EasyJet Airline Company Limited headquartered at London Luton Airport is the UK’s largest budget airline measured by number of passengers carried, operating domestic and international scheduled services. Easy Jet has grown through a combination of acquisitions and base openings fuelled by consumer demand for low-cost air travel. Ryanair another budget airline is currently Easyjet’s biggest competition. EasyJet has adapted cost-cutting measures such as not selling connecting flights or providing complimentary snacks on board. The key points of this business model are high aircraft utilisation, quick turnaround times, charging for extras and keeping operating costs low however EasyJet flies mainly to primary airports. EasyJet also focuses on attracting business passengers by offering convenient services such as the "Flexi fare" which allows free of charge changes to the flight within a window, speedy boarding and a checked in bag.…
Market Share: The low-cost airline industry is dominated by a few large companies. (See appendix 1). Jet2.com’s main competitors are Easyjet, Ryanair and British Airways. However it is very difficult to determine all the competitors due the company’s diversified presence in more than 10 countries. In the UK there are 7 other low-cost airlines which shape the market creating more competition.…
The threat for easyJet of new entrants stems mostly from rival budget airlines flying short haul. Capital requirements are high to establish an airline, and there are already signs that the market is becoming saturated (which may lead to an eventual market rationalisation). easyJet already enjoys economies of scale and therefore has a cost advantage over any new entrant. The brand is well known and highly publicised, again, something which a new entrant would struggle to replicate.…
European Countries Collaboration and good relationship making EU politically stable. This stability is a significant advantage for the growth of Easyjet…
This market research report is based on EasyJet founded in 1995 by Stelios Haji-Ioannou. One of the largest airlines in the United Kingdom and Europe’s leading airline operating on over 600 routes across more than 32 counties. The company offer a number of services from package holidays to car hires bookable via the easyjet.com website, the 3rd most searched for airline on a global scale (Google Analytics). With number 1 and 2 market share positions in key airports across Europe, this year EasyJet have been voted one of the best for budget flight in a Skyscanner survery. Having seen a rise of 10.5% in revenues between FY2012 and FY2013 and with over 370 million visits per annum to easyjet.com attributing to 85% of sales, EasyJet are now looking at ways in which the company can have a stronger understanding of their customers and their needs/preferences in order to balance keeping costs down with a strong customer experience increasing customer satisfaction and loyalty.…
Sir Stelios Haji-loannou has founded the EasyJet Airline Company Limited in 1995. Its theory might affect the perception of air travel with the vision of building a customer focused brand. Due to the research, (EasyJet.com 2011) has noticed that over 600 routes across more than 30 countries have been functioned. Over 8000 employees are working for the company which contain 2000 pilots and 4500 cabin crew. More than 29 million passengers carried by the largest airline company EasyJet in the UK. It is corporates with 44 out of Europe’s 50 largest airports. Apparently, it could become one of the largest short-haul airline listed company. “Our aim is to make travel easy and affordable for all our passengers.” EasyJet’s chief executive said (BBC 2012).…
EasyJet is a public limited company which falls under an oligopolistic market structure and operates across the European continent with the vision of turning Europe orange. Their mission statement is “To provide our customers with safe, good value, point-to-point air services. To effect and to offer a consistent and reliable product and fares appealing to leisure and business markets on a range of European routes. To achieve this we will develop our people and establish lasting relationships with our suppliers.” (Rae, 2001). They are also a no-frill airline operating mainly in Europe, with their headquarters based in Luton, the UK and it employs around 6,107 employees (Datamonitor, 2009). EasyJet was founded and launched in 1994 by the son of a Greek shipping tycoon named Stelios…
easyJet being a 100% direct sell service, had main focus on the internet marketing. Following Southwest Airlines model, easyJet started trend “no frill” services, which helped in keeping costs down. easyJet provided first come, first service with equal service for all. Therefore the target customers were leisure and casual travelers with no service for business class travelers. easyJet CEO Stelios Haji-loannou, a young entrepreneur with previous success stories started this airline facing many challenges, some of which obstructed from entering new markets or limited its growth.…
1. What are the main sources of equity for the brand? Brand equity helps the customers to recognize the brand among other brands quickly and to simplify the buying decision process. It is the differential effect of brand knowledge on consumer responses to the marketing of a brand. The two components of Brand equity are Brand awareness and Brand image. The main goal is to make sure that the way the consumer perceives the brand and the way the brand owner defines what the brand stands for overlap as much as possible. EasyJet derives the most from the perceived quality. “The perceived quality refers to; A customer’ opinion of a product’ value to him or her. It may have little or nothing to do with the product’s market price and depends on the product’s availability to satisfy his or her needs or requirements”1 Easyjet is really focusing on this aspect because they are expanding and they are already flying to 129 destinations mainly in Europe. The second source is loyalty, they try to exceed or meet the passengers expectations to make sure they will fly with EasyJet. They control whether the passengers enjoyed their flights by sending a questionnaire to the passenger several days after they have flown with EasyJet.…
Apart from having a well-known brand name, easyJet understands that besides focusing solely on price competition, you need innovative ideas and products to make your company stand out from competitors. According to their website, one of their key values is…
The demand of air travelling has been increasing quickly leads to the appearance of many low cost carriers which focus on popular class. This had made huge changes in the original service and pricing strategy. Easy-jet is one of the most successful low-fare airlines in the World, which has a noticeable measure of pricing it product. In the airline industry around the world has appeared low cost carriers as major players who have created huge changes in the original service and pricing strategy. Easy-jet is one of the most successful low cost short-haul ones in England as well as European.…
Antwerp Airport . ( 2009) New airport fees from 1 May 2009. [Online]. Available at:…
In the airline industry, there is high price elasticity, high fixed cost and low marginal costs which is perfect for the ‘easy’ apporach. The incumbent firms were grown complacent and were not prepared for the arrival of dynamic new entrants like EasyJet. By launching and growing new businesses quickly, easyGroup won the market share from these incumbents through a combination of low cost and easy-to-access services stragey. EasyJet has shown substantial organic growth since the day it came into being in 1995. Although easy group's businesses were based on the low price model, they still faced competition from established players. Throughout the years, Easy Group strategy kept a clear readability built around some principles such as low-cost approach, identifiable and recognizable, simple communication strategy, mainly focused on price and entertainment, constant expansion, development of new strategic business units in close to the customers market, with a core focus on travellers and this model was not easily imitable for other national flagship airline operators as their primary focus was…
Ryanair is Europe 's largest low-fares, no-frills short-haul carrier. The organisation was founded in 1985 as a conventional airline but re-launched itself in 1990/1991 as a low-cost carrier, replicating American Southwest Airlines ' business model. Since then Ryanair has grown substantially and successfully. The company currently has 146 routes to 84 destinations in 16 countries, and carries more than 15 million customers annually. Ryanair aims to be Europe 's largest airline in 8 years (www.ryanair.com).…
Ryanair operates 182 aircraft on 729 routes across Europe and North Africa from its 31 bases.[1] The airline has been characterised by rapid expansion, a result of the deregulation of the air industry in Europe in 1992 and the success of its low cost business model. Ryanair is the third largest airline in Europe in terms of passenger numbers[2] and the world's largest in terms of international passenger numbers.[3]…