Classic

Classic Airlines is the world’s fifth largest airline currently operating in consumer markets in a volatile environment that appears to significantly have reduced their market share, and customer loyalty as they see their fuel cost continue to increase. The myriad of discussions among the executive team speaks volumes of critical mass requiring a “now” real time solution as demanded by CEO, Amanda Miller. Classic Airlines desires to attract potential customers boost their customer base and employee confidence by keeping costs down while increasing customer and employee satisfaction in the organization.

The core process to be used in establishing and implementing solutions to these immediate challenges will revolve around the marketing concept. The marketing concept is a management philosophy according to which an organization’s goal is best achieved through identification and satisfaction of the customer’s stated and unstated needs and wants. The marketing concept emerged in the mid-1950’s, wherein, instead of a product-centered philosophy, businesses shifted to a customer-centered philosophy (Kotler & Keller, 2006, p. 16).

Consumer confidence appears to be waning for Classic Airlines; this is evident in the noted 19% decrease in the number of Classic Rewards members and the 21 % decrease in flights per remaining member. The fact that loyal customers are placing their loyalties with their competitors is causing a notable ripple effect through Classic Airlines executive leadership team which will transcend to the shareholders.

Relationship marketing is a key marketing goal used to develop deep, enduring relationships with all people or organizations that could directly or indirectly affect the success of an organization’s marketing activities. In addition, this type of marketing has the aim of building mutually satisfying long-term relationships with key parties, customers, suppliers, distributors, and other marketing partners, in an effort to earn and...