Retail Communication Mix (Week 14)

2 communication approaches adopted by SIA are impersonal communications which consists of advertising and personal communications that consists of email.

• Advertising
  

SIA uses advertising as a way to communicate with their consumers. Firstly, they have successfully used their air stewardess dubbed the 'Singapore Girl' as their brand image. Consumers who think of SIA now will usually associated the image to the air stewardess and their warm hospitality.

In other countries, Singapore Airlines promote their services by advertising on trains. For example, in Japan. There are also tv commercials of Singapore Airlines in other countries such as France.

France commercial: http://www.youtube.com/watch?v=GGWtFTBYUis&feature=related

The commercials for SIA normally center around the Singapore Girls.

Another example of SIA commercial: http://www.youtube.com/watch?v=QBmBYJYcvq0&feature=related

What SIA hopes to acheive with the Singapore Girl is that there will be a top-of-mind brand awareness.

• Email

Singapore Airlines send email to members of the Kris-flyers and the PPS club for information on their newest promotions or new memberships. Samples of membership cards are also sent to these members through direct mail.

This allows the members to feel that they are of importance and appreciated in the company.

This type of communication is also very convenient. Most people nowadays do everything throught their emails. By communicating to their consumers through email will also bring them the benefit in which their customers can forward the email of their promotions to their friends easily.

By: Phyllis

Week 13 (Customer Service)

1) Improper remarks

It is highly unprofessional for any customer service provider to pass personal or improper remarks in front of customers. This behaviour will definitely provoke customers and might even start a dispute.

For example, Andy and friends went to a Pizza Hut outlet at Tampines Mall. Andy accidentally spilt orange juice onto the floor. He called out to one of the waiter to clean the mess up. While wiping the floor, the waiter passed remarks such as 'So clumsy. So big yet so clumsy,'. Even though the waiter muttered these remarks under his breath, they were audible enough for Andy to hear. Andy got displeased and hence started a dispute with the waiter.

Service providers must never pass personal remarks. In fact, no one must ever pass personal remarks to others in front of them or behind their backs. This is because we human beings are easily offended and will tend to get very defensive especially if the remarks are negative. Apart from remarks, service providers must also control their facial expression. Always express a neutral or happy facial expression in front of customers.

2) Absence of apology

Apologising is a form of courtesy in the service industry and if done sincerely and correctly, it definitely diffuses the tension in any situation. Service providers must always apologise especially when they are in the wrong and offer compensation if necessary.

There's a long queue outside Swensen's restaurant. Mark and 7 friends joined the queue. After waiting for 30 minutes, they were standing at the beginning of the queue and were to be seated next. 10 minutes later, there was an empty table. However, the waiter didn't offer Mark and friends that empty table. Instead, the waiter called out to a group who were at the back of the queue to occupy that empty table. Mark was stunned thus he demanded an explanation from the waiter. The waiter told him to wait and entered the kitchen to attend to something. 10 minutes later, the waiter came out and told Mark that the table was only available for 8 people. Mark then told the waiter that he and his friends make up 8 people. The waiter then looked confused. He told Mark that he had mistaken the group of people queueing behind Mark for his friends as well. Mark got angry because the waiter had miscounted. Mark then exclaimed 'We waited very long okay!'. The waiter didn't apologise, instead he said 'Everyone also wait very long!' then he left the waiting area and he re-entered the kitchen. Mark was really angry and went on to create a scene at the counter.

In this case, it is obvious that the waiter did not behave properly as a service provider. Firstly, he was really rude because he walked off when Mark demanded an explanation. Secondly, he did not apologise even though he was in the wrong. He should have clarified with Mark instead of assuming the number of people that Mark brought along with him. Thirdly, he did not ask his manager whether any compensation (such as free drinks/side dish) can be offered to Mark and friends.

3) Improper Appearance

It is highly important for service providers to have a good standard of grooming. Appearance really matters and it highly determines the first impression of a person. Customers will get very turned off if customer service providers are not dressed professionally.

Megan is a private piano teacher. One day, she decided to work at Yamaha Music School. On the first day of her work, she wore a full set of office attire which consists of a white office blouse, a dark-coloured skirt and a pair of office footwear. However, she unbuttoned the first 4 buttons of her blouse and thus, her cleavage was clearly exposed. Also, the slit of her skirt was a tad too high, thus her thighs were exposed. When the parents of her 2nd student saw her for the first time, they immediately requested for a change of teacher.

When you are on duty and serving customers, you must never dress in a sexually provocative manner. For guys, facial hair must be trimmed and for girls with long hair, it is best to pin or tie it up. Also, do take the time and effort to iron your clothes because even if you dress in proper office attire, people will look down on you if your clothes are not ironed or highly crumpled. Unless you are a piercing or tattoo artist, your customers and bosses will never be interested in seeing the tattoos and piercings on your bodies. Make them disappear when you're on duty.

