Question 2 : It is clear from this case that Kulula is a low-cost provider. What else could Kulula do with its technology to bring in additional revenue, save on cost, and enhance customer service?
Kulula website can offer promotion for customers for their information and feedback whenever they log in to book air ticket. Information of customers helps the Kulula to know what type of customers that they serve in order to provide better customers service .The promotion may be discount on the ticket price, offer free water or good seats on the plane, etc.
Let other company related to airlines to put advertise or some link on Kulula.com to get more profit from the websites. Another way is to allow them put advertise on Kulula.com and Kulula also put advertise on their website. That’s the win-win situation for both companies; both companies can save the cost of advertising on others website.
The company can also put information about the places that Kulula has flight to or have connection with the travel company. This can helps customers choose flight easier and on the same occasion, may think about book a tour of Travel Company so Kulula may be paid some percentage of the trade. This can help Kulula not only bring in additional revenue but also enhance customer service by showing customers that Kulula care about their trip.
Question 3: Does approach taken by Kulula in terms of its strategy, its business model, and the three principles of success lend itself to other business wanting to engage in e-commerce?
Each company has to have different strategy in terms of its diversities in culture background, ethics, technology levels, etc. Other business wanting to engage in e-commerce can use Kulula's strategy or business model or the three principles but not all of that.
Kulula’s strategy: being lowest-cost provider in the South African domestic air travel industry. The company cut all the cost as possible by adopting a no-frills...