This paper will explore why Singapore Airlines has succeeded in building value for its customers by looking at its segmentation, target market, differentiation and positioning strategies.
"If you don't believe in your product, or if you're not consistent and regular in the way you promote it, the odds of succeeding go way down.” As Jay Levinson points outs, behind every great company is a great marketing plan. Singapore Airlines (SIA) is one such company that has achieved success through the use of integrated marketing. The primary message "Singapore Airlines - A Great Way to Fly" has been consistently conveyed in SIA segmentation, positioning, targeting and differentiation strategies, which in turn creates value for their customer.
2. Segmentation strategy
The success behind SIA marketing plan its in its ability to communicate a consistent brand. By understanding what each consumer segment wants, SIA has been able to create value for each of these segments. Bases for segmentation includes: geographic, demographics, psychographics, and behavioral.
Geographic: SIA customers are located globally as evidence by its passenger services to more than 60 cities in over 30 countries around the world. Demographics: Passengers who travels by Suite class and First class are predominantly males aged 25 to 45 years old. These people travel for business purposes and earn above $50,000 per annum. Half of the Business class passengers travel for business while the other half for leisure. Most of these passengers are males with an average age of 32. Economy class passengers are more diverse. They travel mainly for leisure and passengers come from different socio-economic background and age groups. Psychographics: In SIA, there are a wide variety of cabin classes such as Suites, First Class, Business Class and Economy class. Having such an array of services is vital as it allows SIA to meet the needs and wants of consumers who...