A COMPREHENSIE REPORT ON IMC ACTIVITIES OF

EMIRATES

In partial fulfilment of the requirement of the award for the degree of

Integrated Masters of Business Administration

GLS University

Submitted To:
Prof. Maulik Shah

Submitted by:
Aatmi Shah- 201800510010328

Class: PG-I B
Batch: 20180-2023
 CHAPTER: 1
COMPANY INTRODUCTION

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EMIRATES

Emirates is the largest airline and the flag carrier of

the United Arab Emirates. Based in Garhoud, Dubai. It
was founded in 1985 by the royal family of Dubai. The
airline is a subsidiary of The Emirates Group, which is
owned by the government of Dubai's Investment
Corporation of Dubai. It is also the largest airline in
the Middle East, operating over 3,600 flights per week
from its hub at Terminal 3 of Dubai International
Airport before the COVID-19 pandemic. It operates to
more than 150 cities in 80 countries across 6 continents
through its fleet of nearly 300 aircraft. Cargo activities are undertaken by Emirates Sky Cargo.
Emirates is the world's fourth largest airline by scheduled revenue passenger-kilometres
flown, and the second-largest in terms of freight tonne kilometres flown.

Emirates operates a mixed fleet of Airbus and Boeing wide-body aircraft and is one of the few
airlines to operate an all-wide-body aircraft fleet (excluding Emirates Executive). As of
December 2020, Emirates is the largest Airbus A380 operator with 117 aircraft in service and
a further 5 on order. Since its introduction, the Airbus A380 has become an integral part of
the Emirates fleet, especially on long-haul, high-density routes. Emirates is also the world's
largest Boeing 777 operator with 155 aircraft in service. The company slogans have
included Be good to yourself and fly Emirates, From Dubai to destinations around the
world, Fly Emirates Keep Discovering, The finest in the sky, and Hello Tomorrow (also used
nowadays sometimes); the current slogan is Fly Emirates, Fly Better.

2
HISTORY OF EMIRATES

Emirates, the world's third-largest airline by scheduled revenue passenger-kilometres flown

and number of international passengers carried was founded in 1985 by the royal family of
Dubai when in the mid-1980s, Gulf Air began to cut back its services to Dubai as it was
concerned it was providing regional feeder flights for other carriers. In the mid-1980s, one of
the best airlines in the world at that time, Pakistan International Airlines played a large role in
establishing the Emirates airline by providing technical and administrative assistance to the
new carrier as well as leasing a new Boeing 737-300 and an Airbus A300B4-200. The Royal
Family's Dubai Royal Air Wing also provided the airline with two used Boeing 727-200 Adv.
The airline's first flight, flight EK600, was from Dubai, UAE to Karachi, Pakistan on 25
October 1985.

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 CHAPTER: 2
STP ANALYSIS OF EMIRATES

4
STP ANALYSIS

Segmentation:

Every customer has a different taste, So the concept of market segmentation is used which
allows the organizations to divide the customers into groups according to their needs and wants.
Market segmentation enables the organizations to develop such strategies for group of
customers so that they can satisfy every group according to the service standards.
Emirates Airline segments its customers following the traditional approach. Their market
segmentation is as follow:

• Focuses on business travellers and price-sensitive travellers.

• To increase its market and expanding their business they are focusing on segment based
on consumer loyalty.

• Emirates Airline use psychographic segmentation in order to divide the customers

depending on their lifestyle, opinions, interests, behaviour and attitude of customers.

Targeting:

a. Target users:

Value-seeking fliers, not very price-sensitive, Upper middle and Upper-class fliers seeking
comfort and flying experience.

b. Preferences:

Two major groups of business and leisure travellers, they both differ in preferences of
services. Hence, business traveller is given additional importance as compared to leisure
travellers. This preference strategy is used by Emirates Airline in order to ensure services
standards.

c. Demand nature:

Emirates Airline provide more space and services to their business travellers which include
internet facility, telephone connections, work-space. While leisure travellers demand more
entertainment features.

