Valuair SWOT Analysis, Competitors & USP

Valuair

Parent Company

Jetstar Asia Airways

Category

Airline

Sector

Airlines

Tagline/ Slogan

Way Smarter

USP

Low cost carrier while retaining the benefits of frills

Valuair STP

Segment

Low cost airlines

Target Group

Travelers wanting a low cost fare but unwilling to give up on extra amenities

Positioning

Airline with extra frills without compromising on low cost tickets.

Valuair SWOT Analysis

Strengths

Below is the Strengths, Weaknesses, Opportunities & Threats (SWOT) Analysis of Valuair :

1. Able to provide better service than competing low cost carriers while still retaining sizeable profit margins
2. Boom in SEA tourism industry leading to high capacity utilization across its routes
3. Extensive domestic and regional presence as it is one of the top three service providers

4. Strong  route network serving both domestic and international routes

5. Value for money for the people travelling in the South East Asian region

Weaknesses

1. Employees strike’s always a concern due to strong unions and low wages
2. High maintenance overhead due to aging aircrafts and limited brand visibilty

Opportunities

1. Route expansion in SEA with increase in demand due to tourism
2. Increase in share of business travelers who like frills
3. Introduction of new ticket tiers can attract customers who like to customize the service and frills they are buying

Threats

1. High fuel costs diminishing margin per ticket
2. Intense competition from other low cost carriers
3. 80% of costs are fixed which can impact profit if flights don’t run on high capacity

Valuair Competition

Competitors

Below are the 5 main Valuair competitors :

1. Tigerair 
2. Lion Air
3. AirAsia

4. Indonesia AirAsia

5. Singapore Airlines