“CUSTOMER BEHAVIOR TOWARDS AIRLINES (EMIRATES)”

Dissertation Submitted to the

D.Y. Patil Deemed to be University School of Management

In partial fulfilment of the requirements for the award of the

Degree of
BACHELORS OF BUSINESS ADMINISTRATION

Submitted by:

NASIB SHARMIN
(BBA017156)

Submitted To

Dr. Madhuri A. Kadam

ASSOCIATE PROFEESSSOR

D. Y. Patil Deemed to be University

School of Management

CBD Belapur, Navi Mumbai

March 2019

1
 DECLARATION

I hereby declare that the dissertation ‘CUSTOMER BEHAVIOUR TOWARDS

AIRLINE (EMIRATES)’ submitted for the BBA Degree at D.Y Patil Deemed to
be University School of Management is my original work and the dissertation has
not formed the basis for the award of any degree, associate ship, fellowship or any
other similar titles.

I hereby declare that this report is purely my personal work in every form.

I hereby also declare that I have checked the data through the plagiarism software
and it has been found to be pure and true. I am solely responsible for any
plagiarism that is found in this dissertation report

PLACE: Mumbai

DATE:

SIGNATURE OF STUDENT

2
 CERTIFICATE

This is to certify that the dissertation “CUSTOMER BEHAVIOUR TOWARDS

AIRLINE (EMIRATES)" is the bona fide research work carried out by

Miss.Nasib Sharmin student full time BBA, at D.Y. Patil Deemed to be University
School Of Management during the year 2017-2020, in partial fulfilment of the
requirements for the award of the Degree of  Bachelors in Business Management and that
the dissertation has not formed the basis for the award previously of any degree, diploma,
associate ship, fellowship or any other similar title.

Dr. Madhuri A.Kadam

Dr.R.Gopal
Director and HOD
School of Management
D.Y.Patil Deemed to be University

Place: Mumbai

Date:  

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 ACKNOWLDGEMENT

In the first place, I thank the D.Y Patil Deemed to be University, School of
Management Navi Mumbai for giving me an opportunity to work on this project.

I would also like to thank Dr. R. Gopal Director and HOD and Dr Madhuri A.
Kadam and Assistant Professor D. Y. Patil Deemed to be University School of
Management, Navi Mumbai for having given me her valuable guidance for the
project. Without her help it would have been impossible for me to complete the
project.

I would be failing in my duty if I do not acknowledge with a deep sense of gratitude

the sacrifices made by my parents and thus have helped me in completing the project
work successfully.

SIGNATURE OF STUDENT

Place: Mumbai

Date:

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 TABLE OF CONTENT

SR.NO TOPICS PAGE NO

A LIST OF TABLES
B LIST OF FIGURES
C LIST OF ABBREVATION
EXECUTIVE SUMMARY
1 INTRODUCTION
2 OBJECTIVES
2.1 IMPORTANCE AND RELEVANCE OF
EMIRATES AIRLINES
2.2 SCOPE OF THE STUDY
3 REWIEW OF LITERATURE
4 RESEARCH METHODOLOGY
4.1 LIMITATION OF THE STUDY
5 TO UNDERSTAND THE AIRLINE
INDUSTRY,MIDDLE EAST
REGION,BRANDING AND AIRLINE
BRANDING
5.1 TO UNDERSTAND THE MARKET
SEGMENTATION OF EMIRATES
AIRLINE
5.2 MARKET SEGMENTATION
5.3 TO UNDERSTAND BEHAVIOUR OF
TRAVELLER TOWARDS AN
EMIRATES AIRLINE
5.4 PEST ANALYSIS
6 DATA ANALYSIS AND
INTERPRETATIONS
7 CONCLUSION
8 FINDING OF THE STUDY
9 ANNEXURE
9.1 QUESTIONNAIRE
9.2 BIBLIOGRAPHY

5
6
 LIST OF TABLES

TABLE NO. TABLE EXPLAINATION PAGE NO.

6.1 AGE GROUP 74

6.2 MARITIAL STATUS 75
6.3 OCCUPATION 76
6.4 FREQUENT TRAVELLER 77
6.5 TRAVELLERS OF EMIRATES AIRLINE 78
6.6 TRAVELLERS OF OTHER AIRLINES 79
6.7 EMIRATES AIRLINE BETTER SERVICE 80
PROVIDER
6.8 ARE THE CABIN CREW OF THE EMIRATES 82
AIRLINE WELCOMING ENOUGH
6.9 BIGGEST COMPETITOR OF EMIRTES 87
AIRLINE
6.10 MAJOR ISSUES OF EMIRATES AIRLINES 88
6.11 WHY EMIRATES AIRLINE ARE 89
ATTRACTIVE

LIST OF FIGURES

FIGURE NO. FIGURE EXPLAINATION PAGE NO.

6.1 AGE GROUP 74
6.2 MARITIAL STATUS 75
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6.3 OCCUPATION 76
6.4 FREQUENT TRAVELLER 77
6.5 TRAVELLERS OF EMIRATES AIRLINE 78
6.6 TRAVELLERS OF OTHER AIRLINES 79
6.7 EMIRATES AIRLINE BETTER SERVICE 80
PROVIDER
81
6.8 ARE THE CABIN CREW OF THE EMIRATES 82
AIRLINE WELCOMING ENOUGH
83
84
85
86
6.9 BIGGEST COMPETITOR OF EMIRTES 87
AIRLINE
6.10 MAJOR ISSUES OF EMIRATES AIRLINES 88
6.11 WHY EMIRATES AIRLINE ARE ATTRACTIVE 89
6.12
6.13
6.14
6.15
6.16

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 LIST OF ABBREVIATION

UAE UNITED ARAB EMIRATES

EGHQ EMIRATES CLUSTER HEADQUATERS
IATA INTERNATIONAL AIR TRANSPORT ASSOCIATION

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 EXECUTIVE SUMMARY

Emirates airline is that the national carrier of

metropolis government, United Arab Emirates. It
had been established by metropolis government.
Emirates flew its 1st flights out of metropolis on

10
twenty fifth Gregorian calendar months 1985. The
airline commenced its industrial operations with 2
chartered craft that were Boeing 737 and airliner
three hundred B4. This assignment of promoting
arrange is split into seven main components –
specifically, mission statement, surroundings
analysis, selling objectives, selling strategy, plan of
action integrated selling arrange, budget and
acceptable management & analysis. The mission
section provides the reader a summary of Emirates
airline in lightweight of its mission. Surroundings
analysis section, offer analysis of PESTLE, SWOT,
company analysis, client analysis, and main
competitors’ analysis. Here the reader can all be
able to establish the inner and external analysis of
Emirates airline. Selling objectives section, shed
lights on the performance of Emirates to attain its
objectives. Selling strategy section provides a
lightweight of positioning strategy of Emirates
airline. Plan of action integrated selling arrange
section shed lights on each the 7P’s of the selling
combine. Budget section; offer the reader the
expectation for next year of Emirates airline goals.
Acceptable management and analysis section, offer
the measurement that Emirates airline’ selling plans
square measure fortunate by the performance.

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 CHAPTER 1

INTRODUCTION

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1. This report aims to research the Emirates Airlines complete within the
context of name Identity, complete Image and complete temperament. The
aim of this report is to achieve deeper understandings concerning however
Emirates is working to attain the recently success. When reviewing many
alternative theories and ideas, Emirates Airlines case study are analysed
supported the foremost condemned ideas. This report is given as following
structure: first of all, it'll show some data concerning company background
to achieve additional information concerning the present state of affairs of

13
Emirates Airlines. Then this report reviews the various ideas of the
complete Identity, complete Image and complete temperament. When
literature review of every half, the Emirates Case Study are analysed
supported it. Finally, the conclusion half concludes all key points and
mentions the restrictions of this report

2. COMPANY BACKGROUND Emirates may be a part of Emirates

cluster, was established on twenty fifth Oct 1985 in port, United Arab
Emirates (Emirates Story) – the world’s aviation hub (The Telegraph).
Started with simply 2 aircraft: a chartered Boeing 737 & associate airliner
three hundred B4, Emirates now's a world airline. Consistent with the
complete Finance international five hundred report for 2016, Emirates
now's the foremost valuable airline completes within the world, worth $7.7
billion. Emirates is remaining their position by being relevant, innovative
and provoking. As mentioned in Emirates Annual Report 2016, nowadays,
Emirates main activity is providing the business air transport services. It's
in operation the world biggest of wide-bodied jets, flying the biggest fleets
of airliner A380 and Boeing 777 craft. Emirates is serving 148 cities in
eighty-one countries on half-dozen continents round the world from its
hub in port. its enjoying necessary role in connecting folks to places and
businesses with opportunities

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 CHAPTER 2
OBJECTIVE OF STUDY

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- To understand airline industry, Middle East region, branding and
airline branding.

- To understand the market segmentation of the airline.

- To analyse the level of recognition of Emirates brand on international

level.

- To understand behaviour travellers towards an airline.

- To understand PESTE & SWOT analysis.

