1. 0 Introduction to Firefly
FlyFirefly Sdn. Bhd. operating as Firefly is a full-service point-to-point bearer and a full subordinate of Malaysia Airlines. The name Firefly was chosen to depict the airline’s features. which represent legerity. glare. appeal and merriment. With alone description. Firefly is easy remembered and recognized. It has the possible to turn and command a trade name premium in the community it serves. Firefly is launched on 3th April 2007 and it is Malaysia’s foremost community air hose. It is operated by Malayan Airline System Sdn. Bhd. once known as FlyFirely Sdn. Bhd. It is a wholly-owned subordinate of Malayan Airline System Berhad. The head office of Firefly is located on the evidences of Sultan Abdul Aziz Shah Airport in Subang. Selangor.
Firefly operates from two hubs which are Sultan Abdul Aziz Shah Airport in Subang. Selangor and Penang International Airport. Although Firefly is to the full owned by Malaysia Airlines but it is managed by Firefly Sdn. Bhd. Firefly focuses on functioning the dynamic Malaysia. Indonesia. Thailand and Singapore growing part which population consist more than 70 million people. Firefly aims is to convey communities closer by get the better ofing geographical restraints through their web. associating the universe to the communities they serve and contribute to local economic systems by turning trade and touristry. The mark market of Firefly has ever been travelers both for concern and besides leisure. Travelers for both concern and besides leisure are possible clients of Firefly as it is a low cost air hose supplying great services.
2. 0 Marketing Mix Schemes
Marketing mix is a mixture of legion thoughts followed by a selling representative in advancing a peculiar merchandise or trade name. The elements of selling mix are frequently called the four P’s of selling which are merchandise. monetary value. topographic point and publicity. When marketing their merchandises Firefly need to make a successful mix of the right merchandise sold at the right monetary value. in the right topographic point utilizing the most suited publicity. 2. 1 Product Mix Strategy
Firefly provides clients with intangible merchandises. such as flight services all over the state and besides overseas such as Singapore. Indonesia and Thailand. Guest convenience is an component of Firefly’s merchandise mix. Firefly offers sensible low menus while guaranting its riders comfort and convenience. The empty place option is convenient for clients who want to heighten their travel experience and comfort. Firefly is able to retain its clients by supplying them with first-class service doing them experience that the flight is worth their money which will take to client trueness.
Safety is besides one component of merchandise mix where Firefly offers Travel Protection to protect riders from unexpected bad lucks. minimise losingss and offers exigency aid. Firefly besides provides insurance coverage for its riders to do them experience protected during its flights. Expansion scheme is implemented by Firefly where it expanded its operation from Penang to Subang and acquired 10 ATR 72-500 aircrafts to replace the F50 aircrafts. Furthermore. Firefly ordered 30 Boeing 737-800 aircrafts in relation to its enlargement into regional markets in the hereafter. Contraction scheme is besides carried out by Firefly when it started to stop flights served by its Boeing 737 fleet and discontinuing all jet paths by December 2011. Firefly announced on 8th March 2008 that flights from Penang to Kuala Terengganu. Kota Bharu. Koh Samui and Kuantan have been temporarily suspended which is merely reinstated during 2011.
2. 2 Marketing Mix Pricing
Each merchandise or service comes with a monetary value to obtain. which creates gross revenues gross. Pricing of an point is an of import determiner of the value of gross revenues made. Penetration pricing is besides one of the pricing schemes executed by Firefly. Firefly flight services are presently the lowest among the market which has potency to increase gross revenues and market portion. The intent of this scheme is to perforate the value-conscious market while supplying great value at low menus. Competition pricing is executed by Firefly where it sets a monetary value in comparing with rivals. for illustration AirAsia. Firefly is offering a monetary value fiting service to fit what AirAsia is offering to its client. comfort and convenience. Both air hoses provide two paths from Penang and six paths from Kuala Lumpur. which is considered to be in propinquity and a competition for point-to-point riders.
Psychological pricing is adopted by Firefly where Firefly considered the psychological science of monetary value and the placement of monetary value within the market topographic point. For illustration. Firefly charges RM108. 95 for a flight from Alor Setar to Subang alternatively of bear downing RM 109. The ground why this method works is because clients will believe that they purchased their flights for less than RM109. although it is merely 5 cents off. Optional merchandise pricing is going progressively popular in the air hose industry and is adopted by Firefly to show a low base monetary value that is capable of pulling clients while keeping the possibility of bring forthing grosss by selling additions subsequently. Tickets now are by and large priced at a low rate and charges client individually for virtually anything beyond the ticket. Firefly charges for bites. cab booking service. place choice. luggage weight and many other things.
