Strategic Marketing Plan

Strategic Marketing Plan Mandala Air

The Second Life

Haris Suhendra, Pramita Wardani, Endah Widiastuti, Stephanus Kurniadi, Hendriana, Steven Martono

Strategic Marketing Plan

Table of Contents

Table of Figure

Chapter 1 : Overview 1

1.1 Executive Summary 1

1.2 Introduction 2

Chapter 2: Situation Analysis 9

2.1 4C’s Diamond Analysis 9

2.2 Curve Value analysis 14

2.3 SWOT Analysis 15

2.4 Competitor Analysis based on 4P’s 19

2.5 Consumer Insight 20

Chapter 3 : Marketing Segmentation, Target Market, and Positioning 26

3.1 Market Segmentation 26

3.2 Target Market 26

3.3 Positioning 26

Chapter 4 : Marketing Goal and Objectives 27

Chapter 5 : Marketing 4C’s Strategies and Tactics 28

5.1 Consumer 28

5.2 Cost 29

5.3 Convenient 30

5.4 Communication 31

Chapter 6 : Controls – progress measurement and monitoring 37

Reference 38

Appendix

Strategic Marketing Plan

Table of Figure

Figure 1 : Mandala Lockheed L-188 Electra at Perth Airport (early 1990s).

Figure 2 : An Airbus A319-100 in the current livery

Figure 3 : Mandala Corporate Identity

Figure 4 : The 4C’s Diamond of Mandala, Source : MIM

Figure 5 : Indonesia Macroeconomic Situation

Figure 6 : Indonesia Airlines Market 2011 Market Share, Source: OAG Max Online for w/c

10 January 2011

Figure 7 : Mandala Curve Value

Figure 8 :Mandala SWOT Analysis

Figure 9 : Customer’s Insights: Customer’s Profile

Figure 10 : Customer’s Insights: Customer Transportation

Figure 11 : Customer’s Insights:Airline’s Profile

Figure 12 : Customer’s Insights: Mandala Brand Awarenes

Figure 13 : Customer’s Insights: Netnography #1

Figure 14 : Customer’s Insights: Netnography #2

Figure 15 : Mandala Marketing Segmentation, Target Market and Positioning

Figure 16 : Mandala Marketing 4C’s Strategies and Tactics

Figure 17 : Consumer : New Product Development

Figure 18 : Cost : Bowman’s Strategic Options

Figure 19 : Convenient for the New Mandala

Figure 20 : Clarification of Mandala Brand

Figure 21 : Mandala Brand Strategy Platform

Figure 22 : The New Mandala Value Curve

Figure 22 : The New Mandala Brand Campaign

Figure 23 : The New Mandala 360 degree Communication

Figure 24 : The Mandala Controls – progress measurement and monitoring

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Chapter 1

Overview

1.1 Executive Summary

Mandala Air was once a glorious airline in Indonesia, in January 2011 they stopped their

operation due to bankruptcy. Because of the future prospect in Indonesia airline is quite

good, Saratoga Group bought 51% share of the airline, pledged with Tiger Airways 33%.

Sandiaga Uno, co-founder and chief executive of private equity firm Saratoga Group and

Chin Yau Seng.

Mandala restarting operations with its first flight from Jakarta to Medan, capital of North

Sumatra. Mandala’s return as a low-cost carrier, Mandala expects to tap the middle-income

demographic, which he said had grown by 7 million people annually in recent years,

creating a big pool of consumers increasingly seeking air travel.

Chin Yau Seng, Tiger’s chief executive was optimistic about the Indonesian market and

ready to compete with established budget airlines, including Lion Air, Citilink and Indonesia

AirAsia, that are also expanding. The good thing is the market is also growing, so while low-

cost carriers will grow their frequencies and networks. The rise in middle-income

households combined with the many islands that make up the country meant air travel was

the most efficient means of travel.

Both Saratoga and Tiger refrained from disclosing the amount of money they have invested

in Mandala. Mandala owed Rp 2.4 trillion ($262 million) to 114 of its suppliers, and Rp 27

billion to more than 70,000 ticket holders. Mandala are committed to provide new Airbus

A320. Initially Mandala will operate three planes and will operate 10 aircraft by the end of

the year. It is also re-employing about 80 people from its former cabin crews, including 22

pilots. The company is aiming to hire as many as 100 pilots by the end of the year.

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After the initial Jakarta-Medan route with 12 flights a week, Mandala will fly Medan to

Singapore and Jakarta to Kuala Lumpur. The company will continue “analyzing and adjusting”

its routes for the most effective and efficient operation.

This market is not static, it is fast growing. Mandala will grow as Mandala offer more flights

and more frequency. Mandala believes the company is operating in the right market at the

right time.

1.2 Introduction

About Mandala Airlines

Mandala Airlines is a low-cost carrier which the headquartered is in the Mandala Airlines

Building in West Jakarta, Jakarta, Indonesia. Mandala operated scheduled services to 3

international and 17 domestic destinations, used a fleet of narrow body Airbuses. Its main

operational base is Soekarno-Hatta International Airport in Jakarta. The airline had

positioned itself as a provider of safe and reliable service combined with a competitive

pricing scheme. In January 2011, the Mandala operation is suspended and its air certificate

of operation has been reactivated.

The company was reported to have asked the commercial court to delay debt recovery

action against the airline. The official application for postponement of debt payments to

the Commercial Court has been filed for Rp.800 billion to about 271 creditors. At end of

February 2011, the creditors had finally accepted the airline's debt settlement proposal to

convert debt to equity. It was approved by 70.58 percent of total creditors from the total

debt of Rp.2.4 trillion. After struggle with the funds, on September 24, 2011 the acquisition

transaction was finally closed. Mandala would be back in the air 90 days after it, but

certainly should get a new Air Operator Certificate first during it. Two Mandala aircraft

have been checked by the Transportation Ministry inspectors and Mandala Airlines have to

resume service by February 15, 2012 or its AOC license would be revoked. Mandala will

have 10 aircraft within one year.

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Mandala resume their airline operations on April 5th, 2012, with one domestic route

between its home base Jakarta and Medan. This will be followed by its first international

destination when they launches the Medan-Singapore route on April 20th, 2012, adding a

second Indonesian destination to Tiger's Singapore network after Jakarta. In May, Mandala

also fly twice daily to Malaysia's capital Kuala Lumpur from Jakarta. The latest Mandala

passengers who are still holding on to Mandala tickets after the company ceased

operations in 2011, were offered a complimentary travel voucher redeemable through the

company's new Tiger-based website.

History about Mandala

Figure 1 : Mandala Lockheed L-188 Electra at Perth Airport (early 1990s).

PT Mandala Airlines was founded on April 17th , 1969. The founders were Col. Sofjar, Maj.