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CHAPTER 2.1

17
IMPORTANCE AND RELEVANCE OF EMIRATES
AIRLINES

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Emirates is that the largest airline within the geographic area, operative
over 2500 flights perweek. On twenty fifth Gregorian calendar month
1985, Emirates flew its initial routes out of Dubai with simply two aircraft-
a least Boeing 737 and airliner three hundred B4.Emirates initial flight was
from Dubai to city targeted from least craft of PIA .Emirates is that the
personal airline of UAE that have its separate terminals in Dubai.
2. Our vision is to form the turning into associate ecologically-efficient
Emirates cluster a company suggests that growing our environmental
leader within the business to be economically aviation and travel
industries. property, whereas mistreatment fewer Our goals build property
resources and making less waste and eco-efficiency the and pollution. If
we have a tendency to bring home the bacon these cornerstones of all
cluster aims, we have a tendency to bring home the bacon advantages for
our operations – each within the air, and customers, the setting and on the
bottom. our business - the triple bottom line.
3. Emirates is service supplier. Emirates whole equity, that is that the
worth of brand name, is incredibly high. Emirates may be a category
acutely aware airline. In summer vacations Emirates makes several
summer camps in order that individuals travel in Emirates. Emirates
advertisement. Recently, Emirates is targeting America.
4. Emirates fly four times each day from city. It provides convenience to
customers.
5. Associate initial start-up capital of US$10m. The Dubai Government is
that the sole owner of the company. SLOGANS utilized by EMIRATES.
The best within the Sky Be sensible to yourself. Fly Emirates once was
the. last time you probably did one thing for the primary time? Fly
Emirates. Fly Emirates. Keep Discovering Fly Emirates. Meet Dubai
6. Emirates have diversified into connected industries and sectors. The
Emirates cluster, utilized a complete of forty-nine, 950staff. The primary
focus for Emirates and its staff is to deliver superior customer service.
Another strategy is to use part schemes on performance based mostly.

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7. Emirates may be a multi diversified civilized organization. There is no
discrimination of gender, religion, colour and etc. Employees get off
around 5pm. Emirates supply transport facility to staff and uniform at
intervals workplace premises however not outside. The Emirates cluster is
created from over fifty-seven,000 employees from 163 countries across the
world. Many of those employees are ardent problems, and are prepared
and willing to lend a hand. In recession amount emirates shrivelled the
advantages to an extent that they furnish to employees. It advantages
within the style of no state of emirates staff during recession.
8. Emirates cluster setting Champions concerning setting. Motivated
employees are asked to nominate themselves as ‘Environment
Champions’, with over one,200 employees concerned to this point.
Emirates food service
9. The established network carriers in Europe and Australia. These
carriers conjointly notice tough to wear down the growing competitive
threat. Emirates has endowed in an exceedingly program referred to as
“tailored arrivals”. It initial determines the speed and flight profile from
the air onto the runway. At the centre of the Emirates business model is a
commitment to true international competition and open skies.
10. It believes that associate open international economy is significant to
free and truthful trade, economic growth and fuller employment. The
protection of a national carrier just because it carries the flag of one
particular country belongs to the past. Market access is significant for
exporters, passengers, airports and native economies. The secret of
Emirates’ success. The Emirates cluster has initiated utilization
programmes targeting various vary. In the last year (2010-11), over 4,917
tons of waste was recycled by the Emirates cluster in Dubai. Emirates
cluster Headquarters (EGHQ) represents one in all the biggest work
locations for the cluster and conjointly one in all the most effective
locations
utilization of paper, cardboard, plastic bottles, Al drink cans, steel cans

20
and printer cartridges is administrating at EGHQ (EMIRATES cluster
HEADQUARTERS) EKFC (EMIRATES FLIGHT CATERING) operates
the biggest flight job facility. The Emirates cluster conjointly recycles used
article of clothing from employees, leading to over 24 000 kg of things
being recycled in 2010-11.

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 CHAPTER 2.2

SCOPE OF THE STUDY

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Operational cost of Emirates is very high only due to huge investments on
technologies, aircrafts and best quality services. Emirates should control
its cost and should decrease its cost through improvement and
development of operations activities. Emirates should improve
maintenance process, effective and efficient flight schedule of the
company and better utilization of the company resources like aircrafts etc.
Another way for reduction of cost is advancement in its technologies by
investment in technologies and in this way cut of labour cost. For
examples it is strongly recommended to new installation of self-check
service system on all airports.
In reply to the threat of low cost airlines in UAE market. Emirates should
offer advance level services and control cost and this way no need to
reduce the prices and in this order it should introduce its new brand as
subsidiary which should be based on low cost. a subsidiary
Extension in routes strongly recommended and should be special growth
in tourism UAE. In this order to it should extend its route worldwide most
attractive areas and Canada one of them. Joining with global alliance will
help to increase its worldwide destinations in this way should offer more
impressive and effective strategy for competing low cost airlines.
Advancement in Information Technology is most important for progress of
emirates airlines and in this order it should make contracts with E-
Business Company for improving its services and increase the customer's
satisfactions. E-CRM is the latest technology and adopted by Emirates this
strategy since increasing in numbers of the internet users and this way out
for keep long term relation with customers.
Eventually, Emirate's Airlines make comprehensive analysis and review of
company internal and external factors and its competitors and should
develop new strategies for staying and keep good position in airline
industry at this maturity time.

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 CHAPTER3
REVIEW OF LITRETURE
https://sapientia.ualg.pt/bitstream/10400.1/8050/1/Tese%20N
%20Mantur.pdf

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Emirates Airline Analysis Assignment: Emirates Airline is one of the most
famous and reputed Airlines those do their business in the Asian continent
especially. But they also have their operations all over the world. The
Company, which is in the existence and quite successfully for the past 23
years, is owned by Government of Dubai. Dubai is one of the seven cities
found within the United Arab Emirates. Emirate Airlines flies to more than
ninety different destinations all across the world. These ninety destinations
are spread across more than sixty countries altogether. Dubai, from where
the business of Emirates Airlines started, is the capital city of the United
Arab Emirates (UAE). This city is one of the fastest growing cities in not
only the Middle Eastern region but also the world as a whole. (Butler &
Keller, 2000)
The rapid growth of Emirates Airline is also inspired by the economic
growth of Asian Pacific region and specially United Arab Emirates. The
Asian Pacific region and in particular the United Arab Emirates, has been
able to boost their economy at a very rapid pace. The countries which are
located in this vast geographical area as well as their economies have
nurtured their economies at a strong and sustained pace. These economies
are also growing at a healthy rate. Subsequently the overall incomes of
these countries are also increasing. This translates into high revenue per
capita earning for almost all of these countries and consequently they can
pay to use air transport which is generally costlier than other modes of
transport. This is one of the most important reasons why Emirates Airline
has been able to grow steadily over the last decade. The nature of the
markets is quickly changing and more and more number of governments in
the region is streamlining their economic policies in such a way so that
they can add more impetus to an already growing Airline industry.
Plunkett (2008) indicates that the United Emirates government is the
owner of Emirates Airline which had been started in 1985 to be one of the
biggest companies in airline industry in the means of its flight, primary
sales and employee benefits. Also, according to, Lehman (2007) Emirates
Airline is considered to be almost the fastest increasing in its financial
situations in terms of its passenger capacity which showed significant
which gave them more control on their prices.

25
Emirates Airline has been pretty lucky during the last two decades. The
political scenario of the country has been quite favourable to the business
of the company and the aviation industry as a whole. This has happened
since most of the countries in the Asian Pacific region started making
agreements that encourages better inter country trades especially with
respect to the airlines sector. These countries have signed agreements
amongst themselves and also with other countries like: The United States
and United Kingdom among some countries of the European continent.
These agreements have been instrumental to bring Emirates to the world
scenario and have provided new existing markets for this Airline
Company.
Like all the other airlines Emirates Airlines had to tackle high fuel costs in
last few years. In the year 2005, the country reported an increase in fuel
expenditure of seven percent from the previous year. During the last
decade Airline traffic in the rest of the world has decreased quite
vigorously. But to many people’s amazement, the Middle Eastern region
has improved especially for Emirates. The reason of the success story of
Emirates can be directly traced back to the City's success - Dubai. Dubai,
one of the fastest growing cities in the world, represents a very lucrative
market for investment in the tourism industry as well as the business
world. Reasons being, numerous projects those are coming up with time.
Dubai the City is currently working on a project of building a theme park
which is like Disney world. It has also started a project which will be
house for more than four hundred thousand residents through a waterfront
project. Apart from these, there are plenty of businesses that are always
coming up all the time. Real estate is amongst one of the interesting
sectors since it attracts lots of capital investment. All these business
ventures are encouraging more visitors to the City and the country in
general; this has been reflected in the overwhelming market for Emirates.
As if this is not enough Emirates Airline is located at a very suitable
region in Asia, it is in the middle of the Eastern and Western regions.

