Jet Blue Airlines
Company Overview:
Jet Blue Airlines Corporation is a passenger carrier airline. The company primarily provides transportation services to the Caribbean, Latin America, and the United States of America (Editorial, n.d.). In its aircraft line, it has more than 200 airplanes, including Airbus A321, Airbus A320, and Embraer E190. The company offers several customer packages. Customers purchase tickets through Blue Plus, Blue Flex, and Blue (Editorial, n.d.). It also has a unique fly-in internet service.. Don't use plagiarised sources.Get your custom essay just from $11/page
Current Marketing Strategy
Product: the core product for Jet Blue airlines is to improve on the Airbus A320, which is the highest-ranking profit-maker for the business. The action plan is to custom-fit and designs the interior to suit client needs(Zigu, n.d.-a). These include sufficient legroom, internet connection, inflight entertainment, and satellite TV(Zigu, n.d.-a). As for the television screen, the airline provides 10-inch touch screens for the clients.
Price: Jet Blue’s main plan is to improve the value for the customers. To achieve this, the action plan is to offer affordable prices for fares for the clients. The need is to say ahead of the competition(Zigu, n.d.-a). The merit of this action plan is that Jet Blue offers the lowest airfares compared to its competitors but remains profitable.
Place: the airline has enabled a codeshare agreement with other airlines globally to ensure that it is allowed to provide its services worldwide(Zigu, n.d.-a). Currently, the action plan entails targeting over 100 flight destinations, including Colombia, Costa Rica, Haiti, the Bahamas, among others. In its initiative, the airline has partnered with other channels of distribution, including Air China, Turkish Airlines, Emirates, and Korean Air(Zigu, n.d.-a).
Promotion: The main promotional channel the airline uses is advertisement through mainstream media as well as social media. The action plan entails the use of digital media from print, magazines, television advertisements, and online websites such as YouTube and Hulu(Zigu, n.d.-a). The main catchphrases include “unbelievable,” “we like you too,” and “You, above all.” (Zigu, n.d.-a)
Environmental Scanning
| Factor | Analysis |
| Strength | – The airline enjoys high profits, given its low fare charges against its competitors (Zigu, n.d.-b). – It has wide aircraft fleets that are new and efficient. – It possesses high customer satisfaction due to interior décor. – It serves more than 75 destinations(Zigu, n.d.-b).
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| Weaknesses | – It serves limited international destinations – It has no presence in high tourist destinations such as Asia. – Less competitive advantage due to the high costs associated with its facilities (Zigu, n.d.-b). |
| Opportunities | – The capability of securing the American market due to its geographical coverage. – The capability of introducing more efficient airplanes in the future(Zigu, n.d.-b). – The airline can expand into new destinations with a focus on the Asian market. |
| Threats | – Rise in fuel costs globally due to the shift in the demand-supply balance – Fluctuation in demand for air travel due to insecurities such as terrorism(Zigu, n.d.-b). – The cost of reformation done by other airlines is too high for the business. |
Segmentation & Targeting
Market description & segmentation: Jet Blue Airlines is predominantly in the domestic market alongside companies such as Delta Airlines and American Airlines Group. Primarily, the airline has concentrated its market in the north-east region of the United States of America, including New York and Boston(Must-know: JetBlue’s position in key target markets, n.d.). Jet Blue Airlines’ target market is the middle-class clients in regions of New York, Boston, Caribbean, Latin America, Fort Lauderdale, and Los Angeles. The characteristics of the target market ideally prefer high-quality services(Must-know: JetBlue’s position in key target markets, n.d.). The customers prefer non-stop routes that Jet Blue airlines provide, unlike its competitors such as Southwest Airlines. Its market segment is middle-class or price-sensitive upper-middle class.
Positioning
The airline’s positioning is a low-cost carrier. Jet Blue Airlines has three main competitors. These are
- AMR Corporation that targets the middle class and upper-class customers who prefer comfort and punctuality(Zigu, n.d.-a).
- Southwest Airlines, a domestic airline that targets price-sensitive passengers within the middle class and is a low-cost carrier(Zigu, n.d.-a).
- Delta Airlines, an international airline that targets passengers who prefer safety, comfort, and reliability within the middle class and upper-middle-class segment.
Overall, Jet Blue has positioned itself as a low-cost carrier that looks for low-cost, high-quality passengers within the domestic American market as well as international(Zigu, n.d.-a). The difference with its competitors is that they are not diversified as Jet Blue Airlines. AMR Corporation is international and serves the middle class, whereas; Delta and Southwest Airlines serve international and domestic flights(Zigu, n.d.-a).
Developed/Improved Marketing Strategy
Product: Jet Blue airlines will improve in-flight entertainment. It will target the incorporation of internet-based streaming with connections to Amazon and the Bub as well as video-on-demand. It will also have satellite televisions that are 10-inch touch screens for each seat.
Price: the airline will provide lower prices to its specific target market. The airline’s motto is ‘bring humanity back to air travel.’ Targeting the low-price customers will improve sales revenue.
Place: the airline will expand operations into Europe and the Asian market through increased aircraft purchases and partnering with other airlines to increase services globally.
Promotion: the airline will target social media. Digital marketing will include Instagram, YouTube, Snapchat, and Facebook. Each platform will have specialized catchphrases and slogans.
Any adjustments based on feedback
The airline will improve on customer experience through the improvement of payment system using multiple platforms other than Visa and MasterCard.
Objective
The potential goal is to improve on the profitability of the airline ideal for increased cost reformation of the aircraft to reduce airfare even further.
Challenges
The cost of reformation will be higher, given the increase in fuel prices. It will also make it more challenging to lower fare prices as well. To overcome the challenges, fuel-efficient airplanes will be purchased in exchange for the current ones soon.
References
Editorial, R. (n.d.). JBLU.O – JetBlue Airways Corporation Profile | Reuters. Retrieved April 18, 2020, from https://www.reuters.comundefined
Must-know: JetBlue’s position in key target markets. (n.d.). Retrieved April 18, 2020, from https://finance.yahoo.com/news/must-know-jetblue-position-key-130022386.html
Zigu. (n.d.-a). JetBlue Airways Marketing Mix (4Ps) | JetBlue Airways Marketing Strategy. MBA Skool-Study.Learn.Share. Retrieved April 18, 2020, from https://www.mbaskool.com/marketing-mix/services/17719-jetblue-airways.html
Zigu. (n.d.-b). JetBlue Airways SWOT Analysis | Top JetBlue Airways Competitors, STP & USP | Detailed SWOT Analysis of Brands. MBA Skool-Study.Learn.Share. Retrieved April 18, 2020, from https://www.mbaskool.com/brandguide/airlines/4326-jetblue-airways.html