Swot Analysis Of Air Europe

2147 Words9 Pages

Introduction Air Europa (AE) is a Spanish airline first established in 1986 and is privately-owned by Globalia Corporación Empresarial S.A. which is a leading travel tourism company in Spain. With slogan “Your travel companion” AE provides domestic and international flights with its main hub being in Madrid Barajas Airport, Madrid, Spain. It currently provides routes to 36 destinations in 16 countries. Since 2007, AE has also been a member of the SkyTeam Alliance, an aviation business association established in 2000 with an aim to ‘cover the globe’. As of now, it has 20 members with flights to 177 countries which translate to 1052 destinations. On a more competitive landscape AE is placed third in the aviation industry after Iberia and Vueling, …show more content…

It is best suitable for short and medium flights. This young fleet, of about 6.4 years, contributes towards passenger comfort and seat availability as well as enables the AE team to provide in-flight facilities such as music, movies, food and drinks. Price Strategy Even though AE has adopted the differentiation strategy, its prices remain competitive with the low-cost carriers such as Debonair and Easyjet. AE’s differentiation strategy is average providing medium value for a medium price range, slightly higher than its low-cost competitors but lower than premium airlines such as the Turkish Airlines thus it can be concluded that they apply value based pricing. Place Strategy In order to establish a competitive home market, AE has established its hub in Madrid Barajas Airport, Madrid, Spain and also focuses on Barcelona Airport and Tenerife South Airport to compete with Iberia on important itineraries. Listed below are the 31 countries it caters to. It has ceased flights to China. 1. Argentina 11. France 21. Puerto Rico 2. Belgium 12. Gambia 22. Russia 3. Bolivia 13. Germany 23. Senegal 4. Brazil 14. Israel 24. …show more content…

AE is also strongly involved to reduce the impact of the changing climate supporting projects like the Dynamic Optimization of the Route In flight (DORIS) , Optimized Profile Descent Approaches (OPTA) and Reduction of Emissions in Terminal Areas using Continuous Descent Approaches – 2 (RETA-CDA 2). Direct marketing Direct Marketing is spontaneous in this internet focused generation. AE’s online ads and ad images on its websites and most importantly social media marketing via Facebook (https://www.facebook.com/AirEuropa) and Twitter (@AirEuropa). These help updating customers of any new progress or deals that AE has made available. Conclusion AE and its parent company Globalia follow similar strategies concerning stakeholder management. Despite its efforts to use the differentiated strategy, AE is still compared to the low cost carriers that lead the Spanish market. It is not as large as its competitors but it has managed to retain a good position in the Spanish aviation

Open Document