26
Consequently, the Airline is capable of tapping resources from both sides.
The Asian continent has a booming economy and Emirates Airline has
really benefited from this.
According to Drucker society (2010) Emirates Airlines derived from the
emirate of Dubai, the airline is part of the Emirates Group that is fully
owned by the Government of Dubai. The airline has earned a global
reputation for being a leading Middle Eastern airline providing the best
services with a memorable experience. The Emirates Group is headed by
Sheikh Ahmed Bin Saeed Al Maktoum, who is the Chairman and Chief
Executive, Emirates Airline & Group.
It has become a world-wide brand specifically renowned for its heavy
investment in sponsoring potential projects. Emirates Airline was founded
on the tradition of maintaining innovation as a means to extend to shape its
world in their own world. It is under the vision of Dubai's ruler and Prime
Minister Sheikh Mohammed Bin Rashed Al Maktoum that Emirates has
been such a success story till date. As quoted by Sheikh Mohammed:
“Aviation & transport infrastructure is the basis catalyst for the creation of
international cities. The UAE's open skies strategy is the cornerstone upon
which Dubai built its dynamic air transport centre, which in turn supports
the development of other industry sectors. The development of Emirates
embodies the true spirit of competition and free enterprise that shall
continue to guide our strategies for the advantage of the UAE and of the
international community in which we operate."
The strong bond between Dubai and the Emirates Group has led them both
to flourish, whereas Dnata working within the UAE's Open Skies strategy
helped create the infrastructure that has enabled Dubai to lead the growth
of the region as a hub for world aviation. A firm believer of innovation,
aligned with a long-term policy and deep knowledge of its industry, the
Group is reaping the advantages, indeed it is a world--winning
combination.

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Emirates is determined to stand by its tradition of innovation to continue to
shape its world it's way as it was considered as one of the key highlights of
the year 2009.
According to Emirates Group (2010) this section will focus on the key
events for Emirates, for instance, occasions it has celebrated, Dnata
marking its 50th anniversary at the Dubai Air show, Emirates launches its
biggest ever commercial project with the sale of 10,000 2010 FIFA World
Cup packages including flights, tickets and accommodation. The airline
has been proactive in participating in social campaigns, for instance,
Emirates opens the Community Health Education Society home built to
care for over 100 HIV positive children in India. From January to March
2010, Emirates signs a new shirt sponsorship deal with Italian football
giant AC Milan. The airline managed to strength its partnership with Costa
Cruises as they prepare for a boost in cruise tourism in the Middle East.
This airline has its operation in such a region where the employees and
workers are quite a few in numbers. The labour cost is low since these
workers very rarely ask for compensation which is high. If the United
Arab Emirates is compared to other countries such as the United States, it
is evident that there is a significant difference in labour costs. It can be
deduced from the facts that payments to the worker accounts to thirty-eight
percent of its operating expenses in the United States of America. On the
other hand, UAE uses up only eight percent of its to pay its workers.
Consequently, these differences have added to the bottom-line of the
company’s profit. (Morrison and Winston, 1997)
Moreover, the airlines industry is suffering from the curse of well-
informed clients. Most people now a day have good idea about the
reputable companies. They can know about the pros and cons of a
particular firm these days using the internet. As an example, clients try not
to use the airlines which have a number of stopovers with respect to those
who have direct routes. Information about these issues can be gathered at a
single ‘touch of a button'. Emirates Airlines has also been affected

28
adversely by this issue since it has to make sure that it offers better
services to its clients and in future also they can maintain the standard of
the services provided).
Historically it can be seen that, most of the countries’ governments of Asia
Pacific region endorse a patriarchal government society. They always tend
to feel that they need to safeguard the airlines from all the adverse external
factors, but after the reforms of policy that took place recently, Airline as
an industry has opened up to the externalities including its pros and cons.
This is one of the most important reason why Emirates has been able to
grow at an amazing speed. (Directory, 2007).
The recent global financial recession that took its toll on world markets
also shook Emirates Airlines. Emirates did not escape its wrath but it
managed to tackle the crisis very well and in doing so it took several
measures to ensure it did not go into deficit. The airline was able to return
a net profit of Dhs 3.5 billion, an increase of Dhs 2.9 billion on revenues
of Dhs 43.5 billion, is a testament to the superb response to the situation
made by every area of business. The global financial crisis did not really
affect customer loyalty, this is due to the brand quality that is associated
with Emirates and how passengers trust it's services, they (passengers)
responded by demonstrating their loyalty to the airline, this was due to the
commitment they maintained and expand the network and uphold service
levels even in times of severe crisis. The airline was successfully able to
extensively leverage brand equity built over several years.
In the beginning of the financial year, the global crisis had a severe impact
on the travel and aviation sectors with a significant decrease in traveller
numbers and a marked decrease in passengers booking in the premium
cabins. The IATA (International Air Transport Association) analysed the
financial losses globally for 2009 reached US$9.4billion, after the
US$15.9 billion loss faced in 2008.

29
Emirates was founded upon pioneering and innovative deals, the challenge
of the previous year has been to maintain these values in the most
challenging of economic circumstances.
The primary goal in this research is to investigate the marketing operations
of Emirates Airlines in the UK, the researcher found out how Emirates
teamed up with Arsenal the football team in the UK by sponsoring it, there
is now an Emirates Arsenal Stadium in London that has earned a world-
wide reputation. According to Gibson (2005) under this deal, the airline
would receive shirt sponsorship and have Arsenal's name engraved after it
until 2021.
The deal is approximately worth £100 million to the club over the length
of its contract with Emirates Airline. Emirates took over as being the shirt
sponsor once Arsenal's deal ended in 2006. This sponsorship deal not only
upgraded the image of Arsenal but even Emirates itself, it is considered as
a remarkable deal in the history of English football (Plunkett, 2008).
Emirates has had a keen interest in football and wanted to make its mark
not only as an international airline but also invest in international business
interests.
According to Kotler (2009) innovation is the key to attracting new
customers, marketing is all about gaining the attention of customers to sell
them something that is not necessarily required. Arsenal considered this as
a golden opportunity to renovate its image, this could only happen under
the patronage of Sheikh Ahmed Bin Saeed AL Maktoum.
Also, one can found out that Emirates used Ogli as its PR agency to deal
with handling reputation management and ensuring it was well portrayed.
The concept of sponsor for Emirates means it would be giving rights to the
stadium in the UK which is considered as a new concept, this indicates
how fearless Emirates is when it comes to taking on board risks and
challenges, it wants to reach skies.
In an article published in the Independent newspaper, the article talks
about Emirates Roundabout, i.e. Emirates Arsenal Stadium, it is interesting

30
to note that seasoned travellers only know that the airline is paying to get
its name to adorn the clothing of the French team, the airline likes to
associate itself with rich events that add a charm and glamour to its world-
wide reputation. It uses sponsorship as a modern marketing strategy that
has certainly attracted a large audience. For instance, when people get into
a taxi in London and when they enquire for the Emirates, they know they
are going to the football stadium, this shows how well aware the general
public is of Emirates.
Emirates spends around £150m a year on marketing, including advertising
and public relations. In the past few years, sponsorship has taken an
increasingly large slice of the pie. In the beginning the airline was
spending 90 per cent advertising and 10 percent sponsorship and now it
has moved to 50-50.
Emirates realized it had to do something more lasting to really get into
everyday conversation. So in 2004 it clinched an arrangement with
Arsenal to sponsor the club's new stadium in north London. The £100m
deal, spread over 15 years, was the biggest in English football history. The
airline suddenly realized that if it was being to promote the name of
Emirates in the UK and worldwide it had to have some long term
sponsorship agreements which would give the airline television as well as
press exposure.
Emirates has a long term vision to improve its services as it would like to
operate as managing a world-class business and pursing long term
development policy in the face of the unprecedented growth policy global
economic recession. Peter Drucker's statement on entrepreneurs
emphasizes that everything outlives its usefulness and that innovation and
entrepreneurship can certainly operate successfully provided the right
formula is used.
He points out what is most likely not going to work, in this regard, it is the
planning that is incompatible with innovation and entrepreneurship and
that it is important to have an economy full of innovators and

31
entrepreneurs. Innovation and entrepreneurship by concept, he insists
features an array of topics that form as one, i.e. they fall under the same
umbrella and function simultaneously.
As part of our research, we firmly agree with Peter's thinking over the
success of a business is only based on it taking new risks and challenges, it
needs to have a social responsibility which Emirates clearly demonstrates
it does have, i.e. the way it associates itself with events by sponsoring
them and contributing to charities, Emirates is not a fine airline but also
believes in taking care of the society and taking care of its employees.
It is quite possible that the airline will be expanding into other Non-Asian
countries which will open up new markets to explore for them. This will
result into the company’s urgency to take up global trends and set rules
and regulations. For example, if they increase their number of flights to
America, they might have to adapt to the rules and approaches which
airlines of United States of America use. Since creativity about the
services and in flight experiences have been forte of Emirates Airlines,
they might have to re-channel some of these creative efforts in the field of
technology. (Doganis, 2002)
These days, some of the Airline carriers in the US, using technology, are
frequently devising new paths to increase customer satisfaction like never
before. For example, online booking may have to take greater precedence
that it does currently. It may also be necessary to improve customer care in
the luggage section through employment of better technologies in keeping
customer's luggage. Security problems also need the concentration of
technological skills to do away with the in built glitches. The September
eleventh attack shook up the aviation industry as well as the mind sets of
the clients of airlines to a great extent. Subsequently, security became an
issue of utmost importance in the US as well as other aviation industries.
Passengers these days want better security through new technologies like
surveillance cameras, close circuit televisions etc. These are all issues that
Emirates will have to incorporate when it becomes more global.

