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E-Bussiness Study

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BUS6061 Assignment Marking Scheme
0 – 39%
Fail
40 – 49%
Marginal Pass
50 – 59%
Pass
60 – 69%
Strong Pass
(commendation)
70 – 79%
Very Strong Pass
(distinction)
80 – 100%
Exceptionally Strong
Pass
(distinction)
Analyse and classify an organisation’s current e-business strategy, identifying their strengths and weaknesses relative to
those of their direct competitors
Criterion 1
Mark:
Insufficient evidence
demonstrated in
analysis of the
current e-Business
strategies utilised in
the industry. No
relevant
recommendations
provided
Evidence is poorly
presented
demonstrating a lack of
sufficient research
and/or understanding in
the analysis of the
current e-Business
strategies utilised in the
industry. Many gaps
demonstrated in the
recommendations
provided
Evidence is
presented
sufficiently but
somewhat
descriptively,
demonstrating only
a minimal level of
research in the
analysis of the
current e-Business
strategies utilised in
the industry. The
work provides
understanding of
micro and macroenvironment and
provides relevant
recommendations
for selected
organisation; some
gaps demonstrated
in understanding of
theories and ability
to syntheses and
evaluate.
The analysis presented
clearly and competently
discusses and critically
evaluates/synthesize the
analysis of the current eBusiness strategies
utilised in the industry.
The work identifies the
micro and macroenvironment including
utilisation of digital
technologies in the
industry and provides
relevant recommendations
for the selected
organisation.
Comprehensively and
excellent critical
literature review and
analysis of the current
e-Business strategies
utilised in the industry
with appropriate
recommendations
provided. Significant
evidence presented
demonstrating only
minor gaps in
understanding of EBusiness models and
evaluation.
Highly extensive and
outstanding levels of
evidence of critical
analysis and synthesis
of the current eBusiness strategies
utilised in the industry
with appropriate
recommendations
provided. Analysis
covers micro and
macro-environment
including utilisation of
digital technologies in
the industry. Work
presents sophisticated
insights and
understanding of the
theoretical models on
E-Business.
Choose effective e-business strategies for the delivery of products and services to increase market share and
sustainability.
Criterion 2
Mark:
Significant lack of
critical literature
review related to
topic area and
relevant to the
evaluation of the
organisation’s eBusiness strategies.
Little material of
merit or relevance,
revealing a lack of
understanding of key
issues or concepts.
Fails to address
most aspects of the
task or question set.
Work lacks any
sustained
argument(s).
The analysis in this
section is only
satisfactory in most
areas and weak in
some others. Modest
evidence of intellectual
engagement. Weak or
insufficient critical
literature review related
to the evaluation of the
organisation’s eBusiness strategies
Evidence is
presented
sufficiently but
somewhat
descriptively,
demonstrating only
a minimal level of
research to support
the evaluation of
the organisation’s
e-Business
strategies. Some
gaps demonstrated
in understanding of
theories and ability
to syntheses and
evaluate.
The analysis presented
clearly and competently
discusses and critically
evaluates/synthesize the
organisation’s e-Business
strategies.
Comprehensively and
excellent critical
literature review on
the evaluation of the
organisation’s eBusiness strategies.
Significant evidence
presented
demonstrating only
minor gaps in
understanding of the
analysis in this
section.
Highly extensive and
outstanding levels of
evidence of critical
analysis on the
organisation’s eBusiness strategies.
Work is presented with
sophisticated insights
and understanding of
e-Business strategies
of the organisation.
Compile and elaborate understanding of concepts, theories, frameworks and principles for e-commerce and e-business
and their competent use.
Criterion 3
Mark:
Little material of
merit or relevance,
revealing a lack of
understanding of key
concepts, theories
and principles of eBusiness and ecommerce.
Fails to apply
relevant frameworks
and theories to
evaluate how the
organisation copes,
adapts or survives
during the pandemic.
Work lacks any
sustained
argument(s).
