PRESENTED BYGROUP 2

CUTM - MBA

APresentation

on

AIR DECCAN India’s first low cost airlines

SIMPLY

FLY

Summary

• Air deccan lunched its LCA in India on Sep 2003• Its airfares is 50% of FSA’s• Targeted people – Frequent business travelers and train traveler (those

who travel in A/C coaches)• Offers no-frills services• For ticket booking customers can call the 24 hour call center or e-

ticketing• Tie-up retail outlet where the customers easily book their tickets.• It launches a Dynafares • Promoters promoted its services through print and outdoor media• Tagline – simplify• Tough competitors are “UB group”, Wadia groups “GO”, “Visa Airlines”,

“Air-India Express”, “Royal Airlines”.

1. Discuss how effectively Air Deccan has used the elements of its services marketing mix to market its services ?

ProductNo frills air travel There is no free food or drink onboard.

Passengers are buy them onboard.

Price• Air Deccan has low fares(50% of FSAs)• 25% of seats at pricing between Rs 700 to Rs

1500, 50% of seats were priced half of FASs’ and the rest 25% seats priced 70% FSAs’.

Place It provides it’s services in 8 countriesCustomers can book their ticket by calling the 24

hour call center. The customers also get their tickets in retail outlets

Udaya home world (consumer electronics chain store, Bangalore)

Online reservation system

PromotionPromoted through print and outdoor media Its advertisement mainly focus on low fares.Television advertisement

PeopleThe aircraft appoint only one airhostess to help the

passengersThe pilots and engineers are trained by contract basis.Physical EvidencePassenger are sit anywhere in a planeThe air Deccan lunches different prices for seats for

different seats. The prices depends on the time of ticket booking.

ProcessThe process begins with seat reservation and

conformationThe Air Deccan provided no frills services No food

service available(loading and unloading)Meals and drinks provided only those who are

interestedcleaning process was so simpleThe seats are not numbered. So passenger are not

select a preferred seatTakes 20 minutes to fly the plain instead of 1 hour

(more flight per aircraft were possible)

What steps has Air Deccan Taken to reduce the negative effects of perishability?

• All seats in a plane are same and the seats are not numbers

• For reduce the negative effect of perishability The Air Deccan increased its seat numbers To meet the demand of customers

• the Air Deccan lunches different prices for seats at different times of ticket booking.

• It tip up with retail stores

• THANK U