Lufthansa SWOT Analysis, Competitors & USP

Published by MBA Skool Team, Last Updated: April 12, 2020

SWOT analysis of Lufthansa analyses the brand by its strengths, weaknesses, opportunities & threats. In Lufthansa SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

SWOT Analysis is a proven management framework which enables a brand like Lufthansa to benchmark its business & performance as compared to the competitors. Lufthansa is one of the leading brands in the airlines sector.

The article below lists the Lufthansa SWOT (Strengths, Weaknesses, Opportunities, Threats), top Lufthansa competitors and includes its target market, segmentation, positioning & Unique Selling Proposition (USP).

About Lufthansa

Lufthansa Overview
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
Segmentation

Passengers preferring comfort/reliability/quality service

Target Market

Upper middle class/ business men / leisure travellers

Positioning

Lufthansa gives the best airline service non stop

SWOT Analysis of Lufthansa

For Lufthansa, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position. Let us start the Lufthansa SWOT Analysis:

Lufthansa Strengths

The strengths of Lufthansa looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Lufthansa :

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

Lufthansa Weaknesses

The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Lufthansa SWOT Analysis:

1. Past incidents and accidents often affect the brand image

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


Lufthansa Opportunities

The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Lufthansa SWOT Analysis:

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


Lufthansa Threats

The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Lufthansa are as mentioned:

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

Lufthansa Competitors

There are several brands in the market which are competing for the same set of customers. Below are the top 13 competitors of Lufthansa:

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


This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Similar analysis has also been done for the competitors of the company belonging to the same category, sector or industry. Browse marketing analysis of more brands and companies similar to Lufthansa. This section covers SWOT Analysis, Competitors, Segmentation, Target Market, Positioning & USP of more than 2500 brands from over 20 industry sectors.

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