Ryan Air Case

Topics: Airline, Aer Lingus, British Airways Pages: 4 (1166 words) Published: August 31, 2013

Ryanair Case Analysis
Situation Analysis (on the basis of 5Cs)
1. Company
Ryanair is an airline service founded by Tony Ryan and his sons, Cathal and Declan Ryan in 1985. They started with a 14-seat turboprop aircraft between Waterford and London. After its success and proving their mettle, they started operating between Dublin and London, which was a lucrative route in terms of profit.

2. Collaborators
Ryanair should have alliances with the caterers as they intend to provide in-flight food. Apart from that, the other collaborators such as fuel purchases, engineering and maintenance contractors, staff accommodation etc would be similar to any other airlines. They are an integral part of the eco-system of airline business.

3. Customers
* Market Size: Currently half a million round-trip passengers fly the route each year. The number of airline customers has been stagnant for a decade. Also, we can capture the market of customers who are opted for rail and sea ferries instead of aircraft. Assuming that 70% of those people will shift to Ryanair to save time (while the rest might still want to travel by rail and ferry to save cost), we could potentially have 500,000 + 525,000 customers. * Market Segments :

* Based on purpose of travel : business and leisure/vacation * Based on spending ability : high(business class) and low(economy class) * Benefits sought by consumer
* Value for money
* Customer service
* Unrestricted prices
* Tourist : promotional fares
* Motivation for consumers behind purchase
* Saving travel time for customers who are currently using the ferry * Saving expenses for customers who are travelling by BA or Aer Lingus * Customer would purchase an air ticket, mostly after careful comparison as opposed to making an impulsive decision. * Purchase frequency would depend on the type of consumer-...
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