IMC Group 1 Cunard Lines

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Cunard Line, Ltd.

:
Managing Integrated Marketing Communications

Submitted by Group 1

Baibhav Jain - 19PGDM022 Tanish Banvat - 19PGDM204


Raghav Khurana - 19PGDM048 Parth Suvagia - 19PGDM231
Salil Kaushal - 19PGDM182 Shubhit Gulati - 19PGDM257
1, What do you think should be the balance in the focus of marketing communication between
the Overall Cunard Lines Identity and Image and the identity and image of Individual ships ?

● To maintain the effectiveness, integration and coordination of marketing communication, efforts


there has to be uniformity in communication by finding balance between Tactical and Strategic
Branding.
● Retaining current image with staying ahead in competition and Cunard as brand name or Umbrella
brand should have common Look & Feel all across Cunard line.
● The approach taken for different categories needs to well crafted depending on type of
consumers like in case of 5 Star category, target market will be less price sensitive and strategic
approach will be better and for 4 Star category customer will be more price sensitive and hence
more tactical and sales promotion kind of approach will work in all marketing communication.
● The magazine used by Cunard highlighted the company’s overall luxurious offerings and
experience promised. Magazine advertisements used a strategic marketing experience.
● Newspaper advertisements were more direct and tactical as their objective was to create queries
and generate sales whilst retaining the look and feel that the company offered. These newspaper
advertisements gave the exact details of the services and packages offered.
2. Which elements of Marketing communication mix should receive greater or lesser emphasis
and Why?

Primarily, there are two elements in the marketing communication mix for Cunard Lines:

1. Strategic Marketing: Oriented towards building, sustaining and leveraging the brand image of Cunard Lines
2. Tactical Marketing: Oriented towards generating demand and sales in the short term for particular cruises

While in an ideal scenario, there should be a balance between the two marketing communication elements, the emergence of the three
factors given in the 90s means that Cunard should now focus more on the Tactical Marketing element: (i) Increased competition, (ii)
Poor economic condition and (ii) Rejig in organizational structure

Within the Tactical Marketing element, Direct Mail, Brochures, Newspaper Ads and Collaboration with Travel Agents should receive
the most emphasis.

● Direct Mail: The most important element as it leverages the power of database management to profile potential clients that
considerably increases chances of conversion.
● Brochure: The brochure is the marketing communication element that would be sent through the direct mail as well as to
prospects who inquire about the various cruises. Various promotional offers could thus help in generating demand.
● Travel Agents: Since 95% of Cunard’s customers book via travel agents, greater emphasis on collaborations in terms of add-ons,
discounts and other promotional schemes would be fruitful to deal with the issues of competition and economic recession
2. What do you think about the role of direct communication ?

● Direct marketing acts as the last point of contact for closing


bookings.
● W.r.t. Cunard, they could curate their mail packages to cater to
specific high value customers.
● They could ensure customer loyalty and engagement with these
direct mailers.
● The practice of maintaining a database for direct communication is
relevant even today with multiple POS data analysis tools in the
modern day being so important.
● It is more oriented to close sales rather than to make people aware
about the offer. The target audience is very specific.
● However, Direct Communication is too expensive and is not suited
for low value customers, or for general awareness advertising.
3. What are the implications of success of 'One day sale' at Cunard Lines?

● Increased popularity
● Increased buzz in the 5 towns
● Increased sales for a particular period of time
● Dilution in brand image
● Reduction in market share of luxury ticket booking
● Hurting the sentiments of affluent people who had exclusive access to luxury and would
eventually affect the long term relationship
● Can lose out on some loyal customers due to overbooking in this period
4. What are your suggestions and recommendations to Leslie facing the challenges?

● Cunard’s message: “We’re not the best because we are the oldest. We’re the oldest because we’re
the best”
● The group recommends Leslie to concentrate on luxury ships: Queen Elizabeth 2, Sagafjord and
Vistafjord, Sea Goddess 1 & Sea Goddess 2
● The group recommends starting a new sub brand for Cunard Countess & Cunard Princess. This
will have no relation to the Cunard brand
● Increase in direct marketing initiatives as it is more effective for 5 star luxury ships

The reasons for this are as follows:

● The market segment for Luxury 5 star ships consists of people belonging to the top 3%-5%
income group
● They are around 55 years
● The brand message resonates with this customer segment
● Dilution in brand image will have a negative impact on this customer segment

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