Classic Airlines and Marketing Essay

Classic Airlines in an airline company that has been in business for over 25 years and has gained great success within the airline industry. In the 25 years since its creation the company has grown to over 32,000 employees and has generated 10 billion dollars worth of business. Although the company has seen great success, it also is subjected to the many challenges that other airlines companies face in today’s market. Classic airlines must be able to market its product so that customers will pick there product over competitors within the industry (University of Phoenix, 2012). There are several marketing concepts that Classic airlines have applied and are using in their business. The first marketing concept that Classic airlines use is the needs, wants, and demands concept. This concept is applied by understanding the needs, wants, and demands of the customer. The way Classic airlines have done this is create a rewards program for the customer. This feels the need for a customer to get something for a reduced price. If the customer has enough miles they can upgrade to first class or stay at a Classic airlines hotel partner for a free night (Kotler & Keller, 2006). The second concept that Classic airlines have applied to their business strategy is offering and brands. This concept is applied by a firm by offering benefits to a customer that fills needs and using brands that are a known commodity. The Classic airlines rewards program is a perfect example of this marketing concept. The airline offers if a customer signs up for the rewards program they will gain points which can be redeemed for free or reduced items. Although in the reading it does not state what hotel companies are partners of Classic airlines they should make sure that these hotels are name brand hotels such as Marriott or the Hilton so customers feel they are getting a premium brand (Kotler & Keller, 2006). The third marketing concept that Classic airlines applies is value and satisfaction. The concept is successful if it delivers value and satisfaction to the customer. The customer must be able to choose between different options to determine what the best value is for them. Classic does this with the rewards program. It gives customers options on what value they use once they earn a certain number of miles. This is a great marketing ploy for Classic airlines because it allows the customer to feel as they have the power in the situation and they are able to pick what option is best for their situation. All three of the above marketing concepts are used by Classic in some way through the rewards program. They are very smart because they use a combination of these concepts to create the rewards program. Classic knows that they are successful as long as the customers are happy. The rewards program allows the customer to receive benefits for staying loyal to Classic airlines(Kotler & Kelle r, 2006).