Weak or insufficient
critical literature review
related to the key
concepts, theories and
principles of e-Business
and e-commerce The
analysis in this section
is only satisfactory in
most areas and weak in
some others especially
in applying relevant
frameworks and
theories to evaluate
how the organisation
copes, adapts or
survives during the
pandemic. Work lacks
any sustained
argument(s).
Evidence is
presented
sufficiently but
somewhat
descriptively,
demonstrating only
a minimal level of
research on
understanding of
key concepts,
theories and
principles of eBusiness and ecommerce. The
work provides a
satisfactory
understanding in
the application of
relevant
frameworks and
theories to evaluate
how the
organisation copes,
adapts or survives
during the
pandemic.
The analysis presented
clearly and competently
discusses, and critically
evaluates/synthesizes of
key concepts, theories
and principles of eBusiness and ecommerce. The work
demonstrates good
examples of critical
analysis and
understanding in the
application of relevant
frameworks and theories
to evaluate how the
organisation copes,
adapts or survives during
the pandemic.
Excellent critical
literature review on
key concepts,
theories and
principles of eBusiness and ecommerce.
Significant evidence
presented
demonstrating only
minor gaps in
understanding in the
application of relevant
frameworks and
theories to evaluate
how the organisation
copes, adapts or
survives during the
pandemic.
Highly extensive and
outstanding levels of
evidence of critical
analysis on key
concepts, theories and
principles of eBusiness and ecommerce.
Analysis provides
excellent critical
application of the
relevant frameworks
and theories to
evaluate how the
organisation copes,
adapts or survives
during the pandemic.
Contents
1.0
Introduction .....................................................................................................................................4
1.1 Purpose of the Report ...................................................................................................................4
2.0 Element One ........................................................................................................................................5
2.1 Political .............................................................................................................................................5
2.2 Economic..........................................................................................................................................5
2.3 Social .................................................................................................................................................6
2.4 Technological ..................................................................................................................................6
2.5 Competitive Environment Framework ......................................................................................7
2.6 Customer Threats ..........................................................................................................................7
2.8 New Entrants ...................................................................................................................................8
2.9 New Business Models ...................................................................................................................8
3.0 Element Two ........................................................................................................................................9
3.1 Reintermediation and Disintermediation .................................................................................9
3.2 E-supply Chain and eCRM .........................................................................................................10
4.0
Element Three ...............................................................................................................................12
4.1 Reach...............................................................................................................................................12
4.2 Act ....................................................................................................................................................13
4.3 Convert............................................................................................................................................13
4.4 Engage ............................................................................................................................................14
5.0 Conclusion .........................................................................................................................................14
References .................................................................................................................................................15
1.0 Introduction
1.1 Purpose of the Report
The purpose of this report will be to analyse the impact of COVID-19 on the adoption of e-business
strategies for easyJet plc. “An e-business strategy defines a long-term plan for putting in place the right
digital technology for a company to manage its electronic communications with all partners - that's
internal through the intranet and externally through to customers, suppliers and other partners.” (Smart
Insights, no date) It is important because an “E-Business strategy is part of your corporate strategy and
business plan, and also interconnects with other plans including your marketing, organisational and IT
strategic plans.” (Collier, 2013) Furthermore, “an e-business plan is a comprehensive plan for applying
effective digitization for a firm to conduct its computerized interactions with all stakeholders - both
internally via the web and globally via clients, vendors, and other collaborators.” (Definition, 2023)
This report will be devised into three sections discussing the impact of COVID-19 on easyJet and the
adoption of digital technologies. Element one will analyse the impact of COVID-19 on the adoption and
utilisation of digital technologies on the airline industry. Element two will evaluate how easyJet managed
to cope, adapt and survive during the pandemic. Element three will discuss and make recommendations
on how the use of social media and social commerce can assist EasyJet in addressing the issue of
customer behaviour post-COVID-19.
