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A REPORT ON

ELECTRONIC TICKETING BY SAVVY TECH

SUBMITTED BY:
BRAND MANAGERS TEAM
SAFINA IQBAL SHARIQ WAHAB UROOJ INAYAT SYED SALMAN SHAUKAT

SUBMITTED TO:

SIR WASEEM GAUHAR

SUBMITTED ON: 31ST MAY, 2011

ACKNOWLEDGEMENT
First of all, we would like to say Alhamdulillah, for giving us the strength and health to do this report work until it done not forgotten to our family for providing everything, such as money, to visit banks and anything that are related to this report and their advise, which is the most needed for this project. Internet, books, computers and all that as our source to complete this report. They also supported us and encouraged us to complete this task Then, we are grateful to our SIR WASEEM GAUHAR, for teaching us Brand Management. His versatile knowledge in marketing and media field and unique teaching style has developed our knowledge and cleared many concepts. We are more grateful to him for assigning this report, which has further helped us in evaluating many interrelated dimensions of marketing & media. Finally we thanks to all who has directly or indirectly supported us with their assistance and guidance to compose this report and accomplish broader vision to visualize things in marketing as well as media concepts.
Thanking you, Safina Iqbal Urooj Inayat Salman Shoukat Shariq Wahab

EXECUTIVE SUMMARY
This report is designed for marketing of the Ticketless Travel to the national market as BRAND MANAGEMENT ASSIGNMENT. Include here is a complete market analysis, target market, SWOT analysis, marketing strategies and other relevant contents are present in this proposed plan. The purpose of this marketing plan is to: Promote the Electronic Ticketing

Identify E-ticketing strength, weaknesses, opportunities and threats

Provide Ticketless Travel with marketing tools and analytical and create ways of marketing to attract educate and maintain customer

It is the intention of this marketing plan to create a long-term growth model.

TABLE OF CONTENTS

...........................................................................................................................1 ...........................................................................................................................2 a REPORT ON...................................................................................................2 ELECTRONIC TICKETING BY SAVVY TECH...............................................2 Submitted By:.....................................................................................................2 SAFINA IQBAL..................................................................................................2 SHARIQ WAHAB...............................................................................................2 UROOJ INAYAT................................................................................................2 SYED SALMAN SHAUKAT...............................................................................2 Acknowledgement..............................................................................................3 Safina Iqbal........................................................................................................3 Urooj Inayat........................................................................................................3 Salman Shoukat.................................................................................................3 Shariq Wahab....................................................................................................3 Executive Summary...........................................................................................4 TABLE OF CONTENTS.....................................................................................5 Idea Profile.........................................................................................................7 General Information .......................................................................................7 OUR SERVICE..................................................................................................7 Company Profile................................................................................................8 Mission...............................................................................................................8 Strategy and Operational Plan........................................................................10 Market Segmentation...................................................................................13 SWOT Analysis................................................................................................14 Strengths......................................................................................................14 Weakness.....................................................................................................15 Opportunities................................................................................................15 Threats.........................................................................................................16 Promotion Strategies.......................................................................................17 Product Strategy..............................................................................................18 Requirements...............................................................................................18 Product Positioning..........................................................................................19 Distribution Strategy........................................................................................20

.........................................................................................................................20 MARKETING COMMUNICATION...................................................................21 OUR E-TICKETING BROCHURE...................................................................22 Financial Budget..............................................................................................23 Hardware Requirement ..........................................................................23 Bandwidth Link Requirement.......................................................................23

IDEA PROFILE

Leveraging The Power Of IT

GENERAL INFORMATION
E-tickets is changing the way ticketing is done. E-tickets software is allowing venues to have the control they need to operate their ticketing for their venue! Customers will love the way e-tickets (the company) are built. Forget about those convenience fees, many ticketing agencies have. With e-tickets there are no convenience fees! How good is that, you pay the face value without convenience fees added on? E-tickets have been operating for over 8 years. We have been and continue to build solid software that not only is secure but is also fast under heavy loads. In our testing we have designed special functions to allow for the most amount of "traffic" through our system while still being fast. In theory, you will never get that famous system busy error. E-tickets has also partnered with many of the worlds top product and it providers to ensure we run on the best available solutions to venues and providing rock solid stability for customers.

