Developments in airline marketing practice

Abstract

Discusses how marketing practice is competitively evolving as airlines, in a code‐sharing environment, seek to be more effective, efficient and profitable. It complements changes to airline structures in routeing, staffing levels and technology, and by establishing strong brand presence is a means for customer attraction, retention and network expansion. Distribution channels are changing as travel agencies are affected by airlines’ direct sales and Internet‐based interactive communication. Traditional segmentation tactics directed to business travellers, through frequent flyer programmes and premium services, are threatened by businesses economising, staff reductions and the increasing importance of the leisure traveller. An overview of international practice is taken and points illustrated, where appropriate, by examples of specific airlines.