1.2 Overview of easyJet plc
“easyJet Plc (easyJet) is a low-cost airline carrier. The company offers short-haul passenger airline
services. Its portfolio of services includes flight booking, travel insurance, airport lounges, car rental,
airport parking, airport transfers, holiday taxis, and others.” (GlobalData., 2023) “easyJet has a strong
capital base, with a market capitalisation of £5.0 billion1 and a net debt position of £913 million at 30
September 2021 (2020: net debt of £1,125 million). easyJet’s credit ratings are amongst the strongest in
the world for an airline… Technology and data - easyJet is aiming to become the world’s most datadriven airline. We are seeing significant benefits already from operational resilience processes and
predictive maintenance.” (easyJet plc, 2022) “easyJet is one of the largest airlines in the world, with 308
aircraft, operating 927 routes across 34 countries and 153 airports. easyJet holidays was launched in
2019 in order to offer holiday packages which encourage the 84% of customers travelling on leisure to
spend more with us, rather than book accommodation elsewhere.” (easyJet plc, 2022) In terms of their
value proposition, “easyJet aims to deliver a seamless and digitally enabled customer journey at every
stage and is continuously working to enhance the customer experience…easyJet's updated framework
continues to build on its competitive advantages - an unparalleled network and market positions, efficient
low cost model, well-known brand and strong balance sheet - positioning easyJet to deliver sustainable
and disciplined growth and returns for shareholders.” (easyJet plc, 2022)
2.0 Element One
Overall, “It’s difficult to overstate just how much the COVID-19 pandemic has devastated airlines. In
2020, industry revenues totalled $328 billion, around 40 percent of the previous year’s.” (McKinsey &
Company, 2021) “The change in the behaviour of passengers following the COVID-19 crisis, travel
restrictions and the ensuing economic crisis have resulted in a dramatic drop in demand for airline
services.” (OECD, 2020) “While the full data from 2021 is still unavailable, we expect airlines’ 2021
performance to remain weak, with net losses of around 11 percent. The IATA estimates that even though
global revenues for airlines rose by 27 percent last year compared to 2020, they were still 44 percent
less than what they were in 2019.” (McKinsey & Company, 2021) The airline industry were hit hard by
the regulations and restrictions out on travel. For many long periods throughout countries all over the
world travel was restricted which meant that airlines weren’t making any money as their whole business
was made temporarily redundant. A further impact of the virus was that people became scared to leave
the house let alone travel abroad, in fear of catching COVID-19. These caused massively negative
impacts on the industry as a whole that would take time to recover from. This report will use PEST
analysis framework to analyse the impact of the increased use of digital technologies on the airline
industry. I will also use the competitive threats on online businesses framework to evaluate the digital
environment of the airline industry.
2.1 Political
With the ever-growing concern for health and safety comes technological advancements in security
measures and protocols. “The political environment in which airlines operate is highly regulated and
favours the passengers over the airlines… the global aviation industry operates in an environment where
passenger safety is paramount and where, the earlier tendencies towards monopolistic behaviour by the
airlines have made the political establishment weary of the airlines and hence, they have resorted to
tighter regulation of the operations of the airlines” (Management Study Guide, 2022) “The government
has set up some strict rules and guidelines for the operation of an airline which can ensure the utmost
security of the passengers. For international flights, the regulations are strict, and this situation may lead
an airline to push for more amenities to keep up with the competitors.” (Wondershare EdrawMax, 2023)
Furthermore, since COVID-19 there have been further rules been put in place to ensure the health and
safety of everyone. “The CAA is tasked by the Department for Transport to investigate and prosecute
breaches of aviation safety rules and some aviation related consumer protection and health and safety
requirements. It is in the public interest that those who comply with aviation rules have confidence that
those rules are enforced.” (UK Civil Aviation Authority, 2023) For example, “Romanian airline Blue Air
received a number of fixed penalty notices for the breaches of Covid-19 requirements, which they did not
pay or seek to resolve with the Civil Aviation Authority (CAA). Blue Air Aviation was brought to court for
six offences under the Covid Enforcement Regulations and fined £40,000 after pleading guilty in a
hearing at Uxbridge Magistrates’ Court.” (UK Civil Aviation Authority, 2023) It is becoming more and
more difficult for airlines to abide by the numerous regulations being put in place resulting in fines and
prosecutions which in turn negatively effect profits of an organisation. However, through careful and
consistent processes these regulations can be upheld and allow for error-free processes to take place
allowing the business to run smoothly and without as major losses in profits.
