Individual Case Report 2 Introduction Canada's second-largest airline, WestJet Airlines Ltd., has used social media to strengthen customer relationships, create its brand, and increase income. A flat 2016 budget, though, puts the business in a difficult choice: should it use Pinterest or Snapchat as its next social media tool? This paper offers practical suggestions in line with WestJet's goals and limitations, assesses the appropriateness of Snapchat and Pinterest, investigates an evolving platform, and reviews WestJet's social media development. Background of the Company: WestJet's social media approach developed naturally in 2008 when an employee set up an unofficial Twitter account to advertise seat sales. During the 2009 Sabre reservation system crisis, when social media acted as a real-time customer service lifeline amid major operational disruptions, this grassroots campaign became vital (Ivey Publishing, 2016). Realizing its possibilities, WestJet expanded to sites including Facebook, YouTube, and Instagram and hired committed personnel to organize its social media activities. The company actively ran seven platforms by 2015, organized around three strategic pillars: customer service (addressing guest concerns), revenue support (direct sales via promotions), and brand engagement (developing emotional ties through campaigns like the 2013 Christmas Miracle). Yet, WestJet’s progress on social media was coincidental with increasing operational pressures. The airline’s margin over cost differentiation advantage of Air Canada was cut in half in 2015, from 30% to 10–15%; potential losses due to loss in demand from Canada’s economy downturn, both of which worried about profitability (WestJet, 2014). Despite these problems continuing to rear their heads, social media was still an economical means to set themselves apart, leading to immediate sales (the $1 million in the 2012 Kargo Kids campaign), and fostering customer loyalty. WestJet also had to make do with limited resources in the face of 2016 budget freeze and had to choose new social media platforms that could support growth at zero additional expense. This context explains why choosing between Snapchat and Pinterest is so important because it shows how committed WestJet is to uphold their “culture of care” while still encouraging innovation, on a budget. Problem: Last year’s flat budget on social media marketing has put WestJet in the position with a strategic question to answer: WestJet must choose between Snapchat and Pinterest about social media expansion when limited resources prevent the use of both outlets. This decision is critical because: 1. Financial Constraints: A tight budget situation renders it impossible for WestJet to distribute resources between the two platforms while retaining the existing levels of social media operations (e.g. Twitter, Facebook, Instagram). 2. Economic Pressures: With its head in the noose of depressed oil prices and an exhausted dollar in 2015, Canada succumbed to a run of economic woes that highlight the need for efficient marketing procedures and quantifiable return on investment (Ivey Publishing 2016). 3. Competitive Positioning: WestJet viewed the threat of social media as an increasingly important low-cost brand differentiation and customer loyalty retention strategy: 30% dropwise to a narrower 10–15% cost advantage by the year 2015 (WestJet, 2014). 4. Audience Targeting: Snapchat and Pinterest target distinct groups of users (Snapchat:<< 70% female, 45% aged 18–24; Pinterest: 85% female, 26% aged 25– 34). It is very important to select the platform that caters to WestJet’s goals and includes improving customer service, generating revenues, and strengthening brand relevance (Smith, 2016). 5. Risk of Obsolescence: WestJet would be forced to choose between the early embracing of new untested social media platforms or waiting until they become mainstream as emerging tools like Instagram Stories (introduced in 2016) open room for creative content (Matney, 2015). Limited resources mean WestJet needs to focus efforts at one platform which offers the most value off all the current social channels, rather than using all current social channels. Analysis 1. Platform Demographics and Audience Alignment Snapchat: o Demographics: 70% female, 45% aged 18–24 (Exhibit 11). o Audience Fit: Focuses on reaching out to millennials and Gen Z, groups that WestJet currently isn’t paying attention to when its current social media strategy involves the use of Twitter and YouTube (majority of the audience is male); Facebook and Instagram attract older females, the main user base here. The seniors’ females are already properly represented on Facebook and Instagram. o Case Evidence: Virgin America decides to post authentic, behind the scenes content through Snapchat, the same value-laden strategy by which WestJet humanizes its brand under flag of “culture of care” (Drescher, 2015). Pinterest: o Demographics: 85% female, 26% aged 25–34 (Exhibit 11). o Audience Fit: Overlaps with WestJet’s existing female-dominated platforms (e.g., 71% of Facebook users are female). o Case Evidence: Southwest Airlines uses Pinterest for travel inspiration, but WestJet’s “Christmas Miracle” campaigns rely on emotional storytelling, which may not translate as effectively to static pins (Elran, 2015). 2. Content Strategy and Resource Efficiency Snapchat: o Ephemeral Content: Supports real-time engagement (e.g., flight updates, flash sales via Snap codes) and low-cost, spontaneous posts (e.g., employeegenerated stories). o Cost: Minimal investment required; leverages existing staff for quick video production (Matney, 2015). Pinterest: o Curated Content: Requires high-quality visuals (e.g., destination guides, travel tips), demanding time and creativity to maintain boards. o Cost: Reuses existing assets (e.g., campaign photos), but ongoing curation strains limited resources (Smith, 2016). 3. Brand Alignment and Competitive Differentiation Snapchat: o Strengthens WestJet’s “fun and caring” identity through authentic, behind-thescenes storytelling (e.g., Wow Air’s employee-centric snaps). o First-Mover Advantage: Only four airlines used Snapchat in 2015, offering differentiation (Drescher, 2015). Pinterest: o Aligns with aspirational travel content but risks blending with competitors like Southwest. o Proven ROI: Companies like Nordstrom generated $1.7M in sales from Pinterest referrals (Smith, 2016), but airline success is less documented. 