4) Lingual Inadequacy

Although there is an influx of foreigners coming in to Singapore, it is never wise to put non-English speaking employees especially on the front line. This is because the front line is the party which directly communicates with the customers. Customers will get really frustrated if they find it difficult to get their message across to service providers. Misunderstandings are bound to occur and eventually customer loyalty will be weakened. For example, for restaurants, food orders can be taken wrongly.

Stuart is a Canadian tourist who enjoys travelling overseas alone. Once, he went to Singapore. He wanted to get to a particular area in Orchard Road from a bus stop in Woodlands. Even though there were descriptions of the bus routes printed on the bus stop display board, he was still very sceptical and confused. So he flagged down the next oncoming bus, boarded it and asked for directions from the bus driver. To his dismay, the foreign bus driver could not converse in English. After minutes of futile conversation, Stuart proceeded to ask the passengers on board for directions. However, the passengers themselves were not certain of the bus route.

Whenever there is communication breakdown, misundertandings will happen, disruptions will occur, tension will grow and eventually a dispute/fight will break out.

5) Over-impose of personal opinions

It is important for service providers to make recommendations to customers. However, it is not wise to impose your opinions in an over-bearing manner to the customers. Customers will feel irritated and suffocated with your service.

First Situation :

Andy wants to buy a laptop for his Polytechnic education. He already had a few selection of laptops to purchase in mind. He went to Courts Megastore at Tampines. Upon arrival, he was immediately attended by a salesperson. The salesperson made many recommendations of other brands of laptops. However, Andy still decided to purchase the laptop that he had in mind. The salesperson kept insisting that the laptops that he had recommended are more worthy of purchasing in terms of price. He made Andy feel as if Andy is not capable of making a wise decision.

Second Situation :

Jane wanted to buy a black eyeliner at Face Shop at Northpoint. The salesgirl who attended to her applied blue and black eyeliner onto Jane's eyelids. Upon observing herself in the mirror, Jane still decided to purchase the black eyeliner. However, the salesgirl kept insisting and continuously remarked that Jane looked better with the blue eyeliner. She made Jane feel irritated because Jane didn't even ask for a second opinion.

It is okay to make recommendations but refrain from making personal judgement towards customers. Customers will get really turned off especially if a service provider is very persistent on his/her opinions. Wait for customers to ask for your opinions first before giving them. Do not be over bearing towards customers and let them feel happy with their purchases. Give them the space to breathe when attending to them.

DONE BY : YARASYIMAH

Customer Service(Week 12)

Innovation, best technology, genuine quality and excellent customer service are SIA branded product and service differentiation strategy.

SIA cabin crew consist of both male and female and which the female are known as 'Singapore Girl'. The female are dressed in Malay sarong kebaya as the uniform. The uniform later became one of the most recognized signatures of the airline.

The Singapore Girl strategy turned out to be a very powerful idea and has become a successful brand icon. The Singapore Girl encapsulates Asian values and hospitality, and could be described as caring, warm, gentle, elegant and serene. It is a personification of SIA's commitment to service and quality excellence.

This has allowed Singapore Airlines to be highly selective in the recruiting process for talent. Singapore Airlines runs one of the most comprehensive and rigorous training programs for cabin and flight crew in the industry to make sure the SIA brand experience is fully and consistently delivered.

To support its service excellence strategy, SIA adopts a rigorous quality control system and process for staff recruitment and selection, and a rigorous training and service policy

SIA do this with a customer centric approach including attention to passenger preferences on food. Their staff are always warm and courteous. SIA also uses technology to significantly improve reservations, checking-in and frequent flyer programs.

Passengers are treated to excellent food, served with lots of smiles, warm towels and attention to details. The airline provides all passengers, regardless of class with cocktails, fine wines, and in-flight movies at no extra charge.

Serving customers on the airplane is SIA’s core process, which translate customers’ payment into value and utility. In-flight service includes serving customers with food and drink, providing them with information on anything asked, providing customers with blankets, assisting them with the carry-on luggage, and a host of other assistance. Ground services include ticket sale, seat reservation, checking in, baggage handling, etc.

The merits of their exceptionally excellent services provided to their customers are that they are easily distinguisable. Customers will be able to associate excellent customer service quality with SIA easily. Other than that, customer loyalty can be gained and SIA can also build long term relationships with our customers and that we will be able to gain more profits in the long-run.

Other than that to provide more convenience for the customers, SIA also provide online services. On their website, there are many information to help guide any consumers that have any enquiries.