2.2 Economic
With the growing developments in technology making customer’s lives easier it is essential for all airlines
to adapt to new digital strategies. Due to COVID-19 digital methods of completing tasks and transactions
have been further boosted. “With airline passengers switching between channels and devices–including
smartphones, tablets, desktops, and airport check-in kiosks–all digital components need to work together
seamlessly to ensure that passengers can book and manage their travel without a hitch.” (Quantum
Metric, 2021) One example is “Breeze Airways, which is branding itself as half tech start-up, half airline,
is building a complex mobile application, offering cutting edge self-service kiosks for check-ins,
streaming on personal devices, and more.” (Quantum Metric, 2021) This will allow customers to manage
every part of their flight through an app or website on their smartphone or digital kiosks, eliminating the
need for human interaction and miscommunications. This emphasises the importance of airline
businesses to modify their digital technologies and capabilities to compete with other businesses in the
industry.
2.3 Social
“The shift towards democratization of data is empowering the sector to take strategic decisions backed
by facts. Coupled with AI and ML, big data is helping the industry to predict and forecast consumer
behaviour in order to fine tune their strategy. As data is gaining the reputation of the most valuable asset
in the digital age, it is only wise to proactively utilize data mining techniques for developing a robust plan
that has high probabilities of succeeding.” (Cigniti, 2022) This essentially allows for more detailed
analysis of the social environment using hardcore statistics to identify consumer trends so businesses
can adapt their digital strategies to best suit these trends to add maximum value for the customer. This
could furthermore enable businesses to better adapt their brand image based off of this data through
better offerings and value proposition.
“In order to meet the changing demands of consumers, airlines are required to incorporate changes…
Automation is yet another factor affecting the airline industry as people make use of Skype features or
hold a conference call instead of travelling.” (Marketing Tutor.net, 2023) This is a factor that is negatively
effecting the airline industry as it reduces the amount of people travelling and so reduces the revenue of
the industry and thus the profitability.
2.4 Technological
There are loads of ways the airline industry is developing through technological advancements. “A new
market study predicted a CAGR [Compound annual growth rate] of 46.4% for AI in aviation market by
2023. AI is being used to deliver a personalized traveling experience to the passengers in order to
generate the maximum customer satisfaction. Artificial intelligence is personalizing, optimizing and up
scaling the digital interactions between airlines and passengers.” (Cigniti, 2022) “As machines are
becoming smarter with the latest advancements in technology, pilotless planes can soon become a reality.
Hybrid RPA, integrated with the cognition of AI, can make it feasible for an aircraft to complete a
journey without manual intervention. Even today, planes complete the major part of the flight on the autopilot mode” (Cigniti, 2022) “AI adoption in the aviation industry has the potential to improve operational
efficiency and effectiveness, detect and eliminate costly mistakes, and enhance customer satisfaction in
terms of customer relationship management and aviation operation management.” (Acuitykp, 2022)
These advancements can allow businesses to enhance customer experience and carrying out
predetermined maintenance to optimise operational efficiency with digital technology. AI will be able to
help with and improve all aspects of running a successful business from predicting air traffic and weather
to exchange technology when collecting big data to value proposition to satisfy customers. The cost of
new technology implementation is large but the potential benefits are endless and must be adhered to in
order to keep up with a changing digital economy and to remain competitive.
2.5 Competitive Environment Framework
Competitive threats acting on the digital business
Figure one – (Chaffey et al, 2019)
2.6 Customer Threats
Customer threats could be considered high due to the vast choice of airlines offering different prices and
deals that entice and add value proposition for different customers depending on their preferences. In
addition, with the new technological age people are able to video call for matters such as press
conferences etc. and so have no need to travel when business proceedings can be dealt with over a
video call. This shift towards a digital economy further impacts airlines as more people choose to browse
the internet looking for the best deals when in the past they may have always stuck with one airline that
they have been with before and feel comfortable and choose this airline based off of their previous
positive experiences. This is not the case now as people are always trying to find the best deals. This
makes it very difficult for airlines to keep their customer base and gain customer loyalty making it more
difficult to compete with competitors who all will offer different advantages for customers’ satisfaction.
