions are bound to happen. The company takes these exceptions with high importance and the staff are trained to handle these exceptions.