cunard line ltd
Download
Skip this Video
Download Presentation
Cunard line , Ltd.

Loading in 2 Seconds...

play fullscreen
1 / 24

Cunard line , Ltd. - PowerPoint PPT Presentation


  • 327 Views
  • Uploaded on

Cunard line , Ltd. . Managing Integrated Marketing Communications MKT 642 By:John Dehmardan . Background . Subsidiary of Trafalgar House Cruise and steamship business since 1840 Advent of jet travel Luxury vacation business . The Ships . Cunard offered cruising on seven ships

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Cunard line , Ltd.' - arin


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
cunard line ltd
Cunard line , Ltd.

Managing Integrated Marketing Communications

MKT 642

By:John Dehmardan

background
Background
  • Subsidiary of Trafalgar House
  • Cruise and steamship business since 1840
  • Advent of jet travel
  • Luxury vacation business
the ships
The Ships
  • Cunard offered cruising on seven ships
  • Luxury (5-star) category:

- Queen Elizabeth 2, Sagafjord, Vistafjord, Sea Goddess I, Sea Goddess II

  • Premium ( 4-Star) category

- Cunard Countess and Cunard Princess

queen elizabeth ii
Queen Elizabeth II
  • The finest cruise ship in the world
  • Offered ultra-luxury accommodations and exquisite service
  • Capacity of 1850 passengers
  • It was marked as the ultimate in cruising
  • Traveled between New York and Europe
  • It was also used in the Caribbean
  • High season:$3000 to $15000 per person
  • Low season:$2400 to $12000 per person
sagafjord and vistafjord
Sagafjord and Vistafjord
  • Ultra-deluxe five-star cruisers
  • Positioned as ultra-luxury cruisers and offered services at the same level as QE 2
  • Sagafjord: Primarily out of American ports to the Caribbean, Alaska and the South Pacific
  • One annual round-the-world cruise
  • Capacity of approximately 550
sagafjord and vistafjord6
Sagafjord and Vistafjord
  • Vistafjord: Five star cruiser
  • It was based in Europe and was used primarily in that part of the world
  • Capacity of 750 passengers
cunard countess and princess
Cunard Countess and Princess
  • Considered 4-Star (premium) cruise ships
  • Less formal and less expensively priced
  • Positioned as casual
  • Marketing for them tended to be more oriented to their destinations
  • Capacity of approximately 800 passengers
  • Countess: Cruise among Caribbean ports
  • Princess: Mediterranean and Europe
  • High season: Range from $1700 to $6500
sea goddess i ii
Sea Goddess I & II
  • Yacht-like ships for “intimate” ultimate deluxe cruising
  • Atmosphere of wealthy person’s yacht
  • Capacity of only 58 couples
  • $800.00 per person per day
  • Sea goddess I:six months in Europe and six months in Caribbean
  • Sea goddess II: six months in orient and six months in the Mediterranean
the industry and cunard s segments
The Industry and Cunard’s Segments
  • Cruise industry: 4 million boardings / year
  • Luxury segment: (5-star) approximately 8%
  • 10 luxury ships worldwide (5 Cunard ships)

- Cunard has about 50% market share

  • Cunard’s demographics:

- 40% sailed from Europe

- 55% sailed from North America

- 5% from other places

the industry and cunard s segments14
The Industry and Cunard’s Segments
  • 60% of the company’s business with passengers domiciled in the United States
  • 95% of customers book their cruises through travel agents
  • Cunard cruise ships consistently achieve approximately 90% occupancy
  • 65% of passengers pay full list price
the industry and cunard s segments15
The Industry and Cunard’s Segments
  • Luxury segment: Supply driven

- As more luxury ships come into service, there is a stream of additional customers available to purchase cabins

  • Growth at an average compounded rate of 10% per year
  • Overcapacity
  • Discounting and price promotions
cunard marketing and marketing communication
Cunard Marketing and Marketing Communication
  • Cunard success: Excellence and elegance
  • Marketing Communications Mission: to develop and maintain Cunard image and to support each of the ships planning managers in their marketing activities ( 100% )
  • Marketing budget: $20 million

- 50% strategic, 50% tactical

cunard marketing and marketing communication17
Cunard Marketing and Marketing Communication
  • Direct mail- 25%
  • Mass media advertising- 35%
    • 70% strategic
    • 30% tactical
    • Currently 50-50
cunard marketing and marketing communication18
Cunard Marketing and Marketing Communication
  • Brochures and Travel Agent Co-operative Spending- 35%
  • Public relations and promotional

activities- 5%

first dilemma
First dilemma
  • “Sale-oriented” format with more emphasis on price for tactical advertising?

- Price = revenues

- Flexible pricing policy

Market changes

Purchase occasions

Target segments

first dilemma20
First dilemma
  • Possible conflicts with strategic objectives
  • Creating a balance between brand image and tactical promotional efforts

- Magazines : Building brand and develop a distinctive image

- Newspapers: Tactical marketing to create short-term sales

- Direct mail

company s image vs individual ships
Company’s Image vs. Individual Ships’
  • Directly related to the new organizational restructuring

- Each group is semi-independent

- An executive responsible for strategic and tactical planning to for each ship

  • Not a very good idea
which marketing communications elements
Which marketing communications elements?
  • Increasing competition: Requires increase in promotional efforts

- Increase promotional activities

“one-day sale”

- Direct mail: stimulate demand, inform high potential prospect, and “close the sale”

  • Travel agents spending (35%) : Internet
success of the one day sale
Success of the “One-day sale”
  • Should engage in more “sales-oriented ” efforts
  • Negative impact on brand equity
  • Frequent aggressive sales promotions should be avoided

- Targeted

- In response to aggressive price cuttings

ad