32
Due to the Open Skies strategy of Emirates, in coming future it may not be
able to access some particular markets. This strategy requires that the
Company remained independent of others and hence the reason why the
company has stayed away form, alliances. Presently, the Company has met
some stiff resistance from certain countries such as Australia.
Consequently, Emirates has been prevented from accessing such markets.
In the future, it is likely that Emirates may be forced to relax this policy of
staying away from alliances. It may decide to maintain such a strategy in
most markets but in the event that it meets too much resistance from
certain countries, it may be necessary to bend some of its rules. (Smith,
2002)
The business activity model that is adopted by Emirates is quite unique
and it has its pillars as flexibility and espousal to existing external
environments. They have a very creative management at the core of the
company and they always strive to make the flight experience memorable
for the customers. This is the reason why the Airline has been able to
tackle some of the global economic problems that have attacked the
aviation industry.
Emirates have been successful to win many prestigious awards between
the years 2003 and 2007 including award from the World Airline
Entertainment Association. The Company was given the World Airline
Entertainment Association Award for the third year running. This airline
has been able to take technology into account while designing its customer
in flight experience. During World Cup 2005, they had an inflight
entertainment system where the passengers were able to watch the world
cup matches. Those who may not have been interested in watching the
entire match were give updates through their top-of the-range-screen
systems. Moreover, the system where the passengers can use email on
flight has given them much mileage. It also has a system where live text
news for customers is provided during the flight. It was the first company

33
to incorporate a Digital Widescreen System in 2005 on board. This was
first of such instances worldwide. (Morrison and Winston, 1997)
If the company's market penetration is seen in other parts of world apart
from Middle East of Asia Pacific, then it seems to be not as good as the
latter part. Some parts of the world especially Australia hasn’t been
enough profitable for Emirates since people there haven’t accepted the
extra frill airline nature of Emirates Airlines. Hence, in global scenario
they need to improve a lot. As we know from world business history, those
companies which have been able to adapt to globalization successfully has
become most profitable and famous company of them all. Over - reliance
on one region can bring about economic downfall in case the region is
faced with a natural or manmade disaster and the Airline may not have
other areas to turn to. (Directory, 2007)
More over the conservativeness of this airline regarding the labour unions
can be one of the reasons why it has constantly kept itself distant from
diversifying its Airline operations. High labour costs seem to be a cause of
hindrance and fear among the company and this philosophy is barring the
improvements it deserves. The Company needs to disregard some of the
labour cost that come with expansion because these costs will simply be
offset by the higher rate of returns that will be achieved by the company
after the passage of time.
Emirates Airlines which started in the year 1985 and changed itself quite a
few times over last two decades, is currently the best Airline in the Asian
Pacific region. They have received many prestigious awards. Especially
the awards they get for innovation in their in-flight entertainment systems
is of much importance. The company has also got a good bit of publicity
for its Open skies strategy. The company philosophy states that the free
market solutions can be the best drivers for any Airline Company and this
is exactly the reason why this airline has not gone into any kind of mergers
and acquisitions or restructuring activities. However, the need of the hour
for this highly successful company is to get into more global market more

34
heavily. This translates into the company’s compliance with international
flight and airlines regulations. This means that the company will have to
relax some of it open skies policy. It will also have to embrace online
systems as a sound marketing tool in the global arena.

35
 CHAPTER 4

RESEARCH METHODOLOGY

36
RESEARCH OBJECTIVE-
The methodology of any survey depends upon its nature its scope and
available resources

DATA COLLECTION-
PRIMARY DATA-
The data that is collected first hand by someone specifically for the
purpose of facilitating the study is known as primary data. So in this
research the data is collected from responded through questionnaire.

SECONDARY DATA-
Our research is based on secondary type data collection which
includes second hand data. In simple words it is a data which is not
collected directly from a
User. It’s collected via Newspapers, Magazine, Websites, Expert’s
Advice, old research literature, etc.

The data is collected through Websites and Newspapers.

Sample size- 34

37
 CHAPTER 4.1
LIMITATION OF THE STUDY

38
The scope of the study was related to airline brand consumers, so the
survey was focused more on the respondents who had average to very
good knowledge about airline emirates and who travel frequently, since
the survey is mainly done on the basis of frequent travellers.

39
 CHAPTER 5
To understand airline industry, Middle East region,

branding and airline branding

40
Dubai's Emirates airline has reached the top 200 of the world’s biggest
brands for the first time, according to the 2015 Brand Finance Global 500
report.
For the fourth consecutive year, Emirates has steadily climbed the table of
the Top 500 most valuable brands in the world. Now sitting at #196, an
increase of 38 spots in just 12 months, the airline attributes its success to a
strong commitment to product and service excellence, as well as
investments in its brand.
Emirates’ estimated brand value has grown more than 21% from $5.48
billion (Dh20.11 billion) to $6.6 billion (Dh24.22 billion).
The airline also retains its long standing position as the most valuable
brand in the Middle East, and the most valuable airline brand.
“Emirates is a global company serving a global audience, and as we grow
our business we have to also grow our brand. Our brand strategy does not
only involve marketing and sponsorships, but everything we do including
product innovation and service delivery. For us, our customers are the
ultimate judges and jury. Being named the most valuable airline brand in
the world is great recognition for each and every one of our staff, as they
are the ones who live, breathe and deliver the Emirates brand every day in
the work they do.
“The strength of the Emirates brand also underscores the positive impact
that we are making on our industry, and we will continue to work hard and
invest in our brand. Our aim is to become one of the world’s leading
lifestyle brands, and to make the Emirates name synonymous with
aspirational travel and experiences,” said Sir Tim Clark, President
Emirates airline.
Brand Finance CEO David Haigh said: “Emirates remains the flag carrier
brand for the entire Middle East. Its $6.6 billion brand value makes it both
the region’s most valuable brand and the world’s most valuable airline. Its
extensive sports sponsorship and global route network make it recognised

41
the world over. However, it is Emirates’ exceptional service and reliability
that truly underpin the brand.”
In 2014, Emirates marked a record launch of 10 new A380 routes,
bringing the network to over 145 passenger and cargo destinations, from
Burkina Faso to Buenos Aires, and spanning six continents.
In addition, Emirates added frequencies to 20 existing destinations,
increasing flight choices for its customers.
In 2015, the airline operates, on average, 3,500 flights per week increasing
the number of city-pair combinations that the airline offers to its leisure,
business and cargo customers across its global network. To service all of
these flight offerings, the fleet also grew substantially to over 230 aircraft,
with receipt of the company’s largest order of Airbus A380s and Boeing
777-300ERs to date, in 2013 and 2014.

42
 CHAPTER 5.1
To understand the market segmentation of the
airline

43
 We think that airlines will segment their customers by class of seating,
such as economy class, business class and first class. However, while this
gives some indication as to the willingness to pay for additional service
and the consumers overall price sensitivity, it does not give us much
insight into the consumers’ needs and motivations in terms of their needs
for airline travel.
In this market segmentation example for airlines, five distinct market
segments are identified each having quite distinct needs and different
evaluation and purchase approaches. These five market segments (as
shown in the following diagram as well) are:
● We’re off again
● Loyal to loyalty
● Urgent travellers
● Business travellers
● Budget conscious
We’re off again
These are non-business consumers that are frequent travellers via airlines.
Generally, they would be older consumers, perhaps retirees, who have the
time and money to holiday quite frequently.
Because they are experienced travellers, they are likely to be loyal to a
small number of airlines, depending upon their final destination.
They would seek some comforts of travel and probably would not choose
an airline simply based on price. They would be less likely to research
airlines as well, as they are very experienced consumers in terms of airline
travel. In fact, they are more likely to be opinion leaders, contributors to
Trip Advisor and other similar sites.
Therefore, in addition to their frequency of purchase, they are an attractive
and important market segment as they have significant ability to influence
the purchase decisions of other consumers in the airline market.

Loyal to loyalty
44
The second market segment of airline consumers are also quite regular
airline travellers. Some may travel for business, but the majority will travel
for personal reasons, such as holidays and visiting family.
As suggested by their segment name, they are highly brand loyal to a
particular airline wherever possible. The prime motivation for their strong
loyalty is to accumulate frequent-flier and/or loyalty points, which they
can generally redeem for free flights in the future.
As a consequence of their brand loyalty, they may form an emotional view
of the airlines brand (that is, see them as a very good airline), far less price
sensitive and are far less willing to consider alternative airlines.
This is an ideal target market for airlines, as they provide a long-term
customer base. Of course, the difficulty with this market segment is
attracting them in the first place they are far less willing to switch between
airline brands.

Urgent travellers

Urgent travellers are infrequent users of airlines and generally represent a

fairly small market segment in terms of size. These consumers have an
urgent need to travel that is usually unexpected. An example of urgent
travel may relate to attending a wedding or funeral, or having a sick
relative or having some business/work situation that needs immediate
attention.
Given their need to travel almost immediately, they are more concerned
flight availability and destination requirements, rather than any
consideration of price or airline brand.
Airlines will typically withhold a handful of seats on each flight in the last
few days prior to the flight to be sold at a premium price in expectation
that a proportion of consumers will have an immediate need to travel.

45
Business travellers

Business travellers usually form a large proportion of an airline’s domestic

customer base. Many businesses have operations in different parts of the
country or will have sales opportunities in different cities, necessitating the
need to frequently travel by plane.
Generally, business customers make an organization-wide decision as to
the choice of airline, rather than the individual traveller being involved in
the purchase decision.
As indicated by its name, many businesses choose travel business class,
particularly for employees expected travel frequently or for management
and executive level staff.
Needless to say, this market is relatively brand loyal to an airline and is
quite price insensitive. As a result, it is common for the airline to arrange a
contractual deal with larger businesses, organizations and even
government bodies in order to win a significant proportion of this business
on an ongoing basis.

