Marketing Mix Of SpiceJet and 7Ps (Updated 2024)

The Marketing mix of SpiceJet analyses the 7Ps of SpiceJet, which includes the Product, Price, Place, Promotion, People, Physical Evidence, and Process of SpiceJet. SpiceJet is an Indian-origin company associated with the Aviation industry. It was established as Modiluft in 1994 as an air-taxi provider. The then-airline company was acquired by Ajay Singh in 2004 and was renamed SpiceJet. It is a low-cost airline that commenced operations under the present brand name on May 18th, 2005. It faces competition from the following airlines

• JetKonnect
• Go Air
• KingFisher Red
• Indigo airlines

About SpiceJet

• Type: Airline
• Industry: Aviation
• Founded: May 24th 2005
• Founders: Ajay Singh and Bhupendra S. Kansagra
• Headquarters: Gurgaon, Haryana, India
• Area served: India and international destinations
• Current CEO: Ajay Singh
• Number of employees: 10,000+
• Major products: Passenger and cargo air transportation

SpiceJet Product Strategy

SpiceJet has been ranked in fourth position as the largest airline in India in terms of passengers carried. It has put its onus on comfortable travel and exceptional performance, including crew hospitality and aircraft’s technical specifications—the marketing mix of SpiceJet. Jet employs a knowledgeable and trained crew to provide efficient and friendly handling.

It has a fleet of forty-five aircraft, including Bombardier Dash, Boeing 737-900ER, and Boeing 737-800s. Aircraft are ideal for comfortable and safe flying for medium- and short-distance trips in India’s weather conditions. SpiceJet offers SpiceMax premium services whereby a passenger can obtain extra benefits like seats with extra legroom, complimentary meals, priority boarding, baggage handling, and check-in at a higher fare than standard Spice Jet service.

The new Product Mix of SpiceJet in 2024 is as follows (Source).

1. Flight Services: They offer domestic and international flights, a significant part of their operations.
2. Cargo Services: Transporting goods and cargo is a standard service among airlines.
3. In-Flight Services: This includes food and beverages, in-flight entertainment, and other amenities provided to passengers during flights.
4. Additional Services: These include priority check-in, extra baggage allowance, seat selection, and travel insurance.

SpiceJet Pricing Strategy

SpiceJet’s pricing and marketing campaign strategy for the financial year can be summarized in the following points:

1. Competitive Pricing: SpiceJet is known for its affordable pricing, competing strongly in the low-cost carrier segment in India.
2. Dynamic Pricing Model: The airline adopts a dynamic pricing strategy where ticket prices vary based on factors like booking date and travel class.
3. Discounts and Schemes: Regular promotions, including SpiceCash for frequent flyers and discounts for armed forces, students, and seniors, are offered.
4. Special Offers: SpiceJet periodically introduces schemes and special offers to attract more customers and maintain market competitiveness.
5. Segment-Specific Pricing: The airline has differential pricing for its economy class and SpiceMax (premium service), catering to diverse customer preferences.

SpiceJet Place Strategy

SpiceJet has occupied 12.9% of the market share since October 2016. Its operations include three hundred and six flights daily to six international and thirty-nine domestic destinations. It has spread its domestic presence to include several routes like Delhi to Chandigarh, Mumbai to Delhi, Hyderabad to Tirupati, Chennai to Cochin, Bangalore to Pune, Delhi to Kolkata and Bengaluru to Pune.

It has spread its global presence to include international routes like Chennai to Colombo, Mumbai to Dubai, Delhi to Kathmandu, Cochin to Dubai, Delhi to Bangkok, and Kolkata to Bangkok, among other airlines. Its headquarters is in Gurgaon in Hyderabad, and its operational hub is Rajiv Gandhi.

International Airport in Hyderabad and Indira Gandhi International Airport in New Delhi. SpiceJet has overseas offices in Maldives, Thailand, UAE, Afghanistan, Sri Lanka, and Nepal. Its official website offers online facilities like bookings, cancellation cancellations, checking flight schedules, priority check-ins, and payment options.

Here’s the place strategy of SpiceJet.