2. 3 Place Marketing Mix
Topographic point is defined as acquiring the right merchandise to the right topographic point at the right clip. Distribution is about acquiring the merchandises to the client. looking at the location and where a service is delivered. or whether they need to roll up it or will you present it yourself. Firefly presently flies to ten finishs in Malaysia and five finishs overseas utilizing a fleet of ATR-72-500s. By the terminal of the following financial twelvemonth. Firefly would hold added four or five new domestic finishs. and increased the frequence of flights to bing 1s. Internet engagement is a signifier of topographic point selling mix as an on-line 24-hour reserve system is really convenient to clients. Firefly offers a new convenience in booking flights and purchasing seats by logging onto its web site. Apart from that. Firefly excessively offers nomadic booking which allows clients to book flights or purchase tickets through their nomadic phones. This is convenient to those clients who do non hold laptops and do non wish to travel outside to buy their flights. Firefly besides offers authorised travel agents which provide top quality circuit merchandises and services which eliminate problems and concerns to guarantee client satisfaction. Customers will experience content and at easiness when there is a travel agent provided for them when they reach their finish. taking any fusss to the client. 2. 4 Promotion Mix Strategy
Promotion is the concern of pass oning with clients. It will supply information that will help them in doing a determination to buy a merchandise or service. The cost associated with publicity or advertisement goods and services frequently represents a ample proportion of the overall cost of bring forthing an point. In the context of marketing mix. publicity represents the assorted facets of marketing communicating. which is the communicating of information about the merchandise with the end of bring forthing a positive client response. Ad is a signifier of publicity mix scheme whereby Firefly’s advertizement is to maintain in head the image of a state. the scenic beauty. tourer attractive forces and rich cultural heritages which would really assist in pulling and maximising the figure of tourers.
By publicizing itself Firefly is advancing its trade name and bring forthing more gross which is of import as gross is the one maintaining the concern traveling. Gross saless publicity is besides carried out by Firefly where it offers clients Group Travel supplying a better menu for the full travel party and besides more flexibleness during booking where with Group Travel clients can subject names up to seven yearss before going compared to online booking where clients need to subject their names instantly. Apart from that. Firefly besides offers festival publicities where during certain festivals. ticket monetary values are reduced to allow client bask benefits. For illustration. during Independence Day. domestic flights are priced from RM 75 for one manner paths. Publicity scheme is a signifier of publicity mix scheme implemented by Firefly where it offers lucky draws. salvation of shopping verifiers. free flights and so on to its clients. These tactics can assist to advance Firefly where clients promote their trade name by word of oral cavity to friends and household doing an addition in client base.
3. 0 Market Opportunities
Malaysia’s medical touristry has had a rapid growing compared to other ASEAN states which means that the figure of foreign patients that are willing to go to Malaysia for medical health care services has addition from 75. 210 patients in 2001 to 296. 687 patients in 2006 and projected to turn at a rate of 30 % a twelvemonth until 2010. harmonizing to the Association of Private Hospitals Malaysia. This big volume of patients in 2006 has brought about $ 59 million in gross. Medical touristry is defined as patient motion from extremely developed states to less developed countries of the universe for medical attention by short-circuiting services offered in their ain communities. In concurrence with Malaysia’s advance medical service. patients from many ASEAN states prefer to head to Malaysia for medical health care service alternatively of their place state such as cultural Chinese Indonesian from Medan. and the intervention in Malaysia is cheaper than most of the popular medical touristry finishs yet the quality of intervention are rather high.
For illustration. the cardiac beltway surgery that normally cost around $ 10. 000 in USA. bing merely $ 6000 in Malaysia. This is a possible market chance for Firefly to perforate on this section of clients. These clients will likely wing to Kuala Lumpur or Penang for medical health care service. Firefly can capture stopover riders seeking to see these finishs particularly in Penang where there are 13 private infirmaries which Firefly can work with on advancing medical touristry. These infirmaries are in the metropolis country and supply good transit. the cultural Chinese in Medan prefer to Penang as it has better ambiance and comparative slow footfalls compare to Kuala Lumpur and this two chief ground is good for patient for convalescence. Another market chance that our group has found is the alteration of life style of consumers. particularly for concern adult male. domestic tourers and middle-class citizens in Malaysia. These sections of people prefer to bask a short clip scope and comfy flight than to drive their ain or sitting five to six hours of coach travel to their finish.
For illustration. Penang consumer will get 5 hours to Kuala Lumpur. 9 hours to Johor Bahru and 11 hours to Singapore. They need to pass all these times on a crowded sit and that is a clip devouring travel on a concern adult male prospective. Compared to this long-distance coach services. going by plane merely necessitate about half an hr to every individual domestic airdrome within peninsular Malaysia. There are two chief grounds for people altering their life style in Malaysia. foremost. the per capita income had increased to more than US $ 9. 000 ( about RM28. 000 ) yearly at the terminal of last twelvemonth every bit compared to merely US $ 376 ( RM1. 159 ) in 1970 said Minister in the Prime Minister’s Department. Tan Sri Nor Mohamed Yakcop. Second. the impact of low cost bearer. it will act upon the transit market. economic system and the consumer’s penchant.