Budget conscious

Budget conscious air travellers tend to be more infrequent travellers and

holidaymakers, or consumers who perceive little difference between
airlines.
Most markets will have a group of consumers (that is, a market segment),
who are more price sensitive. In this case, infrequent travellers may not
have the direct experience to distinguish between airlines and therefore
may use a price decision to simplify their choice. (However, some of these
consumers may choose a more expensive flight, believing it to be of higher
quality.)

46
However, consumers who see little difference between airline offerings
will simply aim for the cheapest price, as it represents the most value for
them, given they see no extra benefits attached to any particular airline.
In terms of this market segment, it is important to remember that some
consumers in this segment low income earners, but other consumers are
simply using price as a point of differentiation in their purchase decision.

47
 Chapter 5.2
MARKET SEGMENTATION

48
In terms of performing the business, the marketer should be identifying
who is the customers and understand the customer action for a product or
service in order to providing the satisfy goods or service for them.
Emirates airline is one of the air carrier, which have hardly felt the
economic and airline down turn. There are three major categories of
passengers: tourism and business, expatriates and transit passengers.
UAE’s Tourism and Business Segment Customers.
Dubai’s emergence as a regional business and tourism hub that has
provided Emirates airline plenty of room for increasing and has fuelled
regional air passenger traffic. Dubai aims to attract 15 million visitors by
the next year. Therefore, Emirates airline should plan to take advantage
from this situation that can make more passengers to the airline.
Expatriates in UAE
Because of Dubai economic is rapidly increasing, it has created huge
demand of work face and the highly paid labour market is a major
attraction for the various work face around the world. The diversity of
population enables Emirates to plan their route; they have reached mutual
agreement with almost all the national authorities around the world to
operate in. Dubai operate in an “open sky” policy, which allow any carrier
to compete with Emirates airline.
Transit passengers
Due to Dubai is the operational hub for Emirates airline; it is the best
position to connect between Europe, Asia and Australia that can be
support to the airline. Emirates has been using “connecting point” in the
promotional of their marketing especially transit passengers, the well-
established and marketed wide range network enables there to prosper in
particular segment.

Strategic formulation

49
Marketing Plan

In order to identify Emirates airline strategic options, ANSOFF directional

matrix can be used as a starting point to identify the options that are
available. According to Asker and Mcloughlin (2007), there are four
possible alternative growth strategies that can be developed. It consists of
market penetration, market development, product development, and
diversification.
– Marketing Penetration (Improving In-flight Service)
Business focuses on selling existing products to existing markets drives
growth strategy for Market Penetration.
1) Retain and boost market share of Emirate airlines product and services.
2) Protect market dominance of Emirates airlines existing markets.
3) Driving out competitors by restructuring mature market.
4) Enhance usage of existing passengers.
Tele-communication is essential element in everyone daily life, in order to
enabling passengers to make voice and data call over aircraft’s telecom
system, Emirates would like to add communication while on the airplane,
it would be very good service for the business passengers. Currently,
Emirates have an expensive telecommunications method to make voice
call and Internet, passenger’s mobile phone should be beam signal to the
ground satellite system and from which is already installed on most of the
Emirate airplanes.

– Marketing Development (Extending New Routes)

Due to the number of services is increasing into new markets where
company seeks to sell their product to new areas so, the launching existing
services to new area or new market segments is a possible way to achieve
this strategy.
The objective of Emirates airline is building up Dubai into a popular
aviation centre that will finally serve as an important universal long haul
50
hub. It provides an alternative to the traditional European airline hubs as
Heathrow Airport (London), Charles De Gaulle (Paris) and Schiphol
(Amsterdam). The airline heavily promotes Dubai as a destination,
offering reduced hotel rates as well as insight to event like the Dubai
shopping Festival that hope to attract more travellers to the city. In order to
improving the number of tourism, Emirates airline add new route and
destination especially in UAE tourism.
Due to the airline managed roadshows and press convention to announce
its entry to new city, these event allow travel agents, tour operators and
local airline personnel in contact and gain information about Emirates’
new routes, holiday packages and other promotion that can give an
advantage for the airline.
After performing a new route to the country’s economic hub – Shanghai –
the airline offers passengers a chance to visit to China’s political and
cultural activities. Because of China’s richest city in terms of historical
value and has a heritage that dates back over 3000 years and houses
marvels as the Forbidden City, the Great Wall of China and the Ming
Tombs.
The success of Dubai as an intercontinental hub, it has been facilitated by
airline such as Emirates. The centre point of Dubai has become extremely
important; because of it hardly two points on the globe where it is not
logical or possible to use Dubai and connecting point, and it usually a
good direct route.

– Product Development (Private Suite)

Introducing new services into existing markets implies product
development is strategy, which involves the development of skill and
requires business to expand customized services that can apply to current
markets.

51
As Dubai is a hub for international business travellers, this is time to
improve new product to provide for top-level business executives. The
CEO’ imagine of multi-national company makes lengthy overseas journey
to attend a board meeting that could have a main impact on the company
financials. The fact, company would like CEO to be on top for the rested,
refreshed and relaxed so, the cost of CEO’s air travel is doesn’t seem so
expensive when comparing to service for them.
Emirates airline has more services for business travellers that is reason
why Emirates airline introduce high quality first class private lounges to
attract business travellers. The premium class private suit would be fully
outfitted with personal storage, coat cabinet and desk and individual mini
bar. Long seat reclines to become fully horizontal couch and TV wide
screen. Exceptional level of personal services including a gourmet and
wines provided by specially trained multi-lingual cabin crews are the other
value addition for this product.

– Related Diversification (Low-cost carrier)

The last strategic option allows Emirates airline to exploit its competitive
advantages in airline service qualities. Diversification is a strategy, where
business sells new services to new market segment. It is more precarious
strategy because of limited experience on particular new market areas (Lee
and Carter, 2009).
After the European low cost carriers are a successful, Middle East operator
also started expression to explore new marketing concepts of “Frills-free”
fly. The low cost airline is increasing at more times in the average
industry.
The low cost airline offers lower prices than traditional airline by fascinate
promotion. The low cost has flexibility fare that is one reason why some
people is switching cost to them.
Air Arabia dominates exclusively to this low cost carrier service in UAE.
Therefore, Emirates Airlines must decide how to respond this threat posed

52
to the large expatriate market in UAE. Among the options considered
there is scope to introduce low-cost subsidiary of Emirates Airlines.
Emirates Airlines be supposed to slightly spread from current marketing
objectives to obtain the low cost airline market share and to retain its
customer base of UAE expatriate market. This can be done launching new
subsidiary to cater budget airline market. The key routes should be high
demand and large number of expatriate’s home country like Egypt, India
and Pakistan.
In terms of Emirates Airline system, new budget airline is help to
introduce new Al-Makhthoum International Airport in Jebel Ali that is
located on Dubai border. This will provide residents of Dubai and
Northern emirates enhanced travel option to neighbouring destinations.
Emirates Airlines is placing lease order of for 200 aircrafts. The carrier is
expected to use Airbus A320 or a Boeing 737 on lease basis for the first
few years prior to acquiring ownership status.
Implement Strategic

As Mintzberg, Ahlstrom and Lempel (1998) the implement strategic is

going to using after the marketing plan, it should be evaluated. The
evaluation is necessary for extent the marketing objective; it have been
achieved during the specified time period.
Improving In-Flight Service:
Success criteria of deploying a system to allow passenger to use their
mobile phones for communication, it is increasing market penetration. It
can be measured in terms of voice and data usage and expansion of market
penetration. There is not corrective action plan if it fails to respond.

Extending new routes

New destinations are implemented to achieve market development. Flight
market occupancy is showed the result of this strategy. It needs to re-

53
discover new destination if the flight occupancy level is lower than
expected.

First Class Private Suites

The first class private suites to new product of Emirate airline, it can be
measured the success of the product. Quantitative measurement of this
product would be number of booking or occupancy. If it fails, the
corrective plan is reducing the tickets price.

Budget Airlines
Success criteria would be capturing new customer base for the airline.
Since its separate operating entity we can estimate financial results of
operating profit would be good measure to evaluate the success of budget
airline subsidiary.