“Buyers have immense bargaining power over airlines because the cost and effort required to switch
from one carrier to another is minimal. The emergence and raging popularity of third-party trip-booking
websites and smartphone apps exacerbate this issue for the airlines.” (Investopedia, 2022)
2.7 Intermediary Threats
The threat of intermediaries is high. “As of August 2022, Hays Travel was the travel agent in the United
Kingdom with the highest number of retail travel shops, operating 543 outlets.” (Statista, 2022) Other
large travel intermediaries include Travel Planners, Virgin Holidays, Luxtripper, and Explorer Travel
Holidays. Travel intermediaries are a big threat as they brag a large amount of control over airlines. This
is because they offer convenience to consumers. The growth of digital technology has enabled
consumers to use the internet to access intermediaries who find the best flights at the best prices for
them which is quick and convenient. “Instead of searching blindly on the Internet for hours, days, or even
weeks – depending on the complexity of the travel plans – you can have an expert do the research for
you, with your personal needs in mind… [Furthermore,] The best travel agents have unique access to
benefits that can save you a lot of money and provide you with a better experience” (Meon Valley Travel
Group, 2022) This takes away some of the control airlines used to have as intermediaries now hold more
of the power and can decide which airlines to recommend to consumers using the access they have to
big data. They are able to access flights and prices across all airlines which means that airlines have to
increase competitiveness in an attempt to avoid losing customers. This means that airlines have less say
in persuading customers to travel with them. For example, if someone saw an advert they were
interested in for travel, they are still likely to go through a travel agent who will likely find a better deal
than the one the person originally saw. However, airlines can still maintain some level of control through
partnerships with intermediaries which mutually benefit both parties.
2.8 New Entrants
“The threat of new entrants is low in the airline industry due to high entry barriers. These include
significant capital requirements, high operating costs, and extensive government regulation.“
(Howandwhat, 2017) “we can see that the brand image, brand loyalty, and market share of airline
industry can mitigate this risk effectively. It has the infrastructure, efficiency, and very high product
quality as its defence against this threat. Exclusive access to raw materials and suppliers is another
factor contributing to airline industry’ competitive edge.” (Wondershare EdrawMax, 2023) Furthermore,
there are barriers to entry in terms of a lack of access to distribution channels with there being so many
different airlines already occupying the market. There may also be retaliation from existing airlines in the
industry towards new entrants due to the demanding legal and regulatory barriers in place in the
industry. Besides the huge capital required to enter this market, with appreciation for the growth of digital
technology, setting up a website and online booking services is requires minimal spending. With this
said, it could be argued that the shift towards the use of digital media and technology increases the
threat of new entrants.
2.9 New Business Models
The threat of new business models is medium. There are three types of airlines, major airlines, national
airlines, and regional airlines. These all follow the three main business models which are full-service
carriers (FSC), low-cost carriers LCC), and charter carrier (CC). “The concept of ‘low-cost carriers’ or
LCC originated in the United States with Southwest Airlines at the beginning of the 1970s. In Europe, the
Southwest model was copied in 1991, when the Irish company Ryanair, previously a traditional carrier,
transformed itself into an LCC and was followed by other LCCs in the United Kingdom” (One Education,
2020) Many airlines used the hub-and-spoke model whereby there’s an airport used as the main hub
and other destinations were the spokes. LCC’s chose to use a point to point model instead. “The pointto-point system, on the other hand, connects each origin and destination via nonstop flights. That
provides substantial cost savings by eliminating the intermediate stop at the hub, which gets rid of costs
related to hub development.” (Investopedia, 2022) This low cost model created a competitive advantage
over competitors who used other models. “While many bemoaned the decline in quality, the number of
complaints was not exceptionally high compared to the greater number of air travellers. That was
because airfares dropped substantially after adjusting for inflation.” (Investopedia, 2022) Furthermore,
this system allows for better efficiency through capacity management and better travel times. In addition,
“The widespread adoption of ticketless travel and Internet distribution has been a boon for LCCs… The
emergence of the internet as the primary medium for booking tickets has dramatically increased the
transparency of ticket pricing. That works in favour of the low-cost carriers because of their lower fares.”
