Luxurious experience on board

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Luxurious experienceon board?
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2 Be Airlines

• Advertising strategy
• Presented by the management team

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Management Team

• CEO Simone Hujis
• CFO Piercarlo Oddone
• CIO Joan Moreau
• VP Communication Eugene Kolesnikov
• VP International operations Suraj Basnet
• VP Sales and marketing Kentaro Kodaka

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Advertising - Definition -

• Paid and non-personal and identified sponsor
• Distinguish advertising from sales promotion, PR,
  personal selling, and direct marketing
• Not frequent flyer program, sponsorship, company
  magazine, mailings
• Includes brochures, posters, billboards,
  audiovisuals, and reprint of ads
• Used to direct a message to a target public and
  to build brand preference

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Start up of 2 Be

• Luxury airline Not just transportation but extra
  services like massage, fashion advice,
  e-shopping, tailor, sauna, hair dresser etc.
• Only flying on selected destinations
• Singapore-London
• Tokyo-London
• London New York
• New York Los Angeles
• Los Angeles Sydney
• Sydney - Singapore

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Agenda
Message
Measurement
Mission
Money
Media
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Mission

• Target market
• Air travelers between following destinations
• London-NY, London-Tokyo, NY-LA, London-Singapore,
  Singapore-Sydney, Sydney-LA
• Customers Senior executives, wealthy individuals
  and their families
• Market positioning
• Corporate image
• High quality
• High service

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Mission- Marketing mix -

• Product (transport from A to B)
• Transportation Experience
• Deliverable luxurious goods
• Price
• Flat price
• All in one
• Place
• Designated flights
• Airport Lounges
• Promotion
• Private marketing
• Public advertise (Fill-ins)

Experience Entertainment
Transportation
Food Drinks
VIP Lounges Sleeping Seats
Tangible

Intangible
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Mission

• Advertising Objective
• Specific communication task
• Create consumer awareness of our super luxurious
  airline
• Achievement level
• 70 million people
• 70,000 passengers needed per month
• Conversion rate 1/1000
• Specific audience
• Potential customers from major cities worldwide
• Specific time period
• 3 months (Sept till Dec)

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Mission

• Hierarchy of effects model

Advertising objectives
Awareness ? Knowledge
Informative advertising 1st stage (3 months)
Liking ? preference ? conviction ? purchase
Persuasive advertising 2nd stage (3 months)
Repeat purchase
Reminder advertising (NA yet)
Convince made right choice
Reinforcement advertising (NA)
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Mission-British Airways Case-

• Target Market
• Customers Leisure travelers but mainly business
  customers
• Destination Worlds favorite airline

• Positioning
• Innovative and world class service for business
  customers
• Extensive, affordable airline for leisure
  travelers
• Serious company

• Service
• Segmented by class
• Broad range of services from Executive Club
  Lounge services to special support for passengers
  with disabilities

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• Money
• Brand equity
• The 5 considered factors
• Stage in product life cycle
• New We need large advertising budget
• Market share consumer base
• None of them - We need large advertising budget
• Competition clutter
• Strong - We need large advertising budget
• Advertising frequency
• Medium - Our unique product will capture
  consumers mind
• Product substitutability
• High - We need large advertising budget

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Money

• Population to reach
• Europe (B, CH, D, E, F, GB, I, NL, Monaco) 131 M
• Japan, Taiwan Australia 70 M
• North America (US, Canada) 150 M
• Total 351 M
• Our Campaign
• Average price of a 30-second prime time ad in the
  US networks 125,000
• Same rate in Japan, lower rates in the other
  countries
• 7 weeks over a 3 month period, 49 days
• 5 prime time ads 7 days a week, 3 off peak 5 days
  a week
• 1 Ad per hour over 24 hours on CNN International
• Advertising Budget 120 M

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Message-Generation-
Direct product reward
Ego satisfaction
Social
Sensory
Rational
Customer visualization of reward
2B Airlines
Results of use
Product in use
BA Air France Singapore
Easy Jet Ryan Air
Incidental to use
Joan Maloney Framework
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Message-Evaluation and selection-

• Core selling proposition (Dik Twedt)
• Exclusiveness, high desirability
• Positioning statement
• Key message
• Luxurious experience
• Traveling has 2Be fun
• Target
• Affluent people, rich partners
• Communication objective
• To know (Generate brand awareness)
• Unique experience
• Support for promise
• Testimonial
• Emphasis on on-board services
• e.g. hair dressers and masseuse
• Media selection
• TV
• Upscale magazines

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Message-Execution-

• Execution
• Emotional positioning
• Importance
• Picture, headline

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Message-Execution-
Air France Make the sky the best place on the
earth
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Media

• Media selection
• 70 M of influenced people -gt TV channels (CNN,
  BBC nationals) all over the world
• Image of luxury -gt Business magazines (WSJ, FT,
  BW), Specialized web sites
• Target of rich ladies -gt Specialized newspapers
• Reach, frequency, and impact
• Reach 50 of the population of urban areas
• Frequency
• 8 times per day (3 times in daytime and 5 times
  for prime time) for national broadcasting
• For CNN, once every hour 24 hours a day
• Impact
• 20 of the people reached remember 2Be

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Media

• Media timing
• Macro schedule
• Create awareness of new airline so, not seasonal
• Delay factor
• September start advertisement campaign
• December 15 (before Christmas) for first flight
• Micro schedule
• Intermittent / rising
• Geographic allocation (language, national
  airport/airline)
• World wide CNN world wide
• National USA, UK, Japan, Singapore, Australia
• Surrounding countries France, Germany, Taiwan

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Media-Competitors-

• Media used by companies during the last 50 years
  for advertising are
• Posters
• National event
• TV add / Co-branding
• For a larger scale (worldwide), companies partner
  in business groups (SkyTeam, etc) that manage
  the image of the whole group at an international
  level (Newspaper / TV)

1930
1952
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Measurement
Advertising
Awareness
Sales
Advertising
Features
Competitors
Other
Y a ß X e Y Effect on awareness or
sales X Advertising
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Measurement

• Communication effect
• Pre-testing
• In the target cities (Tokyo, Singapore, London,
  New York, Los Angeles, Sydney)
• Consumer feedback
• Portfolio test
• Laboratory test (measure heart beat, sweating,
  opening of pupils)
• Post-testing
• After 3 months campaign
• Test how much brand awareness increased

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British Airways Shuttle case-Mission-

• Remain market leader in domestic air-travel
• Withdrawal of backup turn up and take off
  service
• Goal raise awareness of high travel frequency
  and convenient time schedule of British Airways
  Shuttle as domestic carrier
• Target audience Male domestic air-travelers
  between 35-44 years

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British Airways Shuttle case-Money Message-

• Money
• Budget 1M pounds used intense media strategy
  standout from competition in cluttered market
• Message
• High frequency convenient schedule
• Rational positioning
• Wake-up finish the meeting theme
• Humorous

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British Airways Shuttle case-Media-

• Media
• Media type Billboard and radio
• Intensive in peak hours 6-9 AM 12 spots 5-7 PM
  8 spots
• Well branded commercial radio stations
• London, Southeast, Glasgow, Edinburgh
• Outdoor and radio 21 April-4 May
• Manchester
• Outdoor 21 April-4 May
• Radio 5 May 16 May

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British Airways Shuttle case-Measurement-

• Measurement
• Pre-test post-test awareness increased 12
• Staggered approach worked better than combined,
  Manchester awareness increased 18

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Now we are ready to take off!!!