1. Strategic Hubs: SpiceJet has established its main hubs at major airports in Delhi, Hyderabad, and Kolkata, facilitating efficient operations and connectivity.
2. Expansive Network: The airline operates many daily flights, covering 34 cities within India and extending to 7 international destinations, ensuring broad geographic reach.
3. Online and Offline Ticket Booking: SpiceJet offers convenient ticket booking through its website and traditional offline methods, including tour operators and airport counters, catering to diverse customer preferences.
4. Social Media Engagement: The airline actively uses platforms like Twitter and Facebook for customer interaction and brand promotion, enhancing its digital presence.
5. Fleet Expansion Plans: SpiceJet focuses on expanding its fleet by acquiring new aircraft, aiming to strengthen its services in tier 2 and tier 3 cities, thereby widening its market footprint.

SpiceJet Promotion Strategy

SpiceJet has a solid presence in the airline industry because of its advertising and branding policies. It advertises via print and social media platforms like newspapers, Facebook, its website, and portals for travel agents. As part of its own promotional strategy and marketing strategy, SpiceJet offers discounts on group bookings, discounts at periodic intervals, and special offers like tickets at 99 rupees. Its famous taglines include Flying for Everyone, Red Hot Spicy, and Get More When You Fly. SpiceJet received awards and recognitions like Most Reputed Domestic Private Airlines in 2016 based on a survey by Bluebytes News and TRA Research.

Some Recent Video ads and Print ads for SpiceJet are:

SpiceJet People Strategy

The “People” component of the service marketing mix is crucial, particularly for service-oriented businesses like airlines, where customer experience heavily depends on interacting with the company’s personnel. For SpiceJet, a leading low-cost airline in India, the “People” aspect of spice jet marketing also encompasses various elements contributing to its service delivery and customer satisfaction. Here are some key points regarding the “People” of SpiceJet:

1. Customer-Centric Staff: SpiceJet employs a customer-centric approach in its operations, ensuring that all staff members, from cabin crew to ground staff, are trained to prioritize customer satisfaction. This includes being courteous, professional, and responsive to passenger needs and queries.
2. Skilled and Experienced Crew: The airline focuses on recruiting skilled and experienced pilots and cabin crew to ensure the safety and comfort of passengers. Regular training programs update the crew on the latest safety protocols and customer service standards.
3. Training and Development: SpiceJet invests in continuous training and development programs for its employees across all levels. This includes customer service training, safety procedures, and soft skills development to enhance passenger experience.
4. Diversity and Inclusion: The company values diversity and inclusion, employing staff from various cultural and geographical backgrounds. This diversity enriches the team and allows a more personalized service experience for passengers from different regions and cultures.
5. Employee Satisfaction and Welfare: Recognizing the importance of employee satisfaction to customer service, SpiceJet undertakes various initiatives to ensure the welfare and motivation of its employees. This includes competitive remuneration packages, benefits, recognition programs, and opportunities for career advancement.
6. Responsive Customer Support Team: SpiceJet has a dedicated customer support team accessible through multiple channels, including phone, email, and social media. This team is trained to handle inquiries, complaints, and feedback efficiently, ensuring that passengers’ concerns are addressed promptly and satisfactorily.
7. Innovative Service Training: The airline occasionally introduces innovative service training modules, such as emotional intelligence and stress management, to better equip its staff to handle the dynamic and sometimes stressful environment of airline operations.
8. Community and Environmental Responsibility: Employees are also involved in the airline’s community service and environmental sustainability initiatives. This reflects a broader commitment to social responsibility beyond the company’s operational objectives.

SpiceJet Process Strategy

The “Process” component of the service marketing strategy mix is about the procedures, mechanisms, and flow of activities by which services are consumed. For SpiceJet, a leading budget airline in India, this encompasses everything from booking tickets to the actual flight experience. Here are some key points regarding the “Process” of SpiceJet:

1. Online Booking System: SpiceJet offers a user-friendly online booking system that allows customers to easily search for flights, compare prices, and book tickets. This system also supports web check-in, seat selection, and additional service booking.
2. Check-In and Boarding Procedures: SpiceJet has streamlined its check-in and boarding processes to enhance customer convenience. This includes multiple check-in options such as web, airport kiosks, and traditional check-in counters. Boarding procedures are designed to minimize wait times and ensure a smooth transition from the airport entrance to the aircraft.
3. Customer Service Channels: The airline has established various customer service channels, including call centers, email support, and social media platforms, to assist customers with inquiries, bookings, and post-booking support. This ensures that customer issues are resolved efficiently and effectively.
4. Baggage Handling System: SpiceJet has a systematic process for baggage handling, from check-in through to final delivery. The airline uses technology to track baggage and minimize the chances of loss or delay, enhancing customer trust and satisfaction.
5. In-flight Services: Delivering in-flight services is meticulously planned to ensure passenger comfort and satisfaction. This includes the timing of meal services, availability of in-flight entertainment (where applicable), and prompt response to passenger requests.
6. Safety and Security Procedures: SpiceJet places a high emphasis on safety and security, with rigorous processes in place for aircraft maintenance, crew training, and security checks. These procedures comply with global and local aviation safety standards.
7. Feedback and Improvement Process: The airline has a structured process for collecting and analyzing customer feedback, which is used to improve service delivery continuously. This includes surveys, feedback forms, and social media monitoring for customer opinions.
8. Crisis Management and Contingency Planning: SpiceJet has established processes for managing crises and unexpected events, such as weather disruptions, technical faults, or other operational challenges. This ensures that the airline can quickly adapt and minimize inconvenience to passengers.
9. Sustainability Initiatives: SpiceJet’s processes also include efforts towards sustainability, such as fuel-efficient flying, reducing waste, and incorporating eco-friendly practices into its operations.
10. Partner Coordination: The airline coordinates closely with airport authorities, ground services, and other partners to ensure that every aspect of the service process, from check-in to departure and arrival, is smooth and efficient.

SpiceJet Physical Evidence Strategy

The “Physical Evidence” component of the service marketing mix refers to the environment in which the service is delivered, along with any tangible elements that facilitate or communicate the service quality. For SpiceJet, an airline known for its cost-effectiveness and customer service, physical evidence plays a crucial role in its brand image and shaping customer perceptions and experiences. Here are some key points regarding the physical evidence of SpiceJet:

1. Branding and Livery: SpiceJet’s aircraft feature a distinctive red, white, and blue livery that makes them easily recognizable. The company logo and branding are prominently displayed, contributing to brand identity and recall.
2. Aircraft Interiors: The interior design of SpiceJet’s aircraft, including seating arrangement, cleanliness, and in-flight amenities, provides a tangible reflection of the airline’s commitment to comfort and quality. The interiors are designed to optimize space and provide a pleasant travel experience.
3. Uniforms: The uniforms of SpiceJet’s crew members are designed to be professional and recognizable, reflecting the airline’s brand colors and identity. They contribute to the overall impression of the airline’s service quality and professionalism.
4. Boarding Passes and Baggage Tags: SpiceJet’s boarding passes and baggage tags are designed for ease of use and efficiency, with clear information and branding. These elements show the airline’s operational efficiency and attention to detail.
5. Website and Mobile App: SpiceJet’s website and mobile app’s design, functionality, and user experience are key components of its service delivery. They offer a direct interface for booking, customer service, and information, providing tangible evidence of the airline’s commitment to technology and customer convenience.
6. Airport Counters and Lounges: SpiceJet’s counters at airports, as well as any lounge facilities it offers, are designed to be welcoming and efficient, reflecting the brand’s commitment to customer service. These spaces’ visual design and comfort contribute to the overall customer experience.
7. In-Flight Entertainment and Wi-Fi: For flights that offer them, in-flight entertainment systems and Wi-Fi service become physical evidence of SpiceJet’s investment in passenger satisfaction and modern amenities.
8. In-Flight Meals and Merchandise: The quality, presentation, and packaging of in-flight meals and merchandise sold on board or through the airline’s website provides physical evidence of the brand’s value proposition and service quality.
9. Safety and Cleanliness: The visible cleanliness of the aircraft, adherence to safety protocols, and the presentation of safety equipment are crucial elements of physical evidence. They reassure passengers of the airline’s commitment to safety and hygiene.
10. Customer Testimonials and Reviews: While not a direct form of physical evidence created by the airline, published testimonials and reviews from satisfied customers serve as indirect physical evidence of the quality of SpiceJet’s service.

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