EXECUTIVE SUMMARY
The Australian airlines has better potentials in using the super economy class concepts for such domestic flights as there can be enough marketing ways of providing similar stages of service in lieu to certain super economy class concepts for Australian domestic airlines as there can be growing stance of marketing competition within other airlines and will open a way for the decline of business travellers all over the region as Australian airlines like for instance, the Qantas airlines and British airways as these airline carriers should discover as well as find innovative ways to market services and products in order for the airlines to magnet possible passengers and customers in engaging its airline markets into a super class economy at reasonable fares as there sees growth within the global market. The Australian airlines can be unsure of the super economy class concept as several airline carriers have better responded to the growing market through changing such price value as such airlines have decided to offer economy class on such new travel routes and destinations. Aside, possible travellers who desire for using super economy class, don’t have much choices to make as it can possibly make up like one third of travellers inside the aircraft as there can be people that are squeezing miniature seats within economy section as being subsidize and be able to wing in same location and reach the destination in time but can be little as ten percent of economy group costs.
SITUATION ANALYSIS
The organization changes in airline domestic travel attached with some economic woes of airline industry has beginning to challenge one belief of airline executive and makers of aircrafts as it implies the coming of recession and war crisis the air travel in Australia and other region will constantly remain on the groove and its growing indication factors and processes even if the domestic airline markets will use and adopt super economy class concept for its respected business travelers as it can be due to the reality that such travel growth as it can be hard for Australia’s airline carriers to possibly be keen in soaring the airlines on other regional destination as the new concept upon its realization will carry those airlines into innovative point in time as well as increasing the chance for strength of struggle in business. The evidence of success in business travel market for the possible realization of the super economy class will tend to indicate as either business travelers patronizing those carriers such as Qantas and British Airways in order to do business as market changes it is important to attempt to assess the nature of short airlines travel market as there is a need to provide economy class plan in order to protect the uprising of low airlines in the Australian markets as the management of these airlines will need to know and be familiar of possible essential information that will create useful opportunities for the super economy class be a true success suited for business travelers as the airlines will target prospected customers and will position the business in a more stable manner.
There is competition as well as dynamism involved in the airline industry that will relate to whatever management decisions to be created by the Australian airline industry that will cater to the domestic market as the super economy class concept will presumably involve novel entrants of such low cost airlines of engaging into travel discounts and low airline fares as the Australian market for its airline business has been exposed to globalization that has an effect to such economic situations that will trigger risk factors and circumstances as it can involve airlines like Easy jet, Ryan Air and Qantas as there adheres the challenge for affordable prices and cost structure and the decision for the Australian airlines to patronize the emerging super economy class concepts that will include business travelers within the Australian region to have flights for other destinations. The marketing of the new concept as there is the rising of other products and services in the world market such as the increased of oil prices in the Middle East countries as there are also other controversies that affect the airline industry market and from then on, it was just easy for the customers to compare airline fares among those carriers.
Thus, in marketing instances, there can be the adaptation of useful segments like the leisure segmentation as there is the involvement of tourist as well as student travel packages for novel means and the growing of bookings through e-tools like the presence of internet ticketing as it is a form of a customer segmentation that is price sensitive as there is a paradigm shift that had happened in the airline business market, as there was cost cutting as cost and price value can be serious to business travelers as there are changes in travel policies and the switching from first to business class travels among big time customers as such several managers were already aware of economy class flights as the airlines tries their best shot to keep loyal customers and usual flyers and there is also airport lounge access from within. Henceforth, there is also launching of super economy class in airlines as it can be a new product line that the Australian domestic airlines can use for their business travels and ordinary flights.
The organization decision to realize the new concept of super economy that will position the airline business on a positive assumption as the central target for such market segmentation would be the business travelers like the changes made by Air Canada and introduced middle ranges in air fares and uses the super economy class as other airlines is also up to the challenge in adopting the new product concept for the airline business like for instance, British Airways considers it as a travelers plus and that, Scandinavian Airlines label it as economy extra as the concept for prices and cost is visibly lower as compared to business class accommodations and services but not all airlines has agreed to the new concept one proof for the situation is American Airlines as the airline terminated its super economy class last 2005 and replaces it to regular economy class while, the United Airlines is only using the super economy class concept in its fleet and believes that the new service concept has added brand image and is pursuing a new market strategy to its business competitors by involving cost cutting of airfares and services reduction.
Furthermore, the Australian airline market id quite small as compared to the American airline market as there is involvement of few key players like the Virgin blue Airlines, Jetstar as well as Qantas as market share of the latter comprised to eighty percent of its domestic fleets and the share of thirty six percent from the Australian bound markets as of 2004 and the shifting mode of shares in the market as Qantas have low cost subsidiaries and also the Jetstar airways and the continuing success of Virgin Blue as owned by Richard Branson as there was an increase of thirty percent in its respected shares in the airline market in Australia as there are better segments offered to the customers and travelers for only small fees like the extended leg room as Qantas offers business and economy class for most of their fleets as some airlines will not use the new concept on its star class but only on domestic fleets. There was also the rise of new aircraft that has flights to Sydney and Melbourne. In general, there is no airline still in the Australian region that applies the super economy class concept for its domestic services even though there can be market segments that focuses on cost aware business travelers and that there can be chances and better possibilities that such business travelers in Australia will be interested in using the new product that is more affordable and cheaper fares as compared to other airline carriers and probably, there is a need for Qantas Airways to use and adopt to the new super economy concept desired for the domestic fleets respectively.
