Ed Foster Mod 4 Marketing Flashcards
Explain the Roles & Responsibilities of the Airport Executive within a politically charged environment.
Airport Executive = tactical leader, responsible for carrying out policy direction
Airport Authority
More job protection – less campaigning
Airport Executives that are appointed as part of a mayoral cabinet, city, county or by airport authority often have more latitude in performing jobs but have less job security
Airport Executive who are appointed by an authority often takes advantage of job security and the freedom to manage airport.
Describe the challenges and benefit of citizen participation in public policy making.
• Public input is almost essential to any significant project
• Token public participation is worse that no public participation
Goal of policy makers
• Build informed consent, not necessarily make everyone happy about project, but to increase general willingness to go along with and accept the project.
o General willingness
o Informed consent
o Reinforcement
o Cal awareness
Explain the marketing questions that should be addressed prior to beginning a marketing endeavor?
- What is the airport actually going to market to which market segments
- How much marketing should be expected of the airport tenants
- Should an airport , as a public entity even do marketing, should it just be there to provide a public service
- What does the grants assurances (#25) say about using airport revenue for marketing purposes?
- How much money should the airport spend on marketing
- How the effectiveness of marketing effects should be measured.
Product and services that airports can market
• New air service
• Available property for development
• Corporate services , fbo, maintenance
• Flight school, aircraft rental
• Market to keep existing tenants
• Training and meeting room space
• Restaurant’s
• Access to nearby recreation, business and entertainment
• General public relations and community support
What are Benefits of Airport Marketing?
More business!! •More tie downs • More fuel flowage fees • More buying of goods and services • Corporate operators • Aircraft manufactures
Differentiate other types of airport marketing
Essential components to a Marketing Plan • Market Analysis • Objectives • Situational Analysis • Market Place Issues • Marketing mix • Implementation plan • Feedback process to help measure effectiveness
Market Analysis
• Types of research
o Primary – new
o Secondary – previously done
• Market analysis attempts to
o Understand what the competition is doing
o Confirm or discover existing and new competitive advantages
o Market growing, stable or volatile?
o Discover buying habits
o Identify core competencies benefits and features
o What is unique about airport
• Situational Analysis
o SWOT – Strengths – Weakness – Opportunities – Threats. Analysis.
Construct a Market Plan utilizing the key elements and describe the appropriate market mix for the various types of airport.
Essential components to a Marketing Plan • Market Analysis • Objectives • Situational Analysis • Market Place Issues • Marketing mix • Implementation plan • Feedback process to help measure effectiveness
Market Analysis
• Types of research
o Primary – new
o Secondary – previously done
• Market analysis attempts to
o Understand what the competition is doing
o Confirm or discover existing and new competitive advantages
o Market growing, stable or volatile?
o Discover buying habits
o Identify core competencies benefits and features
o What is unique about airport
• Situational Analysis
o SWOT – Strengths – Weakness – Opportunities – Threats. Analysis.
What are some Marketing and Promotional methods
• Branding – means attaching your product or service with a memorable image or to a feeling your customers have when they hear your airport name.
• Positioning – is the way you present your product or service that helps you stand out from the competition.
• Print Media –
o Magazines (higher cost, last longer)
o Newspapers (lower cost, shorter life)
• Broadcast media
o Television and Radio – most expensive
Explain the uses if social media and how it has changed marketing and public relations
Social media
• Facebook
• Twitter
• Linkedin
• Blogs
• Youtube
Marketing Plan Points
• The more you see it, The more likely you are to remember it
• Identify medium and elements customers find appealing
• SPAM! Don’t do it.
Other types of marketing – Open House, Air Shows etc
Describe how airports attempt to develop air service including best practices, common strategies and goal.
ASD: Encompasses activities with the ultimate goal of retaining air service or improving air access and capacity in order to develop the economy of a community or region.
Air Service Development includes:
• Attraction or Expansion of existing air service
• Retention of Existing service
• Adding new service destinations
• Lowering fares
• Improving service reliability and upgrading aircraft
Expectations and Perspectives
• Air Carriers expect incentives
• Not all airport managers agree that air carriers should be influenced.
Can you finance an ASD Program?
• First, can you handle the increased demand
o RW length okay? Ramp size enough?
o Air carriers unlikely to fund improvements
• Market Research
o Are airfares too high?
o Is there a lack of air service to a destination?
