kingfisher ultra

7/29/2019 Kingfisher Ultra

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Brand Kingfisher

A brand build out of pure passion

When the CEO takes interest in the brand andvirtually promotes the brand in every

occasion, there is so much equity generatedon the brand.

Mr Mallya takes the brand with him

everywhere. Mallya also showed that the primary task for

any CEO is to be passionate about the brand


3/18

Kingfisher brand thrived in an environmentwhere liquor/ beer advertising was banned inIndia.

In 1996 the brand become the worldwidesponsors of the West Indies cricket team. But thebrand was conscious to keep Kingfisher the star .

The West Indies team personified the brandvalues of fun loving but successful team.

The brand directly talks to people who are Easygoing, chilled out person who's always willing totake a break and party with the friends.

Brand Kingfisher


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Was it right to take a beer brand for promoting anairline & lifestyle TV channels?

The famous jingle " Oola la le lo" and the fun

filled TVC rightly placed the brand as a fun lovingone.

The brand sponsors lifestyle events and theKingfisher Calender has attained a cult status

with in 4 years of launch.

Kf has its own clothes line and organises manyfashion shows all over the globe

Brand Kingfisher


5/18

Kingfisher Airlines

Kingfisher airlines sold the concept of lifestyle through itsglamorous airhostesses, red-the color of vibrancy, and added

hospitality which made every passenger feel like a guest on

board-a-craft.

The brand image of the parent Kingfisher brand gave furthercredibility to its marketing campaigns, featuring India's then

top models.

It marketed itself as a budget airline targeting the middle of

the market.

It used multiple promotional campaigns, from having India's

top model Yana Gupta on flight, to schemes on discounted

tickets, initially, to invite people to experience the 'good

flying' concept.


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Financial Turmoil

After acquiring Air Deccan, Kingfisher suffered a loss ofover 1,000 crore for three consecutive years.

By early 2012, the airline accumulated losses of

over 7,000 crore with half of its fleet grounded and several

members of its staff going on strike. Kingfisher's position in top Indian airlines on the basis of

market share had slipped to 5 from 2 because of the crisis.

Dr. Vijay Mallya called on the Chairman of Central Board of

Excise and Customs and offered to pay up the dues by 13 Dec11, Kingfisher bank accounts were unfrozen on 14th Dec 11.


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Has Kingfisher Successfully

Understood Customer Needs?

Hierarchy of flyer

needs


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A typical LCC customer would have certain basic needs:

economy, convenience, comfort and luxury.

The fact that the customer chooses a LCC indicates one's

sensitivity to price and hence economy seems to be the firstbasic need.

This is followed by a need for convenience, which would

translate into wants like punctuality, appropriate baggage

handling etc. Following this is a need for comfort, which includes in-flight

reading material, food etc. that Kingfisher Red offers.

Understanding needs


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The lost equity

The negative publicity that hits Kingfisher

airlines is really about the pains of the traveler

more than anything else.

A traveler faced with flight cancellations at the

last minute is impacted the most

The airline is a service brand that touches the

lives of hundreds of people. The beer is a

product brand


11/18

Has it Ignored Points of Parity and Given Too much

Importance to Points of Difference?

While Kingfisher Red has focused on higher order needs of thecustomer, it has ignored the lower order needs of the

customer like economy and punctuality.

people expect basic services from Kingfisher like cheaper

tickets and adherence to schedules before facilities like freefood.

Indigo is the most preferred choice of consumers in the LCC

segment because it delivers extremely well on the price and

punctuality dimensions.

The lost equity


12/18

Is Kingfisher Red a Threat to the Kingfisher's Brand

Identity?

With Kingfisher Red not really gelling in with the entire

Kingfisher portfolio of products and services, the frugality of

the brand may impact the brand equity of Kingfisher.

After all, Kingfisher Red has tried to match up to Kingfisher in

a number of stark areas, for example, the color red itself.

Red is the first color that comes to a persons mind when he

recalls kingfisher

The lost equity


13/18

The damage

Earlier, Jet Airways employees protests againstjob cuts some years ago didnt do much harm tothe brand in the long run.

the brand would have been affected if the issueswere that involving ethics or credibility butsomething like a bailout and being cash-strapped will not impact it long-term as peoplealready know that the airline industry is bleeding

Consumers have a short memory and KingfisherAirlines can find solace in that.


14/18

Branding literature suggest that the failure of a brand

extension will affect the parent brand only if there is a

strong perceived fit or similarity between the extensionand the parent brand. In the case of Kingfisher, the

similarity is only in the positioning and the categoriesare poles apart - one is beverage and other is a service.Another instance of the damage to parent brand occurs

when there is similarity in the customer groups that use

the extension.-Brands and Branding, Lehmann & Keller,2006,Marketing Science

The damage


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The way ahead..

safely argued that the equity of Kingfisher

beer will not be much affected by airline's

failure.

its a wait and watch policy and the next

couple of months will be make-or-break as far

as the Kingfisher Airlines brand goes

Its important to be transparent and admit

folly where folly lies.


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The Way Ahead for the

King of Good Times

Kingfisher Airlines should focus on bridging its 'points-of-parity' before enhancing its points of differences.

It must improve its performance on key parameters like

punctuality & air fares and should not introduce points of

differences which increase the air fare of Kingfisher Red. While Kingfisher can continue with flashy ads featuring

models depicting exuberance and lifestyle, Kingfisher Red ads

can be more subtle focusing on safety, comfort & experience.

The idea is amalgamate the two ends of the spectrum, tokeep the consolidated identify of Kingfisher, while clearly

spelling out to customers the differences between its

premium and budget classes.


17/18

KFA Vs Jet - war for survival.

Jet seems to be working its way out of the current crisis,

Kingfisher is in dire straits.

High cost and low yields

Kingfisher Airlines have reported a loss of Rs 1,027 cr while Jet

Airways incurred a net loss of Rs 713.60 cr in the second

quarters. The debts have also mounted up to Rs 7,057.08 cr

and Rs 13,700 cr, respectively for both airlines.

Kingfisher decided to rationalise network, drop unprofitable

flights and expedite its fleet reconfiguration.No bailout.

Jet is restructuring there debts.


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THANK YOU

kingfisher ultra

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