IndexExecutive SummaryIntroductionBodyMarketing Strategy AnalysisGroup AirlinesConclusionReference List:Executive SummaryRyanair's growth over its relatively short period of existence is discussed in this report. The business and marketing strategies adopted have had an impact on the competition and have captured a substantial share of the European market, making Ryanair the largest European airline, with higher goals to achieve. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay Since its early years, Ryanair has adopted an aggressive strategy to penetrate the market. They were instrumental in introducing the low-cost concept to Europe, establishing themselves as leaders thereafter. They have always grown with the intent of lowering rates. The highlights of the airline's success were the concept, purchasing power, web-based reservation system and aggressive marketing strategies used. Ryanair has recently increased its customer focus and environmental awareness helping it improve its image and acquire environmentally conscious customers. Introduction Ryanair Holdings plc is Europe's largest airline group, comprising Ryanair, Buzz, Lauda and Malta Air. It operates from two hundred and thirty-nine airports of which eighty-six bases in forty countries, with over two thousand four hundred flights a day covering two thousand one hundred routes and carrying one hundred and fifty-three million passengers a year, with a fleet of four hundred and seventy-five aircraft and another two hundred and ten on order, will allow the group to lower fares and grow traffic to two hundred million passengers per year by financial year 2014. Over nineteen thousand highly trained aviation professionals work at Ryanair Holdings, which provides Europe's number one service on time performance and leading company in the industry with thirty-four years of safety record. The Irish low-cost airline based in Dublin was founded in 1985 by the Ryan family, with a share capital of one pound and twenty-five employees. Operations began in July with a daily flight on a fifteen-seater plane from Waterford in the south-east of Ireland to Gatwick Airport in London. In the first year of operation, five thousand passengers were transported. Subsequently, Ryanair began to challenge the high fare duopoly of British Airways and Air Lingus with a price cut of just ninety-nine pounds, starting the first fare war. In 1991 Ryanair carried over seven hundred thousand passengers, but had accumulated losses of twenty million pounds, despite a three-year period of aircraft and route growth and intense price competition with British Airways and Air Lingus. A period of restructuring began and Southwest Airlines' low-fare model was adopted. The most important turning point for Ryan Air came in 1997, when the European Union completed the "Open Skies" deregulation of the scheduled airline business allowing airlines to compete freely across Europe, and in 2000 with its reservation system online. The number of passengers carried continues to increase every year, and by the end of 2019 the airline was carrying over one hundred and fifty million passengers. With the acquisition of Buzz, Lauda and Malta Air, Ryan Air plans to penetrate certain markets and benefit from them. CorpoRyanair has been successful in its relatively short period of existence by adopting a low-cost business model. Cost reduction has allowed it to offer lower prices and fill available seats, making it the sixth largestairline in the world, and second in Europe, by number of passengers carried in 2018. The graph below shows passengers carried from the financial year ending March 2000 to March 2019, showing the steady growth experienced by the airline, from five million of passengers in the financial year ending March 2000 to one hundred and thirty-nine million in the financial year ending March 2019. In the 1980s countries adopted heavy restrictions to protect ownnational airlines. The completion of the deregulation of the airline industry with the removal of government intervention in the European market in April 1997, where airlines decided routes and fares, led to the introduction of several low-cost carriers, resulting in lower airfares. Following in the footsteps of Southend's successful American low-cost airline, Ryanair has adopted the low-cost airline model in Europe, targeting conscious travelers and low-cost business people who travel often, even going a step further when started selling food and drinks instead of providing them for free. In 2000 Ryanair launched Europe's largest online booking system which in three months attracted around fifty thousand bookings a week. Reservations are made via the website without the need for reservation offices and related costs and commissions paid to travel agents. Hotel accommodation, car rental and insurance are also now sold through the website. Affiliates place ads on the website because they can reach a large customer base and are willing to pay high commissions for such a service. Suppliers can be defined as those who provide the company with what it needs to produce its products and services (Johnson et al 2008 ). From a technical point of view, Ryanair's strategy is to purchase planes through the same supplier, Boeing. Purchases are made in large quantities, so the best prices are negotiated throughout the delivery period of the ordered aircraft. It's about increasing the fleet or replacing older ones. Having the same type of aircraft offers flexibility in deploying personnel, as they would know how to operate them without much training and with easier maintenance. Newer planes equipped with the latest technology will be more fuel efficient and safer. Fuel spending in the March 2019 financial year was 32% of Ryanair's turnover, however this spending is controlled by global trade, dominated by the Middle East. Hedging arrangements are in place that give price stability for a period during which the airline will keep its fares stable. Fuel-efficient planes reduce costs, while having safe planes gives customers confidence and safe minds. The grounding of the Boeing 737 Max derailed 2021 projections for about 5 million guests and targets for noise, emissions and fuel efficiency. These aircraft are equipped with the latest fuel-efficient and environmentally friendly technology, but they were banned from flying after two of these planes crashed. The airline developed ancillary revenue through related services, which made up 32% of total revenue in the 2019 financial year. This comes from snacks and drinks sold on board, priority fares, baggage and site sales commissions web. Staff are trained in sales and generate commissions on onboard sales. External forces and events in the world are detrimental to the airline industry. Economic recession, wars, epidemics and terrorist