OUR SERVICE
Our service is E-ticketing for those individuals or passengers or companies who loved a lot to travel with electronic ticketing. Electronic Ticketing or e-ticketing is a ticket-less concept. It provides total fulfillment for the passenger without the worry of lost or forgotten tickets. Electronic Ticketing provides agencies with the opportunity to reduce administrative costs and, at the same time, provide a higher level of service to travelers. This is critical at a time when costs are growing for a revenue source that is decreasing.

COMPANY PROFILE
We at SavvyTech are committed towards developing IT solutions for business problems and operations. Our guiding philosophy remains the use of IT to empower end users to take control of the problems and opportunities that arise and maximize their return. With this vision that we have successfully developed a number of business and e-business suites, namely: Frank wood Accounting System Jewel Project Management Software Moonshine Enterprise Resource Planning System To take e-business one step further, we are now launching e-ticketing software for airlines so as to allow them to integrate Information Technology with their operations.

MISSION

To leverage the power of Information Technology, in order to provide a competitive advantage to the new as well as to the existing airlines.

BRAND ELEMENTS
BRAND NAME: Ticketless travel SLOGAN: The only pre-requisite is your will to fly LOGO:

BRAND OBJECTIVES
Cost Savings - Reduce the costs associated with printing and mailing tickets to your ticket buyers. Eliminate or reduce the need for ticket stock, envelopes and postage.

Labor Savings - Reduce the labor associated with printing and mailing tickets. Cut down on the effort required to retrieve tickets for Will Call pick up orders.

Safe and Secure - E-Tickets are safe and secure. Barcode validation eliminates the possibility of counterfeit and duplicate tickets.

Actual Attendance Reporting - Find out how many of your e-ticket patrons attended your event and when they arrived.

Instant Delivery - Ticket buyers love being able to print their tickets immediately. There's no need to wait for the mail or wait in line at the event. Customers can print their electronic tickets immediately after they purchase them. This makes e-tickets ideal for the last minute gift or the last minute decision.

Additional Information - E-Tickets provide space for additional useful information such as street maps, driving directions, and other information your customers may need to know

STRATEGY AND OPERATIONAL PLAN


An understanding of the business process is imperative before we begin with the marketing plan for the new idea that we are presenting. We begin with the traditional ticketing services for airlines. All the established airlines presently make use of two channels to sell their tickets to the market: Ticketing Agents, also called Travel Agents Airlines own sales offices and branches in the city.

The conventional ticketing process therefore follows as shown under:

The Airlines sell the tickets to their customer through these two channels. The process involves getting to the sales office or to the travel agency, checking to see if the seat is available at the requisite date and then making a reservation. The hassles of traveling to the busy areas where the sales offices are located and the loss of time in traffic jam etc. where some of the problems that all the people faced. Besides, one other problem was for the stand-by flyers, which would have to wait till the very end to see if the seats are available. Furthermore, very often, the ticketing agents would not pass on the promotional deals of the airlines on to the customers and would hold them back for themselves. The new ticket selling idea is very popular abroad, particularly in the European countries and America. E-Tickets are very popular over there and are fast displacing the conventional ticketing ways. Under the new system for ticketing, which we have named Ticketless Travel the procedure will be as shown below:

What we propose to sell is a solution to the ticketing needs of the Airlines, making full use of the Information Technology. We are selling a complete package to the Airlines that will allow them to leverage the power of Information Technology to gain a strategic advantage and a competitive edge over their competitors. Our product offering or the product package to the Airlines includes:

The Airlines shall be promoting the e-ticketing services to their customers, and we would be carrying out the e-ticketing operations for them. The Airlines shall host e-ticketing services, and complaints sections on their websites, from where the e-ticketing customers and relevant services to be provided will be carried out by us.

