November 6, 2012
Classic Airlines is the fifth largest airline which, serve 240 cities with more than 2,300 flights per day. The organization earned $10 million on $8.7 billion in sales last year. Classic Airline’s stock prices decreased by 10 % during the year. Employee morale is at the lowest it has been, because of the negativity from the media, public, and Wall Street. Customers are not happy with the service they receive and Classic Airlines Board of Directors have no idea how to remedy the issue. Discussions in this paper include several marketing concepts used by Classic Airlines. Also, included are techniques Classic Airlines can apply to their business to regain their customer, profits, improve customer service, and provide a competitive price.
The first marketing concept is the relationship which “has the aim of building mutually satisfying long-term relationships with key parties – customers, suppliers, distributors and other marketing partners – in order to earn and retain their business.” (Keller, 2006, p. 18). Classic Airlines need to rebuild their relationship with their customers because there has been a decline in Classic’s reward program. The relationship marketing concept is used when there is more professional responsibility. It is Classic’s Airline responsibility to regain their customers and improve customer service to remain profitable. Kevin Boyle, Chief Marketing Officer, Renee Epson, Senior Vice President of Customer Service and John Hartman, Senior Vice President, human resources were in charge of revamping the Classic Rewards program.
The integrated marketing program is used to “create communicate and deliver value for consumers” (Keller, 2006, p. 19). The assigned management employees of Classic...