Easyjet Case Study Example

Easyjet Case Study Example

Easyjet Overview

Headquartered in Luton (England), Easyjet was established by Stelios Haji-Ioannou in 1995. It operates as a low-cost business to win over its rivals like Ryanair, BMI Baby, and FlyBe. It got listed on the London Stock Exchange. 

It is a subsidiary of EasyGroup Holding Limited, FTSE 250 Index. It employs more than 14,000 from all over Europe, mainly from the United Kingdom. Easyjet Group along with Easyjet Switzerland, Easyjet Europe, and Easyjet UK.

The Group alone carried more than 65 million passengers, making Easyjet the second-largest economic airline. It got featured in the TV Series Airlines that got broadcasted on ITV. It followed Easyjet’s operation at Luton. 

The pilot training program of Easyjet got featured in another TV Show called Inside the Cockpit, which premiered on August, 17. Ryanair, like Easyjet, uses a business model pioneered by Southwest Airlines. Both airlines adopted this model that reduced operational costs to a certain extent.

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Easyjet’s Business Model

As mentioned earlier, Ryanair Easyjet follows the business strategy pioneered by Southwest airlines. It adopted the strategy in European Market, which highlights factors like fast turnaround times, charging for facilities like food and hold luggage, and keeping operational expenses low. 

Initially, the employment strategy for the airline was to maintain quality control with minimum employment. Like Southwest, Easyjet did not allocate seats in the initial years. 

Easyjet Marketing strategies to achieve competitive advantage

Easyjet Integration

In August 2002, Easyjet and Go completed a merger deal worth 374 million Euros. It’s a sort of horizontal integration, which reflected Easyjet’s intention for increasing market share. By December 2002, Easyjet reached milestones in its association with Go, announcing an AOC and launching a unified marketing channel. 

The Easyjet strategic analysis shows that there is no doubt acquisition was a major step away from Easyjet’s organic growth plan. Go acquisition helped it to gain a major presence in Stansted, a home of KLM’s buzz and Ryanair. 

Easy jet Differentiation Strategy 

Easyjet follows a cost-leadership strategy that renders it a competitive edge in the industry. Mc Daniel defies that differentiation strategy is imperative for a company to sustain its position. As such, the lack of differentiating strategy makes it hard for a company to survive.

As reported by CNN, Easyjet has relaxed hand luggage restrictions. It is about 40% more than the actual allowance. Flexible booking schemes and no weight limit for cabin luggage are attractive for business passengers. It makes Easyjet stand apart from other low-cost airlines in the industry. 

Physical Evidence

Even though Easyjet has an online sales channel and website, passengers still book tickets from the flight agents and the airport. Recently, Easyjet advertised on Sainsbury’s site itself, promoting its new partnerships. The airlines include a security icon and privacy policy that gives the customers a sense of security when booking flight tickets online. 

Easyjet target market

Easyjet target market shows that that company operates in different ways. Its direct competitor in the market, which is targeting the leisure traveller for whom the ticket price is important. Easyjet has the same type of clientele for whom the ticket price was slightly less important and also business customers whose companies seek to save on transportation costs, but care about the travel’s conditions. So, Easyjet has two different kinds of customers who are leisure customers and business customers.

Easyjet Marketing Mix 

Product 

Easyjet is a business that offers products in the forms of service, flights across destinations in the transportation sector. This Easyjet marketing strategy case study indicates that the company operates across 500 routes and has about 182 aircraft in 28 countries. It does not include seating arrangements for business class, no airport lounges, no free drinks, food, or entertainment on flight.

The jet flies from major airports. Easyjet offers flexibility to frequent fliers and has tie-ups with traveling agencies. Initially, people had to make seats through phone calls. But, the owner of the company launched a website, so that it becomes easy for people to make online and real-time reservations. 

Easyjet Airlines offered discounts on online ticket booking. Apart from flight booking, the website offers various hotel booking and car rental facilities. 

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Price in Easy jet’s 

There is no doubt that Easyjet is one of the most progressive low-cost airlines, following a defined pricing strategy. Its main aim is to help avail flight facilities at the lowest possible price. Easyjet has been there for so long and used intuitive tactics to survive. 

Easyjet follows a one-way ticketing policy. It means that it has only one price for one flight at a time. The lowest flight fare is available initially, and the price increases as the date of departure draw closer.

It possesses a fleet of state-of-the-art aircraft, helping the airlines to reduce fuel costs and operational expenses to a great extent. It can provide the customers with premium services at competitive costs. 

Target Customers Easyjet

EasyJet.com focuses on business and relaxation buyers who aren’t interested in dealing with third-party delegates. The Easyjet marketing campaigns targets audiences who prefer setting aside time and cash. For the business and regular fliers, easyJet.com makes it easy to book flight tickets, scheduling transportation, flight, and accommodation facilities.

EasyJet allows customers to make choices on airline lounges, which is imperative to make the flight booking process complete. Acknowledging corporate requirements for discounted group travels, easyJet.com reserved a part of its site for B2B exchanges which offers exciting deals, particularly for the B2B clients. 

For the leisure buyers, easyJet.com serves them with hotel insurance, airport transportation, and services. At the same time, it keeps the website www.EasyJet.com updated with offers of the week, occasional packages, and attractive weekend deals which the customers may avail at any time of the day.

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