MARKET SEGMENTATION

We plan to target the Airlines already operating on domestic routes The Airlines already operating on domestic routes The established Airlines include PIA, Air Blue, and Shaheen Air.

Though sales pitch of our segment will be fundamentally same, advertise the benefits and advantages of e-ticketing, and to ride the IT wave to project an image of a progressive forward looking company. Our way of promoting the existing Airlines would differ from soon-to-enter Airline (if any). The strategy is developed to not only sustain existing users but to build new ones. More over to provide them leverage of IT.

SWOT ANALYSIS
STRENGTHS
1. No waiting for the tickets to be delivered. The conventional ticket buying involves traveling to the ticketing agents at the designated outlets and then procuring a ticket, which obviously takes a lot of time. With the concept of e-tickets, this time lag can be avoided. 2. Purchase e-tickets any time any day. The website is accessible 24 hours without any delay, and hence you could buy tickets and get reservation anytime of the given day. 3. Saves time by avoiding check-in-line. At the time of reservation, you will be issued a pin number, which allows for faster processing at check-in-line at check-in-counters. 4. No hassle of a lost ticket. It often happens with the conventional paper tickets that the loss of one means your inability to travel. With e-tickets your pin number is electronically saved with us, and in case you forget the number, we could verify your reservation with your N.I.C number. 5. Price is comparatively lower, considering the reduced traveling charges to the reservation offices. 6. Best friend of the frequent flyer, saving time, money and the usual hassles of ticket reservation. 7. No fees for prepaid tickets or overnight courier service. Also, with the conventional system, you will often need to pay more to have the tickets mailed to you on a short notice. E-tickets are the fastest mode there could possibly be. 8. Customer empowerment. Elimination of intermediaries. Customers can choose from a number of packages offered by the airlines without having the agents holding back the benefits and advantages for themselves instead of passing them forward to the customers.

WEAKNESS
1. Many employees are unaware of this technology. They might get confused with the traditional ticketing system and these e-tickets, since both will be present for the same airline. And being unaware of the greater advantages of e-tickets over the conventional tickets, they might not make use of this great facility. 2. Infrequent travelers dont consider it to be a good option. They consider it to be highly risky, which often is due to their lesser reliance on the Internet based ecommerce methods, thus fearing the loss of security and privacy. 3. Problems with hacking and people who generate false e-tickets. In some cases, this could be a probability, as hacking still remains a potent threat.

OPPORTUNITIES
1. If the idea is successful at the domestic level, we can push it into the international arena available on international flights as well. Initially, we are planning to launch e-tickets for domestic flights 2. Collaboration with Hotels and rent-a-car services, to make the package more appealing to the customers. This would follow once the plan for e-tickets is successful at the initial phase. 3. Once successful for domestic flights, joint ventures with other airlines, using such a facility for e-tickets, could follow.

THREATS

1. Both airport security and airlines demand more documentation of the ticketed status and personal identification, in keeping with the security protocol. 2. Threat of being copied or substituted by aspiring competitors. Also other airlines might generate an in-house development on the same lines as ours. 3. Can become a generic service and the name of the innovator might be diluted. E-tickets are a new concept in this region and hence there exists a tendency for people to adopt this name for a variety of services other than ours.

PROMOTION STRATEGIES
1. Presentations and face-to-face meetings and proposals will be used extensively to persuade the buyers and pushing our product through to close a deal. 2. We intend to make use of direct marketing such as telemarketing and sending out written material e.g. brochures. 3. Emphasize our advantages and the disadvantages of the conventional ticketed system. Our success depends on how well we succeed in positioning our product vis--vis the conventional ticketing styles. And how well we are able to do it, shall determine the good prospects for us. 4. This feature is successfully implemented in EU and US. Thus, for airlines looking to expand into the future and portraying a technologically superior image, will be lured into adapting to this trend, making use of our product. 5. The customer is becoming more technologically advanced, so this venture could be popular. The airlines, in targeting the techno-savvy customers, would want to take up this product if the idea is put forward to them in a way that emphasizes customer benefits and consequently increased sales for the airlines. 6. Selective Public relations techniques like answering queries of customers and arranging press conferences and press releases would help in securing a sustainable awareness for our product. If the market response is positive, airlines would be interested in what we have to offer. This would be our pull-strategy.