(Investopedia, 2022) However, a drawback of this model is its geographical reach. Some people are
unwilling to sacrifice some of the privileges that come with flying at a higher expense, but fortunately for
LCC’s more people in this modern era prefer cost savings over comfort so this creates a significant
threat within the industry.
3.0 Element Two
3.1 Reintermediation and Disintermediation
“Reintermediation consists of the process of introducing again an intermediary that had previously been
cut out from the supply chain. Or perhaps by creating a new intermediary that once didn’t exist.”
(FourWeekMBA, 2022) on the other hand, “Disintermediation means cutting out the middlemen from the
distribution channel to sell directly to the customers.” (WallstreetMojo, 2023) easyJet use the strategy of
reintermediation through the partnerships with travel agents, Amadeus, Travelport, and Sabre. “easyJet,
Europe’s leading airline, and Amadeus today announce the renewal of a long-term agreement… The
distribution agreement will support the airline’s multi-channel growth strategy by continuing to focus on
business travellers and ensuring easy access to book the airline’s range of business-friendly products
such as Inclusive and FLEXI Fares… easyJet became the pilot carrier for Amadeus’ innovative light
ticketing functionality, which allows travel agencies to book easyJet like any other carrier whilst the
airline uses XML-technology to connect to Amadeus.” (Amadeus, 2020) The use of intermediaries
greatly benefit easyJet as it allows consumers to easily and effortlessly book tickets through easyJet.
Furthermore, it creates higher visibility for easyJet as consumers who go through these travel agencies
will be connected to easyJet. This also eliminates the need for in-person contact which is essential since
COVID-19. If they did not have these intermediaries then potential consumers may be lost as they would
be connected to other airlines. This eliminates the need to book tickets directly through easyJet. This
therefore could also bring new customers in who weren’t originally going to book with easyJet but saw
them through the intermediaries. In addition, intermediaries allow for “Reduced spending on online
marketing strategies…OTA's [online travel agency] investment in its own advertising and marketing
efforts will bring more traffic to the business and its website… More access to analytics and
insights…This information can help plan future marketing strategies and increase customer satisfaction.”
(junglebee, 2022) On the other hand, “An OTA will charge a commission on every sale, usually
somewhere between 10 and 15 percent of the cost… Potentially restrictive terms and
conditions. Unfortunately, partnering with an online travel agency means a business must forfeit its
booking management policies” (junglebee, 2022)
A drawback of easyJet’s digital strategy is that many other low-cost airlines such as Airasia, also have
partnerships with intermediaries and have more partnerships and so are more visible and reach a larger
audience. easyJet can overcome this obstacle through careful maintenance of their current partnerships
and possibly by increasing their outreach by partnering with more intermediaries. This is
reintermediation, which is the most suitable strategy for easyJet to survive and maintain/better their
position in the market, especially with the digital economy in the modern day forcing businesses to adapt
their digital infrastructure. This also complies with the need for minimal social contact due to COVID19.
The disintermediation strategy would only hinder easyJet and cause them to fall behind competitors as
this online presence through travel agencies is needed for maximum opportunity to succeed in a growing
digital business world.
Figure 2 - a) the original situation b) disintermediation c) reintermediation (Ques10, 2016)
Figure 3 – Using the internet to support different organizational growth strategies (Smart Insights, 2022)
3.2 E-supply Chain and eCRM
“Unfortunately, the 2022 summer season has shown that although the appetite for holiday travel gives
cause for encouragement, the ripple effects of the Covid-19 travel bans are going to be with us longer
than anticipated, or as bosses at easyJet put it “the post-Covid supply chain issues being seen in many
other parts of the economy.” ” (Investors' Chronicle, 2022) “They amount to shortages in ground handling
staff and air traffic control delays, leading through to increased aircraft turnaround times and delayed
departures.” (Investors' Chronicle, 2022) These shortages and travel restrictions all lead to losses in
profits for easyJet as there are less staff, fewer bookings available and less flights, so less revenue for
easyJet which in turn effects their profitability.