4. Emerging Platform: Instagram Stories (Griffith, 2015) Overview: Launched in 2016, Instagram Stories combines Snapchat’s ephemeral format with Instagram’s 500M+ user base. Fit for WestJet: o Leverages existing Instagram presence (36% female, 64% male users) while testing ephemeral content. o Reduces platform fragmentation by consolidating efforts. 5. Success Criteria Short-Term: o Engagement: Snapchat’s 6B daily video views (2015) offer higher immediate reach (Matney, 2015). o Cost Efficiency: Snapchat’s in-house content aligns with $0 budget constraints. Long-Term: o Brand Loyalty: Snapchat fosters real-time connections, critical during economic uncertainty. o Revenue Growth: Direct sales via Snapchat promo codes (e.g., Kargo Kids generated $1M in 2012) (Ivey Publishing, 2016). 6. Risk Assessment Snapchat: Risk of low adoption mitigated by rising user growth (100M daily active users in 2015). Pinterest: Higher competition and uncertain ROI for airlines. Conclusion of Analysis Snapchat helps to support the image of WestJet, identify underutilised consumer groups and carry out campaigns within spending limits. Pinterest’s approach is rather quite comparable with other platforms, and differentiation of the website is not pronounced. Instagram Stories is where the risk is mitigated, though that still requires constant attention. Recommendations and Action Plan 1. Prioritize Snapchat for Immediate Launch (Drescher, 2015) Why: In no way does Snapchat just complement WestJet’s authentic, fun, and guestfacing brand; it appeals to an under-served cohort of young adults (18–24 years), and allows for real-time, cheap communication. Action Steps: o Content Strategy: Behind-the-Scenes Stories: Highlight West Jetter’s (e.g., flight attendants, ground crew) to humanize the brand. Flash Sales: Promote limited-time seat sales via Snap codes (e.g., “Scan our Snap code for 20% off flights to Vancouver!”). Real-Time Updates: Share flight delays, weather alerts, or holiday travel tips. o Resource Allocation: Assign one social media team member to manage Snapchat, repurposing content from existing campaigns (e.g., holiday promotions). o Timeline: Launch by Q1 2016. o Success Metrics: Track promo code redemptions (e.g., $50K in direct sales within 3 months). Measure engagement (e.g., 10K daily views, 500 shares/month). 2. Delay Pinterest Adoption (Elran, 2015) Why: The audience on Pinterest resembles those found WestJet’s more traditional, female-oriented sites such as Facebook, Instagram, but creating targeted content is not an option for WestJet seeing that they are operating on a $0 constraint. Action Steps: o Reallocate Visual Assets: Use Pinterest-friendly content (e.g., destination guides) on Instagram and Facebook to test demand. o Revisit in 2017: Reassess if budget increases or if competitor activity on Pinterest intensifies. 3. Pilot Instagram Stories as a Low-Risk Experiment (Griffith, 2015) Why: Instagram Stories (launched in 2016) combines Snapchat’s ephemeral format with Instagram’s 500M+ user base, reducing platform fragmentation. Action Steps: o Repurpose Snapchat Content: Post Snapchat stories simultaneously to Instagram Stories. o Test Engagement: Use polls or Q&A features to interact with followers (e.g., “Which destination should we feature next?”). o Timeline: Pilot in Q2 2016. o Success Metrics: Monitor views (target: 5K/story) and follower growth (5% increase in 3 months). 4. Leverage Employee Advocacy for Organic Reach Why: WestJet’s “culture of care” can be amplified through authentic, employeegenerated content. Action Steps: o Employee Training: Host a 1-hour workshop on creating short videos/stories. o Incentivize Participation: Feature top employee content on WestJet’s official accounts. o Timeline: Roll out in Q1 2016. 5. Metrics and Accountability KPIs: o Customer Service: Reduce response time on social media by 15% (current baseline: 30 minutes). o Revenue: Attribute $200K in annual sales to Snapchat promo codes. o Brand Engagement: Achieve 1M+ impressions on viral campaigns (e.g., a 2016 holiday initiative). Reporting: Monthly reviews by the social media team to adjust tactics based on performance. Preferring to choose Snapchat, postponing Pinterest activities and wisely leap into Instagram Stories has a potential to help WestJet increase its online footprint without any expenses. Promoting participation of staff as well as close performance indicators is the way to maintain success in social media. Conclusion WestJet in 2016 sought to balance creative growth a prudent budgeting in trying times of the economy through its social media planning. Snapchat offers WestJet a way to reach younger consumer groups in an authentic and timely manner and keep WestJet close to its core “culture of care” values. WestJet delays Pinterest and wisely rolls out Instagram stories to avert dups and platform proliferation. This tactic, supported by employee engagement and continuous performance tracking, induces consistent growth in service distribution, financial returns and customer loyalty, which improves WestJet’s position in the competitive Canadian Airlines environment. References Drescher, C. (2015, November 7). Get an inside look at airlines on Snapchat. Condé Nast Traveler. Retrieved from https://www.cntraveler.com Elran, A. (2015, October 14). 6 businesses that are using Pinterest to their advantage. LinkedIn. Retrieved from https://www.linkedin.com Griffith, E. (2015, September 17). Pinterest hits 100 million users. Fortune. Retrieved from https://fortune.com Ivey Publishing. (2016). WestJet: A new social media strategy. Richard Ivey School of Business Foundation. Matney, L. (2015, November 9). Snapchat reaches 6B daily video views. TechCrunch. Retrieved from https://techcrunch.com Smith, C. (2016, March 9). By the numbers: 270 amazing Pinterest statistics. DMR. Retrieved from https://expandedramblings.com WestJet. (2014). Annual report. Retrieved from https://www.westjet.com
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