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Positioning:

Emirates Airline direct competitors are Etihad Airways, Qatar Airways, Lufthansa, Fly Dubai,
Malaysia Airlines, Turkish Airlines, Saudi Arabian Airlines, Cathay Pacific, and PIA and
other international airlines. Emirates Airlines has a good market share in the market, it is
achieving good profits with increase in revenues every year. Saudi Arabia Lines has more
customers as compared to Emirates Airline because of its cost leadership strategy which allows
it to gain the market share of lower-class users. Its positioning as compared to its competitors
is great, Emirates is positioned as the Leader of the market in Middle East, Etihad Airline is
the challenger, While Gulf airline is the follower and Air Arabia is niche because it targets
small group of people who are price-sensitive and prefer low-cost. The Emirates airline is
positioned as the premium airline of UAE offering best value services to its customers.

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 CHAPTER: 3
IMC STRATEGY OF EMIRATES

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MARKETING MIX OF EMIRATES

Marketing Strategy of Emirates analyses the brand with the marketing mix framework which
covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like
product innovation, pricing approach, promotion planning etc. These business strategies, based
on Emirates’ marketing mix, help the brand succeed.

Emirates’ marketing strategy helps the brand/company to position itself competitively in the
market and achieve its business goals & objectives.

Product Strategy:

The product strategy and mix in Emirates’ marketing strategy can be explained as follows:

Emirates airlines serve to its customers through

mixed fleet in their product portfolio like Boeing
and Airbus. It has always maintained the legacy
of operating with the aero-planes of biggest sizes.
Emirates airlines caters to its consumers at both
personal as well as professional level offering
flying services in terms of first class, business
class and economy class. First class offers all the premium comforts that includes the adjustable
seats that can be converted into minibars, beds, for privacy and security reasons. Emirates
airlines is the first company to provide shower on flights and private suits. In business class it
provides partitions for privacy and also offers USB and laptop charging point. Emirates airlines
offers great deal of entertainment inside the flight and wide range of choice for food items
keeping its customers satisfied with its services. It also offers excellent internal services by
means of better housekeeping and healthcare for its customers. Hence, this gives an overview
in the product strategy in the marketing mix of Emirates airlines. However, because of the
pandemic in 2020, the airline suffered a severe business loss as there were travel restrictions
world over.

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Pricing Strategy:

Since Emirates airlines has its hub in Dubai, it serves low-cost tickets to its consumers
compared to other airlines. Emirates airlines has a varying pricing strategy in its marketing
mix. It has developed shorter and low-cost routes without any layover. Although the prices of
these routes are lower, the company generates revenue
through volumes. Due to direct flights, Emirates airlines
has adopted effective price policy for the shorter routes.
In order to attain flexible pricing for the seats and extract
the maximum profits the company also adopts dynamic
pricing policy levying the highest cost per seat. In general
company identifies the needs of the customers with
different needs and belonging to differential financial
statuses. Emirates airlines also uses premium price policy
for its premium customers who demand luxurious and customized services at fights.

Place and Distribution Strategy:

Emirates airlines carries out its operation from Dubai strategically occupying the central hob
for all the international routes connecting eastern and western cities in the world. Being well
known for its long routes, Emirates airlines has
also introduced new short routes benefiting its
customers. It links 150 cities across 80 countries
and six continents across the globe. Its
distribution strategy involves sale of tickets
through travel agents and tour operators.
Emirates also has a website for cancellation of
tickets, buying of tickets, rescheduling of the flight and drawing information about the various
periodical offers and discounts.

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Promotion Strategy:

The promotional and advertising strategy in the Emirates’ marketing strategy is as follows:

Emirates airlines engages itself in various promotional activities through advertisements in

magazines, newspapers, television, radio, websites etc.
The company also sponsored ICC cricket world cup in
2011 as well as 2015 thereby increasing its reach to
millions. Emirates airlines often generates promotional
discounts during the off season pricing the tickets at
affordable rates attracting the tourists across the world to
Dubai.

The company also runs innovative campaigns like “The

Kids go free” wherein meals, tickets and accommodation of the kids was free with two paid
members which generated lot of business for the company. The Emirates Airline foundation is
committed in providing aid to various countries during difficult times. The airlines also offer
frequent flyer programs & loyalty rewards to its regular customers via discounts, lounge access,
free tickets etc.

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IMC Activities

Emirates’ advertising policy has been efficacious in generating a progressive brand image in
the minds of its current & potential customers by embracing the IMC approach for marketing
its brand.

• Emirates think global –

Emirates have set out to be an innovative, modern & customer-oriented provider of high-
quality air travel services. Its brand positioning is that of a leading, international & quality
airline serving the global community.