The air hoses will supply lesser amenitiess to more clients at a lower menu at around RM250-300. The monetary value is cheaper when it is on publicity. for illustration. RM1 flight ticket. There are besides two chief jobs that is to exchange consumer from devouring coach transit to flight transit. traffic jam and addition of vehicle accident rate. When vacation attacks and different ethnics group of people celebrates their chief festival such as Hari Raya. Chinese New Year and Deepavali. the traffic jam will do you to acquire stuck on the center of main road for more than 8-10 hours. This will impact the tourist’s agenda. The addition in vehicle accident rates. particularly the accident rate of coach which travels for a long distance from province to province. More and more information shows that the accidents are caused by foolhardy drivers and hapless coach services. This will halt consumer from taking bus transit as they do non desire to put on the line their life on route accident.
4. 0 Recommendations
Based on the first market chance. medical touristry. Firefly has the chance to perforate into medical touristry by working with circuit operators and medical establishments to offer attractive bundles. Our recommendation is that Firefly should co-operate with the peculiar infirmary which the aliens prefer the most such as Gleneagles Hospital Penang. Island Hospital. Adventist Hospital to supply one-stop services to fulfill client demands. The infirmary could urge Firefly to come up with cheaper monetary value and better services to their clients when the client wants to do assignment to run into the physician in progress. This should be a possible chance as largely these patients would non come entirely and they will convey their immediate relations. The air hoses should make some accommodation on the channel from Indonesia to Malaysia. for illustration increasing the flight from Indonesia. Medan to Penang International Airport consequently to the demand of the infirmary client.
Firefly should supply a shuttle coach service from a peculiar infirmary to Penang International Airport. this will take to accessory income and hiking air hose image. Tour operators are besides a key to distribute Firefly market portion as these operators have most association in circuit industries. The 2nd market chance which our group has mentioned is the alteration in life style of consumer. In order for Firefly to react to this chance. our group recommendation is that Firefly should better the overall air hose image to public earlier perforating each of the mark market. Firefly should better on on-time flights where on-time flights will non merely better Firefly’s stigmatization and besides consumer positive perceptual experience. but besides saves a big sum of money due to inefficiency and downtime and reduces airdrome charges. It is recommended that accomplishing on-time flights can be used to measure employee public presentation. and this should hold a monthly inducement that is tied to its public presentation index. On-time flight information should be displayed on Firefly’s web site ; this will be a convenience to Firefly clients and besides to bespeak Firefly’s committedness to client satisfaction.
Furthermore. we did mentioned in the first recommendation that Firefly should supply a shuttle coach service to and from the airdrome. this solution should non merely be implemented in Penang but to popularise to Peninsular Malaysia. This service may necessitate more budgets for the one-year study but Firefly can roll up a sensible coach fee from client to cut down the cost. The most of import point is the shuttle coach service can better client consciousness and positive image to the populace. Consequently. with betterment in efficiency and rider comfort. Firefly can re-position its merchandise. therefore bettering its market portion while keeping profitableness. In order to accomplish the above mark. several consciousness runs besides need to be conducted. to inform the mass that Firefly offers value travel and besides keeping comfort. Once a trade name repute of low menu air hoses has went deep into the heads of consumers. those riders going on a low cost carnival surveyed will non look at any other bearer when booking their flights. Last. Firefly will necessitate to analyze all paths and extinguish non-lucrative 1s and penetrate those markets that Firefly is capable of.
5. 0 Decision
In decision. Firefly aims to convey communities closer together by taking geographical limitations and linking the universe to the communities it serve and contributes to the economic systems by increasing trade and touristry. Firefly implemented a few selling mix schemes such as merchandise mix scheme. selling mix pricing. topographic point selling mix and publicity mix scheme. Firefly created a successful mix of merchandise. placing. pricing and publicity which is good to the company. Under merchandise mix scheme Firefly offers clients guest convenience. safety. and besides enforced enlargement and contraction scheme doing clients content with what they are acquiring. In marketing mix pricing. Firefly has carried out incursion pricing. competition pricing. psychological pricing and optional pricing doing clients to experience that the service provided is worth their portion of money. The topographic point selling mix indicates that distribution scheme. cyberspace engagement. nomadic engagement and the handiness of authorised travel agents will supply convenience to clients allowing them experience at easiness with the service offered by Firefly. Last but non least. the publicity mix scheme consists of advertisement methods. gross revenues publicity and besides promotion which are for trade name publicity to do an addition in client base.
Medical touristry and altering the life style of consumers are market chances of Firefly. Medical touristry can pull clients as foreign patients are willing to go to Malaysia for medical health care services as it is a good location for patient to recover. Changing the life style of clients will bring forth gross as many clients will take to wing with Firefly instead than taking long-distance managers. It is time-saving and more convenient excessively.
Our group agrees that it is recommended that Firefly should collaborate with the peculiar infirmary which the aliens prefer as to perforate into medical touristry and to offer attractive bundles. It will be good to the company if it successfully enters the medical touristry country. In order to alter the life style of consumers. Firefly should better the air hose image to public earlier perforating each of the mark market as to put themselves into the Black Marias of many clients while bettering market portion and maintain profitableness.
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