Gen. Raden Soerjo, Adil Aljol, Maj. (Air Force) Soegandi Partosoegondo, Kasbi Indradjanoe

and Darwin Ramli. The airline was owned by PT Dharma Kencana Sakti, which was the

commercial arm of Yayasan Dharma Putra Kostrad, a foundation linked to Kostrad, the

strategic reserve command of the Indonesian army. The airline was named after Operation

Mandala, the military operations to incorporate West Papua into Indonesia. The name also

refers to Mandala, a Sanskrit term for a diagram symbolizing the universe, and it also being

used as the logo of the corporation.

In its early years Mandala Airlines operated flights between Jakarta and destinations in

eastern Indonesia, such as Ambon, Gorontalo, Kendari, Makassar and Manado. In 1972,

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Mandala took over Seulawah Air Service (another military-owned airline), which flew to

cities in western Indonesia, such as Banda Aceh, Banjarmasin, Medan, Padang, Palembang,

Pekanbaru and Pontianak, giving the airline a national coverage.

Under military management, Mandala Airlines kept a relatively quiet existence as a

second-tier airline. In 1992, it retired the last of its aged turboprop fleet and replaced them

with leased second hand jet aircraft. In 2001, it suffered a financial scandal, in which no

less than IDR 135.5 billion (about USD 13.5 million) was stolen from the company funds by

a senior Kostrad officer.

Despite being awarded as Indonesia's "Most Potential Brand in Airlines Service" in 2002,

Mandala found it hard to compete with other recently-emerged Indonesian airlines. In

2005, Mandala experienced a high profile accident in Medan. At about the same time,

political developments in Indonesia forced the military to divest itself of its businesses,

resulting in Mandala Airlines being offered for sale. After the Indonesian government

refused to take over Mandala Airlines, Cardig International acquired the airline for IDR 300

billion (USD 34 million) in April 2006. Indigo Partners acquired 49% of Cardig's shares in

October 2006.

Figure 2 : An Airbus A319-100 in the current livery

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Within one year of its acquisition, Mandala Airlines transformed its image into a modern

airline satisfying international standards of safety. It adopted the low-cost carrier model, in

order to compete with other low-cost airlines in Indonesia. Mandala Airlines created a

special niche among Indonesia's low-cost carriers by creating an image as a safe airline,

taking advantage of the relatively young age of its fleet.

Mandala has completed the IOSA (IATA Operational Safety Audit) of the International Air

Transport Association (IATA), and other manufacturer audits. It contracted maintenance of

its aircraft to Singapore Airlines Engineering Company (SIAEC). Its safety improvements

were recognized by the European Union as Mandala was among four Indonesian airlines

(the others were Garuda Indonesia, Airfast Indonesia and Premiair) officially struck from

the EU airline ban list on July 14, 2009. Mandala is listed in Category 1 by the Indonesian

Civil Aviation Authority for airline safety quality.

In January 2009, Mandala Airlines completed the phasing out of its older Boeing aircraft,

replacing them with newer Airbuses. On April 20, 2009, Mandala moved its Jakarta

operations to the new Terminal 3 of the Soekarno-Hatta International Airport. In April 2010,

Mandala Airlines announced international services to Hong Kong, Macau and Singapore,

these services started on June 25, 2010.

Shortly after services between Jakarta and Macau started on 21 July 2010, the airline

announced that all flights between 22 to 29 August 2010 had been cancelled. Concerns

were raised by some passengers that the company did not provide adequate information

about the abrupt cancellations.

On January 13, 2011, Mandala Airlines temporarily stopped flying all of their fleet due to

debt problems. In May 2011, Singapore-based Tiger Airways thru Road Aviation Pte. Ltd.

and Saratoga Investama, an Indonesian strategic investment company owned by Sandiaga

Uno, announced their plans in a filing to the Singapore Stock Exchange on Thursday. Tiger

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Airways will acquire a 33 percent stake, while the Saratoga Group will buy 51 percent of

Mandala. Mandala Airlines will focus on Low Cost Carrier (LCC) market because one of the

shareholders, Tiger Airways also runs an LCC operation.

Corporate identity

Figure 3 : Mandala Corporate Identity

The Mandala Airlines logo at figure 3, was used from 1969 to 2008. The airline's logo

represent a golden eight-pointed mandala reflecting the eight characters of humanity and

the eight elements in Javanese tradition, with a five-petaled lotus in its center reflecting

Indonesia's five-principled state ideology, Pancasila.

A new logo was unveiled on September 1, 2008, emphasizing the new image of the

corporation. The new logo, designed by Veronica Halim & Eddy Purwanto from Nuage

Branding, keeps the mandala and lotus theme of the original, but has a more streamlined

design.

The current livery of Mandala Airlines is a "Eurowhite" scheme, consisting of a white

fuselage with a blue 'mandala' title. The company logo is applied on the tail and the

outboard sides of engine nacelles. Mandala's previous livery was also a "eurowhite"

scheme with a different typeface for the 'Mandala' title, a blue tail and the original logo.

The airline's earliest scheme was a bare-metal lower and white upper fuselage with a blue

cheat line across the cabin windows and a red 'MANDALA' title.

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Other recent liveries used by Mandala Airlines include a gold and blue wavy scheme with a

large billboard 'Mandala' title introduced in early 2008, a mainly-white scheme with gold

and blue hockey stick stripes on the fuselage and a blue tail, and an all-white scheme.

Following its restructuring, the new hybrid Mandala livery reflects its status as Tiger

Airways' partner airline in Indonesia by keeping the blue 'mandala' title on the fuselage of

the Airbus A320 but having its wingtips and logo on the tail replaced with Tiger's stripes

and colors.

Destinations

Mandala resumed operations on April 2012 with a daily flight between Jakarta and Medan.

It was also announced in the same press release that the airline’s first international

destination would be Kuala Lumpur in Malaysia. However, a few days later, Mandala

quietly opened a new Medan-Singapore route for booking on its website, with flights

commencing 20 April 2012 and operated by Mandala. Other routes that have been

approved include Jakarta-Singapore and Singapore-Denpasar (Bali)-Jakarta.

In-flight service

Mandala Airlines is a single class service airline. It had a buy on board service offering food

and beverages for purchase by passengers, but no in-flight entertainment. Seats were

reserved and allocated during check-in. Free in-flight magazines and newspapers were

provided during flight.

Mandala Airlines had a baggage allowance of 20 kg (44 lb) per passenger, with an extra

5 kg (11 lb) for priority passengers. Priority passengers also benefit from better seat

locations (at the front of the aircraft), free lounge access and free food and beverages

(both in lounges and during flight).

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Ticketing

In line with current airline practice, Mandala Airlines utilized an electronic ticketing and an

e-payment system. The airline had a 24-hour call center and a website for customers to

book and pay for tickets electronically. Tickets for TransNusa destinations can be booked

from the website, but flights involving the different airlines need separate bookings for

each leg.

The motivation behind the marketing strategy

The good thing is the market is also growing, so while low-cost carriers will grow their

frequencies and networks. The rise in middle-income households combined with the many

islands that make up the country meant air travel was the most efficient means of travel.

Mandala expects to tap the middle-income demographic, which had grown by 7 million

people annually in recent years, creating a big pool of consumers increasingly seeking air

travel. Mandala is optimistic about the Indonesian market and ready to compete with

established budget airlines.

