Marketing Plan

For Aircraft Engine Overhaul and Repair Firm

Name
Institution
 Market Situation
Generally referred to as MRO market
Began in the 1970s by motivation of profits and productivity
Technicians were idle in-between in-house repair and
maintenance jobs (Borkowski, 2013)
Commercial jet transport the largest
Makes up the entire MRO market
6 core segments include (Borkowski, 2013):
major airlines, regional airlines, & air taxi/charter services
(commercial jet transport);
Independent maintenance, repair, & overhaul stations;
In-house corporate flight departments;
Military/government repair facilities;
FBOs flight/aircraft mechanic schools & training facilities
 Market Situation Contd
As of 2005, industry employed more than 1, 679
professionals
Most working with major national and regional airlines
Analysis indicate a steady growth in next 10 years
(Borkowski, 2013)
Market further segmented into 4:
heavy maintenance visits & major modifications or retrofits
(HMV/mods);
engine overhaul;
component overhaul;
regular line maintenance.
Worldwide aircraft fleet estimate to reach 41, 530
( 44% increase from current 21,500)
 Market Forecast: Opportunity
Analysis
Aircraft engine MRO market is expected to be worth
$65.6bn in 2016.
Moderate growth expected over the next decade
Growth to be driven by increasing volume of aircraft
traffic
However, growth would be offset by certain factors
Emerging markets to report highest growth rates
Will be driven by rapid expansion in airline transport
infrastructure (Borkowski, 2013)
Innovation and development in MRO practices to be
driven by introduction of new aircrafts e.g.
Boeing 787
Airbus A350
 Market Forecast: Opportunity
Analysis Contd
New generation aircrafts rising in number
Expected to, at first, lead to a contraction in MRO
activities
Reason: reliability and low number of flight cycles
A lot of pressure on established MRO firms
(Borkowski, 2013)
Attributed to emerging OEMs into aftermarket
Thus, increase in competition in aircraft MRO
market
Might result in consolidation among leading firms
Understanding various submarkets and their
forecasts
Forces influencing market dynamics
 Important things to Note
Innovation and opportunities
Regulatory legislations and frameworks
Tailored products and Solutions
Continuing advancement of MRO solutions and
processes
Integration and packaging of MRO products to
suit clients
Expected effect of the existence of OEMs in the
aftermarket
 Reference

Borkowski, J. (2013). Aircraft Maintenance Repair

and Overhaul Market Study. Glasgow.