Wednesday, March 1, 2017

Emirates Airline: Driving superior customer value by First Class Flight_Deborah Que 1155082157

Emirates Airline: Driving superior customer value by First Class Flight
                                                                                                                       Deborah Que 1155082157

There continues to be an explosion in air travel, which makes it a very lucrative industry to be in. It is believed that China will overtake the U.S as the world’s largest passenger market. By 2034, flights to, from and within China will account for some 1.3 billion passengers, 856 million more than 2014 with an average annual growth rate of 5.5%. To vie for the business in such a competitive industry, airlines have gotten creative with their marketing strategies to generate buzz and attract customer attention, starts on a screen on a phone or computer and ends returning home with their luggage intact, incredible memories and new contacts. 

Unlike companies selling tangible products, airlines exist as part of the service industry. In the service industry, various companies compete to offer the best experience despite relatively similar end products. In the process of consumer decision making, companies should try their best to market the service as tangible. This means marketing efforts that show the direct benefits of using that service, benefits that rest in a psychological understanding of what consumers want.

Case Study: Emirates Airline

Emirates, an airline based in Dubai, has always been on top of the airlines list in the UAE (United Arab Emirates). Emirates has built a significant brand image in the past two decades. Many customers have become loyal to the brand due to the high quality and excellent service offered by the airline. There are plentiful reason bringing Emirates to be ranked as a top-class airline. 

This essay will focus on the value proposition of Emirates first-class flight in relation to the consumer purchase decision. In seeking to deliver significantly superior customer value, Emirates clearly defines, communicates and delivers a value proposition, “superiority”, to its target market.  

“Arrive inspired in First Class. Unwind in your own Private Suite, rejuvenate in our A380 Shower Spa and savour fine dining served whenever the mood takes you. Fly First-class and make every journey your own.” It is a remark stated by Emirates first-class. 

There are several services featured in Emirates first-class flight I would like to highlight in accordance with Emirates value projection: “experience esteem”, “well-being” & “being able to afford the product”

1.
Being in the first-class, flyers can enjoy a series of services which differentiated Emirates first-class experience with other airlines. Flyers can socialize in a modern onboard lounge, featuring a sleeker design. They can meet other jet-setters at 40,000 feet in an ambient setting. Meanwhile, it offers a more social seating arrangement and more open areas for mingling, and sink into relaxation while enjoying a cocktail and a selection of nibbles. Travellers can also catch the major live events with fellow travellers on a large LCD TV screen. 


“When I saw the pictures, the first thing that came to mind was that this looked like a cabin on a yacht or private jet. It’s almost a bit surprising. This interior is actually elegant, rather than the typical over-the-top bling that Emirates has.” (Lucky, Boarding Area). 

2.
First-class customers can enjoy their own sanctuary in the spacious first-class private suites, each equipped with an electrically operated sliding door, a personal mini-bar, adjustable ambient lighting, and its own vanity table, mirror and wardrobe. The seat can be converted into a fully flat bed with a mattress and drift into a restful sleep. Travellers will be treated to the excellent service from Emirates award winning multilingual crew from over 100 nations.


“For the first time ever I couldn't wait to board and settle in a Private Suite that's a little like a luxurious cubby house in the sky” (Sue Wallace, Traveller)

3.
Travellers can indulge in a refreshing shower at 40,000 ft., refresh with the onboard shower spa, using the selection of Bulgari toiletries and signature organic seaweed VOYA products.


“In my over four million miles of flying, possibly the only time I’ve giggled uncontrollably was when I took my first shower on the Emirates A380. The state of modern aviation never ceases to amaze me, when you look at how far things have come,” (Lucky, Boarding Area). 

“Most travellers who've flown in both cabins believe that Emirates' showers are pleasant, with adjustable heated floors, and a panoramic wallpaper view of the Dubai skyline. There are few things more novel on a plane than having the ability to dance around in a space big enough to do cartwheels, in front of the Dubai Skyline, in your bathrobe!” (Loungebuddy)

The benefits of the first-class flight are most central to target customers is a fundamental issue in Emirates marketing strategies, i.e. product differentiation and positioning. Emirates has been successful with a the "value strategy”, also named as high price strategy. Its first-class flight offers services with premium quality in the central benefits, and the customers perceive these benefits and are willing to pay the price premium. The current first-class services provide attributes that foster customer satisfaction. To conclude, based on a customer-oriented service development, creating and increasing customer value is the key target for service development by Emirates in accordance with the value comprehension of customers.

P.S. Here is a customer value framework for air transport as a reference. 



Reference

Airline review: Emirates first class, Dubai to Sydney

Consumer Values, Product Benefits and Customer Value: a Consumption Behavior Approach

Customer value of the first class product on long-haul flights -A Kano Analysis

Digital Marketing in the airline / aviation sector

Emirates Official Website

The Most Luxurious Suite in the Sky: Emirates VS. Etihad 

What: Emirates Is Introducing A New Onboard Bar



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