7/21/2019 Caselet Indigo Assignment

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Value in

Marketing

How

lndigo

Airiines

Handles

Same

af

the

issur's

+{

Serviees

Mar-ketii-:g

lndigo has very fast moved

from

the

position

of

new

aidines

to

a

well-talked-about, esablished,

aidine.

ln 2006, launching squarely in

the

budget airline

segment,

their

goal

was: lndigo

should soon move

from

a

budget airline to a

preferred

business

carrier.

Today,

within

a

short

span

of

seven

years,

lndigo

has achie,,\/ed th*

goal;

it has

become the

most

preferred

carrier

for

business

travellers. lndigo

achieved such a

feat

when

the

entire aMation

industry

was

in

turmoil

and many

big

players,

such

as

Air

Deccan

and Kingfisher, operadng

in

different segments had

to

exit. This

was

achieved

through ad-

dressing several

process-specific

and

customer-

specific

issues.

Using

t'tass Communication

in

Laurrch

lrlar*ets

ln

the

early

years,

the entry into

even/

new

route

was extensively

communicated

through

prira

and

outdoor

media

tlre announce-

ments came

with

the

tagline

:'lndigo

in your

town...

Ready

for

take-off

".

h

could not

wait

for

word-of

mouth

to

pick

up;

demand had

to be

generated

from

scratch;

so many

budget

airlines were competing

hard

for

space.

lndigo

communi-

cated

is very

cornfortoble

fares

and

is

eaqf

access.

The airline's

lirst

TV

com-

mercial was

clearly argeted

on a first-time

or at

least in-

frequent

traveller; describing

how

lndigo

made the travel-

process

not

only more eco-

nomic but

easier.

CgstorrerTo*ch Points

However, quite

soon,

focus

was

switched

to customer

touch

points

when every-

thing--from

the

design of

the

safety

instruction

card to the

awailability

of

a

boarding ramp

instead

of

a staircase, to dre

packaging

of in-flight

snack--

ffiGotrslr'3 5f

was

aimed at being more

engaging,

drawing

attention

to

the

high

standards

of service

being

implemented.

ln fact, this

was the

take

off

poirt

from

the

position

ofa

budget

carrier

to

a business

airjine.

"The

reat challenge was

the

transition

to

the

new ideology

and

clientele hcause

low-cost

carriers

behave

in a certain way. They

wear the

'common-man'

badge,

like

say Air

Deccan.

Once that was

overcome, the

position

evofued

further,"

sap

the

executive

cre-

ative

director

of

Indigo's

ad agency.

Exhibit

;

METROCOHITIECT

 

:

no

or

rru@

r, .Er

fu6mt

(yt

i

MAN)I

8rIN*:STNAI':ITER

H'TEs

Targeting

the

Corporate

Passenger-On Tirne,

EverT

Time

The

next

stage was a

subtle

switch

to

poiffedty

target

the corporate

passenger.

Here

lndigo squorely

took up

the rnoin custorner-dissotisfer

in

the

industry--flight

delap, cancellations, last

minute

route

re-

directions.

lndigo

made a bet

with

its customers:

"We

are on time;

nothing

will dilute it". One of

lndigo's most

popularTV

commercials

in 2010 featured

a

musial-sty'e depiction

of

the

link

bet,veen

mak-

ing its

processes

more efficient and

getting

is

passengers

to their

destinations

on

time.

A

voiceover

added:

"\a/hen

we

get

our

work

done

on time

we

become

the world's

most

powerful

economy on

time; on

time

is

a wonderful

thing."

lndiio's

new

slqgan

was

On

time,

every

time The

main

point

is that it

did not remain a

claim;

lndigo

committed

all

its

competencies to

ensure

that

it

meant

busi-

ne<s

lrlore Routes, Better

Frequency

Many

new

flights

were

added to

cover morie routes,

especially

in

the metros, arld increase

flight

fre-

quency

in

thse

routes;

thse

were

crucial steps to tap

dre business

segment.

They

abo

emphasised

their value

to dre

hsiness

travd-

ler.

The chart

shors dre customer-

'

performance param€fers

on which

:

lndigo

is

now Mingthe

show.

,

Sp".i"t

Packages

to

r

Corporae Clients

Today,

lndigo

has

companies,

such

as Airtel,

Coca-Cola

the

Tata

i

Group,

GSK and

de

Aditya Birla

i

Group, s@ed

up

as

corporate

cli-

,

ents;

lndigo offers

their

executives

a

premium

seat

dlocation and

on-

,

board

meal for each

ticket

pur-

chased.

Reliabilitf

*re

t{ain

Serryke

Feature Tday

"For

a

business

travelle4

lndigo

stands

for reliability.

k

tren

stands

for low

cost,"

sa)6

the Chief of

the

consultanqy,

WoE

Olins

lndia.

Customerc

Expect

More

Now,

the

customers o<pect

much more

from

lndigo.

And like

all

market

leaders,

the

company is under tremendous

pressure to

per-

form

still better; the customer

exp€cation

is only

going

up.

And

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as

the consultancy

firm

Clrlorophyll

points

out:

"When

you

start

slipping

on things,

people

start noticing.

Because you

normaliy

don'r

sliplThey

have a huge

lead

compared

with rivals

and so

even

a

smali

error

is noticed "

However,

lndigo

is only

getting

more prepared

to meet

the

daunting

expectation

of

a

demanding

category

of

customers.

As

Source:

www.soindiEo-in: and

lhe Economir

Times Merrh

?o

?n I ?

fresh

competition

from

Air

Asia

is

emerging on the skyline, lndigo

knows

it

cannot

loosen

its high standards. The

focus

is to enrich, ex-

tend

and

deepen

the

brand

"lndigo

believes

in keeping

things

simple

yet

cool. Every

aspect

of

the indigo

experience is

to

maximize cus-

tomer satisfaction,

and

lndigo's

marketing

is

no different",

says

the

President,

lndigo.