Executive summary

The companies that strive for gathering appropriate information on a continuous basis are the ones that genuinely achieve success in their marketing endeavors. This particular fact applies to airline companies as well. This is one industry that has witnessed increased competition in recent times and it emphasizes that the information should be communicated effectively throughout all levels (ACO Southern Africa, 2014). In this paper, research involved would largely focus on how customer satisfaction could be ensured by evaluating the thoughts of frequent travelers.

The research would go about its objectives by formulating hypotheses that would help it achieve its goals. The hypotheses that would be assessed include:

H1: there is no relation between customer satisfaction and the airline’s cut-price services

H2: there is no relation between the airline’s frequent flyers and allegiance programs that the company provides.

H3: there is no relation between frequent customers’ satisfaction and the quality of services that the airline provides

H4: there is no relation between being a loyal traveler and the rewards that are redeemable by the customers

H5: there is no relation between frequent customers’ satisfaction and quality of additional services that the company provides.

H6: there is no relation between the airlines’ regular travelers and the deduction services provided for in the dependability program. (Smith & Albaum, 2013)

The method that was largely used in conducting the research is probability sampling whereby a cluster sampling procedure was widely utilized. (Denscombe, 2010). For better understanding of the concept, three categories were used to divide the population, namely Blue, Silver and Gold. The sample size, it must be noted, had a 5 percent margin of error, with the total population being 3000 respondents.

The hypotheses that were addressed by the ANOVA technique include H1, H2, and H3 (Smith & Albaum, 2013). The multiple comparison system is used for comparison purposes involving the inconsistencies that existed in the variables. H6 is answered by the t-test sample method that is known for its independence. This technique is quite commendable as it allows two independent nominal variables to be defined, especially given that it has an interval scale. H5 is answered by the Chi-square, especially given its importance in finding the relation that exists between the different nominal variables.

Given that the Chi-square technique was generously used, the marketing strategy bifurcated various attributes into three categories. The Green category had to address the traits that senior citizens have. The blue category emphasized the self-employed customers, whereas the red category fully focused on employees that are full-time paid. It must be noted that these customers form the bulk of those who were selected.

From the initial analysis sample that was obtained, it becomes evident that much still has to be done by the Emirates Airlines to ensure that female customers are given priority as far as boarding is concerned. Gender should not be an excuse when giving out services that are deemed critical, as this is a facility that all customers are entitled to.

If the ANOVA technique is effectively utilized, then it would ensure that the services are provided satisfactorily. Thereby, making this evident for Emirates Airlines where the application of this technique could not be ignored. The services in question with regards to this include playthings for minors, travel gears, as well as luxurious accessories. All complaints for services that are below par have to be addressed, as this is a critical area of the Emirates Airlines FFP members. The services in question here include discount on hotel rooms, how Free Flights operate, check-in priority, as well as handling extra baggage. Even satisfactory services which are not deemed critical to clients have to be maintained. However, any services that are not deemed necessary to the Emirates Airlines should be ignored. (Emirates Skywards Program Rules; http://www.emirates.com/…./skywards-programme-rules.aspx)

Statement of marketing problem

Maintaining customer is critical to any organization. This is one thing that the Emirates Airlines hopes to achieve through the Frequent Flyer Program. It is imperative that the criteria be created that will evaluate the program’s performance, while also improving its marketing strategy. Through the FFP, loyal customers of the Emirates Airlines would accrue frequent-flyer distances that match with the miles that have been flown. It should be noted that this program has always been subject to numerous accounting issues, and this is a glitch that the Emirates Airlines should seek to avoid. Miles could be accumulated in different ways, and in recent times, debit cards and co-branded credit cards have been in use. Simply put, FFP Programs represent virtual currency, and this can be of great advantage to any Airline; (market-wise) if utilized effectively. The role that this virtual currency has played in adding to the overall profitability of the Emirates Airlines cannot be underscored. What remains to be done by the Emirates Airlines is ensuring that proper strategies are adopted that would ensure the performance is constantly evaluated and improved. Without a proper program evaluation criterion, it becomes difficult for the Emirates Airlines management to maintain customer satisfaction. This means that customer loyalty can also not be guaranteed. A proper program ensures that all services are scrutinized conclusively and improvements made to those that fall short of required standards. Customer satisfaction can therefore not be ignored since it could easily push clients to rival airlines.

Background of marketing problem

The main loyalty programs that the Emirates Airlines offers to customers who are loyal include the Blue, Silver and Gold (www.emirates.com).

1. Emirates Airlines Blue Program: This falls under the Emirates Skywards, which is known for its notable generosity. However, this program has certain changes in recent times. Starting 2010, the Emirates Airlines had started discriminating clients based on fare charges, and not the travel class. This had potentially ensured harmonization with the programs that its rivals offered requiring that for one to qualify for this program, he or she must have gained at least 25,000 miles annually.
2. Emirates Airlines Silver Program: For Emirates Airlines clients to qualify for this, they must have accrued at least 25,000 tier miles. It must be noted that this program, just like the others, comes with its benefits. They include membership luggage tags, invitation to clubs belonging to Emirates Airlines, priority telephone reservations, as well as priority check-in.
3. Emirates Airlines Gold Standard: The Emirates Gold Program, on the other hand, requires clients to have accumulated not less than 50,000 tier miles to qualify. There is also a fourth standard referred to as the Platinum which is not as common because it only considers clients who have hit 150,000 tier miles. Priorities of Gold standard include guaranteed economy-class booking, and first class baggage tags for any flights that are international.

