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Brand Positioning - Vistara Airlines

CASE FLYER, BRAND MANAGEMENT
ET Cases, 4 pages
AUTHOR(S) : A.J. Swapna and Dr. Nagendra V. Chowdary

Case Preview

Brand Positioning - Vistara Airlines

 

Expected Learning Outcomes

• Understand the industry structure and business dynamics of Indian aviation industry
• Familiarize concepts of brand positioning, Points of Parity and Points of Differentiation with the help of Vistara’s brand positioning
• Examine brand positioning guidelines and assess Vistara’s brand positioning

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I. Indian Airline Industry: Industry Structure and Business Dynamics

1. Have you flown with any Indian airline? If yes, name the airline/s.

2. Why did you choose the airline/s to fly with? Have you used the same airline/s repeatedly?

3. List the categories of service carriers and the respective players’ of the Indian airline industry.

4. What do you think are the Key Performance Indicators (KPI) for an airline business? How do you think the Indian airline companies fare in the mentioned KPIs?

5. .........................

II. Vistara’s Brand Positioning: Points of Parity vs Points of Differentiation

1. Analyze the following for Vistara’s brand:

i. name
ii. logo and colors

2. Analyze the exhibit given (An Unexciting Take Off ) in the accompanying article, of the ‘First 100 days of Vistara’s launch’.

3. Inferring from the exhibit analyzed elucidate the reasons for the ‘less than impressive’ performance of Vistara. Do you think its performance would improve once the scale of operations (number of flights per day, number of destinations and the number of aircraft) increase?

4. ............

............................

Teaching Note Preview

Brand Positioning - Vistara Airlines

 

Synopsis

This case flyer offers an overview of Brand Positioning and the Structure of Indian Aviation Industry. It connects these concepts to identify and establish Points of Parity and Points of Differentiation. It further examines the brand positioning guidelines of Vistara airlines in the light of these guidelines.

Prerequisite Conceptual Understanding (PCU)/Before the Classroom Discussion

This case flyer presupposes an understanding of the concepts of Brand Positioning. Students should have a basic understanding of the Indian Aviation Industry, the respective players, the taglines of each of the players and the Key Performance Indicators. Students/participants were asked to read the following chapter and articles to help them better connect the concepts:

  • • Kevin Lane Keller, et al., “Brand Positioning”, Strategic Brand Management, 3rd Edition, Pearson Education, Inc., 2011– To understand the concepts and guidelines of Brand Positioning
  • • Kevin Lane Keller, et al., “Choosing Brand Elements to Build Brand Equity”, Strategic Brand Management, 3rd Edition, Pearson Education, Inc., 2011– To understand the CBBE Model of Brand Equity
  • • www.dgca.nic.in/ – For a brief on Indian Aviation Industry
  • • http://rayandkeshavan.com/work/vistara/ – For understanding the branding framework of Vistara
  • • https://www.airvistara.com/trip/press-releases#press-title-73 – To have a glimpse of all the press releases related to Vistara Airlines

 

Case Positioning and Setting

This case flyer can be used for the following:

  • • MBA Program: This case flyer can be used for Brand Management course to understand the role of identifying and establishing brand positioning in enhancing brands equity
  • • MDPs/EDPs: This case flyer can also be used in Management and Executive Development Programs to demonstrate how brands build brand equity based on its brand positioning

 

Case Flyer Analysis and Classroom Discussion

Preamble to this Case flyer Analysis

This case flyer provides an opportunity to learn the basics of brand positioning in the light of Vistara, the first Indian airline to have 3-cabin format in the same flight. While Vistara’s performance during first 100-days and during the first nine months of its launch clearly provides a cue on its brand positioning, the business dynamics too play an important role. Accordingly, this case flyer was discussed in the following way, Exhibit (TN)-I:....................

I. Indian Airline Industry: Industry Structure and Business Dynamics

The purpose of the first segment/section of this case flyer is to let the students/participants understand industry structure and business dynamics of Indian Airline industry and airline business. Without a reasonable understanding of these, it wouldn’t be prudent to connect the dots between Vistara’s brand positioning vis-à-vis the Points of Parity and Points of Differentiation.

1. Have you flown with any Indian airline? If yes, name the airline/s.

• Majority of the participants said that they have travelled by almost all the domestic flights which operate in India. Out of the 72 participants, the numbers arrived at were:

• 20 of the participants responded that they have used Indigo Air,
• 15 – Spicejet,
• 12 – Air India,
• 10 – Jet Airways,
• 6 – Go Air,
• 5 – Air Costa,
• 3 – Air Asia and
• 1 – Vistara [Exhibit (TN)-II].

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Exhibits

Exhibit (TN)-I: Suggested Classroom Orchestration

Exhibit (TN)-II: Airlines Opted by the Students

Exhibit (TN)-III: Airlines Opted by the Students

Exhibit (TN)-IV: Categories of Airline Carriers

Exhibit (TN)-V: The Branding Cycle

Exhibit (TN)-VI: Customer Segments of Indian Airline Companies

Exhibit (TN)-VII: Taglines of Indian Airline Companies

Exhibit (TN)-VIII: Relationship Between Brand Positioning & Brand Performance

Exhibit (TN)-IX: Vistara Brand Elements

Exhibit (TN)-X: Vistara's Mystifying Fares (in INR)

Exhibit (TN)-XI: Vistara's PoP and PoD

Exhibit (TN)-XII: 7-Approaches to Positioning Strategy & Vistara's Positioning Strategy

Exhibit (TN)-XIII: PoD Guidelines and Vistara's Assessment

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Abstract

Best Selling Case Flyer
This case flyer based on The Economic Times article "Brand Vistara: Five Questions after 100 Days" (April 28th 2015), by Anirban Chowdhury, is meant to evaluate Vistara Airline's brand positioning. Being a third full-service carrier, Vistara launched its inaugural flight from Delhi to Mumbai on January 9th 2015. While the launch of Vistara airlines marks the re-entry of Tata Group in the airline business after over six decades, its first 100-days have been turbulent. The Tata-Singapore Airlines' full service did not have a spectacular start as expected. Vistara in Sanskrit means 'limitless exposure'. The airline draws inspiration from the brand's domain - the limitless sky. Being the first ever-Indian airline to have the 3-cabin format on the same flight, Vistara's brand positioning is questioned. Though Vistara has carved a niche in the aviation space with its premium economy segment, lukewarm occupancy in its business class segment is a worrying factor for Vistara. As Vistara has a long way to go to either tap the potential or realize its goal, should its brand positioning be revisited?



Pedagogical Objectives

  • To understand the industry structure and business dynamics of Indian aviation industry
  • To have an overview of identifying and establishing brand positioning including establishing Points of Parity and Points of Differentiation with the help of Vistara’s brand positioning
  • To examine brand positioning guidelines and assess Vistara’s brand positioning in the light of these guidelines

Case Positioning and Setting

This case flyer can be used for the following:

  • In MBA Program: This case flyer can be used for Brand Management course to understand the role of identifying and establishing brand positioning in enhancing brands equity
  • In MDPs/EDPs: This case flyer can also be used in Management and Executive Development Programs to demonstrate how brands build brand equity based on its brand positioning


This Case Pack Includes:
- Abstract
- Case Flyer
- Analysis


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