• Living the brand –

Emirates deliver on their brand promise of innovation & quality. Emirates end line “keep
discovering” sums up its philosophy on travel: Only Emirates lets you discover a more
authentic & fulfilling life.

• Do remarkable things –

Emirates do remarkable things for integrated marketing communications activities such as

advertising, sponsorship, e-commerce, public relations & supportive communications.

• Engaging customers –

Emirates have effectively used www.emirates.com to drive the brand experience, maintain
cordial relation with the customers & by launching frequent flyer program skywards. Through
such an effort, Emirates has easily reached their target audience & hence successfully
developed a strong relation with their customers.

• Open up –

Emirates mobilising customers to actively participate in the experience & other promotional
events & activities in order to market their service in front of the customers

Hence, by using the above-mentioned message strategies, Emirates has successfully developed
a positive brand image into the market in front of their customers.

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Emirates use a variety of marketing communication tools in an integrated way to deliver one
message about the high quality of its services along with maximising its message exposure rate.

Various IMC tools used by Emirates are-

• Advertisements –

An advertisement is a way of publicity or promoting a product, service or any event. There are
several modes of advertisements such as online advertising, newspaper ads, radio advertising,
television advertising, public speaking, door hangers, flyers & word-of-mouth advertising.
Emirates utilize the commercials & print advertisements for highlighting the airline’s new
products, routes, services & aircraft. It helps in fostering its services.

• Sponsorship –

Sponsorship is another form of promotional activity. Emirates have undergone partnership with
several events both regional & international like FIFA. Moreover, Emirates is dedicated to the
growth of global arts & culture through a number of sponsorships around the world. In fact,
Emirates believe that sponsorship is the best way to develop a cordial relation with customers.

Cricket

Emirates sponsors Cricket Australia, Lord's Taverners, and Pro Arch Tournament. Its branding
also features on international cricket umpires’ shirts. Emirates has also become an official
partner of the International Cricket Council till date. This deal gives Emirates association with
all major ICC tournaments, including the 2011, 2015 and 2019 ICC Cricket World Cups, ICC
Champions Trophy and ICC World Twenty20.

Emirates were also the major sponsor of

the Kings XI Punjab (Season 2,3 and 4)
and Deccan Chargers (Season 5) and Rajasthan
Royals (Season 11) teams of Indian Premier
League, the largest domestic cricket tournament
in the world.

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Football

The Emirates Stadium in London, home ground of Arsenal F.C. Emirates was a sponsor
of FIFA and the FIFA World Cup,

Since the 2006–07 season, it has been

the primary shirt sponsor of Arsenal, AC
Milan since the 2010–11 season, Real
Madrid since the 2013–14
season, Benfica since the 2015–16
season and Olympique Lyonnais since
the 2020–2021 season. It is also the
primary shirt sponsor of the New York
Cosmos.

Emirates is also the title sponsor of Real Madrid 2019/2020 Adidas home kit

the FA Cup, Emirates Cup and Arsenal's Emirates Stadium.

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 • E-commerce –

E-commerce is referred to as purchasing or selling goods or services, or the conducting of

assets or data, over an electronic system, mainly an internet. It is also referred to as an electronic
commerce. Emirates enable customers to perform online shopping of Emirates related
merchandise via its official retail website (emiratesofficialstore.com).

• Public Relation –

Emirates publish three in-flight magazines in order to reach readers & passengers during their
journey. Through such magazines, passengers are usually encouraged to donate to the Emirates
Airline Foundation, which seeks to improve the quality of children. Magazines are the best
source of marketing the products or services, as it contains articles & illustrations, which
attracts customer attention towards it. So, by means of magazines, Emirates has gained majority
of market shares along with the competitive advantage in the airline industry.

• Supportive Communication –

Supportive communications are referred to as a style of communicating with customers that

has a particular set of aims & techniques. The principal objective is to resolve conflict or attain
variation in a situation, while protective, even strengthening, the relationship between the
communicating individuals. Emirates’ on-board entertainment system has been highly
recognized as a market leader, winning awards for its quality & enabling the airline to show
passengers commercials about it latest offers, partners & services.

Tagline is a short & prominent or memorable phrase used in advertising. It identifies the
uniqueness of a brand or conveys some type of special meaning.