There are numerous ways in which points could be earned in the Emirates Airlines, and this has always provided its greatest strength when it comes to this kind of marketing. By partnering with renowned airlines such as Cathy Pacific and Qantas, it has been able to do this effectively. Clients of the Emirates are also allowed to earn points while they entertain themselves in the theaters, and this is yet another stand out feature for their marketing. After reaching a certain points tally, a life membership can be earned for both Gold or Silver status, and this has been made even more appealing by the recent introduction of redemption options. To remain relevant and competitive in a market as competitive as this, it is imperative that various enhancements be ensured on a regular basis.

The success of the FFP has been documented in the primary data research. However, it must be noted that this research method fails to conclusively address the main problems. The problems include the criteria that the Emirates Airlines marketers use to evaluate the program, as well as the relevant factors such as rewards and extra services needed to make the programs more successful.

Objectives and hypothesis

1. The criteria to improve and evaluate the performance of Emirates Airlines FFP

H1: there is no relationship between the airlines frequent flyers and the services given out to those customers who remain loyal.

H2: there is no relation between the miles that have been accrued and the status of the labor face.

H3: there is no difference between being the airlines frequent traveler, and rewards given which are redeemable.

H4: there is no relation between the critical services that the Emirates Airlines provides and the gender of the clients

H5: there is no relation between being the airlines’ frequent user, and the discounting services that it provides.

Sample size

With a sample size of 3000, the research had a 5 percent margin of error, whereas the confidence levels stood at 95 percent. The probability sampling was the main technique that was employed, since focusing on random sampling would not yield accurate results. For any sampling errors to be minimized, a large sample size was utilized. It was also ensured that the target mass was divided into populations that are collectively exhaustive and mutually exclusive. The clusters in which the populations would be divided in would ensure that Blue, Silver and Gold are ranked according to their sample sizes. In this sample size, 60 percent of the population will be Blue card holders, whereas silver card customers will be 30 percent. Gold card holders, on the other hand will be 10 percent.

Methodology and techniques

Since the definition of the problem has already been done, quantitative research would be the most effective if more detail is to be derived. With regards to this, it is critical the clients’ feedback be obtained so as to improve their experience. Descriptive research would be used for this purpose, and for the survey to be conducted effectively, telephone calls would be used. Everyone who had been covered in the sample size will get a telephone call.

Conclusion and recommendation

From the analysis of the questionnaire that had been shown through the output, it becomes apparent that about 30 percent of the Emirates Airlines frequent flyers prefer to use this company because it gives them the opportunity to earn more miles in the FFP. The successful FFP program has ensured that the Emirates Airlines maintains its customer loyalty, while also attracting clients of rival airlines. Being a UAE Airline has also greatly aided the cause of the Emirates Airlines. Most people have come to associate this country with quality services, and this has greatly aided in its marketing strategy. The importance of ensuring frequent communication can also not be underscored by the Emirates Airlines. Social media comes in handy with regards to this as it provides an unrivalled marketing tool for creating awareness. Most individuals apply for the Emirates Airlines FFP programs due to the numerous benefits that it is associated with. More emphasis has to be put in ensuring that the discounting services are provided as focusing exclusively on giving rewards and extra services could prove costly and unjustified in the long run.

There are various ways in which the FFP program of the Emirates Airlines could be improved. These includes going with what the majority want, getting rid of the boarding priority for gender equality, as well as improving services that are deemed critical by clients.

Emirates Airlines FFP Survey

In the effort to ensure that only high quality services are offered to clients to improve their experiences, a survey would be conducted to indicate what the clients’ preferences are, and how their satisfaction can be ensured. The survey would be as follows:

 

Greetings!!! We are conducting a study on “Customer perception and feedback on the new product launched by Emirates Airlines”. Could you please fill this survey out? All information provided by you will be kept confidential, and will not be disclosed to any other company or individual in any form. Information provided to us will be used only for our internal analysis and strategy purpose.

1. Please tick (Ö ) the option(s) from among the following choices that determine your reason(s) for flying in the Emirates airlines and cross (×) the others.

Fair prices
Excellent services
Reliability of flights
Extra services offered
The flights status
Easy booking options
UAE origin

1. Please tick (Ö )the option(s) from among the following choices that you use as a communication strategy that according to you is most effective for marketing purposes and cross(×) the others.  

Twitter
Facebook
WhatsApp
Skype
Email
LinkedIn

1. Please select; tick (Ö ) your most preferable membership card and cross (×) the others

Blue
Silver
Gold

1. Please select; tick (Ö ) the kind of benefit that is most preferable

Discounted price
Redeeming rewards
Extra services

5. Please tick (Ö ) the degree of satisfaction with the discounted services that the Emirates Airlines provide. (1 is very low and 5 very high) and cross (×) the others

Class upgrade	1	2	3	4	5
Free Flight	1	2	3	4	5
Flight Discount	1	2	3	4	5
Hotel Discount	1	2	3	4	5
Car Hire Discount	1	2	3	4	5

 

 

 

6. Please tick (Ö ) the level of satisfaction that comes with the extra services that the Emirates Airlines provides and cross (×) the others

Choosing the preferred seat	1	2	3	4	5
Boarding priority	1	2	3	4	5
Upgrading class	1	2	3	4	5
Using the membership club	1	2	3	4	5
Check-in priority	1	2	3	4	5
Extra weight	1	2	3	4	5

7. Please tick (Ö ) the importance of each reward that can be redeemed and cross (×) the others

Gift card	1	2	3	4	5
Beauty and fashion	1	2	3	4	5
Kids toys	1	2	3	4	5
Travel bag	1	2	3	4	5
Ipad	1	2	3	4	5
Luxurious watch	1	2	3	4	5

8. What is your Gender? Male/Female……………………..

1. What is your Occupational status (check one/more that applies and cross (×) the others).

Fully employed
Self employed
Retired
Visitor
Unemployed

 

 

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