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Classic Airlines and Marketing

In: Business and Management

Submitted By crlilly
Words 720
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Classic Airlines and Marketing
MKT/571
March 28, 2013
Audrey Dorsey

Classic Airlines and Marketing Currently the fifth largest airline, Classic Airlines has 375 jets serving 240 cities with 2,300 daily flights. Classic Airlines currently employs 32,000 employees and has grown considerably over 25 years. Although Classic Airlines has grown and employs 32,000 employees, the company is currently experiencing decline in stock prices, customer loyalty, and employee morale. Classic Airlines has experienced a 19% decrease with their classic reward members. These customers are currently using other airlines for travel. This paper presents challenges Classic Airlines will face relating to marketing concepts and current corporate culture. Marketing involves “identifying and meeting human and social needs” (Keller & Kotler, 2006, pg.2). Marketing Management “is the art and science of choosing target markets and getting, keeping and growing customers through creating, delivering and communicating superior customer value” (Keller & Kotler, 2006, pg.3). The major area of concern is customer loyalty. Classic Airlines currently experienced a 19% decrease in classic award customers and customers who remained flew less frequently. Senior VP of Customer Relations Renee Epson stated she has been saying for the past two years “we’ve lost touch with our customers. Every day I monitor the customer service calls and hear customers tell us what they want but we don’t have the services, elements, operational procedures, or marketing programs in place to deliver” (University of Phoenix 2013). Keller and Kotler explain the “companies at greatest risk are those that fail to carefully monitor their customers and competitors and to continuously improve their value offerings” (Keller & Kotler, 2006, pg. 2). This is the case for Classic Airlines. Classic Airlines is a

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