BU481 Lecture Notes - Lecture 6: Customer Experience, Air Miles, Canada 3000
Document Summary
Wants to add smaller planes (bombardier and embraer) to add small haul trips. Known for cheerful employees, cheeky corporate culture, low fares and upbeat commercials. Revenues growing at average annual rate of 27% for 11 years. 2009: 36% share of market: air canada: 57% 1988 deregulation of airline industry: strong competition, price wars, bad for business but good for customers in 2008 63% of canadian passengers were traveling in canada. Costs held to a minimum = low prices: single type of aircraft so low maintenance and operating costs. Non-stop routes for convenience and low (baggage, connection flight) cost. Didn"t use major metropolitan hubs (popular airports) = lower airport fees and. Served people who weren"t as time sensitive take of queues. Minimum ways to buy tickets: call centers, airport counters or travel agents. All one way fares no discounts for round trips. Non-refundable and pre-paid, but changes or cancellations could be made for a fee.
