Air France Internet Marketing
Air France Internet Marketing: Optimizing Google, Yahoo!, MSN, and Kayak Sponsored Search
Kellogg KEL319
CASE BACKGROUND
In 2007 Air France operated in the fiercely competitive business of international and domestic airline travel services. Catering to both business and leisure travelers, Air France turned to Internet marketing campaigns and search engine optimization to reach large customer segments in multiple countries including the United States. To be successful, Air France had to understand how to maximize the net revenue and the ROA of its Internet marketing campaigns by evaluating alternative strategies. The airlines hired Media Contacts to help it achieve this goal.
COMPANY PROFILE
Societe des lignes Latecoere / Aeropostale Lignes Aeriennes Farman Compagnie Franco Roumaine de Navigation Aerienne
Air Union
CIDNA
AIR FRANCE (1933) Set up its hub at the main airport of the lIe de France Region in Paris
COMPANY PROFILE
1946 2004
Merged with KLM – Netherlands Inaugural flight between Paris and New York City
à Created the SkyTeam global alliance à Concept of “One Group, Two Airlines” Implemented a two prong strategy : Rationalization & Flexibility - Rationalization : acquisition of modern aircraft with similar technical characteristics (i.e., "family effects") - Flexibility : to adjust aircraft delivery dates or change models within a given aircraft family.
COMPANY PROFILE
2004 cont.
Implemented "progressive operating lease” strategy : If the demand was low, the
company had to reduce capacity by eliminating unnecessary aircraft à a substantial part of Air France's fleet was on short- or medium-term lease. Carried the most scheduled international passengers, 225 destinations in 109 countries Employed 150,000 work forces
2007
Expanded its US cities served to 13 Total 185 destinations in 80 countries & total 383 aircraft
COMPANY PROFILE
2007 cont.
The hub, Paris – Charles de
Kellogg KEL319
CASE BACKGROUND
In 2007 Air France operated in the fiercely competitive business of international and domestic airline travel services. Catering to both business and leisure travelers, Air France turned to Internet marketing campaigns and search engine optimization to reach large customer segments in multiple countries including the United States. To be successful, Air France had to understand how to maximize the net revenue and the ROA of its Internet marketing campaigns by evaluating alternative strategies. The airlines hired Media Contacts to help it achieve this goal.
COMPANY PROFILE
Societe des lignes Latecoere / Aeropostale Lignes Aeriennes Farman Compagnie Franco Roumaine de Navigation Aerienne
Air Union
CIDNA
AIR FRANCE (1933) Set up its hub at the main airport of the lIe de France Region in Paris
COMPANY PROFILE
1946 2004
Merged with KLM – Netherlands Inaugural flight between Paris and New York City
à Created the SkyTeam global alliance à Concept of “One Group, Two Airlines” Implemented a two prong strategy : Rationalization & Flexibility - Rationalization : acquisition of modern aircraft with similar technical characteristics (i.e., "family effects") - Flexibility : to adjust aircraft delivery dates or change models within a given aircraft family.
COMPANY PROFILE
2004 cont.
Implemented "progressive operating lease” strategy : If the demand was low, the
company had to reduce capacity by eliminating unnecessary aircraft à a substantial part of Air France's fleet was on short- or medium-term lease. Carried the most scheduled international passengers, 225 destinations in 109 countries Employed 150,000 work forces
2007
Expanded its US cities served to 13 Total 185 destinations in 80 countries & total 383 aircraft
COMPANY PROFILE
2007 cont.
The hub, Paris – Charles de