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Chapter 2

Situation Analysis

For the situation analysis, we do an analysis about the Macroeconomic Environment, Demand

and demand trends for the products/services in airline industry, The Social and Demographic

trends and also about the Industry environment it selves. The tools that we use are the 4C’s

Diamond Analysis, The Curve Value Analysis, SWOT Analysis and The Customer Insight Analysis.

2.1 4C’s Diamond Analysis

The 4C’s Diamond consists of Changes, Customers, Company and Competition.

Figure 4 : The 4C’s Diamond of Mandala, Source : MIM

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1. Change

a. Macroeconomic environment

Figure 5 : Indonesia Macroeconomic Situation

From the global market perspective, Indonesia macro economy has a big

achievement, although the world economic and politic is in crisis. Therefore

Indonesia is one of the potential investment targets for the investors. The Fourth

Cluster Driving Growth are food and beverages industry, Textiles, textile products,

and footwear industry, electronics and electronic components industry, and

transportation equipment’s and automotive components industry.

b. Technology Trends

From the technology trends, we can see that Information Technology (IT) is

expanding very fast, especially in communication area. The Social Media are also

expanding and have some new revolutions, the internet is becoming very popular

and it has a huge networking in Indonesia area. Using the internet, now customer

could search any information they want to know, by searching at their official

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website or blogs (social media). And accessing the internet, now there are many

media customer can use, such as laptop, smartphones, Ipad etc.

c. Social Culture

In the social culture area, the social media is now a phenomenon. Every people in

every level can access the internet easily. Because of the transforming of IT from

static to mobile, customer’s culture are now is mobile. They can access the internet

anytime and anywhere they want.

d. Market

The growth of the aviation industry doubled from Indonesia's economic growth

average 20% -21% per year. In the Low cost carrier (LCC) service area, there are

more attractive to suck 80% market share.

The middle-class people of Indonesia increased by 7 million people each year. And

there are 60 million passengers by 2015 and 75 million by 2020. This opportunity is a

good market for Mandala with the concept of low cost carrier. So, the domestic

aviation, market still needs a lot of planes, at least up to 1,000 units considering

Indonesia is an archipelago, while from the side of the plane is still defeated by India,

China, even Singapore. Indonesia has a lot of business sectors that depend on the

airline business, which is the tourism sector.

Foreign airlines also took the market potential of Indonesia, foreign investment in

Indonesia will be the toughest rival for local airlines in Indonesia.

Based on the Airline market share, Lion air has a big market share comparing to the

competitor. Lion Air has 38.9% frequency share and 45.55% capacity share and 92

domestic routes. Meanwhile, Mandala only have 3% frequency share and 3%

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capacity share and 17 domestic routes. Surely this market share will grow in line

with the growth of the airline industry itself.

Airline Frequency share Capacity share Domestic routes

Lion Air 38.9% 45.5% 92

Garuda Indonesia

20.9% 21.6% 38

Batavia 12.7% 10.7% 55

Sriwijaya Air 9.8% 8.8% 39

Merpati Nusantara

7.4% 5.9% 41

Mandala Airlines 3.0% 3.0% 17

Indonesia AirAsia 1.6% 1.8% 6

Figure 6 : Indonesia Airlines Market 2011 Market Share, Source: OAG Max Online for

w/c 10 January 2011

e. Politic & Legal

Based on the political and legal regulation of the Aviation Law and government

policy, airlines or foreign investor will still be able to build the airline in Indonesia, as

long as the majority of shares held by local investors. The rule on Law No.1, 2009 on

Aviation, the aviation world investment of at least 50 million U.S. dollars is very

burdensome and threatening local investors.

Besides the political and legal regulation of the Aviation Law and government policy,

Mandala also must aware about the aviation fuel price, it increase every year.

2. Competitor

The Asean Open Sky will be enacted in 2015, the national airline to compete with the

airlines. Six airlines So Tight Competitors in Asean Open Sky. Three-in-class airline

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services is a full service Singapore Airlines, Thai Airways, Malaysia Airlines, while three

other carriers in the class cost (low cost carrier / LCC) is AirAsia, Tiger Airways and

Jetstar Airways.

The other issues from competitor Mandala must be aware are:

• Long haul flight is an trial to get undeveloped market share

• Differentiation from traditional LCC model by adding customer services or operation

as full service airline with low fare

• Ongoing industry consolidation has opened up prospects for new routes and airport

deals

• Full service airlines start cut costs to compete

• Entrance of other LCCs

• Increase in operation cost in producing value-added services

• System disruption due to heavily reliance on online sales

• The increase in customer’s requirements of higher-quality products/services

3. Customer

Customer more educated and has much information of taking a decision. Customers

now have many choices and they are more demanding and difficult to be satisfied.

Customer loyalty is decreasing because a lot of promotion that offer more benefits.

Customers who are price- oriented segment is very big, but have low buying power.

4. Company

• Company is value-decider

• The others 3C’s must be learned to see the effect to campany.

• The must existing competence analysis for the company.

• Base on the existing competence, take the stretch possibilities.

• Company has several choices that are go/invest, no no/hold, harvest and divest.

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• To decide the choice, depend on company risk attitude

2.2 Curve Value Analysis

The concept of a Value Curve is to use a diagram to compare products on a range of factors by

rating them on a scale from low to high. These can be features, benefits or ways in which a

product is distributed or consumed. The combination of these various factors defines the

product or service.

Multiple Value Curves should be drawn, to allow a visual comparison with competitive products

and to unearth possible spaces or gaps in the market. By investigating the feasibility of these

gaps (Will customers want this? Can you afford to offer this?) It may be possible to identify

changes to the product that significantly alter the value proposition. From figure 7, Mandala in

orange comparing it to the competitors.

Figure 7 : Mandala Curve Value

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In The Curve value is seen some element as a key success factor for performance of the airline,

the assessments seen from the price offered, the availability of food, lounge facilities, seat

selection service, Hub Connectivity, speed and timeliness, coming from different cities,

amenities and services trunk.

Key success factors over the course of each different airline companies. This difference is the

goal to provide the best service and win competition.

2.3 SWOT Analysis

The SWOT Analysis is the fundamental concept, determining the strengths, weaknesses,

threats, and opportunities for Mandala.

Figure 8 : Mandala SWOT Analysis

The explanation about Mandala SWOT Analysis at Figure 8 can bee seen in Exhibit 1 : Mandala

SWOT Matrix Analysis and for the detailed IPAS (Internal Factors Analysis Summary) and EPAS

(External Factors Analysis Summary) of Mandala could be seen in Exhibit 2 : Mandala IPAS and

EPAS.

SWOT Strength Weakness

Opportunities Strength-

Opportunities (SO)

Weaknesses- opportunities

(WO)

Treats Strength-

Treats (ST) Weaknesses- Treats (WT)

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Mandala Strength are :

1. Shares owned Mandala Saratoga Capital (51%), Tiger Airways (33%), concurrent credit

of 15%, and the old shareholders Cardig and Indigo (1%).

