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JET BLUE AIRLINE START UP

David Neeleman C. E. O

Launch of Jet blues : Feb 11, 2000

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Full service carrier

Low cost carrier

Jet blue airline is the low cost carrier on.

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Serve 20 cities around the country

Initially because of inadequate funds, theysecure capital from several high profile firm,

started with initial capital of $130 million

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HISTORY

David Neeleman :

A Man fired from SOUTHWEST AIRLINES.

Became C.E.O of JET BLUES.

Sold his first airline salt lake city based Morris Air, low fareflights between salt lake city and Hawaii, to southwest airline.

After leaving southwest, he launched WEST JET to develop e-

ticketing to implement at Morris Air into open skies.

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CREATING A DIFFERENT KIND OF AIRLINE

Jet blues experience : Along with charging low fare,offering unique experience that delight them on every flight.

Jet blues operation at JFK

Talk the talk and Walk the walk

added long beach municipal Airport

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Ideal airline by offering new aircraft, simple and low fare, leather

seats, free live TV, pre - assigned seating, reliable performanceand high quality customer service, channels of FM radio

Airbus A320 aircraft.

Online customer survey.

Offering $159 vouchers a flight whenever delayed for more then

four hours for reason other then weather or air traffic, receiving$ 25 on a lost or mishandled bag

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STRATEGIES

1. Market segmentation

People who are disgusted with their current choice.

People who have never used airline before.

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2. Focus on point to point service

3. Increased frequency of service to existingmarket & it entered attractive new market as well

4. Added long beach Municipal Airport

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FEATURES

Simplicity, Technology, Design, Entertainment, Friendly people

New aircraft, Simple and low fare, leather seats, free live TV,Pre- assigned seating,

Low operating cost

Technology as competitive advantage

Productive people

customer service service recovery

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UNIQUE SELLING PREPOSITION

1. PUNCTUALITY Ontime service

Reliability

Stand by there.

Words

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UNIQUE BUYING PREPOSITION

Customer satisfaction

Happy with the services

Less complaints

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STATISTICAL ANALYSIS

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REVENUE COMPARISON

Jet Blue Airlines Southwest Airline

Year launched 2000 1971

Employees 2116 35000

First quarter revenue $133 Million $1.26 Billion

Fleet 27 A320S 366 B737S

Daily departure 103 2800

City serviced 19 58

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COMPARISON

Jet blues Airline Southwest airline

1. 5 central valuesSafety, carrying, integrity, fun andpassion

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2. Salaries provided was lower thenothers but provide job security,promotion to pilots after every 3 yrs

Salary provide was better than jetblues but no job security

3. design flight attended positions toencourage employees to stay shortterm rather than long term.

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4. operated without unions Operated with union

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AMBITIOUS PLANS

Plans to serve Turks & caicos Island

Goal to have 290 planes and 25,000 employees

Has started adding frequent flights to 21 cities

Planned international service to santiago, chile and santoDomingo, Dominican Replublic

Expect to hire between 100 to 1800 employees

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CONCLUSION

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THANK YOU