In the tourism and hospitality industry, the staff members of Qantas Airline are required to provide prompt facilities to their consumers to avoid any problems which could be faced by them. They have to target a particular set of the market so that they can obtain success in the industry. At this time they are required to provide qualitative services to their consumers, which can support in overall growth and development. The company members can use SWOT analysis to identify the issues, and by that, they can resolve the problems, which are arising.
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Tourism and hospitality management assists in attaining practical knowledge of the industry. It helps in improving services that are provided to the consumers and have to follow an appropriate administrative system (Altinay, Paraskevas and Jang, 2015). The present assignment focuses on the QANTAS AIRLINE AUSTRALIA, which is a flag carrier airline of Australia. In this report, the target market of Quatas airlines along with the strategies developed to reach that market has been explained.
Qantas has the international and domestic airline, and it is having its headquarter in Qantas located in Mascot. This Airline has an oligopolistic nature, which has a small number of employees and has a huge passenger market. In the Australian domestic airline industry, Qantas having an approx 67% market share and in this airline it has a monopoly in the overall market. The company members have to provide better quality services to their consumers so that they attain maximum satisfaction level and by that organisation can earn the maximum profit (Schuckert, Liu and Law, 2015).
Products and services
Qantas is a premium airline, which provides different types of domestic and international airline services to their consumers. This airline comprises of commercial, marketing and operations. Commercial helps in maintaining sales and distribution. The staff members of Qantas assist in developing product. Along with this, they have to provide appropriate services. The company members have to maintain relations with the government. Along with this, they have to carry out effective communication. Along with this, the organisation is required to make changes in its products and services at regular intervals to stay competitive in the marketplace. Qantas follow demographic segmentation. They target the high-class consumer and also fulfil needs and wants of the consumer. Along with this, the staff members have to maintain good relations with the public (Eid and El-Gohary, 2015).
The market segmentation of Qantas Airline is complex in nature and based on the different facts. Furthermore, it can also be explained that the employees are required to can fulfil the requirements and expectations of consumers. The company members have to improve the quality of the services so that they can target the market easily. They have to provide qualitative services to consumers and follow an appropriate system of flight booking (Mohammed, Guillet and Law, 2015). Along with the meals which they are providing to the consumers they are of the best quality. Current trends in hospitality and tourism are globalisation, safety and security, diversity, service, technology and price value. Trends help in developing tourism lodgings, and the company employees are required to provide appropriate facilities to their consumers (Aragon-Correa, Martin-Tapia and de la Torre-Ruiz, 2015). It helps in increasing employee salary so that they can retain the existing staff by the employees getting the motivation and encouragement. The company members have to use the appropriate policies which are related to innovation so that they can attain the attention of the consumers.
SWOT Analysis of Qantas Airline
- Strength: One of the major strength of the selected business is that it is having the almost monopoly in a market, Qanta is at the top.
- Too much concentration in the Australian market (Prebežac, Schott and Sheldon, 2016).
- More international destination in Asia.
- Tie up with international airlines
- Rising Labour cost. Increase in price of fuel which affects their operational expenses.
PESTEL analysis of Qantas Airline
Political – Issues which are faced by the entity is political instability, corruption and tax.
Economic – Inflation of the current rates affect Qantas which
Social – Changes in need and demand of people in the market also affects the sales, demand and profit of the organisation.
Technological – High technology can increase consumer expectation.
Environmental – At the time of carrying out its operations, the company is required to ensure that
Legal – Qantas is maintaining the health and safety rules for the consumer and employees (Kim, Vogt and Knutson, 2015).
The Target Market
Regarding the target market, it can be stated that the selected business enterprise targets people who belong to higher income level. Furthermore, aggressive marketing and promotion is the strategy which has been adopted by the company. Apart from this, sales promotion and discounts are other techniques which are used by Qantas.
Conclusion and Recommendation
From the above-carried analysis of the report, it has been observed that Qantas airline has to create a strong brand. They have to provide excellent services to their consumers for which the organisation is required to build proper relation with the public. In this, consumer participation is necessary so that they can promote an environment and attract customers. The entity is suggested to adopt penetration pricing so that they can gain the prior attention of their consumers again. Qantas have to provide best quality services and provide the services at the premium price and create the brand awareness in the market.
- Altinay, L., Paraskevas, A and Jang, S.S., 2015. Planning research in hospitality and tourism. Routledge.
- Aragon-Correa, J.A., Martin-Tapia, I and de la Torre-Ruiz, J., 2015. Sustainability issues and hospitality and tourism firms’ strategies: analytical review and future directions. International Journal of Contemporary Hospitality Management.
- Eid, R and El-Gohary, H., 2015. Muslim tourist perceived value in the hospitality and tourism industry. Journal of Travel Research. 54(6).
- Kim, M., Vogt, C.A and Knutson, B.J., 2015. Relationships among customer satisfaction, delight, and loyalty in the hospitality industry. Journal of Hospitality & Tourism Research.
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