Cost flight low thesis
customers are people within Europe who mostly travel for private purpose, for example, who visit friends and relatives1 go on city-sightseeing trips. Table 1: Comparison of financial results and operations 2006 illustration not visible in this excerpt *numbers in million - Ryanair and Air Berlin profit: after tax, easyJet: pre-tax profit, financial year 2006 Source: Own compilation from web sites of airlines Market Positioning on the European. These concrete plans base on a realistic financial plan (see Profit Statement). The airline serves short haul, point-to-point routes between Ireland, the UK and Continental Europe. Appendix 11: Porters five forces for Ryanair (extra) 1 Introduction: Ryan Introduction: Ryanair Holdings plc. Ryanair will review the marketing plan every month to assess progress and alterations as the business progresses. The external environment in Europe favors Ryanair and the entire low-cost airline market with an air traffic growth of up.
Flying has developed to be a daily commodity like going by bus.2 On the other side nowadays even business travelers use low cost carriers like Ryanair to save travel expenses. This awareness of different passenger types requires marketing campaigns that cover all categories of potential customers. The company is headquartered in Dublin, Ireland, employs about 4,200 people, operates with a fleet size of 120 Boeing 737-800, carries approximately 35 Mio passengers a year and had a turnover of 1,692.5 Mio in 2006 with a net profitability of about 10 (Ryanair 2007. Starting in 1985 Ryanair followed the example of Southwest Airlines, introduced the low cost concept in Europe and became market leader in the low-cost airline market by consequently saving costs. With this in mind we developed a Marketing Plan with specific tactical marketing activities.
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4 Marketing Goal and Objectives The outcome of the situation and swot analyses points to the following marketing goal and objectives for Ryanairs low cost flights. A very detailed description of resources and structural issues is attached as Appendix. Ryanair offers low cost passenger flights within Europe. With its 35 Mio passengers in 2006 and an excellent profitability on a high level of 20 is growing healthy and shows strong financial reserves of more than 2 billion. Ryanair has an exceptional capability of optimizing their production cost efficiency and therefore maintains the leading position among the European low cost carriers. Ryanair profits from several opportunities on the market further EU-enlargement on the one hand creates the opportunity to expand in new market.
On the one hand we plan to raise the market share within the low cost sector up. Appendix 6: Customer segmentation of low cost airlines in general. The report deals with analyses of Ryanair Holdings plc and its core business low cost flights with regards to get a status of its performance and the actual market situation in order to develop a suitable and successful marketing strategy, including its corresponding implementation, evaluation. Indeed, the sustained high level of the oil price is the biggest cost factor of an airline, but Ryanair with its much better and more effective cost structure can compensate this fact in competition to other airlines.
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