Classic Airlines Marketing

Classic Airlines is currently faced with the challenge of offering increased customer service in an economic environment that has forced decreases in the company’s across-the-the board spending (University of Phoenix, 2011). Most companies experience times of adversity. What is important is that they recognize the issues and apply a problem solving strategy to address the issues as soon as possible (Schuppe, 2003). Classic Airlines’ marketing department has an opportunity to outline their goals and objectives, identify the obstacles, and optimize the available resources to systematically improve customer satisfaction and cash flow for the company.

Objectives

The airline industry is a service industry. Service industries have unique challenges concerning the quality of the products they produce. Unlike producing a product that can go through a quality check before meeting the consumer, a service is provided directly to the consumer. The service is the product. Services are difficult to standardize and tend to be variable because they depend on who provides them and when they are provided. Classic Airlines service is also perishable, once the plane leaves the ground any empty seats are services that will never be sold (Kotler & Keller, 2007). This makes it even more important to build long term relationships with their customers

The current marketing objectives for Classic Airlines are to turn around the Classics Reward Program by increasing consumer confidence and improving customer service while cutting costs. One of the goals is to achieve the same metrics and reporting for the Loyalty Program that the operations functions currently enjoys. To achieve these objectives the marketing team must improve on the service elements, operations procedures, marketing programs, and customer relationship management (CRM) (University of Phoenix, 2011).

Challenges

Classic Airlines faces both internal and external challenges. The internal challenges that the...