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Independent Study: Marketing strategies of low cost airline in Japan - Skymark Airline - Essay Example
Author : rohanleta
Pages 8 (2008 words)
Marketing strategies of low cost airline in Japan - Skymark Airline Executive summary Skymark Airline is the third largest domestic carrier in Japan. The low cost airline is switching its first A380 destination to New York from London in order to improve its profitability in an atmosphere of economic uncertainty in the UK showing no relenting signs (British Airways 2006)…
The airline has continually reported upward profits with a year to year increase in operating profits (Banfe, 2002). The year 2011 was a busy operational year for Skymark. Earlier in the year, Skymarks placed a massive order for 6 A380s as one of its determined growth plans, getting away from the small domestic quasi LCC model to an international carrier long haul. Skymark Airline has a unique strategy of expansion as it operates two distinct models. The marketing strategy of Skymark seeks to ensure that the services of international Long haul utilize configured A380 equipment in a low density configuration seat. The marketing strategies will also ensure that short haul and domestic services continue to operate with no frills service and economic B737 aircraft. In addition, the marketing strategies will also ensure domestic expansion of the carrier (Beardwell and Holden, 2003). The Skymark Airlines was established back in 1996. It is headquartered in Tokyo, Japan. The airline operates flights to Kobe, Fukuoka, Okinawa, and Sapporo from Tokyo. Skymark serves about 3 million customers with 12 aircrafts per year. Skymark Airlines accounts for about 5 percent of domestic Japanese seats; this limits the feed opportunities (Griffin, 2004). ...