Qantas Airways Assignment
Qantas Airways Assignment
Prabhakar
3158004
Submitted to- Mr
Venkatraman
(Qantas
Airways, 2014)
In year 2014, Qantas domestic had earned the
maximum revenue share in Qantas group followed by
Qantas international which was 35% and 32%
respectively. However, revenue earned from price
sensitive customers was 19% of total revenue. Qantas
loyalty programme such as frequent flyers and freight
just contributed 8% and 6% in overall revenue of
Qantas group. It is also crystal clear from pie chart that
Qantas group has focused majorly on conveying of
passengers to earn the revenue.
Net revenue
from Freight 5%
Revenue from
Contract work
2%
Ancillary
passenger
Revenue 2%
Passenger
service fees 3%
Lease revenue
1%
others 7%
(Qantas
Airways,
2012)
NET REVENUE FROM PASSENGERS- Qantas group
earns considerable amount of revenue through
transportation of passengers which contributes to
almost 79% of total group revenue. Qantas group
acquire its net revenue from two of their major brands,
jet star and Qantas. In year 2011 and 2012, total
revenue which Qantas group had earned was around
$12.5 billion.
Freight REVENUE- As the name suggests itself freight
revenue so net freight revenue for Qantas group comes
from the transportation of goods in jet star and Qantas
aircrafts. Usually airline industry has link with
multinational companies who deal in export and import
of goods and services so that they can generate
revenue by conveying of goods.
ANCILLARY PASSENGER REVENUE- Qantas group
earns the ancillary revenue by providing services to
passengers which include duty free sales, in flight
catering, bar sales, baggage charges etc. In other
words we can also that airline generates ancillary
Summary
of
the
recommendations.
service
provider
with
EXPANDIN
G
FREQUENT
FLYER
PROGRAM
ME
MEMBERS
AND
PARTNER
ENGAGEM
ENT
ENLARGI
NG
PORTFO
LIO OF
RELATED
BUISNES
S
TRANSFORM ENLARGI
ING
NG
QANTAS
JET STAR
INTERNATIO
NAL
IN ASIA
SERVICE CULTURE
GLOBAL ORGANISATIONAL CULTURE- service culture
in a particular organisation is often so powerful that it
may cross national boundaries. But this does not mean
that organisation should ignore their local culture.
Organisational service culture often reflects the
national culture. For example culture of air Asia,
Malaysian based airline laid more emphasizes on
informal dress so that status difference will not get
created. Conversely, Qantas working culture does not
reflect same degree of informality. However, if In future
Qantas decides to merge up with air Asia, there would
be a need to take cultural differences into
consideration.
Usually, when organisation runs their operations in
other country, local cultural gets ignored at their own
risk. Thats how national culture affects the
organisational working culture. (Robbins, Judge, Millett,
& Boyle, 2014)
QANTAS SERVICE CULTURE EXPERIENCE- In 2012
and 2013 Qantas pinned up with Melbourne playback
theatre to convey experiential learning programmes for
managers, supervisor and 4000 operational ground
staff.
(Qantas
Singapo
re
New
zealand
Vietnam
jetst
ar
Australi
a
Japan
Hong
kong
Airways, 2015)
(Qantas
Airways, 2015)
QANTAS LOYALTY- basically, it targets those passengers
who fall into the category of business travellers.
(Qantas
Freque
F
reque
nt
nt
flyers
flyers
QANT
AS
LOYAL
TY
Qantas
club
club
Airways, 2015)
In
simple
words,
loyalty
programme of Qantas is Qantas frequent flyer. By
becoming member of this programme one can
If routing label gets damaged- while checkin procedure our bag gets tagged with an illegible
routing label. But sometime it gets torn away
shortly after being tagged due to poor baggage
handling and no one notices it. When baggage
arrives at distribution area it just kept over there
because of unreadable tag and cannot get loaded
Sectors
Scheduled
Flow
n
7449
9907
10214
6277
2194
11220
2647
49908
Arrivals On
Time
No.
Jet star
7628
5547
Qantas
10042
8468
Qantas Link
10527
8534
Regional Express
6303
5200
Tiger air
2220
1672
Virgin Australia
11521
9744
Virgin Australia Regional Airlines
2708
2141
All Airlines
50949
41306
Qantas all QF designated
20569
20121 17002
services
Virgin Australia all VA
14229
13867 11885
designated services
(Anonymous, Airline On Time Performance Statistics, 2015)
Departures On
Time
No.
Cancellatio
ns
No.
74.5
85.5
83.6
82.8
76.2
86.8
80.9
82.8
5379
8635
8733
5368
1763
9979
2197
42054
72.2
87.2
85.5
85.5
80.4
88.9
83.0
84.3
179
135
313
26
26
301
61
1041
2.3
1.3
3.0
0.4
1.2
2.6
2.3
2.0
84.5
17368
86.3
448
2.2
85.7
12176
87.8
362
2.5
BENCHMARK
Price
change
competitor-
Qantas
airways
ltd.
Delta
airlines
Inc.
Hawaiian
holdings
Inc.
Singapor
e airlines
Ltd.
China
eastern
airlines
Internatio
nal
consolida
ted
airlines
group
Copa
holdings,
SA
percentage
compared
to
YTD
23.8
1%
-2.05%
5.77%
15.55
%
3.69%
0.64%
53.42
%
7.71
%
9.6%
-6.77%
13.44
%
16.72
%
6.67%
13.71
%
198.4
%
20.7
%
52.7
6%
39.64
%
13.8
%
44.53
%
60.43
%
53.0
3%
-22.84%
1.47%
36.12%
12mont
YTD
its
month
months
hs
CompanyQantas
airways LTD.
14.38
%
-0.96%
66.91%
23.81%
Peer
group
Qantas
airways
limited
excluded
-4.41% -6.40%
27.60%
-8.66%
Qantas
airways
limited
included
39.64%
-7.71%
Sector
Airlines
-5.48% -4.22%
9.45%
-0.75%
Index
S&P/ASX
200
11.65
%
-10.73% -7.39%
-0.96%
6.77%
-8.62%
(Anonymous,
Qantas
Airways
Performance Benchmark, 2015)
Limited
Stock
RECOMMENDATIONS
DEVELOPMENT
FOR
SERVICE
FUTURE
LOG BOOK
TOPIC
TIME DURATION
DATE
Brief description
of chosen
1 hour
16 August 2015
service
Background of
Qantas airways
Objectives
Service strategy
Service Culture
Identifying
target market
business
Key stakeholder
Possible service
failure
Customer
service process
Financial
consideration
Identifying
service level
benchmark
Recommendatio
n
Summary
1.5 hour
18 August 2015
20 minutes
2 hour
2 hour
1 hour, 1 hour
19 August 2015
19 August 2015
20 August 2015
21,22 August
2015
1.5 hour
23 august 2015
3 hour
25 August 2015
1 hour, 1hour
26,27August
2015
30 August 2015
1 hour
3 hour
3 September
2015
1 hour
5 September
2015
5 September
2015
30 minutes