PRODUCT STRATEGY
Selling the whole package to the airline. The package will include: E-ticketing Software and a customizable interface to be used with the airlines existing reservation systems.

Customizable Website, designed as per the users specifications. The degree of customization for the website shall be allowed to the extent that it does not interfere with the proper working of the software provided, and does not affect its interoperability.

Training provided to the operators who would be the end-users of this software. Training would include the proper orientation with the software, its different functionalities, trouble-shooting methodologies and issues regarding the software implementation.

Consultancy services, based on a contractual agreement, for timely inspection of the system, and suggesting improvements, up gradation if available and customization issues. REQUIREMENTS The e-ticketing system we provide is designed as an open solution, i.e., it can run on a variety of hardware/software environments such as UNIX, Windows

NT, or OS/400 on Sun, IBM, or HP servers, Intel-based servers, and IBM servers.

PRODUCT POSITIONING
We will position our product on the following grounds: No waiting for the ticket to be delivered. Purchase e-tickets anytime. No hassle of a lost ticket. No fees for over-night charges. Save time, and money Customer Empowerment. All of these have been discussed in detail in the Strengths. Our overall positioning strategy will revolve around one key theme, E-Tickets are the fastest and the most efficient way to sell tickets

DISTRIBUTION STRATEGY

We target only the airlines. As such, we would depend heavily on personal selling to the airlines that is borne out by the fact that, firstly, the product is unique and complex with a lot of technical details involved that need to be communicated to the future buyer. Secondly, the product is expensive and involves high costs, thus negotiations and bargaining will follow. Lastly, the nature of the product may allow for a considerable degree of customization. Given these reasons, personal selling as a promotional tool remains our best option.

MARKETING COMMUNICATION
THROUGH ADVARTISEMENTS: (OUR BILLBOARD)

OUR E-TICKETING BROCHURE

FINANCIAL BUDGET

HARDWARE REQUIREMENT
Cost 1. ML-550 Compaq Dual Processor 2. ML-750 Quartz Processor (x 2) ( 2 GHz Processors) 3. Router Cisco (x 2) 4. Uninterrupted Power Supply Rs. Rs. 70,000-75,000 15,000 Rs. Rs. 0.6 0.8 million million

BANDWIDTH LINK REQUIREMENT

A 512K uplink costing roughly between Rs. 30,000 to Rs. 40,000 per month.

ENCRYPTION REQUIREMENT
An Encryption Key from VERSIGN costing Rs. 35,000.

SOFTWARE REQUIREMENT
The Programming Package for our package would be JAVA based.

HUMAN RESOURCE REQUIREMENTS


5 Developers 1 Tester Supervising and Administrative Team The developers will be employed at Rs.15,000 Rs. 25,000 per month, and the time frame for the development of the software will be fixed tentatively at 3 months. Total cost (approximate) Rs. 1,710,000 Cost per package (approximate) Rs. 285,000 Estimated sales 6 airlines Estimated sales price (12.5% markup)Rs. 320,625 Maintenance charges (annually) Rs.50,000

PRICING STRATEGIES
We plan to follow a two-tier pricing strategy based on a COST-PLUS PRICING APPROACH to set the total cost to the Airlines for implementing our package. Our initial price would cover the total development charges for the system investigation, analysis, design and implementation of the package. This would include analyzing the system for a feasibility study, determining user specification, system specification; customer needs analysis, consumer requirement analysis, and our proposed solution towards meeting these requirements. Our maintenance price would include system monitoring, evaluating and modification as part of the post-implementation review process. Based on these considerations, we have priced our product as below:

Initial Cost + 12.5% Markup Maintenance Fee charged annually (quoted at Rs. 50,000) Estimated Sales Price (12.5% markup) Maintenance Charges (annually) Rs. 320,000 Rs. 50,000

CONTROLS
The control process follows as given:

OBJECTIVES
12.5% Profit Margin Maximum deviation of Rs.20,000 - Rs. 50,000 to be maintained in the projected cost structure. Providing total customer satisfaction in terms of servicing needs and technical assistance. Establishing good and long-term relationships with the customer.