The taglines which are used in the past by the Emirates airline in order to gain market value &
customer preference in aviation industry are –

• Emirates – The finest in the sky

• Fly Emirates – Be good to yourself.

Keep Discovering.

Hello tomorrow.

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 CHAPTER: 4
CURRENT SITUATION
OF
EMIRATES

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Emirates is the world’s largest international airline, flying to 158 destinations in 85 countries.
Emirates operates 269 aircraft and is the world’s largest operator of the Airbus A380 and
Boeing 777 family of aircraft. The airline’s luxurious amenities, regionally inspired gourmet
cuisine, award-winning in-flight entertainment system – ice – and unmatched hospitality
provided by its iconic multi-lingual Cabin Crew from over 130 nationalities have made
Emirates one of the world’s most recognized airline brands.

The Emirates Group on 15th June 2021 announced its first year of loss in over 30 years caused
by a significant drop in revenue, fully attributed to the impact of COVID-19 related flight and
travel restrictions throughout its entire financial year 2020-21.

In its 2020-21 Annual Report, the Emirates Group posted a loss of AED 22.1 billion (US$ 6.0
billion) for the financial year ended 31 March 2021 compared with an AED 1.7 billion (US$
456 million) profit for last year. The Group’s revenue was AED 35.6 billion (US$ 9.7 billion),
a decline of 66% over last year’s results. The Group’s cash balance was AED 19.8 billion
(US$ 5.4 billion), down 23% from last year mainly due to weak demand caused by the various
pandemic related business and travel restrictions across all of the Group’s core business
divisions and markets.

In 2020-21, Emirates was hit hard by the drop in demand for international air travel as countries
closed their borders and imposed stringent travel restrictions.

For the first time in the Group’s history, redundancies were implemented across all parts of the
business. As a result, the Group’s total workforce reduced by 31% to 75,145 employees,
representing over 160 different nationalities.

In 2020-21, the Group collectively invested AED 4.7 billion (US$ 1.3 billion) in new aircraft
and facilities, the acquisition of companies, and the latest technologies to position the business
for recovery and future growth. It also continued to invest resources towards environmental
initiatives, as well as supporting communities and incubator programmes that nurture talent
and innovation to drive future industry growth.

16
Emirates’ Performance

Emirates’ total passenger and cargo capacity declined by 58% to 24.8 billion ATKMs at the
end of 2020-21, due to pandemic related flight and travel restrictions including a complete
suspension of commercial passenger services for nearly eight weeks as directed by the UAE
government from 25 March 2020.

Emirates received three new A380 aircraft during the financial year and phased out 14 older
aircraft comprising of 9 Boeing 777-300ERs and 5 A380s, leaving its total fleet count at 259
at the end of March. Emirates’ average fleet age remains at a youthful 7.3 years.

Emirates’ order book for 200 aircraft remains unchanged at this time. The airline is firmly
committed to its long-standing strategy of operating a modern and efficient fleet, which
underscores its “Fly Better” brand promise, as young aircraft are better for the environment,
better for operations, and better for customers.

During the year, Emirates reactivated its strategic codeshare partnership with flydubai, and
entered into agreements with new partners TAP Air Portugal, FlySafair, and Airlink in South
Africa, to expand connectivity for its customers.

From zero scheduled passenger flights at the start of the financial year, to operations in over
120 destinations by 31 March 2021, Emirates has shown its ability to adapt and respond to
challenges, and the resilience of its people and business model.

With significantly reduced and constrained capacity deployment across most markets,
Emirates’ total revenue for the financial year declined 66% to AED 30.9 billion
(US$ 8.4 billion). Currency fluctuations this year had no significant impact on airline revenue.

In response to the pandemic, Emirates led the industry in developing new service and operating
protocols to protect its customers and employees. During the year, it launched numerous
customer initiatives such as: providing the industry’s first complimentary COVID-19 medical
cover for all passengers; waiving fees so customers can rebook their travel without penalty;
expediting refunds handling; and fast-tracking biometric processing and other technology
projects that enhanced the travel experience while reducing contact at airport touchpoints.

For frequent flyers, Emirates Skywards offered generous extension on Tier status and Miles
validity until 2022, and launched various initiatives to help its members earn and redeem
rewards even if they are unable to immediately travel.