• Leakage
o Passengers choosing another airport, farther away
• Money is key element: can you sustain an ASD program?
o Do you have access to outside revenue (Private Corporation, hotels, resorts, visitors bureau)?
How Air Carriers Select Airports
• Airline Route Planners assess market size and demand, and
o Volume of passengers
o Frequent flyer desires
o Revenue Potential
o Self-Sustaining airports
• Federal Programs
o Essential Air Service (EAS)
o Small Community Air Service Development Program (SCASDP)
Small Community ASD
• Hub-and-spoke
o Most small communities are a “spoke”
o Low cost carries often use point-to-point service
• For every additional $5,000 in per capita income in a community, the community received 3.3 more jet and 12.7 more turboprop departures per week.
Small Community Air Service Development Program (SCASDP)
• To be eligible for a grant:
o Community must not be larger than a small hub
o Insufficient air carrier service
o Unreasonably high air fares
• Grant funds can be used:
o To cover expenses of any new advertising or promotional activities
o Financial incentives
Best Practices for ASD
• ASD should begin with an assessment
o Determine both destinations and load factors
o High load factors may be a sign of a good market, or limited choices
• Determine how passengers arrive at their destination
o Too many connecting flights?
• Type of aircraft (gimme jets)
• Catchment area (geographical reach)
ASD Goal Setting
• Primary goal – retain existing air service providers
• Other goals of ASD
o Adding service to new destinations
o New air carrier service, hard to get new v. existing air carrier service
o Consider community plans
International ASD & techniques
• International passengers stay longer, spend more money
• Top goal for many airports
• Somewhat dependent upon intermodal
Techniques for ASD
• Incentive Programs
• Minimum Revenue Guarantees (Primary Incentive)
• Waivers
• Cost related ASD techniques
• Waive fees, promotional periods, subsidies
• Airport Marketing program
• In-kind donations (media, research, “free” market analysis
• Consultants
Selling to the airlines • It’s a lengthy process • Airlines already have the O&D information • Airlines need o Local demographics o Local bix & travel habits o Local attractions, government facilities, industry o Attending airline industry conferences o Airport infrastructure o Operating costs • Detailed Route Fx o Detailed forecast information o Proposed flight schedules o Revenue Passenger miles • Alternative & Options o Attend industry conferences, network USA, AAAE, ASD consultant o Mayor & Elected officials are not very effective
Describe the role of the public relations at an airport including methods of managing the media in both the promotional role and the public information Officer role.
Public Relation (PR) – art and science of establishing relationships between an organization and its key stakeholders
• PR enhances the ability of public acceptance to an organization
• PR is a system of communicating information about the airport to the public
• PR is dependent upon sponsor’s perspective
• You can use PR to
o Promote airport programs, and supplement marketing efforts
PR Departments
• Large Airports = department
• Small Airports = part of municipality, or the airport directors job
When do I have to talk to the media?
• Desire to promote product, service, special events
• Response to a crisis
Understanding the Media (Whats the Buzzzzz? Tell me what’s happening)
• Corporations spend big bucks on PR
o Primary reason for failed PR – individuals not experienced in media outlets or managements
• Story needs to have unique aspects that appeal to human nature
o Know what’s fluff and what’s news
• Newsworthy
o Conflict, controversy, happening now, affects a significant number of people and nearby
Media management
• Citizen Journalists
o A clear impact of blogs – old “rules” of journalism are changing
o Bloggers are great investigative reported!
o Cell phone cameras and videos
o “hater” websites can happen overnight
Media Management
• A lot of content in daily newspapers started as “pitch”
• Keep in mind that an airport is a public entity and subject to the freedom of information Act, Open record Acts
• With Reporters – always respect deadlines
o If you miss the deadline, the reporter will go elsewhere to get the information
News Releases
• News Releases for publicity; overused, unfavorable way to communicate
• Response to issues ; okay
• Compose or select content by considering journalist perspectives (inverted pyramid)
• Format
o FOR IMMEDIATE RELEASE
o Date, Contact Information, Headline, Copy
Consider pathways to publicity
• News talk radio
• Weekend talk shows
• Airport user groups
• Getting the Story Out – call the reporter, don’t email
• Timely news – call don’t email.