“Over the last five years, we [easyJet] have used digital to transform the airline and your travel
experience…Our award winning mobile app allows our passengers to book, check in for flights,
download mobile boarding passes and receive real-time information on flight status” (easyJet, 2022)
Furthermore, “In 2013 we [easyJet] added a mobile boarding function to our app, allowing our customers
to check in in less than 10 seconds, download and store their boarding passes on iPhone and Android
phones.” (easyJet, 2022) As regards to Ansoff matrix (figure 3) this would be classed as a market
penetration strategy, using the internet for market share growth as well as customer loyalty
improvement. This is because these online strategies will help easyJet to compete more effectively
online as there will be more channels in which people can not only hear about easyJet but also make
bookings, access these bookings more easily, and receive important information regarding their booking
and flight. Furthermore, the convenience of this mobile app will migrate existing customers online.
“Airline passengers see convenience as the most important factor when booking a flight… Travellers
also want technology to be more widely used to help simplify their journeys, according to the
International Air Transport Association’s 2022 Global Passenger Survey of more than 10,000 people
from 200-plus countries.” (BTN Europe, 2022) easyJet’s, and other competitors in the market’s use of
newer technology and enabling customers to complete all their necessary activates online shows how
they have considered the impacts of COVID-19 and adapted accordingly. To cope with the significant
negative impacts of the pandemic easyJet have improved trading. “Since travel restrictions were
removed, easyJet has seen a strong recovery in trading which has been sustained, resulting in a positive
outlook for Easter and beyond.” (Independent, 2022)
4.0 Element Three
“The term social media refers to a computer-based technology that facilitates the sharing of ideas,
thoughts, and information through virtual networks and communities.” (Investopedia, 2021) “Social media
is online communication that allows you to interact with your customers and share information in real
time. [It is important for a business because] you can use social media to: reach your customers better,
create online networks, sell and promote your products and services.” (business.gov.au, 2022) “Social
commerce is the use of social media platforms like Facebook and Instagram to market and sell products
and services.” (shopify, 2022) “Social commerce makes it easy for customers to discover your products
and complete their purchase, reducing any friction that could lead to the abandonment of their
purchase.” (Linnworks, 2022) It is important to businesses to fit in with modern standards as most
businesses are well acquainted with e-commerce. It helps to create more relationships with customers
across a large geographical radius.
The importance of businesses partaking in social media and social commerce is highlighted by the
change in consumer behaviour post-COVID-19 with consumers less willing to travel and those that are
wanting minimal human interaction to minimalize the potential risks. I will be using the RACE (reach, act,
convert, engage) framework to discuss and make recommendations on how easyJet can use social
media and social commerce to address the issue of consumer behaviour post-COVID-19. In support of
these recommendations I will be using the content marketing matrix (figure 4).
Figure 4 – Content marketing matrix (Common Ground, 2021)
4.1 Reach
“Reach involves increasing website visits and building awareness of a brand, its products, and services
on other websites and in offline media in order to build traffic by driving visits to different web presences
like your main site” (Chaffey, 2022) one way easyJet could build brand awareness and increase website
visits is through targeted advertising on social media platforms such as Facebook, Instagram and
Twitter. They could create brand videos targeted at different age groups. For example, a fun maybe
comical video that will appeal to the younger adult population and display deals and discounts that
easyJet are offering. This could further be enhanced through the use of celebrities that people of that
age group are likely to know of and so are more likely to visit the website and this way easyJet can
encourage people who are already followers of the celebrity to visit their mobile app or website. easyJet
could consider celebrities who live in other countries that can advertise travel to that country. An
example could be Brad Pitt, although potentially unrealistic, a famous movie star that everyone knows of,
advertising flights to California or other nearby cities. Furthermore, the celebrities could post videos to
their personal social media pages so that all their followers can see. This would massively increase
brand awareness.