2. Tiger Sandiaga and prepare capital of U.S. $ 250 million.

3. Tiger Airways business model adopted.

4. Low-cost airline

5. Mandala operated scheduled services to three international and 17 domestic

destinations, used a narrow-body fleet of Airbuses.

6. The name Mandala is not changed

7. Safe and reliable flights

8. Tiger Airways, together with its associated airlines, operates a fleet of 32 Airbus A320

aircraft

Mandala Weaknesses are :

1. Service resource is limited by lower costs Limited human resources Situation Could not

handle irregular.

2. Government interference and regulation on airport deals and passenger compensation.

3. Non-central location of secondary airports.

4. Brand is vital for market position and developing it is always a challenge

5. Heavy reliance on outsourcing

6. New entrants to Provide the price-sensitive services

7. Mandala is still not a good name in the public eye since 2011 had been frozen.

8. The plane is still not much

9. Mandala routes are limited.

10. Other companies using the LCC business model too.

11. New Mandala will penetrate the Jakarta-Medan route. As for the international flights

will start from Jakarta to Kuala Lumpur, Malaysia.

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Mandala Opportunities are :

1. The growth of the aviation industry average of 20% -21% per year.

2. Long haul flight to get your trial is an undeveloped market share

3. Differentiation from traditional LCC models by adding customer services or as full-service

operation with a low fare airline

4. Ongoing industry consolidation has opened up prospects for new routes and airport

deals

5. High fuel prices will squeeze out unprofitable competitors

6. Service low cost carrier (LCC) more attractive to suck 80% market share.

7. 16 domestic routes and four international routes

8. Target the middle class 7 million people each year.

9. Increased tourism sector

10. 60 million passengers by 2015 and 75 million by 2020.

11. Mandala will operate 10 Airbus A320 aircraft.

12. Aviation Law. Airlines or foreign investment will still be able to build the airline in

Indonesia, as long as the majority of shares held by local investors.

13. Expand the technology of the website (ie iPhone apps, etc.)

Mandala Treats are:

1. Full service airlines cut costs start to Compete

2. Entrance of other LCCs

3. High fuel price decreases yield

4. Accident, terrorist attack, and disaster and affect customer confidence

5. Aviation regulation and government policy

6. Increase in operation cost in producing value-added services

7. System Disruption due to Heavily reliance on online sales

8. Asean Open Sky enacted in 2015

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9. Six airlines So Tight Competitors in Asean Open Sky (Singapore Airlines, Thai Airways,

Malaysia Airlines, AirAsia, Tiger Airways and Jetstar Airways.

10. The regulation on Law No. 1,2009 on Aviation, the aviation world investment of at least

50 million U.S. dollars is very burdensome and threatening local investors.

11. Foreign airlines also eyeing the market potential of Indonesia, foreign investment in

Indonesia will be the toughest rival for local airlines in Indonesia.

12. The increase of in aviation fuel prices

13. The increase of in the customer's requirements of higher-quality products / services

14. Tiger Airways Mandala proposed name is replaced with the name Tiger.

The correlation explanation between the strengths, weaknesses, threats, and opportunities are:

1. Strength/ opportunities (SO)

1. Increase Market Share

2. Increase Sales & Revenue

3. Expand current customer rewards program to build customer loyalty.

4. Expand freight air portion into former Tiger Airway and Local areas

5. Mandala Airlines utilized an electronic ticketing and an e-payment system. The

airline had a 24-hour call center and a website for customers to book and pay for

tickets electronically

2. Weaknesses/ opportunities (WO)

1. Build Strong Mandala Brand

2. Increase number of airplanes

3. addition Route

4. Improve efficiency through the use of aircraft Airbuss

5. Focus on service, speed and departure point-to-point.

3. Strength/ Treats (ST)

1. Expand brand recognition as top low-cost air carrier to eliminate competition.

2. Retain low-cost operating strategy to remain competitive.

3. Focus on the importance of safety, security, and service.

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4. Focus on the timeliness

5. Offer the most competitive price

4. Weaknesses/ Treats (WT)

1. Increase load capacity to get

2. maximum value out of jet fuel.

3. Initiate employee rewards program for productivity and customer retention.

4. Create expanded strategy and growth plan to thwart competition.

5. Reduce the cost of jet fuel that will decrease operational costs

2.4 Competitor Analysis based on 4P’s

We also analyze the competitor using the 4P’s, which are Product, Price, Place and

Promotion. For the competitor analysis, we try to compare some of airline industry in

Indonesia, which are : Lion Air, Sriwijaya Air, Air Asia, Merpati Nusantara Airlines, Batavia

and Garuda : Citilink Airlines. The competitor profile can be seen in Exhibit 3 : The

Competitor Profile.

1. Product

The product is an airline services, at the Low Cost Carrier Airlines segment.

2. Price

The detailed price comparison can be seen in Exhibit 4 : The Airlines Price

Comparison

3. Place

In the airline industry, place means the media that customer can buy the tickets.

The detailed place for the ticketing can be seen in the Exhibit 5 : The Airlines

Ticketing Place

4. Promotion

The detailed place for the ticketing can be seen in the Exhibit 6 : The Airlines

Promotions

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2.5 Consumer’s Insights

To have a strong in the analysis of Mandala and to make an accurate marketing strategy of

Mandala, we have approach some of the airlines customers. The goals is to have the insights

from the customer’s perspective about their experience using airline services.

Using a quantitative research method, the specific research method we use are Deep Interview,

Story Telling and Netnography. The goals of this research are getting a closer look and detailed

information about :

the segmentation and the customer target,

the customer behavior,

the insights of the airlines customer,

any supporting factors and inhibiting factors in the process of the brand development

find new and fresh idea for the new development strategy

1. Deep Interview and Story Telling Method

The process of collecting the data, we had a deep interview for 50 customer, who are

divided in to 2 characteristic, the users of the new mandala and the non-users of

Mandala. And the analysis based on the interview are divided in to 3 :

1. Customer’s Profile

2. Airlines Profile

3. Mandala Brand Awareness

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1. Costumer’s Profile

Figure 9 : Customer’s Insights: Customer’s Profile

Based on the deep interview, 100% of the respondents have traveled within a year.

Majority in 36% they traveled 4-8 times/ year, 29% they have traveled 1-3 times/year, 21%

have traveled >12 times/year and 14% they have traveled 8-12 times/year.

For the domestic destination, 13 % of the travelers, travels to Yogyakarta and Surabaya, 9%

of the travelers, travels to Semarang, Makasar and Denpasar, etc.

For the international destination, 37% of the travelers, travels to Singapore, 18% travels to

Kuala Lumpur, 13% travels to Bangkok and 11% travels to Hongkong, etc.

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2. Airline Profile

Figure 10 : Customer’s Insights: Customer Transportation

We asked the respondent about the transportation they use to travel. For the international

destination, 100% are using airplane. But for the domestic destination, 79% are using

airplane, 13% they travel using their own vehicle, 7% using public transportation such as bus

or travel agencies and 1% are still using train.

