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Singapore Airlines Marketing Mix

Paper Type: Free Essay Subject: Marketing
Wordcount: 2669 words Published: 27th Jun 2017

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Marketing is refers to an activity carry out in moving a product from the idea stage to the finished stage, for example from a manufacturer to consumer, at a profit. Marketing involves an exchange of values between two or more people. Marketing begins with customers and ends with customers, it begin with the need of customer and end with satisfaction of the customer. (Adam Khan Kasi, 2010)

How to position your market is vital, putting the right product in the right place and time as well as right price. The marketing mix is a good place to start, when thinking of making a marketing plan.

The Marketing Mix well-known as the combination of 4 elements which is Product, Price, Place and Promotion. To create a right Marketing Mix, the organization need to meet the following conditions.

The Marketing Mix (The 4 P’s of Marketing)

  • Product
  • Price
  • Place
  • Promotion

Sources: http://www.learnmarketing.net/marketingmix.htm


The product in marketing can be tangible or intangible. It basically means, tangible product is a product where can clearly see and touch for example a car, a house. Intangible product is refers to a services. Services are just like oxygen where you cannot touch or taste.

Major Service with minor accompanying goods for example airline, the airline passengers buys the transportation service and it will include some tangibles such as food or beverage. Moreover, the services may include the facilities, well-mannered staff and pure service such as lawyer services. (Adam Khan Kasi, 2010)

The product has to have the right features, for example functionality, quality and safety, must be able to perform a task or function with high quality and safety. In addition, the packaging, repairs and support, warranty. Take Singapore Airline (SIA) as example, the product must look good and work well in order to attract more customers. Internet Center for Management and Business Administration (2010)

Such as, the passengers buys the transportation service, therefore the airline industries (SIA) need to make sure the price must be reasonable and no delay or cancellation due to simply reason as well as constant availability of seats for passengers.

Moreover, make sure the time of departing and arriving is at the right place and right time. Product differentiation and product positioning, Singapore airline (SIA) had built it brand name, the image is luxury therefore (SIA) need to maintain its reputation by repositioning, adjust durability.

Product support, this is refers to after sales service, for example, the passengers buy the transportation, thus the agent of (SIA) can make an acknowledgement through email by sending a customer review or poll.


Price is refers to the amount on the product the customer pay for. In marketing mix, price is the one which creates sales revenue. The price of an item will determine the value of sale made, it determines what customer willing to pay for.

Researching customer opinion about pricing is very important. The organization have to come out with differ pricing strategy in order to increase the sale. The pricing strategy includes Cash and early payment discounts, Seasonal pricing and Price discrimination. Internet Center for Management and Business Administration (2010)

For example Singapore Airline (SIA), in order to increase the sale, Cash and early payment discounts strategy is a foremost, such as the passengers buy the transportation service, upon the travel period must indicates deadline for early payment discounts for example 5% to 10%.Hence, this will increase more sale and tariffs.

Moreover, Seasonal pricing strategy is very effective in order to increase more sales, upon the travel period there must be certain month which consider peak season. For example on the December to January, Singapore Airline (SIA) can come up with a special travel package.

Last but not least, price discrimination strategy can be used. For instance, Singapore Airline (SIA) has to practice selling the goods or services at different price to differ buyers/customer, by focusing on the basic of income, age, geographic location etc.


Place in marketing mix is refers to the location, virtual place for selling the product. It is the distribution channels, used to get the product from the manufacturer/service, provide to the customer, it can as well refer to transportation or place for storing goods.

The term “Putting the right product in the right place and time as well as right price”, it basically refers to in order to make it success, Singapore Airline (SIA) has to ensure the departing and arriving time or place must be accordingly and properly. Internet Center for Management and Business Administration (2010)


Promotion is a marketing tool where the marketers can used for promoting or communication of product or services to the customer. Promotion include advertise, direct marketing, Public Relation (PR) and internet marketing. (Adam Khan Kasi, 2010)

In order to make more profit, Singapore Airline (SIA) can focus on the promotional strategy, for example the “push and pull” concept, personal selling and sales force, is all about talking and how to present it in a proper way, by using an airhostess or celebrity endorsement to held a promotional activity or event. Advertise through Television (TV), radio, direct marketing for example through email, flyer, and brochure etc. Internet Center for Management and Business Administration (2010)

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Effective promotion activity will directly target the targeted market at a specific group, successful promotion will increases the sales, Singapore Airline (SIA) can focus on the food and beverage category by develop a new breakfast meals and drinks with special offers together with free seats or special seats for certain period of time with only pay for a certain amount.

