Guide: Prof.

Vivek Sthalekar
Team: Garima Chauhan Dias Babu Nikhil Bhase Leonard DSouza

Subject: Consumer Behavior

About the Case Study

This is a case study of Sales promotion being used to excellent in Transport . Predominantly Sales Promotion then were used for FMCG, Domestic Appliances and Industrial products and services. How an advertising campaign can give boost to this service. As a part of Marketing strategy in 1990s; British Airways reemphasized the values of Caring and Friendly qualities of its Customer Service, and the Authority & Power that comes with the Worlds Most Comprehensive International Route Network.
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About the Case Study

A communication package entitled Global was developed. Its objective was to generate quick awareness of the British Airways Global commercials and stimulate customer involvement with the airline. They promoted the product by giving a consumer contest advertisement in mainline daily newspapers in metro cities. Readers had to answer few questions and complete the statement I like BA commercial because.

About the Case Study

This Sales Promotion was created by the Firm Saatchi & Saatchi; to emphasize on British Airways Leading International Network. Paul Arden was the brain child behind this ad campaign.

This resulted in over 3500 telephone calls that were received between 9 a.m. to 5 p.m. and over 32,000 responses (approximately 3% of the circulation of the newspapers) were received for the contest in the stipulated seven days of which almost 9000 had all correct answers.

British Airways Advertisement

Objective?...

Influence of Sales Promotion on Consumer Behavior!

Forms of Consumer promotion

Free samples Free gifts Coupons In-packs Price packs Price-offs Sweepstakes Bundling offers

Research... A research is being conducted on the Purchasing Pattern of the consumers with respect to Loyalty Programs.

Loyalty Program
Loyalty programs are structured marketing efforts that reward, and therefore encourage, loyal buying behavior behavior which is potentially beneficial to the firm. Frequent Flyer Program: A Loyalty program offered by many airlines. Customers enrolled in the program accumulate frequent flyer miles (kilometers, points, segments) corresponding to the distance flown on that airline or its partners. In recent years, more miles were awarded for using cobranded credit and debit cards than for air travel. Miles can be redeemed for free air travel; for other goods or services; or for increased benefits, such as travel class upgrades, airport lounge access or priority bookings.
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Frequent Flyer Programs

INDIA Air India Maharaja Club Jet Airways Jet Privilege Kingfisher Airlines King Club

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Frequent Flyer Programs

AIRLINE British Airways Executive Club Air France/KLM Flying Blue

Emirates Skywards Jet Airways JetPrivilege Kingfisher King Club

ENROLMENTS 5,500,000 as of 10/11 17,000,000 as of 02/11

over 6,000,00 as of 03/11 1,908,829 as of 03/11 1,600,000 as of 03/11

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Frequent Flyer Facts

Between 82% and 87% of frequent flyers have Web access. Almost $2 billion of miles were sold last year to various partners of frequent traveler programs. There were 20 million free award tickets given away. The current record for the largest number of frequent flyer miles in one account is just over 23 million miles. Wonder how many awards ever get redeemed? Over time, an average of 82% of all awards earned will be redeemed. Credit cards are the number one way to earn miles without flying. There are about 92 frequent flyer/guest programs in the world.
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Frequent Flyer Facts

47% of business travelers reported that their last trip was to attend a meeting, trade show, or convention, as opposed to other activities, such as consulting or making a sales call. The average business trip lasts 3.3 nights. 20% of business travelers report that they combined work and vacation on their last trip. The average business traveler is 42 years old. 60% of business travelers are men. The average business traveler takes 5.4 trips each year. The average business traveler earns an annual salary of $76,100.

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Top 10 Cities for Award Redemption

Rank
1 2 3 4 5 6 7 8 9 10 Award seats as % of Total seats New York 6.4% San Francisco 5.2% Los Angeles 5.1% Orlando 3.5% Chicago 3.3% Las Vegas 3.3% Boston 3.2% Denver 3.0% Phoenix 3.0% Seattle/Tacoma 3.0%

City

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Essential elements for an effective SP program

Promotions must be part of an overall plan. Every brand must have a promotion objective and a strategy statement. A written tactical plan time frame, costs, evaluation yardsticks. Factual knowledge must be gathered to plan. Specialized professional skill and knowledge must be applied to every promotion operations

Conclusion Sales Promotion Does influence the consumer!

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Resource
www.frequentflyerservices.com www.wikipedia.org Google Image for Pics

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