Classic Airlines Marketing Solution

Only available on StudyMode
  • Download(s) : 70
  • Published : March 30, 2013
Open Document
Text Preview
Kotler and Keller, describe within our text, how the creative and formulated sides of marketing experience continual strain in their relationship. This constant tension is demonstrated in the Classic Airlines Scenario by the key players. The CEO and CFO, both have similar business styles, which are more practical and less visionary. With this mindset, they consistently clashed with the CMO and his ideas of innovation.

Although Classic Airlines hads grown into the fifth largest airline in the world and was still profitable, challenges have besieged them and do not seem to be letting up. Experiencing a 19% decline in their rewards membership and a 21% downturn in flights taken by the remaining members, their share price has dropped by 10% this past year.

Classic Airlines had became the perfect example from our text of a company at the greatest risk by not monitoring their customers and competitors carefully; thus, allowing the consumer confidence to diminish. Throughout the correspondence from the key players, it is made apparent by Amanda (CEO) that there isn’t any more money to be placed on the table, even if there is a chance to bring the company out of constraints.

Shaw in his Marketing Strategy article stresses how the appropriate marketing strategy can make or break a company. The CMO of Classic Airlines (Kevin) attempts to establish a better way of showing value to the customer. Made clear by the key customer comments, it isn’t necessary to spend a great deal of money to raise customer satisfaction. Instead, several comments state how they use to be treated back in the good ole days and another wants to be treated like the paying customer that they are.

As the Scenario draws to a close, Kevin (CMO) presents his potential cost-saving recommendations to the VP of Customer Service and Human Resources. All three are employee affecting such as location closure, commission canceling and offering a package to encourage early retirement or...
tracking img