BOOK REVIEW
Airline Marketing
and Management
Fifth edition
by Stephen Shaw
In his book Airline Marketing and Management, Stephen Shaw gives a very
insightful look on airline marketing. Using many case studies and examples
from the industry, he emphasizes the importance and the use of airline
marketing.
By Jasper Spruit
The review in short the definition of marketing that the Several strategies for the airlines of
The book uses many ‘everyday’ writer uses in this book is presented. today, are illustrated with several
examples from the industry. It is easy In the second chapter, called ‘The ‘everyday’ examples. This is the first
to read, especially for those, who Market for Air Transport Services’, chapter that includes a combination
aren’t that familiar with the airline the basics of the airline industry are of a marketing model with the
industry. For those who are, the book described, that are necessary for a aviation industry. Several interesting
can be used to explore some of the thorough understanding of the topics are discussed in this chapter,
key marketing tools used in the remaining chapters. These basics on such as: the power of suppliers in the
industry. At the end of each chapter, airlines, passengers and airfreight industry, new entrants, different
Shaw concludes with a small customers are illustrated by several strategic families that can be
paragraph with the caption hands-on examples. distinguished, and the competitive
‘Successful airlines’ and he points advantages they have. At the end of
out specific elements that, in his After chapter 2 and 3, the first the chapter, common mistakes in
opinion, are shared by all successful marketing model, called PESTE airline marketing strategies are
airlines. These elements are actually (Political, Economic, Social, briefly touched upon.
very good to discuss in each chapter, Technological and Environmental), is
something that works very well in a introduced. PESTE is a marketing Chapter 5, called ‘Product Analysis
book like this. model that is used to study a firm’s in Airline Marketing’, gives a small
marketing environment. This model piece of a big discussion: What is the
Reviewer’s recommendation suggests that all relevant factors product? The product of an airline is
Airline Marketing and Management should be divided into categories of split up in several parts: fleet and
is a very practical book and one that Political, Economic, Social, schedules, customer service,
is easy to read. I recommend it Technological and Environmental. controlling product quality and even
especially to students and to those Using this model, some basic the air freight product. In the
who pursue a career at an airline examples are given to get a better ‘business’ approach, the company is
company in the field of marketing understanding of the marketing not observed in terms of the stages of
and sales. environment in the airline industry. the product life cycle analysis,
although it might be so in the minds
Each chapter in detail After the PESTE model, Porter’s of management, but it is rather
The book consists of eleven chapters. Five Forces Model is introduced in observed on a daily basis, although
The first chapter starts with the chapter 4, which is called ‘Airline this is a very good way to build an
fundamentals of marketing. In this Business and Marketing Strategies’. overview of the industry. Aspects
very short chapter, the basics of In this chapter, strategic families such as network, planes and
marketing are introduced and are (from cost leadership to configuration are all translated in the
clearly explained to the reader. Also, differentiation) are also discussed. marketing strategy.
Aerlines Magazine e-zine edition, Issue 29 1
Personally, because of my and some current issues of those final chapter, called ‘The future of
profession, I am interested the most systems. What I missed in this Airline Marketing’, is a very short
in Chapter 6, called ‘Pricing and chapter, were the more modern ways chapter that looks ahead to the future.
Revenue Management’. Revenue of distribution such as Internet, and
Management is, of course, a very the development of low-cost airlines About the author
important part in the ‘triangle’ of and their distribution methods. Stephen Shaw is Managing Director
marketing, sales, and pricing & of SSA Ltd, UK; a firm specialized
revenue management. A substantial Very important to an airline is its in providing courses in marketing
part of the chapter is reserved for the brand. In chapter 8, called ‘Brands and economics to airlines and
structure of air freight pricing, which Management in Airline Marketing’, aerospace firms.
is a very interesting part about the Shaw presents very pointedly what
developments of this part of the the meaning of a brand is and how it About the Reviewer
industry. The effective use of works in the airline industry. In my Jasper Spruit studied economics at the
revenue management is also personal opinion, the value of a Erasmus University Rotterdam. He
discussed here, and is done so in a brand of a successful airline is researched the success and fail factors
very sharp and incisive way. underestimated, but, in this book, all of low-cost airlines in the US, Europe
Currently, there are several the aspects are covered: from the and Australia. He wrote his thesis
developments going on in the field of meaning of a brand, brand-building about low-cost airlines and regional
revenue management, but it is clear in the airline industry to brand airports. (Title: ‘Low-Cost Airlines
that there isn’t enough room in a strategies. and Regional Airports’). The research
book about airline marketing for just focussed on the influence of low-cost
revenue management, so I missed a Chapter 9 is called ‘Relationship airlines on regional aviation and
bit in the connection between marketing’. Relationship marketing specific a regional airport. For the
marketing and sales. is about maintaining and research an extensive case study was
strengthening relationships with carried out on the European low-cost
Very close to revenue management is existing customers. It is not just models, European aviation markets
distribution management. Chapter 7, about frequent flyer programs, but and the differences between European
called ‘distributing the product’, also about promises in airports.
provides a good overview of the advertisements and about the warm jasperspruit@[Link]
possibilities to identify ticket welcome that the existing heavy user,
distribution channels. Distribution main customer, wants. Chapter 10,
seems to become more and more part called ‘Airline Selling, Advertising Published by: Ashgate Studies in
of several interesting discussions. and Promotional Policies’, provides Aviation Economics and
The various Global Distribution and analyses selling and sales Management
Systems (such as Galileo, Sabre and management. Interesting points in Ashgate website: [Link]
Amadeus) are examined, with a this chapter are good airline ISBN 0 7546 3759 X
paragraph on the history, background advertising and media relations. The
Aerlines Magazine e-zine edition, Issue 29 2