attacks leave their mark on the sector.Despite the Gulf War ending in February 1991, Ryanair managed to make a profit for the first time in the financial year ending in March 1991. In times of recession people tend to refrain from traveling because they tend to reduce their free time, as well as wars and terrorism. attacks will discourage travel. Human resources are what keep companies going. As of March 2019, Ryanair employed over sixteen thousand professional staff, mainly pilots (5,446) and cabin crew (9,095). The company believes that the conditions that exist for its staff are industry-leading in low-cost operators, with competitive wages, advantageous fixed shifts, exceptional promotional opportunities and a wide choice of bases across Europe. All staff undergo continuous training, mainly on safety procedures. Cabin crew are required to undergo annual evacuation drills. There are incentive plans, sales bonuses, salary increases regulated by unionized collective agreements, while stock option plans are also approved. In this way the airline attempts to maintain a motivated workforce with the least staff turnover. Competition in the airline industry comes in the form of national airlines, independent airlines, major airline franchises, and charter airlines. Independent airlines in the form of low-cost carriers charge lower fares than national airlines, which respond to the franchised airlines they control. Although there are no barriers, creating an airline requires large investments, which represents a barrier to entry. The experience gained gives Ryanair a cost advantage over all the upstarts competing to enter the low-cost market. Substitute products in the form of trains are an alternative means of transportation. This is particularly important for short-haul, low-fare airlines because evolving rail technology continuously makes train travel faster and more comfortable and its price/performance ratio (Johnson et al, 2008) is perceived to be higher. Marketing Strategy AnalysisThe product is the central element of a company as it determines what it will offer. It must be adapted to the customer's needs and desires and derive satisfaction from them. Ryanair offers its low-cost, no-frills airline as a product. This was offered to the public who accepted and researched the product, helping the airline to grow into one of the largest in the world. The rapid conversion of Ryanair's aircraft, considered the fastest in Europe and the low-cost, no-frills approach has helped define it as a strong brand. Product positioning has been consistent since the adoption of Southwestern Airlines' model of offering low-cost flights. Consistent advertising and messages broadcast daily have helped the airline gain a foothold in the market. Ryanair is always looking to reduce costs to enable them to reduce trade shows. The clarity of their slogans in marketing low fares with “The Low Fares Airline”, “Ryanair, Fly Cheaper”, “Low Fares, Made Simple” are made simple to understand in delivering their concept of low fares. It is important that the concept is credible in the minds of customers. Ryanair confirms itself as the largest low-cost airline in Europe. Ryanair's competitive advantage lies in offering low cost fares compared to the competition. This is a guarantee offered: if you find a cheaper flight the airline will pay double the difference. Ryanair is mainly aimed at leisure tourists, whothey plan and book their holidays in advance and take full advantage of the cheap booking rates. The business traveler who books closer to their travel dates will pay the highest fares, leaving excess revenue for the airline. Ryanair's life cycle began with its introduction way back in 1985 with the Waterford to Gatwick route and targeting the Ireland to England and European markets. subsequent expansion. Growth continued at a steady and rapid pace into the early 2000s, with passengers and revenues growing every year, achieving profits that were the envy of other airlines. Over the last ten years, with the intensification of promotional activities, levels of maturity have been reached and sales have stabilized with growth rates of around 10%. Businesses enter the decline phase when they begin to experience a sharp drop in sales. Many airlines felt the 2008 recession, but Ryanair's strategies of cutting costs and lowering fares continued to press forward, even as compliant customers felt the credit crunch. Ryanair has adopted its low fare pricing strategy since its inception and has been the lowest in terms of fares in Europe. Following this strategy, the airline has identified its own market of customers who are sensitive to the price combined with the promotion. To keep up with its strategy the airline has opened up to new countries and introduced routes, offering low prices to stimulate the desire to travel. Running out of seats is bad for the airline, as unsold seats lead to losses. The result will be the idea of ​​having planes full of passengers and flying at lower costs and cheaper fares. Ryanair has invested heavily in environmental programs in recent years and has been independently ranked as Europe's cleanest airline. It has abandoned paper and pledged to do so within the next five years. The airline is investing billions in new, more efficient planes to carry more guests with reduced fuel consumption and noise emissions. Emissions have fallen by around 20% in the last ten years and a further 10% reduction is expected in the next. In the 2019 fiscal year, 540 million euros were paid in environmental contributions to European governments. Customers have a tendency to change airlines due to environmental concerns. Ryanair boasts a 34-year accident-free record. Substantial investments have been made in safety-related equipment, training and internal recording systems. Training centers with state-of-the-art simulators, fixed-base simulators, a Boeing Max simulator, full-scale Boeing maintenance training aircraft, a Boeing 737-700 for pilot training purposes, five-day and four-day rest shifts for pilots and five days on and three days In 2019, the Customer Experience Always Getting Better (AGB) program was introduced on the basis of “More choice, lower fares and maximum care”. New initiatives have been introduced, including crediting customer accounts if cheaper fares are found elsewhere, 90% punctuality or 5% reduction on subsequent months' fares, processing within ten days of any EU261 complaint and a new grace period of forty-eight hours for changes. to reservations. To improve punctuality performance, it was necessary to change underperforming ground handling operators at several airports. In 2014, Ryanair's new marketing manager was tasked with turning around its public image on social media. The airline's customer service rebirth was heralded as the)