Excellent customer service can also be beneficial for employees as it stimulates initiative,promotes learning and teaches them responsibilities.


Done by Tiffany Sim

Store Layout

Since Singapore Airlines is a service-based company. Thus our store layout lies in the cabin designs because those are what our consumers paid for. We will analyze and study the different designs available inside the plane in the economy class, business class, first class and the suites. We will also talk about the different services provided by the company depending of the class consumers are.

Singapore Airlines offers a special check-in counter for the passengers going with the suites, first and business class flight tickets; this way they will not have to wait too long to check-in with all the other passengers from the economy class.

Talking about the design of the brand, we can evocate the Singapore Airlines uniform that is elegant, traditional, and represent Singapore, and is a small by not less important part of the design of the company.

Then, the furniture in the plane are all different but keep the same atmosphere and style : warm colors: brown, white and beige, and coffee. In the Suites, there is a lot of space in each suite, furniture are large and comfortable to make sure passengers enjoy the trip to the maximum, in the first class it is a little bit smaller, but still spacious and with a private space for each passenger. The business class has large and comfortable seats that can be turned into beds but the private spaces are not available for this class, but the area is not crowded like the economy class can be sometimes.

To finish, the economy class got individual seats that can be reclined to sleep easily during the flight and lay down.

Finally, the way they make passengers get into the plane is different depending of the class the make them go to their seats to avoid them waiting for too long: The Suites, first and business class are always at the front of the plane so they use the door closest to the front to get into it when the economy class passengers use the second door. This way they do not meet and wait for people to find their seat number.

www.krisshopair.com.sg is a website which is managed by SIA. Instead of having a brick and mortar store, SIA opted for an e-business model to sell their items. Items include perfumes, cookbooks, gadgets, time pieces, travel essentials and designer labels. Customers can also purchase pre-order specials. Items can be purchased via many modes of payment and voucher redemption is made available. After payment is made, shipping will be carried out.

DONE BY : LEA AND YARASYIMAH

(Week 10) Price management

Singapore Airlines uses Price Lining for their flight tickets.

They priced the tickets based on the different classes available. (SIA suite, SIA First class, SIA business class and SIA economy class).
They priced it this way so that they can eliminate confusion of many prices. It also gives their buyers more fexibility and they can get their customers to 'trade-up'.
For e.g, if a customer is buying SIA business class tickets, they can introduce the customer the SIA first class tickets.

As for SIA in-flight sales merchandise, they are priced to maximise profits through price discrimination.
The merchandises sold for the inflight shopping are high-end products and are usually more expensive. The reason is that SIA is aiming to charge every customer at the maximum price that they are willing to pay.

DONE BY Phyllis

Category Management

Category management is a retailing concept in which the range of products sold by a retailer is broken down into discrete groups of similar or related products; these groups are known as product categories (e.g tinned fish, washing detergent, toothpastes).

Each category runs as a 'mini business' (business unit) in its own right, with it own set of turnover and/or profitability targets and strategies.

Singapore Airlines Category Management

Singapore airlines sells flight tickets divided into different class of luxury and price:

• Singapore airlines suite - This is the most expensive flight ticket that you can find in SIA products and this ticket comes with a luxurious packaging.
  (E.g own personal cabin, a selection of finest cuisine served whenever you desire, own pajamas designed by Givenchy, an own personal stylish restrooms that features a full size hollywood mirror and exhaustive range of entertainment options.

• Singapore Airlines First Class - This flight ticket is almost competent to the SIA suites.
  (E.g the largest seats, a vanity corner with mirror and drawer at every seat, high quality inflight cuisine prepared by out world renowned panel of chefs, Givenchy- desiged pajamas and Ferragamo toiletry kits and a personal 23- inch LCD screen.

• Singapore Airlines Business Class - The SIA business class is the 'least luxurious' amoung the luxury tickets.
  (E.g Most spacious seat unfolds to reveal the largest ever full-flat bed in business class, a menu specially created by our International Culinary Panel of celebrated chefs from around the globe, a loght duvet, larger pillows and fresh linen, audio and video-on-demand on a 15.4 inch personal widescreen LCD.

• Singapore Airlines Economy Class - This category is the cheapest one. However, service is not being compromised.
  (E.g an ergonomic styling of the seat, a gourment menu created by our renowned international culinary panel, an individual economy class amenity kits and a 10.6 inch widescreen LCD.
  
  Most of the merchandising is done through the website with an exhaustive and interactive description of each product, each plane , the Kirsshop, each service provided illustrated by video and image.
  The assortment of products is shallow and narrow because tey are providing services and depending on what you buy there are different services providesd.

We can put flight ticket in the category of staple products because travelling caters to all classes of income, especially to high end income groups.