54
 CHAPTER 5.3
To understand behaviour of travellers towards an
emirates airline

55
In this era of rivalry, indulgent the consumer is very important for
marketers. Consumer desires and preferences are constantly varying, given
the changes in factors like their demographics and lifestyles. These
changes can bring great business opportunities for attentive marketers and
threats for marketers who fail to become accustomed. Consumers obtain,
devour, consume and dispose of the products and services created by
organizations. They went through a number of cognitive and behavioural
processes whilst making their purchases and spending decisions. The
awareness of how they make a decision on one brand as a substitute of
another and what factors influence their decision-making so crucial for
marketers, not only to make available to the existing needs of their
consumers but also to prepare for their future needs as well. This
information is also vital to make a variety of business decisions associated
with product development, packaging, pricing, distribution, promotions,
communication, etc.
Consumer Behaviour helps to comprehend the internal variables like
motivation, personality, perception, learning, and attitude, and external
variables like reference groups, family, social class, and, culture, and their
influence on consumer decision-making process.
Consumers are faced with many external influences, including an
individual's culture, subculture, household structure, and groups that he
associates with. Marketers and business owners call these external
influences because the source of the influence comes from outside the
person rather than from inside (which would be internal, or psychological,
influences). You also could refer to them as socio cultural influences,
because they evolve from the formal and informal relationships, the
individual has with other people.
Clearly our airline Emirates FIRST Class is an luxury segment service
which organizes to the needs of high class executives who wish to fly to
their destinations not just the ordinary business class but want an

56
experience which is even more luxurious than the business class. We
organize to their needs in the best way possible.
We more than just an airline, we host one of the most luxurious &high
services available, we are just 1 of the only 6 airlines in the world which
enjoy a 5-star rating by SKYTRAX.
But still we have consistently under-performed from our capacity and are
running into losses consistently into losses from last 2 years.
This is a serious issue which needs a timely surveillance to counter the
increasing red lines on the balance sheet.
Consumer behaviour can provide an insight of the problem by applying the
various theories to the problem. As ours is a service provider company,
consumer behaviour becomes all the way more important as one can draw
a lot of conclusions by simply studying the psychology of the customers
and the great problems can be countered in an effective way.
Behaviour of any customer is derived by basically two factors: -
External factors
Internal factors
though the internal factors are totally in control of an individual and are
hard to control, but still they can be managed by looking after the external
factors which themselves directly affect the consumers buying decisions.
So that why we need to take a close looks at the external factors that affect
consumer behaviour
In the section below: -
Global & National culture: -
Culture: -
The definition of culture offered in one textbook is "That complex whole
which includes knowledge, belief, art, morals, custom, and any other
capabilities and habits acquired by man person as a member of society."
According to the above mentioned definition we will discuss culture in
different ways.

57
The set of basic values perceptions, wants, and behaviours learned by a
member of society from family and other important institutions. Culture is
the most basic cause of a person's wants and behaviour. Every group or
society has a culture, and cultural influences on buying behaviour may
vary greatly from country to country.
Subculture: -
A group of people with shared value systems based on common life
experiences and situations.
Each culture contains smaller sub cultures a group of people with shared
value system based on common life experiences and situations. Subculture
includes nationalities, religions, racial group and geographic regions.
Many sub culture make up important market segments and marketers often
design products.
Culture is a challenging issue for many marketers since it is intrinsically
imprecise and often difficult to understand. One may violate the cultural
norms of another country without being informed of this, and people from
different cultures may feel uncomfortable in each other presence without
knowing exactly why?
So we can understand that how this factor can play an important role in
attracting customers if deal with efficiently.
For this our company has already ready by offering 5 star services which is
acknowledged by the SKYTRAX agency and this can become our USP if
promoted wisely. As our Emirates First Class is an elite class service so
we need to make specially according to the routes on which it operates like
Dubai-London flight can keep themselves up to the customer expectation
by upgrading their flight services according to the demographics of the
passengers travelling.
We`ll have to serve to the needs & expectations of the passengers who
belong to the different nationalities like mix of different nationals by
maintaining the standards this can be done by taking consideration of the
cross cultural factors into consideration and have to check all the

58
possibilities which bring these differences clear from the business point of
view.

Family & Household influences: -

A major factor that affects once choice of the services is his family &
household income. These factors may include the perception about a
service which may be same for the whole family & the complete may
think of a service as compliant to their requirements & representing family
status or not.
This also makes a chance as if one influencing member of the family is
convinced about the service then whole family may become a customer.
So a lot of prospective lies in this factor if intent professionally
For this we may promote our service by: -
Being a sponsored at charity events as higher class people have a good
attendance at such events.
We can hold events of massive show-buzz as that will help a lot to
promote the service.
Like we have to sponsor or put our big participation in the International
Football and Cricket matches and emirates be the official airline of the
main events in the world. This will create a great buzz in the society and at
the same time a sample of the service can be given to possible customers.
Opinion leaders-
Opinion leaders are one who can be of great help as they lead a lot of
people, and their followers either follows them blindly or they affect their
follower’s decision to that extent that the likelihood of the follower
consuming that product becomes very high. So if we can ensnare these
opinion leaders we a gain a lot on consumer base.

59
So we can achieve this by asking for review of critics of lifestyle
magazines which are read by upper-upper class this can affect decision of
a lot of followers.
We may Add to this by doing so that some top level executives of some
companies can also be asked to travel as their peer group can be affected
by this.
Reference Group: -
As for as reference group is concerned, these are the ones with one comes
in contact on the basis of his/her interaction in daily life. This interaction
may be on a regular basis like viz. Family, work group, friend circle, etc.
OR on a less regular basis like shopping group, virtual group, consumer
action group, etc.
A lot of customer base can be gained if dealt with reference group properly
since person comes in contact with persons from various aspects of life in
his/her reference group & his decision making depends on this reference
groups.
Like on is most affected by family & friend group & often if someone in
these group appreciates the service the buying decision can absolutely
swing in favour
To get this as talked earlier event sponsorship & some personal events can
be of great help, as well as doing corporate dealing with companies can be
of great help as this can start the buzz in the corporate circle and help get
the support of these reference groups.
Income & Social Groups: -
Income group are not of much issue as this is a service in luxury class &
one who can afford it will definitely not give a much thought to the cost
then & so not much to consider in this section.
Almost every society has some form of social structure, social classes are
society's relatively permanent and ordered divisions whose members share
similar values, interests and behaviour.

60
Social group are of concern absolutely as these are normally inherited &
affects a lot how you distinguish the product & this social class also
becomes the reference group & a product's possibility to get a boost from
word of mouth publicity increases. Added to that are some features like a
whole class may give preference to a certain product over the other & this
can be of great benefits.
To accomplish this same high society events can be a good place to
promote, at the same time if we can grab some personal functions of high
class society people will also help
CURRENT POSITIONING BY EMIRATES AIRLINES
POSITIONING BY PRODUCT ATTRIBUTES AND BENEFITS
Emirates Airlines is Dubai leading luxury airlines. Emirates airlines are
anticipated to provide customers luxury and comfort as each aircraft meets
the sophisticated and global technical standards so that you can feel like a
king of good times, traveling in air for having an experience of lifetime.
The extremely high promising characteristics of Emirates Airlines that has
made it truly a world-class airline, are its peaceful and stunning
atmosphere with very comfortable seats. Further to add on is its flight
entertainment system and its exciting and vibrantly dressed, professionally
trained, multilingual staff and very friendly crew, the comfortable seating,
regularity of flights and the overall extra quality service makes the
Emirates Airlines most accepted and promising in all over the world.
In a short span of time Emirates Airline has engraved a place for itself.
The airline offers a number of unique services to its customers. These
include: personal valet at the airport to assist in baggage handling and
boarding, accompanied with refreshments and music at the airport, audio
and video on-demand, with extra-wide personalized screens in the aircraft
and three-course gourmet cuisine.
Emirates have achieved A 5 Star status acknowledgment, which means
that Emirates Airways has the highest standard of product after going
through several stern quality evaluations categories. Fly Emirates delivers

61
high values of service in on-board and airport environments. Sky tax also
recognizes Emirates Airways to be at the most important position for
product and service innovation. This honour makes Emirates Airways one
of only 6 airlines in the entire world to have a 5star rating, so fly with
Emirates and enjoy the relieve.
Thus Emirates airline offers luxurious services that having a variety of
attributes that brings more benefits to the customers. They have very small
size target market and they are trying to grape it. They normally use bolt
from the blue and pleasure positioning strategies.
In TV commercial, it is clear that Emirates airline came up with the slogan
" keep discovering good times". It reflects that attributes and customer
benefits clear in the mind of customers. They were tried to reflect luxuries,
comfort and relaxation benefits of customers. Emirates First Class is the
luxurious brand of Emirates airline. They came up with the ideal of
touching appeal in the commercial that truly show attributes of airline and
customer benefits.

SUGGESTED POSITIONING STRATEGIES

POSITIONING BY QUALITY
Emirates Airline frequently uses excellence characteristics to position their
brands. One way they do it is with ads that reflect the image of a high-
quality brands where cost, while not inappropriate, is considered
secondary to the quality benefits imitative from using the brand.
They have all the way through very well laid out marketing strategy
effectively accomplished. Today, the air travellers not only wants to travel
faster but also be entertained. Recently, the Emirates airline introduced
two initiatives to enhance guest convenience. First of these is the
introduction of the online check so a customer doesn’t have to wait for
long to boarding in a queue,24 hours before arriving at airport which saves
lot of time as well as hassle for their valuable customer. Secondly Roving
Agent at the airport. Rather than waiting at the check-in counter to collect

62
their boarding pass, travellers can directly come near the security check-in
counters. Deployed outside the security check-in area will be airline's
Roving Agent, who will reach out to guests and check them in using a
mobile digital device and printer.
The quality provided by Emirates is rated high among all airlines in Dubai.
That was the main reason that it covers the market very quickly.
In just over few years, after entered in to the Airline market, Emirates
Airlines has achieved a market share of 40% and has one of the most
antagonistic growth plans for the coming years and focus to gain the 70%
share of the air industry market.
Therefore, Emirates First Class must be come up with the new positioning
strategies like positioning by quality. It cannot come up with price
positioning because it deals with luxury class. But they can increase the
quality in the services with insignificant increment in fares.
For this our company has already ready by offering 5 star services which is
accredited by the SKYTRAX agency and this can become our USP if
promoted intelligently. As our Emirates First Class is a premium class
service so we require customizing according to the routes on which it
operates like Dubai-London flight can keep their standards up to the
customer anticipation by advancement in their flight services according to
the demographics of the passengers travelling.
We'll have to provide according to the needs & expectations of the
passengers who belong to the different nationalities like mix of different
nationals by marinating the values this can be done by taking
contemplation of the cross cultural factors into consideration.
In this strategy our most important focus on the personalized services
enhancement in term of quality according to customers.
We can come up with the slogan "fly your own style". It easy reflects
offered personalized services to customers.

