How Winners Make Choices (Kiezen voor Winst) - Brussels Airlines Has To Choose

HAS TO CHOOSEA source of inspiration for companies with ambition| www.howwinnersmakechoices.com

Dilemma in the Airline Industry:High Price or Large Volume as Strategy

HOW WINNERS MAKE CHOICES: A SOURCE OF INSPIRATION FOR COMPANIES WITH AMBITION

KLM vs. Ryanair

Amsterdam - London Heathrow: €418

Eindhoven - London Stansted: €60 - €245


What Does KLM Offer to Justify High Prices?

Sherlock the Dog Loyalty Program Meet & Seat Social Media


What Does Ryanair Do To Take Full Advantage of the Capacity of Their Planes?

1: Larger Number of Seats(148 seats vs. 128 seats other airline, same plane)

2: Use of Secondary Airports (=> faster turnaround time, ~25 min. in comparison to ~45 min.)

3: Only Direct Flights(Direct flights, shorter routes => fewer connection problems)

4: No Bells and Whistles + Standardized Fleet(Avoid costs for entertainment, lounges, catering + cheaper maintainance and training)


What Does Brussels Airlines Do?

Relatively high prices, more expensive than Ryanair but cheaper than KLM

Service is worse than KLM but better than Ryanair

Two loyalty programs (Miles and More; Loops) that confuses customers

Meals sometimes developed by a famous two Michelin starred chef, sometimes developed by an average local catering company

Capacity utilization varies strongly, delivering an inconsistent experience


Brussels Airlines: “Stuck-In-The-Middle”?1

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Stuck-In-The-Middle1

1

If you try to come up with a strategy that does everything for everyone,

you will likely end up achieving nothing.

Michael Porter, Harvard Business School

“”


Is Your Company Also “Stuck-In-The-Middle“?Take The Test

1

1

1. Our company’s innovation performance is... __ /102. Our company’s brand image is... __ /103. Our company’s speed at which we develop new features or offerings is... __ /10

4. Our company’s customer satisfaction is... __ /105. Our company’s customer service is... __ /106. Our company’s knowledge of its customers is... __ /10

7. Our company’s efficiency is... __ /108. Our company’s ability to keep costs low is... __ /109. Our company’s cost structure is... __ /10

In comparison to our competitors,

1

2

3

1 = the worst in our

industry

10 = the best in our

industry


Is Your Company Also “Stuck-In-The-Middle“?Sum Up The Scores

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Product Leadership (question 1 + 2 + 3) = ___ / 30

Customer Intimacy (question 4 + 5 + 6) = ___ / 30

Operational Excellence (questions 7 + 8 + 9) = ___ / 30

1

2

3

Customer Intimacy

ProductLeadership

Operational Excellence

90


Is Your Company Also “Stuck–In-The-Middle“?To Which Category Do You Belong To?

1

3 30

3 30

3 30

To Which Categyory Do You Belong To?

Do you score 27 points or more in one category? Then you are certainly not “stuck-in-the-middle” but you excel in one or more dimensions!

Is your highest score in a category 24, 25 or 26 points? Then you are in danger of being “stuck-in-the-middle”!

Is your highest score below 24, then you are “stuck-in-the-middle” and you already feel the concequences! (you need to start making some tough choices!!)

Product Leadership

Customer Intimacy

Operational Excellence


HOW WINNERS MAKE CHOICES

A SOURCE OF INSPIRATION FOR COMPANIES WITH AMBITION

BRUSSELS AIRLINES HAS TO CHOOSE