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Emirates SkyCargo put in a stellar performance by rapidly responding to new demand in a
changed global marketplace, contributing to 60% of the airline’s total transport revenue.In
addition to supporting global supply chains for food, medical and other trade items, Emirates
SkyCargo also tapped on its pharma capabilities and infrastructure to support the worldwide
distribution of COVID-19 vaccines and humanitarian relief to Lebanon in the aftermath of the
Port of Beirut explosions.

In October, Emirates SkyCargo set up a dedicated GDP-certified airside hub in Dubai for
COVID-19 vaccines, and later it partnered with UNICEF to facilitate the rapid transport of
COVID-19 vaccines to developing nations through Dubai.

In addition to the AED 14.5 billion financing that was raised for aircraft and general corporate
purposes in 2020-21, Emirates has already received committed offers to finance two aircraft
deliveries due in 2021-22 and continues to tap the financial market for further liquidity to
provide a cushion for the potential impact of COVID-19 on the business cash flows in the near
term.

Emirates

2020-21 2019-20 Change

Revenue AED 30.9bn AED 92.0bn -66%
(US$ 8.4bn) (US$ 25.1bn)
Loss / profit AED -20.3bn AED 1.1bn -2,020%
(US$ -5.5bn) (US$ 0.3bn)
Loss / profit margin -65.6% 1.1% -66.7%pts
Cash assets AED 15.1bn AED 20.2bn -25%
(US$ 4.1bn) (US$ 5.5bn)
Passengers carried 6.6m 56.2m -88%
Seat factor 44.3% 78.5% -34.2%pts
Cargo carried 1.9m tones 2.4m tones -22%
Overall capacity 24.8bn ATKMs 58.6bn ATKMs -58%
Available seat kms 64.1bn 367.2bn ASKMs -83%
ASKMs
Aircraft (number) 259 270 -11
Employees at reporting 40,801 60,033 -32%
date

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Emirates Market Share

Share of revenue of Emirates group in the financial year 2020-2021 by region

East Asia and Australia

Europe

America

West Asia

Africa

Gulf and Middle East

Share of Revenue

19
 Market share of major airlines in India in financial year 2020, based on international
traffic

Air India

Indigo

Emirates Airline

Air India Express

SpiceJet

Etihad Airlines

Qatar Airways

Oman Air

SriLankan Airways

Air Arabia

British Airways

Singapore Airlines

Saudi

Thai Airways

Lufthansa

Market Share

Air India held around 12 percent of the international airlines market during financial year 2020,
out of the 88 scheduled international operators across India. Emirates held over nine percent of
the international market in the south Asian country, whereas the airline was ranked as the
fourth leading airline worldwide based on brand value.

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 CHAPTER: 5
RECENT IMC ACTIVITIES OF
EMIRATES

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Emirates takes Dubai is Open message to the world with multi-million-dollar
campaign

Dubai is open for business and tourism, and Emirates wants the world to know it. Throughout
the winter travel season, the airline ran a multi-million-dollar global campaign to promote
Destination Dubai, including advertising spots and key partnerships to provide travellers with
extra value.

Emirates’ multi-channel advertising campaign, which showcases Dubai’s diverse attractions to

those seeking a winter getaway, will initially launch in the UK and key European markets on
television, online and social media channels.

The airline will also create bespoke pages on emirates.com for its campaign, so travellers can
easily find the latest information on travel to Dubai, including entry requirements and how they
can continue to enjoy indoor and outdoor experiences in Dubai with health and safety protocols
in place.

Emirates continues to lead the industry when it comes to providing customers with travel
support and assurance. In addition to bio-safety measures at every step of the travel journey,
Emirates is the first and only airline to offer all its customers multi-risk travel insurance and
COVID-19 medical cover, free of cost.

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Emirates Airline’s Ad Campaign: Do You Remember?

A reminder for us to appreciate the little things that were earlier taken for granted

In 2020 — at a time where most airlines weren’t placing any effort in creating ads to entice
customers to travel, Emirates decided to launch a new one. This arrives at a time when global
aviation was at a standstill and Emirates had their entire fleet and operations grounded.

What Was the Goal?

The goal of the ad was to remind us of the things we had taken for granted in the past —
especially travel. Emirates drives home the point of a better future ahead and when that time
arrives, they will be ready for us.