POSITIONING BY USE/APPLICATION

63
An additional way is to communicate an explicit image or position for a
brand is to correlate it with a specific use or application.
In today's competitive business environment, the stress on productivity,
cost and efficiency are greater than ever before. Emirates First Class offers
you special travel solutions. Fly at your own ease anywhere, anytime and
decide who flies with you in the extreme comfort, safety and privacy. Be it
business or leisure, select from our range of business jets and Euro copters
and you are secure of the most superb service complimented with the
premier safety standards, allowing you to arrive at your destination stress-
free and refreshed.
Key features*
A personal suite with close restroom and shower
Personal & prudent service including VIP, diplomatic and the head of the
state flights
Qualified & highly trained and supportive professional crew
Traditionally planned luxurious interiors
Modified service to meet the customer requirements -ultimate flexibility
Highly modern technology to meet the business needs of the customers in
a conference room
Separate sections for guests and staff
To maintain all these characteristics at a high brand recall values we will
launch our campaign with a central tagline of
"Paradise on board; Fly with Pegasus"

POSITIONING BY PRODUCT
We will focus on the service that we will make available to the customers
which in spite of being a 5 star rated can gain on customer base by
focussed on the demographics of passengers boarding on the route and
then customizing our services.
We can come up with the slogan

64
Paradise on board; Fly with Pegasus: "Fly your own way".
It straightforward reflects offered customized services to customers.]

POSITIONING BY PRODUCT CLASS

Frequently the competition for a particular product comes from outside the
product class. For example, luxury airlines compete with other economy
airlines.
In this kind of positioning strategy, the company can come up with the
model of influencing the customer to use airline services. The company is
totally focusing on niche market of high segment class customers. For
these target customers, price factor is not an issue. They normally
influence by status.
The Emirates First Class provide customers a high class status in society.
To manipulate new customers, the company tries to attach name of the
customer with luxurious aircrafts. That why Emirates Airlines currently
operates with a brand new fleet of Airbuses and new aircrafts. Emirates is
going to expand their fleet with the entry of 15 new aircrafts, 4 Airbuses
A380s and 11 Boeing 777s in 2010.In addition to this Emirates has a plan
to bring more 146 aircrafts in pipeline. 50 more Airbuses A380s ,21
Boeing 777s,5 Boeing 747s and 70 Airbus A350 XWBs plus 50 more
options on the way. Also Emirates having number of awards that create it
strong brand value in the market.
The company must be selling its brand image in the market by new
positioning strategy by product class.
We can come up with the slogan
Paradise; Fly with Pegasus: "because class can't be compromised".

65
POSITIONING BY COMPETITOR
Competitors might be as important to positioning strategy as a firm's own
product or services. In today's market, a successful positioning strategy for
a product or brand may focus on explicit competitors.
The biggest competitors, across the globe are
Singapore Airline
British Airline
Etihad Airline
Qantas Airline
Lufthansa Airline
For this kind of positioning, the company can be focused on Dubai
attractions for their business and attract the customers across the globe to
emphasise on the service and quality. Emirates should have to focus on
the high-class customers which have their own businesses. For e.g. most of
the restaurants and hotel industries are focus in this strategy for emotional
appeal towards nationality, like Arabic Foods Restaurants, Italian
restaurants, Asian food chains etc.
The other strategy could be that the company can tie-up with international
hotels and resorts because most of the hotels provides airline services as
their services to customers. The company must give prominence on that. It
can get our hands on new customers.
We can come up with the slogan
Paradise on board; Fly with Pegasus: "because sometimes poleis arrange
themselves with the pair of wings".
Critical Reflective Writing
From this project, it has been a immense learning experience. I have
learned a lot about, a variety of this which are different from theory but
still the purpose of the theories learnt in the classrooms. The project has
helped a lot to come across the real brainstorming progression which

66
requires us to think a lot to use our space to market our product and the
constraints of the brand positioning, resources available at your set out, etc
just add to the problems.
But still it has been a great satisfaction to work on the project and has
positively helped us to brush our skills in the field of marketing.
The trouble of utilizing the perception of consumer behaviour was a real
hard-hitting assignment given. You have the constraint of luxurious
services in which you have to keep an eye on the base line that you not
even by mistake make the product feasible to the general public or even
market it as one as then you will lose the customers who take satisfaction
in the status of the service provided. So you always have to keep your eyes
open to it.
Then there was a good constraint of positioning strategies to be followed
under the the policy of positioning by price & quality to be followed in
this case.
Also the limitation of resources was a great source of learning as this helps
us learn that how in real world, the plans are always governed by the
limitation of resources and definite intrinsic liabilities & constraints
connected with the product itself.
Generally, this has been a great learning experience, has helped a lot by
providing us a nagging window into the real corporate world & the real
life problems faced by the marketing guys sitting behind the glass walls of
the corporate offices.

67
CHAPTER 5.4
PEST Analysis

68
Political factors

The airline industry is affected by political situations, namely wars and

terrorism. For instance, terrorists' activities in different areas globally,
namely USA (11th Sep), UK, Lebanon and Qatar made the regions
unattractive for tourists and business travellers and reduce the passenger's
traffic.
The political instability affected businesses between airlines in Middle
East and the world by facing a difficulty to join any international alliances
with any of the airlines leaders such as American Airlines.

Economic factors

One of the factors behind any success airlines is having modern airports
supported with latest technology to meet customer's requirements. UAE
for example plans to invest in developing its main airports in Abu Dhabi
and Dubai. The UAE's total investments on airport development over
coming 20 years will exceed Dh 71 billion.
The benefits of developing airports are: enhancing economy, reducing
depends on oil revenues by moving into new sector (tourism), increasing
tourists' number and thereby driving profits to airline firms. Globally,
alliance is considered as the main factor of many airlines company success
as it reduces the operation costs.
Some of those factors are: increasing world's population, tourists and
number of educated people. For instance, the population is growing
globally, in UAE the population in 2002 was 3,754,000 people and
reached to 4,320,000 in 2004, this is because UAE is a multicultural
country. As the number of expatriates is increasing, airlines firms' profits
will increase, because those expatriates need to travel to their homeland
sometime. Additionally, many diseases influence the population in many

69
courtiers, like Bird Flu, those killer diseases affect airline industry since
they reduce population's level. (Economic Development)
The new technology affected airline industry negatively and positively.
For example, the technology of teleconferencing reduced the need for face
to face business meetings which effects on the number of business
travellers and on the sales of business tickets. However, e-booking system
makes the reservation easier and save many expenses such as reducing the
printed tickets. (Current State)
There is a growth in internet usage worldwide. In the UAE, internet
accounts are likely to grow from 251,000 in 2001 to exceed 600,000
accounts by 2006. Thus, local airlines industry should provide online
services to get competitive advantage ex. Emirates Airline. (UAE to
remain on top in Arab Internet market)

SWOT analysis
Strengths
Member of the Arab alliance, known as Arab Air Carriers Organization
promoting cooperation, safety standards among Arab airlines (Arab Air).
First airline in Arab World that offers online booking service.
Offering long-haul flights, like from US to Dubai.
Offering self-check-in service for customers at Dubai airport (Emirates
expands).
At Dubai Air Show 2005, Emirates made an aircraft order of 45 Airbus by
2012 making it the world's largest purchaser of Airbus super-jumbo.
Providing employees with training, rewards and performance programs,
thus reducing labour costs and increasing employees' loyalty (People).
An official sponsor of 2006 FIFA World Cup, which will increase its
brand awareness.
It has its own Frequent Flyer Program known as Skywards Miles that
shared with Srilanka Airways.

70
It offers training service to other airlines in Middle East which increase its
profit.

Weaknesses

High Operation costs due to huge investment on buying aircrafts and

implementing new technologies.
Known of its high prices of tickets comparing to other airlines.
Not a member of any global alliances (UAE).
It doesn't have a hub in Abu Dhabi airport (capital of the UAE).
Young airline that was established in 1985

3. Opportunities

The income per capita is growing in UAE.

Lots of investments will be made by the government of UAE for
developing main airports in Dubai and Abu Dhabi.
There is an overall growth in the population of the world and in UAE.
World Travel & Tourism Council forecasts that there will be an annual
growth in the number of UAE tourists.
There is an expected growth in internet users' worldwide and in UAE.
Aviation events such as Dubai Air Show promotes for Middle East airlines
among other participate worldwide airlines and show the growing of
aviation industry in Middle East valid

4. Threats

It is located in politically unstable region and the terrorism activities have

been increased in Middle East recently.
Increase of aviation security costs and insurance which increase the
operational costs of airlines.