Done by Lea and Yara

HRM

• Safe, healthy and happy workplace
  Take IKEA as an e.g, they set up a homely pantry areas for staffs with quick snacks like biscuits and wafers provided. Coffee and tea are also provided in order to let staffs ave a quick and light refreshments in between their shifts.
  
  There is sofa seating for staffs to be able to take a quick bite and rest on it. On top of having the above stated space, they provide a safe and healthy workplace. The store is secured by surveillance cameras, which is monitored by the security department 24/7.
  
• Training and Development
  Ikea staffs are sent for training courses during the non-peak period.
  The courses involved are for one's development in handling real situation at work. Example, going in depth of a customer service personnel, they also attended first-aid course,which comes in handy. They also attend product knowledge course in order to know in complete details of the products that they sell to the customers. This helps them to reach out to the customers better, if customer have any queries about the products.
  
• Highlight performers
  Ikea has a practice of having briefings before work commences. The staffs report for work half an hour earlier before the start of their shift. During the morning/afernoon briefing, they would highlight the sales target for the day, the feedback for the staffs and the managers on duty for the day.
  They would also feedback on errors made by staffs working on the day before, therefore, taking it as an example to not let staffs repeat the mistake. They highlight staffs who did well for previous shifts, awarding them with restaurant voucher to motivate them.

Done by Nadya

Retail Store Strategy (Week 4)

3 Elements of Retail Store Strategy

Demographic Details of SIA'S target market :

Who? :
- Working Adults
- Families on Vacation
- Tourists from other Countries (who want to visit Singapore)
- Travellers from Singapore (for eg Singapore Muslims who want to go on a Pilgrimage)
- Business Associates
- Schools (which regularly organises Overseas Programs for their Students such as Polytechnics)
- Students from Singapore who wish to pursue education overseas

Income :
Middle-Low Income Group (For Tiger Airways)
Middle-High to High Income Group (For Singapore Airlines)

Gender :
Both female and male

Age Group :
18 years old and above (For Tiger Airways)
30 years old and above (For Singapore Airlines)

Interests :
Customers who travel for leisure, education, religion or business purposes.

1) Merchandise Assortment

SIA only provides one category : Commercial Flights
However, they provide many assortment in that one category.
There are 3 different classes of flights : First, Business and Economy
For Tiger Airways, there is only one standard (Economy) class.
SIA aims to reach out to the different income groups of travellers.
SIA ensures that all of its planes are the youngest, most advanced, most fuel efficient and safest planes in the skies. The average passenger fleet is about 6 years.

2) Customer Service

SIA : High Customer Service
For SIA, they are well known to have one of the best cabin crew in the world. They provide extensive recruitment training to ensure that each and every one of the cabin crew members is not only highly hospitable, but also efficient, reliable and knowledgeable. SIA's cabin crew basic duties include : teaching passengers the emergency procedures, ensuring that passengers comply with the flight regulatory procedures, serving food and drinks, ensures proper seating (specific seating) and ensuring passengers' comfort (They will always be by the passengers' side). For First Class, the cabin crew will attend to you individually.

For Tiger Airways, the cabin crew provides basic customer service. Their main duties include : teaching passengers the emergency procedures, ensuring that passengers comply with the flight regulatary procedures and ensuring that every passenger is properly seated (free seating). They only attend to your enquiries when you request for them. Most of the time, they are out of sight.

3) Communication Mix

SIA communicates to its customers mainly via its website : singaporeair.com
singaporeair.com provides extensive information on SIA's flights and FAQs.
SIA relies greatly on TV ad commercials and radio broadcasts too.

Summary

Singapore Airline's strategy is using its services. The excellent services provided by SIA is what attracts the consumers. They pay attention to fine details and consumers can enjoy different experience at the different cabins provided. Other than that, SIA also uses its pricing strategy. Using the different cabins provided, SIA allows consumers to decide for themselves whether they are willing to pay more for a fine experience or pay lesser and enjoy a normal service. However, the threat of the budget flights still remains. Consumers don't mind taking a bumpy flight with little or no services for a short trip (for eg from Singapore to Thailand). Thus, SIA decided to launch Tiger Airways so that they don't lose the market share of lower market. The last strategy that SIA uses is communication mix. They advertise themselves using air stewardesses in uniform in almost all the advertisements. This has made the 'Singapore girl' an icon. SIA uses strong branding management to create the image of a dedicated and professional brand. SIA built the brand with thoughts of innovation, best techonology, genuine quality and excellent customer service. They stayed through with their brand attributes and thus, won over many consumers' minds despite being the youngest fleet of aircaraft amongst all carrier.

Done by Yarasyimah and Phyllis