The video showcases different people from all walks of life sharing the same frustrations
brought to us by the pandemic. They focus on the power of community and the impact it has
during a time of crisis.

It emphasized that no matter who you are or where you come from, we need to stick together
to come out of this challenge victorious. And once we’re successful, Emirates will facilitate
travel and making connections as seamlessly as they have in the past.

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Why Did It Work?

By using real-life scenarios as examples, Emirates placed a sugar coating on the frustrations
faced by people during the lockdown.

At a time where negative and disappointing news was the mainstay, Emirates brought
happiness and emboldened our spirits to be optimistic about the future ahead. An airline that
was facing serious losses and navigating their business through a pandemic chose to instil
confidence in their passengers over worrying about themselves. Not many airlines could do the
same.

The Emirates ad campaign works for a bunch of reasons. Most importantly, they manage to
place their passengers in the limelight and get their key message across, which is being able to
trust them to be around when the world recovers.

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How Emirates, Etihad and Qatar Airways Are Taking Contrasting
Approaches to Brand Building During COVID-19?

The large network airlines based in the Middle East – Emirates, Etihad Airways and Qatar
Airways – have in the past released some of the most creative, if not extravagant, brand
campaigns in aviation. While all three are still proactive in communicating through (primarily)
digital channels, only one continues to fly regular operations. Here is how they are all taking
different approaches to brand building through COVID-19.

Emirates – An Eye to The Future

Emirates has had to ground its fleet due to the COVID-19 travel restrictions. If an airline
marketing team can’t drive customers down a sales funnel, it’s all about the brand. In the case
of Emirates, it has taken a distinct approach to focus its brand communications to the future. A
future when people start going to office again. When they start flying again.

Emirates’ brand campaigns focus on how they are preparing for a future where sanitation and
cleanliness are paramount. They have released a video showing how they are doing blood tests
for passengers departing Dubai. Another shows how their cabin crew keeps the aircraft safe
and clean to fly. The “Do you remember” campaign looks ahead to better days when we can
travel again.

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Etihad Airways – People, Not Planes

Etihad Airways, like Emirates, has also had to ground its aircraft since they are both based in
the UAE. Yet, Etihad has taken a very “human” approach to brand building, in contrast to what
Emirates is doing. Etihad is putting its own people in front of the camera and aims to build
emotional bonds with those stuck at home without co-workers and friends.

It starts at the top. Etihad is the only airline among the big three that has its CEO putting out
regular video messages. Tony Douglas focuses on what the airline is doing right now, while it
prepares for take-off again.

The CEO as the face of the brand in these times sets Etihad apart.

Moreover, the airline has released campaigns where their international cabin crew teaches
languages – from Spanish to Arabic. It’s very “on-brand” for an airline that touts its global
credentials. It also allows one to connect with the crew in a way usually not possible unless in-
flight.

In yet another video, Etihad showcases

how the airline continues to keep its
catering unit in operation. They still
produce 15,000 meals daily for the local
communities as well as grounded pilots
and cabin crew.

Putting people ahead of planes, Etihad is

creating a more emotional, humane brand in these uncertain times.

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Qatar Airways – Taking You Home, Right Now!

Since the advent of COVID-19,

Qatar Airways is one of the fewest
airlines in the world that has been
flying regularly. Its brand team
has leveraged this unique
position very well. They have
become one of the few ways for
people to get home – especially
between Australia and Europe. In fact, the airline has been proactively working with embassies
around the world to help repatriate citizens as well. Their brand campaigns have captured this
well under the unifying #TakingYouHome banner.

Qatar Airways has released multiple videos showing how they are uniting people with their
families. In fact, a video point out, “where others are stepping away, we remain by your
side.”

One of the heart-warming videos released by the airline takes us behind-the-scenes with the
cabin crew who continue to fly. Titled, “Superheroes with masks”, it has a flight attendant
sharing how she postponed her honeymoon to continue flying. Yet another cabin crew gets
emotional when telling us about a passenger who thanked her in German for flying her home.

Given people are flying via Doha on Qatar Airways, many would rightly be concerned about
how their transit experience is sanitised. There’s a video for that too, building confidence in
the cleaning procedures.

Qatar Airways knows that if it helps a customer now, they have a customer for life. And they
are doing a great job in building emotional bonds while at it.

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