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There's a bargain and then there's...

Bigstock-Stretched-Money-12016097_opt...ridiculous.  

As you might imagine -- good marketing is all about walking that fine line.

If your customer base is cost conscious, one of the ways you can make them feel like they're not only getting a good deal but that they're also in control of their buying decision is to give them choices.

The key is knowing when you've stomped all over the fine line.

I thought Allegiant went too far when they announced they were going to start charging for sodas. But Frontier Airline makes that foolishness look like reasoned thinking with their announcement today that they're going to start charging for the overhead bin space.

Depending on when you book your overhead bin space -- it could cost you anywhere from $25-$50 per bag.  Add to that -- if you want to actually select your seat (meaning anything but the middle seat) you'll have to pay for that too.  $3 for reserving a seat in advance if you do it while booking online and $8 if you choose it at the airport.

Most people already feel like they're part of a cattle herd when they fly. These additional fees and changes continue to de-value the experience and make the customers feel less valued and less important.  That's not exactly marketing 101.

In fact, there's a few marketing caveats that seem in danger here.

Don't give someone too many choices:  It's been proven that too many choices can actually paralyze a buyer -- leaving their wallet frozen in place.  While consumer do like to feel in control, they don't like to feel overwhelmed.

Economical is one thing, cheap is another: Most people enjoy saving money but they also want to believe they are spending their money on something of value.  You don't want your customers to feel nickeled and dimed on their way to saving a couple pennies.

Understand your reputation: If you're in an industry that consumers are already pretty disgusted with -- you might want to keep your eye on the customer service aspect of your choices. In fact, out of 43 industries, airlines rank 40th in terms of satisfaction (the only industries consumers hate more are Internet service providers, Internet social media companies, and subscription TV services), according to data released Tuesday by the American Customer Satisfaction Index.

Serve your best customers best:  I think these airlines are aiming for the occasional budget conscious flier, not a frequent traveler. I'm not so sure it makes a lot of sense to build your product to capture your least frequent customers.

Only time will tell if airlines like Frontier and Allegiant are making a smart play or if it's going to cost them marketshare. But they are certainly playing with fire.  

Would these new changes and charges influence your buying decision one way or the other?

~ Drew McLellan, Top Dog at McLellan Marketing Group

 

 

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