Research And Analysis In Business: Easy-Jet Analysis And How To Attract New Customers
Executive Summary
This report has been produced for EasyJet and relevant stakeholders to gain an understanding of how EasyJet attracts new customers. It gives some suggestions which should be taken into consideration for upgrading and supporting this business practise. It focus more into attracting new customers as the airline industry is always evolving with new competitors entering the industry, something that makes EasyJet to face an increased competition. The research based on EasyJet came out through a wide range of relevant literature, seminars and lectures. A basic survey of EasyJet attracting new customers has directed and different research source selected for this reports have been examined.
Introduction
Easy Jet is a low-cost European point-to-point airline. EasyJet use their cost advantage and number one and number two network positions in strong markets to deliver low fares and operational efficiency on point to point routes, with EasyJet’s employees making the difference by offering friendly service to the customers. EasyJet as Business started by Sir Stelios Hadji-Ioannou in 1995. Sir S. Hadji-Ioannou and his family are the major shareholder in EasyJet PLC. The headquarters of the company are based at Luton Airport. As the founder sir S. Hadji-Ioannou said “The airline operates on the basis of low cost achieved by eliminating the unnecessary cost and features which are common to traditional airlines”.
What is more the company expanded through setting up new bases and major acquisitions as a result “EasyJet being the 3rd largest airline ranked among 10 IATA listed airlines in terms of passengers carried. ”In this reports, a critical review of the practise of the practise of attracting new customers has been undertaken. This report will critically analyse relevant literature linked to attracting new customers. It will consider what research methods were used by the author. Furthermore it will conclude by providing justified recommendations for EasyJet to be taken into consideration in order to improve and enhancing the future of marketing of the company.
Social media marketing and advertising
Social media marketing and advertising as Vandana Gupta mentioned “has revolutionized the ways of communications in sharing information and interests. The rapid growth of social media and social networking sites, especially in developing countries is providing marketers a new avenue to conduct and attract new customers”. Easy Jet as a big organisation is investing millions on social media marketing and advertising. Recently they launched a huge campaign aiming to create a more emotional connection with customers but also to attract new customers. The campaign which came out on September 2018 is based on many researches as the EasyJet’s CEO Carolyn McCall said “the role of digital also goes beyond advertising with EasyJet increasingly focused on its apps as a way to improve the customer experience and engagement. A soon-to-be launched function will enable users to link seamlessly from a photograph of a destination though to booking”. EasyJet by using social media and other ways of advertising managed to be number one in Europe low-coast airline in sales leaving behind Ryanair, Eurowings and Wizz air.
Customer orientation
“Connecting with customer” (2015) explores customer orientations and what it means to be a customer oriented company. This article was published in 2015 and written by a marketing director, Elizabeth Fagan which is well known in her field of study. Elizabeth (2015) suggests that EasyJet need to “differentiate itself from other budget airlines and create incremental revenue not just through hard sales, but through a memorable and positive traveller programme”. EasyJet should stop focusing primarily on growing the company and alternatively work on growing customer satisfaction to attract new customers and to become officially a customer oriented company. If the company don’t focus on the customer orientation, it will put them in a big risk of another competitor to become the leader of the industry.
So EasyJet managed to start different campaigns and online surveys in order to have a better connection with their customers. In the first ten months the pre-flight programme had been delivered to more than 36 million passengers as a result the overall revenue to grew up 26% and by making a passenger record of over 60 million a year.
Purchasing behaviours and motives
“Consumer behaviour in tourism: focus on EasyJet” is an article that discusses the behaviour and motives of EasyJet’s customers. This article was published in 2007, sourced from “Google Scholar”, a reliable source used by professionals and lecturers. The authors were Susan Horner and John Swarbrooke, both University lecturers with a fame in their field of study. EasyJet as sir Stelios Hadji-Ioannou “is trying to change the way customers behave by encouraging them to take impulse decisions to fly”. The company is encouraging this type of impulse purchase decision by using a public relation campaign comparing the price of airline seats with a the price of a pair of jeans. The main customers of EasyJet are people from B and C1 socioeconomic groups originate in UK, although this differs according to the route. What is more EasyJet attracts many students and people working throughout Europe on short or long term contracts, cause of the cheap one way flights.
EasyJet also attracts professional people especially in Uk who used to travel by train for business events and meetings. The company for domestic flights managed to offer cheaper air tickets than train tickets, something that made professional people easier and more convenient.
Last but not least EasyJet had to increase advertising cost cause they predict that the type of consumer profile will continue develop and change.
