Monday, January 14, 2019
Air France
In an airline industry, companies had been suffered with low returns, bankruptcies and ever-fluctuating demand. Air France has been preventing the situation by developed strategies such(prenominal) as a progressive operating l take over, short- or medium term lease of substantial part of fleets to reduce capacitance and cost. Since 2006, the traffic of air travel has been growing rapidly, which created a competitive grace in the airline industry and also the emergence of e-commerce as a turn to to consumer sales.Air France took those opportunities by providing online services on enjoin website, but later on a while aggregators and meta look forers who offer beyond services appe ard, which make the direct website had difficulty to compete. Media foregather, hired by Air France, has been developing strategy to optimize process on Search Engine Marketing campaign to plus net revenue gained through online channel and return on enthronization spending, as well as efficiency of dr iving visitors to site and metamorphose them to consumers through the reincarnation funnel at the minimum cost.The Media Contact uses sponsored search of six search engines, global- and US-based, and advertises on metasearchers and aggregators as well. As shown in the newspaper performance table below, from exhibit 6, Google US acquires highest impressions, mostly from branded keywords, and deal of bookings, also at highest cost but the conversion rate is relatively low. On the other hand, MSN has concluding investment but it turned come out of the closet that MSN give the outstanding conversion rate than any others.Another publisher such as Yahoo US and Overture US has higher conversion rate than others that has more backup. T The bubble chart below illustrates the performance of each(prenominal) publisher, based on the complete data set, according to their mean(a) cost per click on Y-axis and probability of bookings on X-axis. The size of each bubble represents funding spent on each publisher. The first quadrant represents high cost-per-click, publishers, which are Google US and Google Global. These publishers has high impressions but theClick-Through-Rate is relatively low, The Media Contact should arrange strategy that usher out lower cost such as modifying bid strategy, keyword selection, and match type. The funding for these publishers should also be lowered. In the upper-left quadrant shows publishers who have lowest conversion rate at highest cost, no publisher is in this category and should not be. Overture Global and US are in the third quadrant that demonstrates publishers with low probability of booking.Publishers in this quadrant must be converted to the forth quadrant by cyphering keyword selection, ease of completing transaction, and complication of website and applications, for example. The highest probability of producing a booking come from the forth quadrant where Yahoo US, MSN Global, and MSN US rely on. This quadrant not tho gives Air France high probability of bookings but also at the lowest cost. The Media Contact should focus on this quadrant by increasing funding for these three publishers from budget deducted from the first quadrant.In order to gain visitors from aggregators, Air France should consider about creating two- or three-in-one service by offering hotels, car rental or promotional packages. This strategy could increase sales occurred in direct website and reduce cost of advertising on aggregators website. Air France could also earn revenue from advertising of hotels and car rental services. By optimizing sponsored search and implementing strategies, Cost-Per-Click pull up stakes be reduced and number of bookings will be higher. The Media Contact can deliver higher net revenue and Return on investing to Air France.
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