1) SWOT analysis would provide Ryanair Holdings a basic listing of conditions from both inside and surrounding of this airline company. Ryanair will know its strength and weakness from its internal conditions relative to its competitor and opportunities and threats from environment conditions external to it. The main strength in Ryanair is it offered low fares airline in ticket fee as compared to other competitors. It has become pioneer of the low fares model in Europe by adopting the Southwest Airline business model. Ryanair also use the best current low strategies to provide them bigger profit by extensive use of ancillary fees to balance their low ticket prices. It allow Ryanair to make up the revenues lost through lower ticket prices …show more content…
Sales and marketing activities are associated with purchases of products and services by end users and the inducements used to get them to make purchases. This primary value chain activity has created value for both the Ryanair Holdings business and its customers by using pricing strategies to keep low fares rate. In spite that Ryanair offer lower fares than other competitors, it use the extensive use of ancillary fees to raise revenues on non-ticket items. It has become a trademark of Ryanair and forms a core element of its low-cost strategy. This strategy will persuade potential buyers to make those purchases as it offers low ticket fee since they might not aware of the arisen of other fees from the ancillary services such as on food, checked baggage, priority boarding and other …show more content…
The company’s website contain offers for car hire, travel insurance, hotels, airport transfer, credit cards, hostels and bed and breakfast, cruise holidays, villas and apartments, campsite holidays and many other facilities. From this promotion, it will attract the buyers to make the purchase on those facilities offered as those facilities are promoted on the website used by the buyer to make purchases on the flight ticket. Since Ryanair has contract with companies that handle those services marketed on the website, Ryanair itself will receive a fee from those companies. Besides that, Ryanair also take advantage of the internet as its distribution channel selection for purchasing ticket. Passenger can do their booking and pay for fares on the Ryanair website or call center. Passenger also may do the check in through online from 15 days before the flight up to four hours before its departure time. This use of internet will simplify the passenger as they can purchase the ticket and do the check in at their own preferred time and place. Last but not least, the sales and marketing have created value for both the Ryanair Holdings business and its customers through its controversial advertising. Over the years, Ryanair has been accused of questionable practices in the use of misleading advertisement that appear to violate its ethics code of misrepresentation of the facts.