Report on Marketing in Etihad


Contents
History of Etihad 1
Role of Marketing in Success 2
SWOT Analysis 2
Target Market 3
Product Mix 4
Diamond First Class 4
Pearl Business Class Suite 4
Coral Economy Class 4
Promotion Mix 5
Forces of Microenvironment 5
Customers 5
Employees 5
People & Environment 6
Bibliography 6

History of Etihad

The successful journey of Etihad Airways commenced on July 2003 by the Royal Decree of Abu Dhabi. The operations of Etihad airways initiated later in the month of November with a ritual flight to Al Ain International Airport. Being the national airline of UAE, it later went to become the leading airline of UAE as well as one of the best in the world in a very brief period of time. (Etihad Airways, 2015) To compliment that, Etihad has been the fastest growing airline among the commercial airlines. On an international scale, it serves 67 destinations inside 45 countries. (Etihad Airways, 2014) It epitomized that hospitality and service of Abu Dhabi through the usage of Arabian Culture. It also received the award of the “World’s leading airline” in 2011
Role of Marketing in Success

To achieve such a rate of growth, its strength in marketing can be held responsible. The marketing strategy formulated by Etihad has led it to become one of the most successful international carriers. The services that Etihad offered were attractive and feasible for the target market that it had set. This and other factors like excellent customer service and a quality fleet of planes can be determined as the reasons led Etihad to excel at a global level in a highly competitive sector. A correct formula for their marketing mix has elevated their growth over the years to achieve immense success.
SWOT Analysis

Strengths Weaknesses
In comparison to its competitors, it provides feasible rates
It is affiliated with renowned clubs and events due to its strong brand image.
Provides quality in-flight entertainment services.
Rapid growth projections through 2003 to 2011 where the fleet expanded from 6 aircrafts to 57 aircrafts. Processing of compensations is not processed quickly.
Waiting time in connecting flights is high.
In comparison with other airline companies, Etihad provides a less no. of destinations.
The customer support provided by service centers.
It’s preference on high quality facilities which increase the rates are not attractive to the middle-class population.
Opportunities Threats
With the immense development of Dubai and the amount of tourists coming into UAE are increasing which will bring more customers towards Etihad.
The robust brand image of Etihad provides success while penetrating new markets.
Due to the in-flight entertainment systems, customers who like such facilities will prefer travelling with Etihad. Negative change in the cost of fuel will have a huge impact on profit of Etihad.
The worsening environmental conditions due to global warming has a negative impact on the flight frequency.
Entry of rival companies in wealthier countries of the world (where Etihad has a strong presence) is easy.
Global security threat related to terrorists is increasing which decreases the amount of people willing to travel by airplanes.
(Etihad Airways, 2014)
Target Market

The selling point of Etihad is that it provides air transportation with high-quality supplementary benefits. The idea while creating a marketing mix was that each target customer segment should be provided a class. The primary customer segment target of Etihad is the group of business class travelers, last minute flyers and travelers with a long flight duration who wouldn’t mind paying extra for quality services.
It applies four major principles in for its target market.
• To refrain from getting influenced by superiority.
• To sustain the image of the luxury brand but not losing focus on the people outside the target market.
• To attract individuals.
• To complement the brand image of Abu Dhabi along with its own brand image.

The target place for Etihad is the Middle-East, Asian countries and wealthier nations due to the availability of target customers segment.

Product Mix

Etihad provides different classes in its flight according to the services it provides. The different classes that Etihad offers are a diamond first class, pearl business class and a coral economy class. Providing products is specifically about giving to the customers what they need. So considering that, it caters to their target customer segment’s need and provides different classes customized to provide different set of features for the customers.
Diamond First Class

It is the first class provided by Etihad which provides the finest features.
• Seats are covered with high quality leather and they expand into a flatbed.
• Headrest facility which is extensively adjustable also with a massage facility.
• Seats with facility of rotation with 180 degrees.
• Seat comes with a privacy shell.
• Personal LCDs with headsets. (Etihad Airways, 2015)
Pearl Business Class Suite

• Five star dining
• Seats with flatbeds
• E-BOX entertainment system with games
• Mood lighting system.
Coral Economy Class

• Best economy class seats in airline industry.
• Largest economy class touchscreens.

Promotion Mix

Advertising is the primary mode of promotion for Etihad. The advertising focuses on online bookings, checking inflight status, luxurious and comfortable flights, and excellent choice of classes. The latest ad of Etihad features the actress Nicole Kidman enhancing the brand image.
Sponsorship is also a very influential medium of promotion. Etihad is a sponsor for Australian Hall, Manchester United Football Club, GAA Ireland, etc. Football is the most watched sport in the world and Manchester United is one of the leading teams in league football which offers a very fine opportunity of publicity for Etihad.
Etihad has excellent brand loyalty strategies and it caters to the many needs of the customers, and constantly upgrades its facilities. It provides the facility of accumulating points for travelling through which it provides free tickets or holiday packages. (Etihad, 2014)
Forces of Microenvironment

Customers
The marketing of the company is focused entirely on the customers and their needs. The company has succeeded rapidly by recognizing the needs of the customers. The customers have influenced the marketing polices of the company in a major way.
Employees
Etihad has cultivated a strong organizational culture in the company which consists of 8000 employees from 120 countries which forms a very diverse workforce. Their on-ground staff and airline crew are filtered carefully keeping the brand image of the company in mind. (Airways, 2015)
People & Environment
Etihad applies an extensive environmental strategy to decrease their impact on the environment. It has partnered with the Abu Dhabi Future Company to reduce the carbon footprint of the company. Etihad also has an active
Bibliography
Airways, E. (2015). Corporate Responsibility. Retrieved from Etihad.com: http://www.etihad.com/en-us/about-us/our-commitment-to-sustainability/
Etihad. (2014). Annual Report. Abu Dhabi: Etihad.
Etihad Airways. (2014, 4). Corporate Profile. Retrieved from Etihad.com: https://www.etihad.com/en-us/about-us/corporate-profile/
Etihad Airways. (2014, 4). Factsheet. Retrieved from Etihad .com: http://www.etihad.com/Documents/PDFs/Corporate%20profile/Fast%20facts/Q4-2014-Eng.pdf
Etihad Airways. (2015). Flying reimagined. Retrieved from Etihad.com: http://www.etihad.com/en-us/experience-etihad/flying-reimagined/
Etihad Airways. (2015). Our Story. Retrieved from Etihadguest.com: http://www.etihadguest.com/en/global/about-us/our-story/

Skills

Posted on

March 7, 2018

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