CASE STUDY.docx - CASE STUDY – CHAPTER 10 Tiger Airway’s key value proposition on the market is centred around offering travellers affordable


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CASE STUDY – CHAPTER 10 Tiger Airway’s key value proposition on the market is centred around offering travellers affordable, memorable and safe air travel in a market that is dominated by big players such as Virgin and Qantas. 6 weeks suspension due to safety concerns, negative impact on reputations, by CASA (regulatory authoeity that regulates the sector) had a negative impact at first. Air-travel is percetually driven serviced based on safety, so how can Tiger Air re-establish confidence and re-create a positive brand image? Air travel is an experience and perception-driven service. Therefore Tiger AIrways’ main challenge in its recovery was going to be in establishing confidence and a positive image of the brand among air travellers who already have other options for low-cost travel. Suspension = posed distinct service-oriented challanges for the airline - Long-term lasting trustwirthy relationships where passengers shuld feel confidant Challenges central to the recovery of its services: - In 2012 fined for continuing to email customers long after they had unsuscribed from the airline’s database - Crashing of its website after launching one of its bigget promotions of 10$ fares in 2013. The site could not handle the huge traffic generated put off customers crisis - Profitable and reputable airline within the low cost sector - It continued to expand its destinations - It introduced new Airbus - Improvements on reliability and punctuality - The strategic alliance with Virgin is regarded as a long-term startegy to revamp the airline -
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