Qantas Group
Qantas Group
Jetstar
Jetstar
Jetstar Australia
Jetstar Australia
Jetstar Asia
Jetstar Asia
Jetstar NZ
Jetstar NZ
Jetstar Pacific
Jetstar Pacific
For our marketing plan, we’ll focus on Jetstar Australia domestic operation.
Product Category | Key Product | % of Revenue | Short Haul | JetStar Domestic | 57 | Long Haul | JetStar International | 43 |
Customer Definition
Jetstar is a low cost carrier that caters for people on a limited budget. Its target market is domestic leisure traveller particularly form eastern seaboard.
Domestic overnight leisure travel (holiday and visiting friends and relatives) is the largest and most valuable segment of Australia’s tourism market. In recent years however the market has been in decline. On a per capita basis, people have been spending fewer nights away and spending less on domestic overnight leisure travel. More recently there is some evidence of leakage from domestic to outbound leisure travel, particularly for holidays.
Various economic and social factors have contributed to this steady decline in domestic overnight leisure travel. Among these are:
• Higher levels of personal and household debt
• Changing household consumption patterns (with increases in areas such as Communications, Household Goods, Furnishings and Health);
• A decline in the affordability and competitiveness of domestic travel (appears to be most pertinent for young singles and older non-working people);
• Leakage from domestic to outbound holidays (particularly among young and midlife singles and couples along with residents of Sydney and Melbourne); and
• Changes to the labour market making domestic travel more difficult (includes increased casualization of the workforce and continuing long working hours).
Basis of Competition
The competition in the Australian airline market is tough. Fierce completion between rival budget operators Virgin