|Date:||September 14, 2014|
|Length:||4 / 1013|
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Mintel’s Holiday Lifestyles - Responsible Tourism ?? UK, Leisure Horizons - January 2007, some 22% of respondents stated that even the disappearance of low fares would fail to change their habits. This is a solid customer base who will not be discouraged by the price although this is a key driving factor for competition within the industry...
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Dependant on the views of the consumer of what they class as a major holiday if this is a European break then they could fall into easyjet’s target group.
No-frills/Low-cost Airlines - UK - July 2007 - Broader Market Environment
Figure 6: UK spending priorities, January 2007
Major foreign holiday 23
Short break holidays 22
Buying new clothes and shoes 20
Eating and drinking out 20
Smaller home improvement/decorating tasks eg painting, lighting 19
Improving the garden 17
Paying off credit card/loan debt 14
Buying new furniture/soft furnishings eg sofa, curtains 12
Buying a new or second-hand car 12
Base: 2,063 adults aged 15+
The current European low cost airline industry has an oligopoly structure there are not that many companies operating within it but there is still enough for good competition the main competitors are Easyjet, Ryanair and Bmi see chart below identifying current operators which is good for the consumer as price and values can be a focus for competition the customers have great buying power further enhanced by the internet pages that compare prices of the competitors thus the industry is very price sensitive...
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