EVALUATION OF DECISIONS
There is a need for Australian airlines such as Qantas to strengthen whatever opportunity that can be found in airline industry through engaging into established process of valuing its marketing strategies and a detailed planning structure helping promote better strategic moves and be able to provide good customer services to the customers like by having discounted flights and value promotion to keep the competitive advantage at a stable mode within its competitors and will need to focus more on the core competencies that allow those low cost airlines to practically and wisely design suitable airline operations within the bracket of their marketing network services in a market standard-based perspective. These airlines should amicably need to be goal oriented and must not stop to rejuvenate and change marketing plan strategies timely in order to re-invent the performance process upon the upgrading of rules and regulations of airlines and should adhere to liberalization in the market along with the impact of super economy class packages of air travel that can lead to a long-term decline in sales and profits.
Thus, Qantas for example and other Australian airlines will possibly need to segment customers using value-based and needs-based approaches. These airlines must be proactive in pursuing initiatives that respond to the needs of their customers and also provide a high rate of return. Qantas airlines and others will amicably need to pursue an organizational design that imbues employees with a service mentality and provides them with a clear understanding of their role and a complete view of the customer and by allowing value-based segmentation upon the presence of super economy class airlines that enable to understand the profitability of every business travellers and valued customers as the new concept will allow certain identification of high-valued business travellers as loyal customers to the airline carriers in terms of awarding higher market segments as the Australian airlines will possibly desire and wanted to provide best quality flights to its loyal air travellers and respected customers in offering reasonable and justifiable reasons to spent money implying to the new status of super economy class in the air carriers in lieu of travel frequency and safety. Then, the rising of budget airlines have stirred up the domestic airfare market significantly as there is cheaper airfares being offered to business travellers that has benefited in terms of steady competition among other airline carriers.
For evaluation of such managerial decisions to be made, there is now factual data that such business class packages for domestic fleets are now downgrading and is beating up the Australian airlines as it urges the company to reduce and cut down its prices like for example, Ryan Air Airlines suffered downfall of approximately fifth in first class as well as the business class reservations as the situation was similar to the dented profits of British Airways and that domestic airlines has tendencies in closing the aircraft’s first class section for the reason of no charge paying the passenger to place to the desired class. As the reasonable paying feature matters as some of the business passengers sitting in business class have to take certain travel privileges and that the super economy class can possibly obtain upgrade due to complete fare nation tickets as it can be considered as VIPs that can be people in the government as there can be unique promotions to gain business upgrading of the Australian airlines such as of Qantas and there is the receiving of huge fare discounts respectively. Moreover, those airlines are sticking for possible hope that if business economy will recover then, the concept for super economy class will be positive and acceptable within the Australian market and also, there is the presence of such crucial disparity as the airline pricing cannot be maintain and sustain for such reasons:
FINAL RECOMMENDATION
Furthermore, Australian airlines wanted to create flying environment friendlier than people as the Australia had develop into and set amusing back into the wing and in views of the history regarding the Australian carrier market and can be hard and astounding that travellers will choose to wing with Qantas on such flight as well as with Virgin Blue for money value is important factor taken into reflection for choosing Australian airlines over others. For Qantas Airlines, there is room for improvement as the airlines delights the economy group travellers with ample respect while industry group receives pampering by airline staff as there can be travel industry for employment and the uses of super economy will have standardized services as it can be that the Qantas airlines do not fully appreciate the culture of the Australian region as to the reality that there is not just business class as well as economy group of travellers that will depend on every travellers needs as there were concern about certain low value of food that the airline is serving as it has been changed and now there is dinner being served.
Moreover, business travellers can choose to use the economy class in their travel destination as there is the creation of seamless relationship as it can be positive marketing strategy that Australian airlines can use in upgrading common passengers without forfeiting super economy class over upper class seats and the fact that, Qantas Airways will have to offer the super economy as well as business class seats within Pacific region such as in Kuala Lumpur also in Shanghai as well as Seoul in South Korea as to which Qantas has struggled to put up stable profit and sales earlier as the new service concept has stated last August of 2002 as there using new airplane and have low price stand as well as the use of e-ticketing in reducing air fare cost value. The growing competition make it hard to accuse trade travellers of elevated prices due to a superior way in for a discounted fares like for example, when air fares are less and such competition is intense then, there is a chance for super economy class to boom as certain passengers will be using the discounted tickets of quite more than half of the total air fare as such, travellers will make such journey for industry as the travellers will account for almost half of passengers along such planned in presenting certain Australian airlines marketing areas of engaging in huge confrontation that implies better glance of super economy class advertisement and promotion strategies enough in demonstrating that such Australian domestic aircraft recognizes just how to put in market the wealthy travellers and not to everybody.
Credit:ivythesis.typepad.com
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