Marketing strategy

The Eastern Airline purposes to cut out new destinations as it goes about marketing itself. It is has
clearly shows that, Eastern Airline target destinations of the company includes, Thailand, China,
Indonesia, Singapore and South Korea. As bringing new business in to the market, it necessary to
identify market share percentage. Since, competitors like, Air Asia, MAS, Fire Fly are accounted
for 60 % of share, while Eastern Airline going to obtain 40 % of the market share.

In order to get much market share and remain dominance among competitors there are must be to
analyze factors that what makes different Skytrax from other airline operators in the region. Those
factor include:

a) Eastern Airline emphasis much on the up to date information and technology, focus on
customers’ convenience, comfort, customer service and safety will be main factors which
the marketing focuses much.
b) Eastern Airline going to enhance and expand public relations that in order to gain good
benefit multiply and support its advertising budget.
c) As hook since Eastern Airline as start up in the market, would like to get better opinions
from public and focuses on much media to get attention and promotion. Eastern Airline is
going to enter new market and it has no any obstacles in terms of technological barrier,
while airline has equipped with the latest technology in Asia market, or else anywhere.
d) The Eastern Airline operate under motto “Get low, fly high”

Pricing strategy

Pricing is critical and sensitive strategy of the overall marketing strategy. It is not secret today, that
companies which run airline business unwieldy and impenetrable taxes and tariffs, fares and
promotions are common.

Eastern Airlines intention is not only focus on anticipation of its business and “user-friendly” to
the passenger, we have taken in to account also fill up the planes and serve to the management and
financial department for better forecasting and allocation. During the pricing process we
considered that it is not our aim to be highest priced or lowest-priced compare to competitors. our
guiding principles we concern about clarity, fairness and rational fare basis and mixture of better
service with greater convenience compare to offered elsewhere among the airline operators.
Eastern Airline will serve and work from only two sets of fares in the beginning stage (existing for
market segmentation purposes):

 Business class fares (aimed primarily at business people and travelers who are willing to
pay high price) that consists 15% of seats arranged for this class. (Figure 1)
 Economy class fares (aimed more leisure and personal traveler, price is lower compare to
business class fares), that 85 % of seats have arranged for economy class. (Figure 1).

Figure 1 Boeing 767-300 seats arrangement in board

Due to its low cost operating structure Eastern Airline offers service at less than 50% of the
competitive airfares to the selected destinations from Kuala Lumpur International Airport (KLIA).
Planned fares are described in Table 1. The second column is for 21 days advance purchase. It is
necessary to state that fares are non-cancellable and funds non-refundable. Since, the company,
operating lowest fare compare to other competitors, and it is fair enough. The third column is for
fares purchased within (inside) 14 days. The fourth column is recent for Day-of-Travel, it is day
of departure and customers who would like purchase tickets immediately.
 FARE PRICING

ROUTE ADVANCE WALK-ON D.O.T AIRBUS TIME Date

KUL-PEK RM 59.00 RM 89.00 RM 167.66 767-300 6:50 PM-1:05 Everyday

AM
KUL-SIN RM 89.00 RM 129.00 RM 170.17 767-200 7:40 AM-8:40 Everyday
AM
KUL- BKK RM 79.00 RM 119.00 RM 141.69 767-200 3:35 PM-4:50 Everyday
PM
KUL-HLP RM 69.00 RM 99.00 RM 125.45 767-200 5:00 PM- 7:00 Everyday
PM
KUL-ICN RM 99.00 RM 159.00 RM 188.95 767-300 10:00AM-5:20 MON-
PM THU
Table 1 Fare Pricing

Promotion strategy

Promotion strategy will be more based on advertising on media. For instance, radio, TV and social
media.

In addition, during seasonal period there are discounts 5-10 % percent. For instance, during Eid
al-Adha, Eid Qurban and Chinese New Year Skytrax offers reasonable discounts.

Nevertheless, though Eastern Airline is new established, it supports sport and social events by
offering sponsorships. Namely, Asian Football Cup, Malaysian Premier Football League and other
social events.

Sales strategy

In order attract more travelers and gain more customers, Eastern Airline has signed contract with
local travel agencies. Agencies include:

 M.S Star Travel Agencies Sdn. Bhd.

 Corporate Information Travel Sdn. Bhd.
 D Asia Travels Malaysia Tour & Ticketing Agency.
But the company, does not stop and expect only from those agencies, in order to create more
convenience to its customer, it offered as well its website (skytrax.com.my). This is trend and easy
way for the customer to do purchasing only and accessible anywhere, anytime.