Snapshot Air conditioning systems have been witnessing a surge in demand from both commercial and residential applications, with the popularity of smart thermostats and inverter air conditioners rising with increasing adoption. The focus of most manufacturers of air conditioning systems is energy efficiency, given escalating global concerns over energy conservation. Concerns associated with air pollution have also spurred the demand for air purifying technologies, a trend the air conditioning systems market has been capitalizing on.
Generally they would be older consumers, perhaps retirees, who have the time and money to holiday quite frequently. Because they are experienced travelers, 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 The second market segment of airline consumers are also quite regular airline travelers. 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.
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 airlinefar 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 travelers Urgent travelers 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.
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.
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 traveler 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 travelers tend to be more infrequent travelers and holidaymakers, or consumers who perceive little difference between airlines. Most markets will have a group of consumers that is, a market segmentwho are more price sensitive.
In this case, infrequent travelers 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.
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.
|Market segmentation example for airlines -||Introduction of the product Name of the company: Air Asia pioneered low cost travelling in Asia.|
|Blog Archive||Advertisements 1 Brief introduction of the company Officially named AirAsia Berhad, the company is a Malaysian-based low-cost airline founded in|
|Making Critical Decisions. Effortless.||June L Table of Content 1. Objective evaluations of AirAsia|
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.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. A Marketing Analysis Of Air Asia Marketing Essay. Print Reference this Airasia is also able to grow the market share in the Southeast Asia and had introduced the low-cost long-haul carrier whereby can offering the passenger cheaper fare.
Airasia is using the Profile Strategy which is using different messages in target all the. Air Asia Berhad was listed on the Main Market of Bursa Malaysia Securities Berhad.
Asia Aviation was listed on the Stock Exchange is the investment holding company of Thai AirAsia Co., Ltd AirAsia X Berhad is Asia Pacific’s leading low-cost, long-haul airline, with focus on the low-cost, long-haul segment.
Company Analysis I. Segmentation AirAsia target market segment consist of three different but overlapping segments that were segmented according to Geographic Segmentation, Demographic Segmentation and Psychographic Segmentation.
AirAsia is targets mainly the Asian market, hence the name AirAsia. Air Asia should improve .
Thus, Air Asia has started to implement CRM as their performance measurement system on March is strategy and 13 process of acquiring, retaining, and partnering with selective customer to CRM in Air Asia helps the company to target market, increase merchandise and launch various promotions by analyzing knowledge about customers.
Stock: AIRASIA (), Avg Price Target: MYR airpoints There is always demand for air travels. If high oil price can depress Airasia's earnings until into troubles then it wouldn't have grown into such a giant airline company today.