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Transport Marketing

Introduction Marketing Mix for Rail, Road and Air transport Transport Marketing in Indian perspective
Problems faced by bus and trucking industry Rail Road coordination National and State highways Importance of road transportation in the Indian economy

Service Sector Management

Indian Railways The largest railway in Asia The fourth most heavily used system in the world Carries 14 million passengers a day Track route length more than 65,000 kilometers 2,07,719 units of freight cars, 45,350 passenger cars, 6909 stations and 14,06,400 staff. It operates 8984 passenger trains everyday

Indian Roads Length of 2 million kilometers More than 20,000 kilometers of highways Carry almost 60 percent of the countrys passenger traffic and 40 percent of freight
Service Sector Management

Maritime Transport in India

India has 12 major and 185 minor ports More than 16,000 kilometers of inland waterways

Airports

India has 60 airports, including 11 international airports

Two airlines (Air India and Indian Airlines) and one helicopter service (Pawan Hans) owned by government

Service Sector Management

Marketing Mix for Rail Transport


Product
Passenger Traffic Coaches (Seating, berths, leg room, elbow room, double decks) Reservation Lighting Catering Water Sanitation Bed rolls Medical aid Services at the railway stations
Service Sector Management

Freight Traffic- (agricultural and industrial activities) Types of wagons- BOX, BOY, BCA, TANK, BCX Services- Domestic Container Service Freight Forwarder scheme Quick Transit Scheme Speed Link Express Trains Street Collection etc

Mail Traffic (Railway Mail Services) On time services, quicker delivery, professionalism in management, wider coverage in remote areas
Service Sector Management

Pricing (Deciding the fare and freight rate)


Principles of pricing: Cost and Value of service What the traffic will bear Equal Mileage Rate Principle (fixed rate/km) Differential charging Zonal charging

Suggestions to improve pricing for Indian Railways to make it more profitable

Service Sector Management

Place
Distribution of services to many remote areas
Online Facilities: Passengers Current Status Enquiry Fare Enquiry Reservations Train Between Important Stations Upgraded Passenger Scheme/Chart Weekly Availability at Stations Tatkal Scheme
Service Sector Management

People
Training for employees: More than 2,00,000 staff is imparted training every year, enabling its officers and staffs in acquiring knowledge and new set of technical and managerial skills Target customers: A wide coverage, all age groups, all incomes levels, occupations office going, businessmen, short haul as well as long haul journey passengers

Service Sector Management

Role Of Information Technology in Railways


Mobile Ticketing Web Ticketing Kiosk- basd Ticketing Time Table and Scheduling System available on demand Passenger Information Display System Passenger Reservation System Solution Unreserved Ticketing System for railways

Service Sector Management

Marketing Mix for Road transport


Product
Road Transport Corporations, Inter State Road Transport Organisations or travel agencies/individuals engaged in road transport business to carry passengers or goods from one place to another Roads as well as vehicles plying on these roads need up gradation and regular maintenance Maintenance of roads includes drainage, provision of road side amenities, landscaping/horticulture etc need special attention
Service Sector Management

Price
For state road transport corporations, pricing structure cannot be changed with a change/hike in the prices of the input This affects their financial health and it reflects on the qualify of services offered Profit making private organizations can change prices according to cost incurred, seasonal demand, emerging trends etc

Place
Better distribution/network of services than rail, in terms of reach

Service Sector Management

Problems faced by Bus and Trucking industry


The Public Road Transport Organizations A financial crunch The quality of people are not literate and are poor Inefficient management Old generation buses Poor Quality Seating Inefficient and Unfair employees No support from State Government regarding their revival, a rigid attitude of the Indian industry. A strong competition from the private companies Non rational fare & freight structures. Technology has not reached to the core of this sector. It is not possible to keep a surveillance on the bus & truck drivers regarding their routes, fuel details etc. making it difficult for the transporters to modernise.
Service Sector Management

Service Triangle
The company- Transport Ind.

Providers- BEST

Customers

Service Sector Management

Rail Road Co-ordination


Railways 1. Roadways

Service Sector Management

Road Transportation Indian Economy


Roads a great importance to Indian Economy Better product mix is needed to divert all long distance traffic to road traffic. Government could invite the private sector for construction of roadsToll taxes being their income. India is portrayed as a Tourist country, so to ease travel, roads provide for maximum social advantage. Road transportation a critical element in the transportation infrastructure Road construction & maintenance generate employment opportunities. Old buses or trucks should be replaced with new modern buses to attract passenger traffic & also check on their safety. Road transportation- needed for development of trade & commerce.

Service Sector Management

Marketing Mix for Air transport


Product Price

Promotion
People Place
Service Sector Management

Product
On ground Services - Duty free Shopping - Reservation Counters - Flight Information Display - Baggage Screening - Check In In Flight Services - Free Water - Food - Comfortable Seating Arrangement

Service Sector Management

Price
Low Fare Pricing Value for Money Pricing Premium Pricing

Promotion
Frequent Flier Points Inflight On demand Movies Travel Reward Programmes

Service Sector Management

Place
Booking offices of Airways Travel Agents Office

People
Air-hostess On-Ground Staff Pilots Tour Operating Agents

Process
Computerized reservation system Baggage Handling
Service Sector Management

Process (Service Map) 1. Ticket booking 2. Ticket Processing 3. Ticket Delivery 4. Customer reaching the airport 5. Boarding Pass 6. Security Check 7. Inside the aircraft, refreshments is served before he reaches his final destination. 8. A pre-paid cab is also arranged for the customers add-on journey from the airport.

Service Sector Management

Transport Marketing in Indian perspective


In India transport business is found profitable- large population Managerial proficiency is needed to transform potential transport uses to actual users. Marketing Mix should be reviewed keeping in mind the socio-economic requirements. A suitable product mix helps in satisfying the users, strengthens the capacity of the organization to face competition & generate profits. Technology needs to be brought into every sector of the transport industry. Innovative marketing practices should be implemented. Indian railways: suggestion Indian Roadways : suggestion Waterways : needs to be highlighted since India is mostly surrounded by water. No. of lakes & rivers in our country.

Service Sector Management