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Figure 11 : Customer’s Insights : Airline’s Profile

For the airline’s profile, customer’s bought their ticket 71% using online services and 29%

are using travel agent.

For the airlines corporation they use, majority use Air Asia and Garuda (30%) and 13% using

Mandala Air and Lion Air. And the reason they are using these airlines are 79% because of

the price, 75% are because of the promo offered, 65% are because of the Route hub and 57

% are because of the airlines provide’s foods and the punctual time.

There are 46% of the customer who are not aware of the type of the plane.

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3. Mandala Brand Awarness

Figure 12 : Customer’s Insights: Mandala Brand Awareness

All of the respondent have heard about Mandala (100%) and 69% of it have flight using

Mandala because of the Good Service and Good Pilot (Landing) – 18%, 16% because of the fair

price, 14 % because of the easy and quick to do reservation online and the clean-comfort of the

airplane and also the punctual time.

2. Netnography Method

In netnography methode, we try to capture consumer insight through the social media. The

information about Mandala’s return have some pro and some contra.

Here are some pro about the return of Mandala. They are happy about the returning of

Mandala. The detailed about the pro of the return of Mandala can be seen in Exhibit 7 :

Netnography Customer Pro

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Figure 13 : Customer’s Insights: Netnography #1

Here are some contra about the return of Mandala :

The detailed about the contra of the return of Mandala can be seen in Exhibit 8 : Netnography

Customer Contra

Figure 14 : Customer’s Insights: Netnography #2

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Chapter 3

Marketing Segmentation, Target Market, and Positioning

Figure 15 : Mandala Marketing Segmentation, Target Market and Positioning

3.1 Market Segmentation

Mandala market Segmentation are travelers, promo lovers, shopaholic and value added

seeker.

3.2 Target Market

The Mandala’s target market is the Value Added Seeker which leads to people looking

for added value at a low price. This opportunity is a good market for Mandala with the

concept of low cost carrier.

3.3 Positioning

Mandala will position itself to consumer’s mind as an low-cost airline (low cost carrier),

which focuses on the “Low Price - High Value” by applying the importance of safety,

security, service and timeliness.

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Chapter 4

Marketing Goal and Objectives

Marketing goal and objectives :

Build a strong Mandala Brand

Communicate the New Mandala Values and Commitment

Increase Market Share

Increase Sales & Revenue

Open new route with lower costs

Create Mandala New Experience

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Chapter 5

Marketing 4C’s Strategies and Tactics

To reach the marketing goals which are building a strong Mandala Brand , Communicate the

New Mandala Values and Commitment , Increase Market Share , Increase Sales & Revenue

Open new route with lower costs and Create Mandala New Experience, here are the Marketing

4C’s Strategies and Tactics :

Figure 16 : Mandala Marketing 4C’s Strategies and Tactics

5.1 Consumer

For the product, Mandala will open a new route expanding and exploring the

east of Indonesia which are not touched by the other airlines. Mandala will also

open new rout to Bali, and Maluku.

Communication Convenient Cost Consumer

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Figure 17 : Consumer: New Product Development

5.2 Cost

The cost/price strategy is to set the price to be affordable. Below Full Service and

average Low Cost Carrier Airways

Figure 18 : Cost : Bowman’s Strategic Options

Ancillary Fees:

Reservation changes, baggage limitations, frequent flyer point sales,

concession

New Route

• Medan – Singapore – Raja Ampat/Wakatobi

Full Service Airlines Route

• Medan – Bali

Not Favorite Route

• Medan - Maluku

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In-flight service

Mandala Airlines is give choices of seats class service airline. It had a

buy on board service offering food and beverages for purchase by

passengers, but no in-flight entertainment. Seats were reserved and

allocated during check-in. free in-flight magazines or newspapers and

blanket were provided during flight.

Mandala Airlines had a baggage are included in the flight price about

20 kilos. Priority passengers also benefit from better seat locations (at

the front of the aircraft), free lounge access and free food and

beverages (both in lounges and during flight).

5.3 Convenient

Here are the convenient for the New Mandala, and for the Mandala Website can be seen in Exhibit 9 : Mandala Website.

Figure 19 :

Convenient for the New Mandala

Mandala web site website for customers to book and pay for tickets

electronically.

Mandala Bye-Pass® airport self-service kiosks

Mobile Web program

Travel agency web sites (e.g. Travelocity,

Expedia)

Corporate booking agencies

Traditional travel agencies

In line with current airline practice, Mandala

Airlines utilized an electronic ticketing and an e-payment system.

The airline had a 24-hour call center

Mandala T.T.M

Ticket Teller Machine

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5.4 Communication

For the communication about the new Mandala, first we clarify the brand first.

Figure 20 : Clarification of Mandala Brand

The marketing vision for Mandala is being the Low Cost Carrier Airline icon as the

market leader in the LCC Airlines. The core are is being the brand leadership

premium.

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1. Brand Strategy Platform

Mandala Brand Strategy platform:

Brand target is for the Value Added Seeker, with the brand essence is Everyone

already fly. The brand positioning is the Low Price-High Value and for the brand

personality is the active dynamic and modern people.

Figure 21 : Mandala Brand Strategy Platform

Looking at the Value Curve, it’s very obvious that the Mandala Direct

offering differs greatly to its competitor. By cutting out costly traditional

elements such as ticket price. It provides food and convenient lounge

with a higher value than rivals. Mandala position the brand as the airline

with low price-high value. The competitor did not provide more benefits

to its customers. Therefore Mandala provides additional value such as a

dining and lounge facilities. Mandala Direct's service is for everyone.

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Figure 22 : The New Mandala Value Curve

2. Co creation

Co-creation, maintaining the quality of Mandala services and Maintain the service of

the product. We create new services for Mandala customers especially in the

reservation area; we call it Mandala Check and Go. The website would be more

simple, easy and quick to access. The aim is to attract more customers especially in

value added seeker. People who are a value added seeker, has a very concern in

time and seeking for the product quality especially the benefits for themselves

comparing to others. Maintain the service of the product; the aim is to satisfy and

create more value to the customers.

3. Communal Activation

Mandala must create a creative outlet to attract customers. The outlet must have a

unique experience like the products, combine with some activities. The activity must

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take place at malls or office area. The creative outlet we named it Mandala Lovers’

Near You!

4. Conversation, we use 360 degrees to 365 days a year strategy include inside

advertising, brand activation, digital media activities, and PR Events. Mandala must

create a community itself. Our suggestion name is Mandala Lovers. The community

contains people with the same interest, value added seeker.

The Campaign :

Figure 22 : The New Mandala Brand Campaign

promotions allowed consumers to buy a monthly pass for

unlimited travel to Mandala destinations. Mandala believes

half of the buyers had not flown them before

All You Can Fly

Local Campaign

Where can Fly and for the

Local

Global Campaign

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The following table describes how Mandala's marketing program supports its brand position.