The most obvious measure of how successful this strategy is would be to measure the increase in visits
to the website and downloads of the mobile app. The potential risks of this strategy could be that the cost
of these celebrity brand deals and endorsements may be costly and not show significant enough results
compared to this cost. Furthermore, the reputation of the celebrity reflects on the reputation of the brand
meaning a trustworthy and well-liked celebrity must be chosen carefully and advised to maintain a
positive image. An example of this was Emirates Airlines who chose Jennifer Aniston for their 2015
campaign.
4.2 Act
“Act is short for Interact… It's about persuading site visitors or prospects take the next step, the
next Action on their journey when they initially reach your site or social network presence.” (Chaffey,
2022) Like mentioned in the reach section, again easyJet could choose different strategies based on the
age group being targeted. For the older generation they could be enticed by articles or eBooks that talk
about interesting historical events in association with the aviation industry or stats and figures that show
why easyJet are a cheap and reliable choice to book a flight with. If targeting the younger generation,
their attention could be attained through interactive means such as a quiz, game or competition in which
people can not only interact with the tasks but with other like-minded individuals. There could be
competitions or quiz’s every so often where people can win prizes or discounts on bookings. This social
element will encourage the creation of a community in hope of better bounce rates. This is a measure
that could be used to assess the success of this strategy for easyJet. However, for this to succeed it
would rely on people being willing to participate and their attention being grabbed before they click off
the website.
4.3 Convert
“This is conversion to sale - either online or offline. It involves getting your audience to take that vital next
step which turns them into paying customers whether the payment is taken through online Ecommerce
transactions or offline channels.” (Chaffey, 2022) Some effective ways easyJet could convert their
audience into paying customers would be through offers and discounts. As previously mentioned when
taking about a trend leaning towards no frills, cheap holidays, it’s the same with discounts. The audience
is likely to be enticed by the opportunity to gain something for cheaper than it was originally meant to be.
This is likely to bring in a larger amount of paying customers which will more than make up for the loss of
revenue for discounted prices.
Furthermore, with the increasing popularity for social media and social commerce people often buy from
stores based off of online reviews and ratings. For people who are considering booking with easyJet, a
few good ratings and reviews could be what persuades them to make the purchase. This strategy can be
measured for success through the conversion rate and the conversion rate of people who visit the
reviews/ratings pages.
4.4 Engage
“This is long-term engagement that is, developing a long-term relationship with first-time buyers to build
customer loyalty as repeat purchases using customer communications on your site, social presence,
email and direct interactions to boost customer lifetime value” (Chaffey, 2022) Customer engagement
could be increased through customer surveys whereby people’s opinions on their experience can be
heard, as well as replying to reviews, so they can feel that their opinion is relevant. From this, easyJet
can implement changes to improve upon any negative feedback they receive thus adding more value for
future customers. In addition, they could send out personalised messages so that customers feel
acknowledged and engaged with the business. This would help to increase customer retention meaning
a larger loyal customer base for easyJet, as well as advocacy levels meaning an increase in new
customers. This strategy can be measured through the engagement levels of customers and customer
retention levels.
5.0 Conclusion
“The devastating and unprecedented impacts of the global COVID-19 pandemic and the subsequent
travel restrictions on the airport industry and the entire air transport ecosystem are now well-known.”
(Airports Council International, 2022) easyJet were heavily impacted by the travel restrictions put in
place and digital technology and media became significantly important as businesses needed to adapt to
remain competitive. easyJet adapted through their mobile app making it easier for customers to book
and store their tickets, and track their bookings. easyJet can also use social media and social commerce
to address consumer behaviour post-COVID-19. This can be achieved through social media advertising,
competitions and surveys that encourage engagement, offers and discounts, celebrity endorsements,
and direct interaction between easyJet and the consumers over a sustained period of time.
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