71
The increase of the fuel prices which rise the operational costs.
The airline industry might face losses of around $ 3 billion if the oil prices
did not reduce. (IATA)
New entrants and the raise of low cost airlines.
The e-ticking system can be abuse by the hackers or it might be crashed by
viruses, this will damage the company database and will cost a lot of
money.
Passengers can be a threat to the company, as they have a strong power in
the airline industry.
The natural crises such as the earthquake and hurricane. As mentioned by
Al-Arabia channel, Dubai is threatened by an earthquake (2005). This will
affect the tourism in this region, which will have reflected in the Emirates
airline
There is a possibility of rapid spread of new acute diseases such as SARS
and Bird Fule that affect tourism and airlines.

72
 CHAPTER 6

DATA ANALYSING AND INTERPRETATION

73
 FIGURE 6.1

From the above pie chart most of the age group comes under 15-30.

AGE 15-30 30-40 45-60 60 and above

88.2% 11.8% 0% 0%

TABLE 6.1

74
 FIGURE 6.2

MARITAL MARRIED UNMARRIED PREFER NOT TO

STATUS SAY

14.7% 76.5% 8.8%

TABLE 6.2

75
 FIGURE 6.3

Most of the people are comes under student rest 20.6% are professionals, 29.4% are
others.

OCCUPATION PROFESSIONAL STUDENTS OTHER

29.4% 50% 20.6%

TABLE 6.3

76
FIGURE 6.4

From the above pie chart 52.9% are frequent travellers and 41.2% are not frequent
traveller.

FREQUENT YES NO MAYBE

TRAVELLER

52.9% 41.2% 5.9%

TABLE6.4

77
FIGURE 6.5

38.2% does not prefer emirates airlines, whereas 23.5% prefer emirates airline for
travelling.

TRAVELLERS OF YES NO MAYBE

EMIRATES
AIRLINE

38.2% 38.2% 23.5%

TABLE 6.5

78
FIGURE 6.6

Air India has the largest number of customers

TRAVELLER AIR JET BRITISH EMIRATE OMAN AIR QATAR

S OF OTHER INDIA AIRWAY AIRWAYS S AIRLINES
AIRLINES S AIRLINES

11.8% 5.9% 2.9% 5.9% 2.9% 5.9%

TABLE 6.6

79
FIGURE 6.7

38.2% strongly agrees that emirates give better service than any other airline.

35.3% only agrees

17.6% prefers not say, 8.8% disagree.

EMIRATES STRONGLY AGREE DISAGREE PREFER NOT

AIRLINES AGREE TO SAY
BETTER
SERVICE
PROVIDER
38.2% 35.3% 8.8% 17.6%

TABLE6.7

80
FIGURE 6.8

81
 FIGURE 6.9

32.4% strongly agrees that cabin crew is welcoming.

Where 64.7% only agree it

ARE THE CABIN STRONGLY AGREE DISAGREE

CREW OF THE AGREE
EMIRATES
AIRLINE
WELCOMING
ENOUGH
32.4% 64.7% 2.9%

TABLE 6.8

82
FIGURE 6.10

83
FIGURE 6.11

84
FIGURE 6.12

85
FIGURE 6.13

86
 FIGURE 6.14

35.3% believe that the British airway is the competition of emirates airline.

50% says Qatar airline is the biggest competition

11.8% Singapore airlines.

BIGGEST BRITISH QATAR SINGAPORE AIR CANADA

COMPETITO AIRWAYS AIRLINES AIRLINES
R OF
EMIRATES
AIRLINE
35.3% 50% 11.8% 2.9%

TABLE 6.9

87
 FIGURE 6.15

55.9% have major issues of cost with emirates airlines.

Where only 14.7% issues with service and 29.4% have major issue like limited routes in
region.

MAJOR ISSUES COST SERVICE ROOTS IN

OF EMIRATES LIMITED
AIRLINES REGION

55.9% 14.7% 29.4%

TABLE 6.10

88
 FIGURE 6.16

55.9% agrees that the emirates airline is attractive because of luxury.

17.6% says that because of service and 26.5% says because brand name of emirates
airline.

WHY EMIRATES BRAND LUXURY SERVICES

AIRLINES ARE
ATTRACTIVE

26.5% 55.9% 17.6%

TABLE 6.11

89
CHAPTER 7

CONCLUSION

90
Emirate Airlines has position itself at being a leader
in the airline industry in services (ICE on board
system is one the most innovative entertainment
system in the airline industry), technology and
comfort. The firm’s goal to expand and grow the
destinations coverage is directly affected by its
marketing strategy and marketing mix. Although
being one of the world’s fastest growing airlines,

Emirate biggest challenge is to ensure that its brand

continues to be relevant and consistently adopted
throughout the organisation. In order to further
develop their product marketing mix, Emirate
Airlines can stress on social media in order to build
a network of loyal customer’s base and strong
customer relationships with its passengers- an
aspect which exists to some extent, in recent

91
years’social media platforms almost become a
competitive advantage in firms.

Emirate Airlines mission statement “to be the best

airline on every route we fly and offer consistently
in high quality value for money on service on every
route they fly”, service offering as such to customer

has segmented a lot of customers with medium to

high-income level who are looking for luxury
including business people and families

From analysing external and internal environments,

it is worth that Emirates management identifies its
capabilities and competitive advantage and access
how competitive it is in the field. From such an
analysis, there are implications requiring Emirates
to respond to change in changing context such as
opportunities, threats, technological progress, and
economic downturn. Management must be aware of
issues and develop new strategies accordingly in
order to stay sustain. Emirate Airlines perform
superior, when it comes to the service delivery. It
recruits skilled employees who can be courteous
and friendly and speak different languages, which
gives customers ease of comfort while interacting. It
is important for Emirates to deliver service as its
standard level, because the next purchase of a
customer is associated with personal experience of

92
the services. Therefore, Emirate invested in Emirate
Aviation College, it represents leading approach to
staff recruitments, looking beyond the immediate
return on investment for staff training. This
demonstrates a commitment to kills development
that looks outside narrow job-related boundaries
and takes account of the bigger picture in terms of
employee welfare.

CHAPTER 8

93
FINDING OF THE STUDY

1. Mostly the frequent travellers are professionals.

2. Most the people prefer brand over luxury.
3. Customers are attracted by luxury, brand etc.
4. Customers are more concern about brand image.
5. Most of the customers believe in branding.
6. The degree of attractiveness in different elements
in decreasing orders-display, lightening, interior
design, music, colour.
7. Emirates airline focus on global market.
8. To bring innovative and fast design to the airline
industry.

94
95
 CHAPTER 9

ANNEXURE

QUESTIONNAIRE _

1. Emirates Airlines generally gives better service

than other airlines
 Strongly Agree
 Agree
 Disagree
 Strongly disagree

2. Have you always been able to find the location of

your choice with Emirates Airlines with ease (scale

96
 of 1 to 10 - one being the lowest satisfaction of
access and 10 the highest satisfaction?)
 1 2 3 4 5 6 7 8 9 10

3.Were the cabin crew welcoming enough

 Strongly Agree
 Agree
 Disagree
 Strongly Disagree
4. In a scale of one to ten (one being the worst
experience and ten being the best) would you rate
the Emirates Airline booking experience
 1 2 3 4 5 6 7 8 9 10
5. In a scale of one to ten (one being the worst
experience and ten being the best)
would you rate the Emirates Airline check in
process.
 1 2 3 4 5 6 7 8 9 10
6. In a scale of one to ten (one being the worst
experience and ten being the best)
would you rate the Emirates Airline inflight
experience
 1 2 3 4 5 6 7 8 9 10
7.In a scale of one to ten (one being the worst
experience and ten being the best) would
you rate the Emirates Airline post flight experience
 1234567891
8. In a scale of one to ten (one being the worst
experience and ten being the best) would
you rate the Emirates Airline lounges experience
97
  1 2 3 4 5 6 7 8 9 10
9. Which is the biggest competition?
a. British airlines

b. Qatar airlines

c. Singapore airlines

d. Air Canada

10. what are the major issues emirates airlines has?

a. cost

b. Service

c. Routes in limited regions

11. Why emirates airlines are attractive?

a. brand

b. luxury

c. service

12. What is your age group?

a. 21-30 old

b. 31-40 old

c. 41-50 old

d. 51-60 old

13. What is your occupation?

a. professional

b. students

98
BIBLIOGRAPHY

 Emirates. (2017). Our Business Model |

International and Government Affairs | About
Emirates | Emirates. [Online] Available at:
https://www.emirates.com/english/about/int-and-
gov-affairs/our-business-model/our-business-
model.aspx [Accessed 18 Nov. 2017].
Porter, M. (2014). Competitive strategy. [Place of
publication not identified]: Free Press.
The Emirates Group Annual Report 2016-17.
(2017).
Connecting the world today & tomorrow Strategic
Plan 2020. (2010). Dubai: Dubai Airports.

99
Campbell, M. (2017). Can Emirates Airline
Dominate the Skies? [Online] Bloomberg.com.
Available at:
https://www.bloomberg.com/news/features/2017-
01-05/is-emirates-airline-running-out-of-sky
[Accessed 18 Nov. 2017].

100