360 degrees Communication Framework :

Figure 23 : The New Mandala 360 degree Communication

5. Commercialization

To create the buzz, name we name the activation Mandala Near You! The outlet

for exhibition should not stay long, so the customer could search for Mandala

and wondering what’s their New Unique Experience.

Creative and interactive sales promotion, especially in the social media to boost

the awareness.

Social Media, Extensive use of social media allows Mandala to create buzz with

very little cost.

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Website, Visitors to www.Mandalaair.com can browse an Experience Mandala

section that features videos of consumers talking about the various benefits of

flying Mandala (e.g., space, entertainment, etc.)

Mandala Flyer Lovers, This loyalty program to address customers' desire for the

elimination of blackout dates, an extended lifespan for points, and a shift to

points for miles flown rather than money spent.

Continue to Stress Differentiation, Mandala’s new You Above All campaign is

built upon stressing the idea that the flying experience is significantly better with

Mandala than with other airlines. Continuing this focus is the best way to ensure

customer know what Mandala Air stands for, especially as the company’s ability

to continually provide a significantly lower price comes into question.

Leverage Integrated Customer Service System, Mandala’s new customer service

system11 provides a great way for the company to profile its customer base,

investigate customer actions, and understand key loyalty drivers. Using this tool

to build a targeted marketing program that tailors messages to customers will

enable Mandala to increase effectiveness.

Target Price Sensitive People, Mandala is in a unique position to target

customers who are a value added seekers during tough economic times. As a

discount provider who also focuses on customer service, they can appeal to cost-

sensitive people that need to cut travel costs but don’t want to sacrifice comfort,

convenience, and modernity. Mandala should investigate opportunities to

increase corporate travel partnerships.

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Chapter 6 :

Controls – progress measurement and monitoring

Controls – progress measurement and monitoring

Figure 24 : The Mandala Controls – progress measurement and monitoring

We suggest Mandala could be concern to the customer loyalty. Nowadays, many brands are trying hard

to grab attention and getting new customer. Instead of investing to grab new market which are not

necessarily loyal, the most important thing is maintain your customer not searching for new customer.

Mandala and Tiger already has their own community, we just have to maintain them and make them

loyal. If the customers are loyal, then they are Mandala Lovers Stars, who will share experience about

the product and suggesting people to buy the product without asking any compliment. So, let Mandala

Lovers Stars be Mandala Word Of Mouth Agent. That’s why we use Return on Marketing Investment

(ROMI) to see the optimization of marketing activities in the short and long term to increased revenue,

profit and also market share.

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Reference

Keller, Kevin Lane. 2008, Strategic Brand Management, Building, Measuring and

Managing Brand Equity, Pearson

Kim, W.Chan and Mauborgne R., 2005. Blue Ocean Strategy : How To Create

Uncontested Market and Make Competition Irrelevant, Harvard Business School

Publishing Corporation

Kotler, Philip and Keller, Kevin Lane. 2006. Marketing Management. Pearson

Rangkuti, Freddy. 2009, Analisis SWOT : Teknik Membedah Kasus Bisnis, PT. Gramedia

Pustaka Utama.

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Appendix

Exhibit 1 : Mandala SWOT Matrix Analysis

Exhibit 2 : Mandala IPAS and EPAS

Exhibit 3 : The Competitor Profile

Exhibit 4 : The Airlines Price

Exhibit 5 : The Airlines Ticketing Place

Exhibit 6 : The Airline Promotion

Exhibit 7 : Netnography : Customer Pro

Exhibit 8 : Netnography : Customer Contra

Exhibit 9 : Mandala Website

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Exhibit 1 : Mandala SWOT Matrix Analysis

Strength

1. Shares owned Mandala

Saratoga Capital (51%),

Tiger Airways (33%),

concurrent credit of 15%,

and the old shareholders

Cardig and Indigo (1%).

2. Tiger Sandiaga and

prepare capital of U.S.

$ 250 million.

3. Tiger Airways business

model adopted.

4. Low-cost airline

5. Mandala operated

scheduled services to

three international and 17

domestic destinations,

used a narrow-body fleet

of Airbuses.

6. The name Mandala is not

changed

7. Safe and reliable flights

8. Tiger Airways, together

with its associated

airlines, operates a fleet of

32 Airbus A320 aircraft

Weaknesses

1. Service resource is limited by lower

costs Limited human resources

Situation Could not handle irregular.

2. Government interference and

regulation on airport deals and

passenger compensation.

3. Non-central location of secondary

airports.

4. Brand is vital for market position and

developing it is always a challenge

5. Heavy reliance on outsourcing

6. New entrants to Provide the price-

sensitive services

7. Mandala is still not a good name in

the public eye since 2011 had been

frozen.

8. The plane is still not much

9. Mandala routes are limited.

10. Other companies using the LCC

business model too.

11. New Mandala will penetrate the

Jakarta-Medan route. As for the

international flights will start from

Jakarta to Kuala Lumpur, Malaysia.

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Opportunities

1. The growth of the aviation

industry average of 20% -21%

per year.

2. Long haul flight to get your

trial is an undeveloped market

share

3. Differentiation from

traditional LCC models by adding

customer services or as full-

service operation with a low fare

airline

4. Ongoing industry

consolidation has opened up

prospects for new routes and

airport deals

5. High fuel prices will squeeze

out unprofitable competitors

6. Service low cost carrier (LCC)

more attractive to suck 80%

market share.

7. 16 domestic routes and four

international routes

8. Target the middle class 7

million people each year.

9. Increased tourism sector

10. 60 million passengers by

2015 and 75 million by 2020.

11. Mandala will operate 10

Airbus A320 aircraft.

12. Aviation Law. Airlines or

foreign investment wilcl still be

able to build the airline in

Indonesia, as long as the

majority of shares held by local

investors.

13. Expand the technology of

the website (ie iPhone apps,

etc.)

Strength/ opportunities (SO)

1. Increase Market Share

2. Increase Sale & Revenue

3. Expand current customer

rewards program to build

customer loyalty.

4. Expand freight air portion

into former Tiger Airway

and Local areas

5. Mandala Airlines utilized

an electronic ticketing and

an e-payment system. The

airline had a 24-hour call

center and a website for

customers to book and

pay for tickets

electronically

Weaknesses/ opportunities (WO)

1. Build Strong Mandala Brand

2. Increase number of pesawat

3. addition Route

4. Improve efficiency through the use of

aircraft Airbuss

5. Focus on service, speed and

departure point-to-point.

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Treats

1. Full service airlines cut costs

start to Compete

2. Entrance of other LCCs

3. High fuel price decreases yield

4. Accident, terrorist attack, and

disaster and affect customer

confidence

5. Aviation regulation and

government policy

6. Increase in operation cost in

producing value-added services

7. System Disruption due to

Heavily reliance on online sales

8. Asean Open Sky enacted in

2015

9. Six airlines So Tight

Competitors in Asean Open Sky

(Singapore Airlines, Thai

Airways, Malaysia Airlines,

AirAsia, Tiger Airways and

Jetstar Airways.

10. The regulation on Law No.

1,2009 on Aviation, the aviation

world investment of at least 50

million U.S. dollars is very

burdensome and threatening

local investors.