MEASURING RESULTS
We expect to measure our conformance to the objectives by using the following methods:

Nature of consumer and customer complaints (i.e. technical or non technical etc.) Number of consumer and customer complaints and inquiries received and answered.

Previous number of flight attendances and the new ticket sales after e ticketing is launched. Percentage increase in our clients profits Our own profit and revenue EVALUATING RESULTS In this stage we are going to analyze how far are our standards met. The actual measures are going to be compared with the standards. Difference in the projected and the actual profits and the reason for such a difference If a complaint is constantly occurring then there has to be some problem with the system or the software. If the flight attendance is lower than projected or even lower than that of the previous system, then the matter has to scrutinized and looked into. CORRECTIVE ACTION Sending teams to monitor the performance of the system on a quarterly basis. Meeting customers complaint within 48 hours Updating the system in view of the new technology or advancements.

Sample Website (Proposed)


Please Choose the location you would like to enter:

Source: http://www.e-ticketsinc.com

ARTICLES REFERRED TO
www.satotravel.com/images/satologo.gif

TRAVEL
What you need to know about e-tickets
What is e-ticketing?

TIPS

E-ticketing is a service that creates a convenient electronic airline ticket, rather than the traditional paper or card ticket. All information that is printed on a paper ticket is stored electronically in the airline's computer database. How does it work? 1. Make your flight arrangements with your SatoTravel travel agent. 2. When you're ready to purchase a ticket, your travel agent sends an electronic message to the airline confirming that your reservation has been ticketed. 3. Your travel agent will provide you with a confirmation number and will fax or e-mail a copy of your itinerary for use as supporting documentation for reimbursement purposes. 4. When you check-in for your flight, provide the gate agent with your confirmation number and photo identification. The gate agent will then issue your boarding pass when applicable. When can I not use an e-ticket? International: flights

Some airlines have started e-ticketing on a select number of international markets, but most international flights still require paper tickets. Customs agents require, however, that you have in your possession proof of your scheduled return. So if you travel internationally with an eticket, be sure to have a copy of your full itinerary to present upon demand.

Flying on more than one airline:

If you are traveling outbound on one airline and returning on another, e-ticketing may not be allowed. However, if the two airlines are part of an alliance, it may be possible. Your SatoTravel agent will always recommend e-tickets whenever they are available.

Did you know?

Making changes to your e-ticket will save you time and expense. Instead of having to deliver or mail your flight coupons to your SatoTravel agent when a change is made to your reservation, you need only advise of the required change and your agent will handle the rest. Airlines currently charge approximately $70 to research and refund a lost paper ticket. Using e-tickets eliminates the worry of losing or forgetting your ticket.

The information above is provided as a service and any details and/or industry rules and regulations are subject to change at any time. Please contact your SatoTravel travel agent with any questions.

EXPECTED FINANCIAL PROJECTIONS

Firm sells a package of cost= 285000, total package sales in a year are 36. Selling price per package is 320,625 i.e.; 12.5% mark up on cost. Firms total investment is 1710,000, working capital 500,000 expected growth in sales 10% and expected increase in cost is 6%. The firm will no longer depreciated and takes advantage directly by paying low tax rates from the market i.e. 20% tax on profits. Evaluation on financial ground The cost of the capital will recover within a year (11 months). Net present value (NPV) for five years with expected cash flows presented in above sheet. Tells that this is a feasible project with positive NPV. Internal rate of return (IRR) 114%, so we will go with the project.

APPENDIX
BIBLIOGRAPHY
WWW.ETICKETSSOFTWARE.COM/SITE/PRODUCTS/MARKETING.HTML WWW.SATOTRAVEL.COM/IMAGES/SATOLOGO.GIF WWW.E-TICKETSINC.COM/ WWW.PRICELINE.COM