Classic Airlines is among the five largest airlines in the world, and it has a fleet of more than 375 jets with more than 2300 daily flights and serving in 240 cities (Szurovy, 2000). Classic has experienced a steady growth since it was started performing well financially and having over 32000 workers. Despite of the impressive growth and good performance in terms of profits, Classic airline has faced multiple challenges in its attempts to market its services (Szurovy, 2000). It is faced by market uncertainties such as rise in flying uncertainty which has in turn led to a drastic fall of the company’s share prices. Rising costs of labor and fuel have also been a tremendous challenge to classic. Classic has terrible media publicity which has affected the workers motivation negatively (Szurovy, 2000).
Despite of all these many challenges classic airline has increased its efforts of marketing its services to its potential customers (Szurovy, 2000). Classic airline has introduced classic rewards membership, a marketing strategy of awarding points to their customers, which they could redeem for free trips or for other services that are offered by classic airline partner companies such as renting cars or classic six hotels partners. Introduction of this marketing strategy was aimed also at marketing the services offered by their partners and not airline services only (Szurovy, 2000). Through this strategy, classic airline was able to attract some customers and put it ahead of its competitors. This marketing strategy was faced with some challenges as some customers were not contented and according to the interview carried out many customers gave priority to being provided with good services and not about the points awarded (Szurovy, 2000).
Despite their marketing strategy, their prices have remained relatively higher, and many customers seemed dissatisfied, and this has led to fall in classic rewards membership by 20% translating to approximately 160000 of their customers who now prefer to use other airlines (Szurovy, 2000). Classic airline has put its efforts in marketing its products and services, although this has come with some challenges which in some ways has affected classic airline negatively (Szurovy, 2000).
Szurovy, G. (2000). Classic American airlines. Osceola, WI: MBI Pub. Co..