11. Foreign airlines also eyeing

the market potential of

Indonesia, foreign investment in

Indonesia will be the toughest

rival for local airlines in

Indonesia.

12. The increase of in aviation

fuel prices

13. The increase of in the

customer's requirements of

higher-quality products /

services

14. Tiger Airways Mandala

Strength/ Treats (ST)

1. Expand brand recognition

as top low-cost air carrier

to eliminate competition.

2. Retain low-cost operating

strategy to remain

competitive.

3. Focus on the importance

of safety, security, and

service.

4. Focus on the timeliness

5. Offer the most

competitive price

Weaknesses/ Treats (WT)

1. Increase load capacity to get

2. maximum value out of jet fuel.

3. Initiate employee rewards program

for productivity and customer

retention.

4. Create expanded strategy and growth

plan to thwart competition.

5. Reduce the cost of jet fuel that will

decrease operational costs

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proposed name is replaced with

the name Tiger.

Exhibit 2 : Mandala IPAS and EPAS

IFAS & EFAS Analysis

Internal Factors Weight Rating Weighted

Strength Score

Shares owned Mandala Saratoga Capital (51%), Tiger Airways (33%), concurrent credit of 15%, and the old shareholders Cardig and Indigo (1%).

0.08 4 0.32

Tiger Sandiaga and prepare capital of U.S. $ 250 million.

0.05 2 0.1

Tiger Airways business model adopted. 0.03 1 0.03

Low-cost airline 0.03 3 0.09

Mandala operated scheduled services to three international and 17 domestic destinations, used a narrow-body fleet of Airbuses.

0.09 2 0.18

The name Mandala is not changed 0.12 4 0.48

Safe and reliable flights 0.11 3 0.33

Tiger Airways, together with its associated airlines, operates a fleet of 32 Airbus A320 aircraft

0.1 4 0.4

Total 0.61 3 1.93

Weaknesses

Service resource is limited by lower costs Limited human resources Situation Could not handle irregular. 0.1 4 0.4

Government interference and regulation on airport deals and passenger compensation. 0.07 1 0.07

Non-central location of secondary airports. 0.04 3 0.12

Brand is vital for market position and developing it is always a challenge 0.1 4 0.4

Heavy reliance on outsourcing 0.06 2 0.12

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New entrants to Provide the price-sensitive services 0.03 2 0.06

Mandala is still not a good name in the public eye since 2011 had been frozen. 0.03 3 0.09

The plane is still not much 0.03 3 0.09

Mandala routes are limited. 0.03 3 0.09

Other companies using the LCC business model too. 0.03 3 0.09

New Mandala will penetrate the Jakarta-Medan route. As for the international flights will start from Jakarta to Kuala Lumpur, Malaysia. 0.04 3 0.12

Total 0.39 3 1.18

TOTAL 1 3 2.05

EFE Matrix for Mandala Airlines

External Factors Weight Rating Weighted

Opportunities Score

The growth of the aviation industry average of 20% -21% per year. 0.07 3 0.21

Long haul flight to get your trial is an undeveloped market share 0.12 4 0.48

Differentiation from traditional LCC models by adding customer services or as full-service operation with a low fare airline 0.05 1 0.05

Ongoing industry consolidation has opened up prospects for new routes and airport deals 0.05 1 0.05

High fuel prices will squeeze out unprofitable competitors 0.04 2 0.08

Service low cost carrier (LCC) more attractive to suck 80% market share. 0.04 3 0.12

16 domestic routes and four international routes 0.04 3 0.12

Target the middle class 7 million people each year. 0.04 3 0.12

Increased tourism sector 0.04 3 0.12

60 million passengers by 2015 and 75 million by 2020. 0.04 3 0.12

Mandala will operate 10 Airbus A320 aircraft. 0.04 3 0.12

Aviation Law. Airlines or foreign investment will still be able to build the airline in Indonesia, as long as the majority of shares held by local investors. 0.04 3 0.12

Expand the technology of the website (ie iPhone apps, etc.) 0.04 3 0.12

Total 0.37 3 1.83

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Threats

Full service airlines cut costs start to Compete 0.06 4 0.24

Entrance of other LCCs 0.05 1 0.05

High fuel price decreases yield 0.06 3 0.18

Accident, terrorist attack, and disaster and affect customer confidence 0.12 3 0.36

Aviation regulation and government policy 0.06 1 0.06

Increase in operation cost in producing value-added services 0.06 2 0.12

System Disruption due to Heavily reliance on online sales 0.04 1 0.04

Asean Open Sky enacted in 2015 0.03 1 0.03

Six airlines So Tight Competitors in Asean Open Sky (Singapore Airlines, Thai Airways, Malaysia Airlines, AirAsia, Tiger Airways and Jetstar Airways. 0.04 1 0.04

The regulation on Law No. 1,2009 on Aviation, the aviation world investment of at least 50 million U.S. dollars is very burdensome and threatening local investors. 0.02 1 0.02

Foreign airlines also eyeing the market potential of Indonesia, foreign investment in Indonesia will be the toughest rival for local airlines in Indonesia. 0.04 1 0.04

The increase of in aviation fuel prices 0.02 1 0.02

The increase of in the customer's requirements of higher-quality products / services 0.03 1 0.03

Tiger Airways Mandala proposed name is replaced with the name Tiger. 0.63 1 1.23

TOTAL 1 3 3.06

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Strategic Marketing Plan

Exhibit 3 : The Competitor Profile

Mandala Air Lion Air Sriwijaya Air Air Asia Merpati Nusantara

Airlines

Batavia Air Citilink

PT Saratoga Investment Group (51%), Tiger

Airways(33%), Kreditur dan pemegang saham lama (16%)

PT Lion Mentari Airlines PT. Sriwijaya Air PT. Indonesia AirAsia. PT. Metro Batavia

Presiden Direktur Diono Nurjadin Rusdi Kirana Chandra Lie Sardjono Jhony

Tjitrokusumo

Joseph Saul

Mulai Beroperasi 17 April 1969, Berenti beroperasi 10 Januari 2011 –

4 April 2012

19 Oktober 1999 2003 6 September

1962

5 Januari 2002 8 Agustus 2008

Aliansi Tiger Airways Wings Air -

Slogan Partner Airlines of Tiger Airways

We make people fly Enjoy Simplicity

Jenis Kelas Bisnis Ekonomi

-

Program Frequent Flier

Lion Pasport Club - Merpati EasyFlyer

Lounge Penumpang Mandala Priority Lion King Lounge -

Website www.mandalaair.com www.lionair.co.id www.sriwijayaair.co.id

www.merpati.co.id

www.batavia-air.co.id

Facebook #fans Merpati airlines #

2.432

Twitter #followers @mandalaair #8.917 @tigerairways #11.467

@tigerairwayssg #14.280

@lionairliners # 2.384 @SriwijayaairSJ #2.703

@Sriwijayaair #1.200

@airasiaid #147.745 @merpati_info # 5.011

@bataviaair #3.242

@citilink #18.154

Twitter tweets @mandalaair #632 @tigerairways #352

@tigerairwayssg #1.063

0 @SriwijayaairSJ #18 @Sriwijayaair #2

30.929 6.330 28 8.147

Youtube Citilink

Jumlah Armada 11 72 29 33

Kota Tujuan 16 61 36 87

Jawa Jakarta Yogyakarta Surabaya

o Bandung

o Jakarta

o Malang

o Semarang

Jakarta

Surabaya

Bandung

Semarang

o Jakarta

o Semarang

Surabaya (Bandar Udara

47

Strategic Marketing Plan

o Solo

o Surabaya

o Yogyakarta

Yogyakarta

Solo o Solo

o Yogyakarta

o Surabaya

o Malang

Internasional Juanda)