The extended marketing Mix 3p People, Process and Physical Evidence

Sources: http://courseware.finntrack.eu/learners/btec/marketing.htm


People in this area is refers to staff of the organization, employee are very essential in an organization. Because the employee is a representative, they represent the organization deliver the services and taken as a whole, majority of the consumer keep in mind with the quotes “Judge a book by its cover”, therefore if the employee is not qualified or does not train well, it definitely will build a bad impression. The staff in an organization should train well with appropriate communication skills and service knowledge. Philip Kotler (2009, and Frances Brassington (2009)

(SIA) Customer service strategy is very effective, The Singapore girl described as caring, kind, grateful and peaceful, the cabin crew of Singapore Airline is vital to the airline. For example, although the cabin crew is well-trained, but customer are very particular, hence they have to constantly deliver high-quality of services, serving them with comfortable and satisfaction to the maximum.


Process is refers to a system of the organization, it assists the organization to deliver the services. Services must be deliver effectively, prompt and stability. Therefore, Singapore Airline (SIA) has got to constantly deliver high-quality of services and regularly maintain the system in order to retain the customers.

Physical Evidence:

Physical Evidence is refers to the environment of the organization, it is an essential element of services marketing mix, it allows the customer or the critics to make judgments on the organization.

Take Singapore Airline (SIA) as example, the customer have high expectation on (SIA), thus they buy the transportation service, as a result the cabin crew have to bear in mind as always keep the environment clean and comfort. Be friendly and be nice toward the customers.

Marketing Plan

1.0 Executive Summary

Singapore Airline is a company that delivers high quality of services, with the company slogan “A Great Way to fly”. This marketing plan illustrates (SIA) market segments and the strategies to get customers and create more revenue. Singapore Airline (SIA) not just a standard air transport provider, Singapore Airline is a leading brand which delivers high quality of services toward the passenger all around the world. Singapore Airlines (2010)

Their unique strategic focus on target market gives them an advantage over the competitors, by focusing on lifestyle, satisfaction, giving customer a newest to enjoy. This will increase the percentage of passengers even for whom who do not normally travel by air-travel.

1.1 Vision

(SIA) vision is to provide high-quality of service toward all around the world. By providing them a comfortable environment in the cabin during travel with reasonable price with the slogan “A Great Way to Fly”. Singapore Airline (2010)

1.2 Objectives

1.2.0 Generate over $380 million about $700 million in sales by the end of year 2010.

1.2.1 Increase sales/ percentage of passengers by 100% by the end of year 2010.

2.0 Target Markets

Our ideal customer is between the ages of 18-30 who is very budget-conscious and who does not normally take flight as well as to whom who desire luxury and comfortable with reasonable price. College students or University students, customer who usually travel by “Malaysia Airline, Air Asia, Cathay Pacific Airways, customer is typically Vacationist.

2.1 Market Definition and Segmentation

We target on one segment: The economy class. In these segments, customers are budget-conscious and enjoy lavishness lifestyle.

2.1.0 Budget-conscious customers

There are two types of customers who are budget-conscious and customers who are very keen in purchasing, those with unlimited budgets.

2.2 Target Market Segment Strategy

Our strategy focuses on service, constantly delivering high-quality of services, becomes a leading brand. We will regularly keep in touch with the customer through various online methods, including social media and emailing. As a result, we will be able to target the targeted markets with consulting services.

2.3 Target Market: Budget-conscious customers

Free Seat:

Offer promotion on free seating on Decembers with memorable slogan “Everyone can fly” for only departing from or to domestic area and selected area with limited seats and date. For example Singapore to Johor Bahru, or Singapore to Penang.

