Kulula Airlines Marketing Strategy

Topic no 11
Kulula Airlines

a)

The airline industry like other industries, is extreming time dependent and sensitive, with certain tasks laid out at all times that need to be completed, often before the next task can commence. Every different aspect of the business has different schedules that need to co-exist in order to ensure smooth operations.

Problems faced by the Kulula and the airline industry are often similar to problems faced by other industries. Such as:

Kulula cannot have the entire market to themselves, so determining the size of the market is key as well as figuring out the future growth of the market. It is key in any industry to be in the correct market. If it is too small and there is no future growth possibility then

Such marketing problems are:

Accomplishing schedule adjustments. The nature of the airline industry is that there are different time zones that affect the scheduling process. Thus presenting a problem when it comes to marketing the airline. In order to reach the market the airline desires it will need to take into account the different time zones and adjust its marketing strategy accordingly. With the time zones come schedule adjustments which can take a marketing team by surprise so to solve the adjustments as soon as possible will solve the marketing problem.

Station personnel. Another factor that influences scheduling is the increase of ground personnel and equipment which in turn affects marketing. Extra ground crew costs more money, so wherever a carrier can maybe avoid having two operations scheduled at the same time in turn make use of one ground crew for two schedules, the carrier will most likely do so. This goal however clashes with a marketing goal of increasing connections. The carrier thus has to find a balance between these two clashing objectives.

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Smooth traffic flow is key to explaining schedules that, at first glance, seem quite excessive in relation to origin-destination traffic.

An example is: please see appendixes A
A hypothetical flight from JHB to CPT via DBN and PE. The flight averages about 60% load factor on the leg from JHB to CPT but it is only possible because of the four separate and very equally traffic flows. No traffic flow on its own or with another would be enough to support economical service. Furthermore this flight could not overfly DBN and PE economically as there would not be enough traffic flow left over. Traffic flow will differ from case to case depending on geography and supply of alternative transport services.

Sensitivity of schedule salability. Schedule salability is highly sensitive to the smallest differences in departure time or any other factors. The smallest change can have a major effect on the success of a