Lufthansa SWOT Analysis, USP & Competitors

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SWOT Analysis of Lufthansa with USP, Competition, STP (Segmentation, Targeting, Positioning) - Marketing Analysis

Lufthansa

Parent Company

Lufthansa Group

Category

International

Sector

Airlines

Tagline/ Slogan

There's no better way to fly; Non stop you

USP

Lufthansa is one of the largest airline in Europe in terms of overall passengers carried and fleet size

Lufthansa STP

Segment

Passengers preferring comfort/reliability/quality service

Target Group

Upper middle class/ business men / leisure travellers

Positioning

Lufthansa gives the best airline service non stop

Lufthansa SWOT Analysis

Strengths

1. Lufthansa is one of the largest & founding member of Star Alliance
2. Lufthansa is one of the leading IT service provider for aviation industry, maintenance, meal services etc
3. Strong image associated with German Engineering
4. Lufthansa is a strong status symbol amongst Corporate/Business men

5. Has a strong workforce of over 100,000+ employees

6. Lufthansa serves over 200 international destinations in nearly 80 countries

7. Lufthansa has a strong brand presence owing to sponsorship and marketing efforts by the company

8. Exclusive services for customers like lounges, frequent flyer programs, first/ business class services etc

9. Lufthansa, apart from passenger airlines, has a strong presence in cargo and logistics as well

Weaknesses

1. Past incidents and accidents often affect the brand image

2. Market share growth of Lufthansa restricted due to pressure from competition

Opportunities

1. Being the largest member of Star Alliance Lufthansa have scope to acquire some smaller players
2. More penetration in emerging economies tapping the high-end customers
3. Improvement in experience and high-quality services to customers

Threats

1. Increased international competition affects market share of Lufthansa

2. Low cost airlines affect passenger volume of the airlines

4. Rising fuel prices, high labor costs and govt regulations affects margins

Competition

Competitors

1. Air India

2. Singapore Airlines

3. Etihad Airways

4. Malaysia Airlines

5. Qatar Airways

6. Qantas Airways

7. Emirates

8. British Airways

9. Turkish Airlines

10. Air France

11. Virgin Atlantic

12. United Airlines

13. KLM


The table above concludes the Lufthansa SWOT analysis along with its marketing and brand parameters.

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