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Qantas Communications Strategy Presentation

Since Alan Joyce became CEO, Qantas has witnessed many changes in the market and changes in its own company and brand. In the last few years, the company has undergone a downturn with their brand and constant staff disputes disrupting...
by

David Howard

on 7 December 2013

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Transcript of Qantas Communications Strategy Presentation

FY 2012
FY 2013
Industry partnerships
Share price decline
Background
Action Plan - Goals
Solutions to Turnaround
Australia's largest airline
Turbulence at Qantas
Increased competition
Employee conflict
Roots of the Problems
SWOT and Solutions
Qantas
Communications Strategy Report

By, David Howard
8 million frequent flyers
Over 8,200 flights every week
33,600 employees
Brands:
Qantas
Jetstar
Qantas Link
Q Catering
Qantas Freight
Qantas Frequent Flyer
Qantas Holidays
Express Ground Handling
1. Lack of Internal and External Communication

2. Qantas is focused on its returns to shareholders, not its responsibility to its stakeholders

3. Job cuts and structural changes have increased since Joyce became CEO

4. These issues fuel the external issues that have affect the brand as a whole
Damaged brand
Qantas ended 40-year partnership with Tourism Australia and entered a new global partnership with Emirates

Symbolic frame and culture of Qantas impacted by this move
Domestic: Main competitor Virgin recently partnered with Tiger Airways and Skywest

International: New competitors to the market threaten Qantas' market share, especially Air Asia
2007: $6.00

2011: down to $1.61

2012:
“Qantas shocked the market with a 90% profit downgrade, causing shares to plunge to their lowest point since privatisation"
Unfavourable relationship between management and staff is a common source of conflict

39 industrial disputes were recorded in 2011 with one resulting in the global Qantas grounding

Staff are dissatisfied with airline management and have little faith in the Board’s direction for the company
All of these problems have affected the Qantas brand, particularly the global grounding that changed the brand's reliable perception

Their negative reputation still lingers from the illegal price fixing activities in 2000-2007 resulting in million dollar fines
Internal Environment
External Marketing Issues
CEO since 2008 - Alan Joyce
Strengths
Commitment to the environment
Loyal customer base
Brand Recognition
Strong distribution channels
High quality service
Market share
Solution:
* Build on strong rewards program to grow loyal customer base on differentiation of service
Weaknesses
Lack of employee investment
Management and Board
Solution:
* These weaknesses become the biggest opportunities at Qantas
Financial position
Ongoing industrial disputes
Emirates Partnership & Frequent Flyer Program
Better service to customers
5x better than any other partnership

Exploration of international aviation
Building Upon Reputation
Australian of the Year Awards
Care Australia
International day of people with a disability
National Australia Day Council
Prostate Cancer Foundation of Australia
Royal Institute of Deaf and Blind Children
UNICEF
• To re-establish a positive connection with the Australia’s tourism industry and Qantas.

To communicate Qantas frequent flyer programs that aims to reward both frequent and light users of it’s product. The rewards programs must be communicated to re-gain it’s customers from competitors

A boosted internal task force to ensure a people focus becomes relevant across all communication activities. Notably nurturing employees to become transparent while communicate with stakeholders

Build and maintain a strong internal knowledge of Qantas philanthropy, allowing internal and external communication to reflect these activities.

Communicate and guide the assumptions of the public to see into the future for Qantas as a brand
Early signs of financial recovery being proud supporters of charities, sports and arts programs
Growth of competitors
Changes in consumer decision making
The introduction of new competitors has caused changes in market share
Australians have significantly increased their international travel and are increasingly choosing to travel with overseas brands
Customers are no longer satisfied with just a low price or just good service - they want both!






Qantas' Future
The Strategy
Now is the time for Qantas to improve their operations and communicate their brand competitively in the airfield.
Re-establish positive connections with Australian Tourism
Boost relativity of Frequent flyers program with both light and heavy users.
Boost Transparency
Expand Upon and Promote Corporate Philanthropy
Guide Public Assumptions
Evaluation and Reporting
This communication strategy will be reviewed quarterly and at various times for individual activities.
In addition to the reviews, the overall strategy will remain to compliment Qantas’ adoption of an improved communication, notably transparency, as this is the area in business that Qantas need to improve most on.
The interviews between Tourism Australia and Qantas will be used to connect Qantas with Australia Tourism.
The Frequent Flyers Rewards Program’s outgrowth will be analysed through the increase in members over the period of time in which it was communicated.
The 2 next strategies, to Publicize Transparency and To Increase the Knowledge of the Community of which charities and organisations Qantas’ supports will be analysed online.
The final strategy will endeavour to be aware of Qantas’ actions.
One month from execution of the strategy monthly reports will be issued by the Communications Manager to the CEO outlining the communications activities and statistics- Trends and issues- Current priorities - Budget update.
Full transcript