• Attention management
• Tactic to get media outlets to respond to your news or PR issue
• Reporters seek trusting relationships
• Meet with reporters who cover airport
Explain the Key Elements of public relations in a crisis
Crisis Communications
• Crisis Communications plan should be part of AEP
o Sudden emergencies (plane crash)
o Creeping crisis (employee lawsuits)
o Predictable crisis (labor Strike)
• Crisis caused by improper decisions (airport employee, human factors)
• Cybercrimes (cyber Crisis)
o Hater bloggers
o Cyber attack on network
Pre Planning
• First Step in crisis management – be prepared BEFORE it happens
o Brainstorming incidents and issues
o Take preventative steps to prevent or mitigate incidents
• Develop a crisis management plan
o I.D. Key people to be Contacted in a crisis
• Airport spokesperson
o Not the director
o Tell employees to direct inquires to the spokesperson
Public Relations under the National Incident Management System NIMS
• Major Crisis
o Designate a single Public Information Officer PIO
• Release public information via the JIC
o Joint Information Center
• During Crisis, have a pre-established “media center”
o Equipped with wifi, phone lines, copier, paper, food, coffee
What does the media want
• News media wants the … who , what, when, where, why, how
• Print media
o PAINT-A PICTURE”
• Radio Reporters
o Short, concise information, 10-15 second sound bites
• Broadcast media
o Visual – photographs and video
• Web Based
o Same access as traditional journalists
o Some may have a specific political agenda
Goal of PR in a crisis
o Reduce panic
o Tell the public what actions to take
• Media is most direct channel in communicating with public
o They will come because its newsworthy
• Ensure the media staging area doesn’t infringe on potential crime scene
• Employee should direct questions to PIO
PIO Audiences
• PIO get the info themselves and prepare
o PIO must inform elected or appointed officials, some responsibility over managing incident
o PIO must address regulatory officials
o PIO address the media and the public
Working with the media
• Ten “C”s of good crisis communications
1. Be cooperative: but don’t give them everything
2. Provide Control: have a crisis plan
3. Demonstrate Caring and concern: be sincere
4. Demonstrate Competence: tell ‘em what they need (W’s & H)
5. Be credible: Have a good past relationship
6. Be Consistent: have a single spokesperson or message
7. Be clear: speak clearly and in language the public understands
8. Be concise: avoid rambling, reduce ability to cut/edit
9. Keep current: be timely with the news
10. Act with Calm: if you lose it, everyone loses it.
The Don’t’s
• Don’t talk off the record
• Don’t say no comment
• Don’t say anything while the camers are still on or youre still wearing a mike
• Do not take questions personally
• Do not assume the interview is a conversation
• DO not make up answers
• Do not lie
• Do not face the press unprepared
Victim Assistance
• Role of the PIO – provide information to family members of victems (with respect to airline legal obligations)
o The coroner, police and fire department, clergy or designated agency usually carries out family notifications - not the airport.
o Health Insurance Portability and accountability Act 1994 (HIPPA)
• Aviation Disaster Family Assistance Act of 1996 (ADFA)
o Airlines responsible for victim family assistance
• Office of Transportation Disaster Assistance (TDA)
o Provides information to family members after an accident
• NTSB: Investigator-in-charge (IIC)
o Authorized spokesperson
Speaking to the press
• Several messages an airport will want to convey
o We acted responsibly; we were concerned; there was a plan & we followed it; we’re taking steps _____
• PIO’s – use analogies and illustrations to make a point
o Avoid negative sound bites – don’t read negative bits back
o Plenty of reporters will try to trick an interviewee
o Reporters will also make false assentation
Issues Management
• Keeping Tabs
o Really Simple Syndication (RSS)
o Google Alerts
• Work throughworst case scenarios
• Response must balance legal, operational and communication objectives
• Transparency
• Post-Crisis
o Follow up on inaccurate stories
Explain the economic impacts of airport and aviation on the local economy
Airport Economic Impact
Measuring Impact
• Indicators – airports provide an important economic impact and transportation benefits
• Total economic impact
o Direct: money as a result of the airport
o Induced impacts (i.e. the multiplier effect)
• Transportation benefits
o Mail, cargo, air travel, air medical , business
what is the house of representatives committee that involves aviation?
House of Representatives: Transportation and Infrastructure Committee
what is the Senate Committee that involves aviation?
U.S. Senate Committee on Commerce, Science, and Transportation
Essential components of the marketing plan typically include:
Essential components of the marketing plan typically include:
(a) the market analysis,
(b) objectives,
(c) situational analysis,
(d) marketplace issues,
(e) the “marketing mix,”
(f) implementation plan,
(g) feedback processes to help measure the effectiveness of the plan