Jakarta (Bandar Udara Internasional Soekarno-Hatta)

Bali & NTT Denpasar Denpasar Kupang

Denpasar o Denpasar

o Mataram

o Kupang

Denpasar

Kalimantan Balikpapan o Balikpapan

o Banjarmasin

o Berau

o Palangkaraya

o Pontianak

o Tarakan

Balikpapan o Pontianak

o Palangkaraya

o Banjarmasin

o Balikpapan

o Tarakan

Balikpapan (Bandar Udara Sepinggan)

Banjarmasin (Bandar Udara Sjamsudin Noor)

Sumatera Padang Medan Pekanbaru Palembang Banda Aceh

o Banda Aceh

o Bengkulu

o Lampung

o Jambi

o Medan

o Padang

o Palembang

o Pangkal Pinang

o Pekanbaru

o Tanjung Pandan

o Tanjungpinang

Banda Aceh

Palembang

Pekanbaru

Medan

Padang

o Medan

o Banda Aceh

o Padang

o Pekanbaru

o Batam

o Jambi DJB

o Palembang

o Pangkalpinang

o Tanjung Pandan

Batam (Bandar Udara Hang Nadim)

Medan (Bandar Udara Polonia)

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Strategic Marketing Plan

o Bengkulu BKS

o Tanjungpinang

Sulawesi Manado Makasar

o Gorontalo

o Kendari

o Manado

o Palu

o Makassar

o Ambon

o Ternate

Makasar

o Makassar

o Kendari

o Palu

o Manado

o Ambon

Makassar, (Bandar Udara Internasional Sultan Hasanuddin)

Manado

Papua Manokwari MKW (Bandara Rendani) Jayapura DJJ (Bandara Sentani)

Asia Tenggara Singaporeya

Vietnam

Philimpes

o Cebu

o Clark (Manila)

o Manila

o Kalibo

Malaysia

o Kinabalu

o Kuala Lumpur

o Kuchin

Singapura

o Singapura

Malaysia

o Penang

o Kuala Lumpur

Timor Leste

o Dili

Malaysia

Kuala Lumpur

Kuching

Singapura

Singapura

Thailand

Bangkok

Phuket

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Strategic Marketing Plan

g

o Penang

Iran

Tehran

Isfahan

Timor Leste

Dili DIL

Asia Timur Republik Rakyat Cina

o Guangzhou

o Haikou

o Shenzhen

Hongkong

Macau

Srilangka

India

o Bangalore

o Chennai

o Kochi

o Thiruvananthapuram

o Tiruchairapalli

Republik Rakyat Cina

Guangzhou CAN

Timur Tengah Bangladesh

Dhaka

Arab Saudi

Jeddah JED (

Riyadh RUH

Australia Brisbane Caines Goald Coast Hobart Melbourne Perth

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Strategic Marketing Plan

Syney

Exhibit 4 : The Airlines Price

Booking 24 April 2012

(7 – 14 Mei) - pagi

Mandala Air Lion Air Sriwijaya Air Air Asia Merpati Nusantara Airlines Batavia Air Citilink

Jakarta – Denpasar

Promo Rp. 401.000; Promo Rp. 500.000; Promo n/a Promo Rp. 379.000; Eco Promo

0 Rp. 399.090;

Ekonomi Rp. 643.000; Ekonomi Rp. 530.000; Reguler Rp. 443.900; Flexi Rp. 588.000; Eco Budget

Rp. 716.900;

Business n/a Business n/a Ekonomi Rp. 698.000; Eco Medium

Rp. 886.900;

Business - Eco Premium

Rp. 1.266.900;

Denpasar - Jakarta

Promo Rp. 544.000; Promo Rp. 460.000; Promo n/a Promo n/a Eco Promo

0 Rp. 399.090;

Ekonomi Rp. 643.000; Ekonomi Rp. 530.000; Reguler Rp. 443.900; Flexi n/a Eco Budget

Rp. 556.900;

Business n/a Business n/a Ekonomi Rp. 918.000; Eco Medium

Rp. 886.900;

Business - Eco Premium

Rp. 1.266.900;

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Booking 24 April 2012

(7 – 14 Mei) - pagi

Mandala Air Lion Air Sriwijaya Air Air Asia Merpati Nusantara

Airlines

Batavia Air Citilink

Jakarta – Medan

Rp. 519.000; Promo Rp. 533.000; Promo Rp. 560.000; - - - - Eco Promo

Rp. 596.900; Rp. 409.090;

Ekonomi Rp. 676.000; Ekonomi Rp. 680.000; - - - - Eco Budget

Rp. 686.900;

Business n/a Business n/a - - - - Eco Medium

Rp. 926.900;

- - - - Eco Premiu

m

Rp. 1.426.900

Medan - Jakarta

Rp. 519.000; Promo Rp. 621.000; Promo Rp. 620.000; - - - - Eco Promo

Rp. 596.900; Rp. 409.090;

Ekonomi Rp. 676.000; Ekonomi Rp. 680.000; - - - - Eco Budget

Rp. 686.900;

Business n/a Business n/a - - - - Eco Medium

Rp. 926.900;

- - - - Eco Premiu

m

Rp. 1.426.900

Exhibit 5 : The Airlines Ticketing Place

Reservation by

Mandala Air Lion Air Sriwijaya Air Air Asia Merpati Nusantara

Airlines

Batavia Air Citilink

Website (online)

v v v v v v v

Travel Agency

v v v v v v v

Airport v v v v v v v

Phone (call centre)

v V v v v v v

Mobile

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Strategic Marketing Plan

Head Office v V v v v v v

Exhibit 6 : The Airline Promotion

Mandala Air Lion Air Sriwijaya Air Air Asia Merpati Nusantara

Airlines

Batavia Air Citilink

Online Promotion

n/a Visa epayment

Bca Visa BRI Bni Bii

Bank sumsel Visa

master

n/a Visa Mandiri

OCBC NISP Klik Bca

BCA Mandiri

NMO Visa

Master Paypal

Discover American Express

n/a

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Strategic Marketing Plan

Exhibit 7 : Netnography : Customer Pro

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Strategic Marketing Plan

Exhibit 8 : Netnography : Customer Contra

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Strategic Marketing Plan

Exhibit 9 : Mandala Website