Served with several food or beverage which is only available for promotion on December with only pay for ½ price of the actual price.

Some features of free version are disabled, such as the TV programmed and the advertising is displayed beside, at the corner of the movie show, however users are able to watch tons of movie/drama and the advertisement will be disabled while showing and is only accessible on certain time.

2.3.1 Needs and Requirements

Budget-conscious Vacationist get tired and unhappy easily, since they are calculative, very enjoyable and are constantly looking for low-cost transportation, because of limited financial capacity.

Some young adults normally get their money from their parents or from low paying jobs, therefore in order to make them happy and satisfy, (SIA) have to constantly come up with various travel package and promotion to catch their attention to increase the profit.

The promotion package can include some special price which is only available for young adults or senior citizen for example a student price or discount together with free gifs.

2.4 Positioning

To reach the targeted customer in a very competitive markets and to become the market leaders, (SIA) have to make their image strong because it is difficult to change a consumer’s impression. In order to do so, the organization should make their brand name, image simple and easy and within the slogan consist of simplified message. This concept will initially be remembered, the consumer will remembered at the first place. (Al Ries and Jack Trout, 2010)

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2.5 Competitive Forces

There are many airline industries. However, they are only few airline industries had built it brand name and are able to survive in this very competitive sectors. Singapore Airline promises is an advantage, the slogan “A Great Way to fly”, since (SIA) will not have to spend as much time or energy to compete with the competitors, because they have bear out with action instead of word of mouth.

2.6 Sales Forecast

Sales by year

According to (SIA) operating statistic on Nov 09 2010, (SIA) had earned a net profit of $633 million for the first half of the 2010-11 financial years , and a net profit for Second Quarter 2010-11, July-September quarter was $380 million. The assignment would like to emphasis on one year integrated marketing plan to meet the objective of increasing sales.

Sales will come from 2 sources:

2.6.0 Passengers – This includes air travels, customer purchase air transportation.

2.6.1 Embedded Advertising Sponsorships – Advertisement in Facebook or other website with the concept of “Pay per Click”.

The sales costs earned profit by charged from other channel who desire to advertise on the website. “Pay per Click”, every 1 of 10 people who visit the landing page or see twitter or Facebook post will immediate catch their attention. The average sales price estimated based on the tariffs and advertising sponsorships.

2.7 Recommendation

In order to increase the sales and maximize shareholder wealth as well as make the customer happy and satisfy, delivery high-quality of services is a must and must be delivering at a right manner with suitable and well-planned estimated strategy.


1. Ezine Articles Website (2010), Marketing Mix – 4P’s of Marketing Mix (Product, Price, Place & Promotion

http://ezinearticles.com/?Marketing-Mix—4Ps-of-Marketing-Mix-%28Product,-Price,-Place-and-Promotion%29&id=4710473 (accessed December 04 2010)

2. Ezine Articles Website (2010), Introduction to Marketing

http://ezinearticles.com/?Introduction-to-Marketing?&id=4645924 (accessed December 04 2010)

3. Internet Center for Management and Business Administration Website (2010), the Marketing Mix (The 4 P’s of Marketing)

http://www.netmba.com/marketing/mix/ (accessed December 04 2010)

4. Share Investor Website (2010), SIA: Revenue Growth Produces Half Year Profit of $633 Million

http://staging.shareinvestor.com/news/news.html?source=si_express&nid=29354 (accessed December 06 2010)

5. The Premier Community For Sales Pros Website (2009), Service Marketing Mix

http://saleshq.monster.com/news/articles/1889-7-ps-of-service-marketing-mix (accessed December 07 2010)

6. Quick MBA Knowledge to Power your Business Website (2010), Positioning

http://www.quickmba.com/marketing/ries-trout/positioning/ (accessed December 07 2010)

7. Singapore Airlines Website (2010), the SIA History. http://www.singaporeair.com/saa/en_UK/content/company_info/siastory/history.jsp??v=1230534318& (accessed December 06 2010)

8. Image, Finntrack higher and further education content Website (2010), Extended Marketing Mix

http://courseware.finntrack.eu/learners/btec/marketing.htm (accessed December 06 2010)


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