Air Line Marketing Mix
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Then 4 Ps model is that the application of marketing principles will require decisions to be made about the products which will be offered and the prices which will be charged for them, firms must also decide on the methods of marketing communication they will employ in order to persuade people to buy, and the distribution channels which will be used to provide the link between the customers and the service
4Ps of Marketing Mix in the Airline Sector
Product
The air line product is, transportation of passengers from A to B is the core service of an air trip, and additional services may be offered before, during or after the journey. These additional services allow distinguishing the homogeneous product of an air trip from one competitor to another. However, the core service occupies a superior position within the service chain, providing only small design opportunities for a low cost airline.
Further, airline product includes of two types of services. On the ground service and in-flight services
Price
Pricing is one of the most important elements of the marketing mix, as it is the only mix, which generates a turnover for the organization. The remaining 3ps are the variable cost for the organization. It costs to produce and design a product; it costs to distribute a product and costs to promote it. Price must support these elements of the mix. Pricing is difficult and must reflect supply and demand relationship. Pricing a product too high or too low could mean a loss of sales for the organization.
An airline sector organization can adopt a number of pricing strategies. The pricing strategies are based much on what objectives the company has set itself to achieve.
Premium pricing
Premium pricing is the practice of keeping the price of service artificially high in order to encourage favorable perceptions among clients, based solely on the price. The practice is intended to exploit the (not necessarily justifiable) tendency for clients to assume that expensive items enjoy an exceptional reputation or represent exceptional quality and distinction.
Value for money pricing
It seems that clients are always looking to find value for money, so the airline Pricing wil be based on the perceived value and not on any other factors
Cheap value pricing
Setting the price low in order to attract customers and gain market share. The price will be raised later once this market share is gained
Low cost pricing
Apex fares
Apex or advance purchase fares are special fares valid on economy