MARKETING STRATEGY FOR AIRLINES OPERATING IN IMO METROPOLIS (A CASE STUDY OF EXECUTIVE AIRLINE SERVICES OPERATING IN IMO METROPOLIS)
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MARKETING
STRATEGY FOR AIRLINES OPERATING IN IMO METROPOLIS (A CASE STUDY OF EXECUTIVE
AIRLINE SERVICES OPERATING IN IMO METROPOLIS)
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Marketing
strategy can be said to the marketing logic by which he business unit experts,
to achieve its marketing objectives, which consists of decision making,
marketing expenditures, marketing mix and marketing allocation in relation to
expected environmental and competitive conditions to expected environmental and
competitive conditions. Kotler (200:170).
However, the
airline operation have to blend effectively with the above variables in the
most efficient and result best out of their strategic, which results to an
improved performance. To will also enable the to beat the competitors from
every angle.
The
importance of Airlines in transport industry need be over emphasized. It help
to create time and place utilities. Airlines is regulated for its high sped and
comfort, it is therefore mostly used for transporting high value, perishable
and emergency freight.
In order to
serve the customers transport need very well, there is need for airline
industry executive airline service to embrace the effective marketing
strategies.
Olakunori
(2000:247) noted that the aviation industry is very interesting though air
transportation is regarded as the most modern means of transport today.
Executive
airtime services as the name implies, simply means executive airlines services.
The common assumption of airline users were that the airlines was for the
executives. Cut in actual sense it was not meant for the executives alone. An
average citizen can fly with executive airline services to different places
comfortably the executive airline services do not start with the name executive
airline services. But rather they started as a chartered in 1996, from they
went into cargo operation.
Although thy
were into partnership business, they operated for some years before it was
changed to executive airline services about three (3) years ago and from there.
They have been into passenger/commercial operation.
Executive
airline services through relatively new in the transport industry has made on
appreciable contribution to the industry. But of recent, there have been
increase in airlines like sosoliso, Abarika airlines etc. these has brought
about competition, that have been affecting its profit and customers patronage,
one is bound to ask how executive airline services can improve its services in
order to survive in our competitive marketing environment designing effective
marketing strategies is the answer.
Thus, the
study, the researcher takes a look at effective marketing strategies for the
airline operating in Imo metropolis with particular interest on executive
airline service.
STATEMENT OF
THE PROBLEM
The market
for airline service is highly competitive, this is due to the present of both
national and international airline that has made in road into the industry
Among these,
is executive airline service (EAS) it occupies a significant position within
the industry with its airline operation that cares the following routes –
legal, port Harcourt, Jos, Abuj, Kano and Imo.
The company
has been performing very creditably as an evident from becoming a household
name among airline users.
The
questions that comes to mind therefore are what are the sources factors that
have determined effective performance of executive airline service operation?
How effective are the company’s marketing strategies? And what is customer’s
perception of the company’s devices in relation to other airlines?
In order to
provide answers to the above questions the researcher critically investigated
the marketing strategy adopted by executive airline services.
OBJECTIVES
OF HE STUDY
The
objective of the study among other things include:
To determine
the level of airline users of executive airline services.
To determine
the impact of marketing strategies on profit of executive airline services.
To determine
whether airline users are satisfied with fare charge by executive airline
services.
To determine
the impact of executive airline service promotion strategies on its services.
To determine
the factors that influence the choice of airline by passengers.
To recommend
appropriate measures aimed at importing the marketing strategies of executive
airline service.
1.4 SIGNIFICANCE OF THE STUDY
The
importance of the study cannot be over looked or are emphasized. The research
which was carried out is to determine the extend to which the marketing
strategies performance in airline operating in Imo metropolis is quite valuable
in the following ways:
To help the
researcher to know about marketing strategies for airline operating in Imo
metropolis.
To help the
airline operators in Imo metropolis to realize and understand better the
importance and effectiveness of marketing strategies in attracting and
maintaining customers.
iii. It serves as a reference point to the
airline operators in Imo metropolis by giving them insight about the danger,
use of wrong marketing strategies and ideas which place the marketing
strategies of airline operators in a right channel.
To highlight
areas that requires improvement in marketing strategies airlines operating in
Imo metropolis for better performance.
It will
enable the airline operators to know how to maintain their customers in order
not to leave them for another airline.
It motivates
patronage due to the potential treatment like the instant discount.
Vii. The user enjoys the privilege of being among
the easy group of easy fliers
vii. It helps the read to know some of the things
that may also attracts the needs o patronize executive Airline services.
1.5 SCOPE OF THE STUDY
This
research work covered all the area in marketing strategies in airline operating
in Imo metropolis which includes their promotional, price, product and place.
However, the
extent of the study “:Effective marketing strategies for airline operating in
Imo metropolis focuses on EAS airlines.
LIMITATION
OF THE STUDY
The study
has the following limitation and constraints.
Hoarding of
information: This is a common problem with company executive and consumers
information that is classified as confidential activities are never disclosed
for the fare that such might expose the strategies, weakness or strength of the
company to the public and competitive
Non –
availability of literature: Challenges of marketing for small scale business as
subject matter is relatively small one and not much has been publish about it,
hence it was difficult to get enough information to buttress the challenges of
marketing for small business enterprises.
Finance: As
a result of the economy, hardship in the country, the researcher found it
difficult to get enough money to make work more attractive.
Time factor:
The time given for research work was too short, hence the researcher combined
the project with normal class work to ensure speedy competition of the work.
Sample size:
The researcher encountered problems of reaching a reasonable sample size of the
population in order to have actual and genuine option
1.7 DEFINITION OF TERMS
Marketing:
All important set of creative human activities aimed at identifying human needs
and want through exchange as efficiently and as effectively as possible
(Adinika (19903).
COMPETITION:
The struggle to gain advert, profit or success from the customers over the next
person mostly among firms in contemporary business (Ozor 2001)
VARIABLES:
Anything that is extended to the firm not under the control of the management,
such as the government, policies, political crises, competitor etc. (Olakunori
200:224).
MARKETING
STRATEGIES: A game plan for achieving a set of objective. It is part and parcel
of strategic planning process (Subbash 199-:12)
CUSTOMERS:
The people that buy from either a manufacturer or consumers, but may not
necessarily be the users of those product ( Olakunri 2000 : 227)
PRINCE: The
amount of money, he customer pay for product or service of the time and place
of exchange (Kotler 1996:46).
PROMOTION:
This is one of the component ot the market mix used by an organization to
inform, educate and persuade the marketing, regarding the company’s offering
(Ebu, Adirika and Naolin 2001:58)
DISTRIBUTION:
This is concerned with the effects which firm makes in order to get its
products to the target market (Olakunon 1999:93).
PRODUCT:
Anything that can be offered to market for attention, acquisition, or
consumption that might satisfy a want or need it includes physical, services,
persons, organization and ideas (Kotler 2000:247).
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