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The Impacts of September 11, 2001 on the Aviation Industry?s Marketing Mix.
Abstract This paper discusses the impacts of the September ...
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Submitted by wjazbo on February 27, 2006
Category: Miscellaneous
Words: 2182 | Pages: 9
Views: 287
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Abstract
This paper discusses the impacts of the September 11, 2001 terrorist attacks on the aviation industry. Specifically, how aviation industry members were forced to alter their marketing mix in response to the events. The four “P’s” of marketing were all modified. The airlines had to change their product (route structures) and their prices. They also had to change their promotion tactics to ease the customer’s “fear factor”. Lastly they had to alter the means of delivering their product to the consumer due to enhance security measures (place).
September 11, 2001 will always be considered a turning point in the history of America. The events of 11 September 2001 were unlike any other shock experienced in the history of civil aviation. They have had a unique, unprecedented, devastating and immediate impact on all segments of the air transport industry in its broadest sense: airlines, airports, air navigation service providers, ground-handling and cleaning companies, air transport equipment manufacturers and a multitude of other suppliers. The airline industry was competing in a difficult climate even before the attacks. No airline had been able to totally escape the effects of fuel prices that had risen considerably above forecasts, cutting profit margins even more than usual. Added to this, despite continued predictions of healthy growth for the industry, average growth across the board over the last 12 months was only about 0.5 percent. As a result, many carriers were experiencing hardships they would not have budgeted for and, in the days following the events, some airlines announced harsh measures to cope with the financial problems they were already facing. Following the September 11th events, the air transport industry, already experiencing declining and even negative growth rates due to...
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