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Posts Tagged ‘Saudi Airlines’

On Flight, Let There be Dancing

28 Dec

So the Portuguese Airlines danced on different airports floors, and Southwest flight attendant actually sang to the passengers on flight, so it is about time to see some dancing … on flight!

This is exactly what Philippines’ Cebu Pacific Airlines did!

They started it in 2010 (first video below) and repeated it just few days ago before the Christmas (the second video).

These videos are not merely about the dancing and fun, they are about the unconventional branding opportunities the Internet is providing for all of us; It is about the power of social networks.

It is really mesmerizing how much such viral videos can contribute to the brands behind them. At least for the exposure and awareness; I would personally have never heard of Portuguese Airlines or Cebu Pacific Airlines because I am not usually on their flights routes. But for those on their routes, the rewards are even more. Such publicity fosters an image of  fun, full of energy, dynamic, can be related to, and have a high sense of customer service and understanding brand!

I guess there is no need to mention Saudi Airlines, right?!

Enjoy the videos …

 
2 Comments

Posted in Advertisement, Branding, Communication, Marketing

 

Saudi Airlines; The Smell of Corruption

06 Jun

It is very low even for a lousy service provider as Saudi Airlines; in a response to the serious accusations of spending more than SAR 5 billion in petty cash; yes, you read it correctly, SAR 5 billion in petty cash, Saudi Airlines, according to this piece of news, decided not to distribute Okaz, the newspaper published the report, on board of its flights!

Not only that, on Sunday evening, a number of Saudia staff appeared on a popular TV show  bashing the company with even more serious accusations. Honestly, this is the first time I ever witness, or at least remember, such a public organization going through such tough scrutiny … in public!

The fact of the matter is that Saudi airlines did not give its observers much of a choice. Its services are deteriorating in a very shocking and alarming pace. I had written several posts about them already, let’s hope they won’t limit access to my blog if they ever provided online access on their flights!

Now, two aspects to this story:

  • Corruption: petty cash should be … you know … petty!!! there is no chance that SAR 5 billion can be considered petty. You can start up new businesses, from scratch, with such amount of money. So there must be something wrong going on. The accusation about the food quality is another disaster. Benefiting on some cash on the side is something, and playing with human well being is another thing altogether. Again and again, the smell of the miserable managerial style within Saudia is smothering us all. The surprising thing is that everyone is smelling it except the huge number of VPs and managers resting in peace on the top of the organization!
  • Transparency: the decision of banning the newspaper because of its report is another miserable example of a low quality management. It is a classical PR failure. However, it should not come as a big surprise. It is not new to find that companies with power use that power to control what is published on the media about them. It is a common practice everywhere in the world to use advertising budgets and alike to color the public image of any organization in the media. It is just good to know that it is widely used in the local market as well. It is really unfortunate to realize that the poorest service providers in the country are the one with the big cash; you know whom I am talking about, right??

Last question before I leave you here, I wonder what the new Saudi Anti-Corruption Commission would do about this?

 
2 Comments

Posted in Communication, Communication, Public Relations, Saudi business

 

Doubling the Salaries, or Not!

21 Mar

The generosity of the Saudi government with its workforce left the private sector in a very awkward position. Just after the series of royal decrees that carried in one of them the good news of the two months bonus, the speculation game started amongst the private sector employees. Will there be a salary doubling, or not?!!

The big cats in the Saudi market followed suit almost immediately and started announcing the same bonuses for its staff. Aramco, SABIC, Saudi Airlines, STC, and more. But still, the majority of companies did not, and their employees kept wondering, hoping, and asking for some good news, but their managers kept saying that the big bosses are in a closed meeting, and in some companies, the meeting is yet to finish!!

Now the question is, should they double the salary, or not?

The fact of the matter is that it goes both ways; there are reasons supporting the doubling decision, and there are arguments that just go against it. But before that, it should be highlighted that when talking about private sector, it is inevitable to differentiate between the big and well known cats, I just mentioned some of them above (although some of these companies are not totally private), and the rest of companies which vary in size from medium to small. Someone could argue that the employees working for the big cats do not actually need such a bonus, they already have relatively high salaries and a strong bonuses system. For those arguing this point just be reminded that some of the big, I mean, HUUUUUGGGGE cats, those who profit in millions, do no actually give high salaries or anything, you can call them cheap if you want! And you don’t want me to give you examples, I am sure you know plenty of them!!

Now; these are some of the most important reasons why a company could decide to double:

  • Playing the patriotic card: in times like these, playing on patriotism could send some gratifying signals to customers, staff, and, of course, the government itself. I am not trying to imply that such patriotic waves of feelings should not be true or sincere, I am just saying that playing such a card scores sometimes. Now add to the mix the unrest already taking place in the area, the normal card just turns to be an Ace!
  • Engaging employees: It is a message that you care, you do not want your staff to feel less happy or disadvantaged. Consider it a motivating surprise.
  • Adding to the brand value: getting the word heard that you care about your staff and that you actually have some good cash to distribute around could add some edge to your brand. Customers could trust you more, regulators could love you more. Also, your whole working environment might seem more appealing to top talents everywhere, you know how to take care of your staff, right!

Now what about the arguments supporting the decision of not to double:

  • It’s too late: most of the Saudi companies already prepared their 2011 budgets. It is just not practical to disturb the whole year’s plans and start playing with the cash flow and reserves. That’s a strong argument especially for the medium and small organizations.
  • I am fair: some companies might argue that their salaries and bonuses system is robust, and that its employees do not need any extra incentives, they are happy and satisfied. The tricky part in this argument is that the employees themselves should be believing in such claims, not only the managers! If this I-am-fair-card played very well, it could lead to both employees engagement and brand value addition as just mentioned above.

On which side do you stand?

 
2 Comments

Posted in Communication, Culture, General Management, Saudi business

 

Good Stories and Bad Ones

25 Nov

Seth Godin, call him one of the modern marketing gurus if you like, is always preaching that good brands are built on good stories; stories that have the ability to live, inspire, and appeal to people. I guess I will take this a step further and say that even poor brands are surrounded with stories.

The good brands might generate those good stories, they have a hand in distributing them, they might tell them in ads, in media, etc. Bad stories about bad brands are usually distributed by customers; word of mouth, blogs, social media outlets.

Even if you have never tried a certain brand, the stories you heard about it will keep playing in your head whenever it comes cross your road. You will always want to try the good ones, you will always want to run away from the bad ones!

Let me give you an example; I’ve never been to the States so I never been on the Southwest Airlines but I’ve always come across plenty of stories about their exemplary, pleasantly surprising, and creative customer service; so what do you guess my first choice would be if I ever been to the States?! Note that all what I have are stories about the brand, so I do not know how real and accurate they are. but I want to try the brand. That’s the power of good brand’s stories. And as long as we are at it, check this video out of one of the Southwest stories!

On the other hand, guess what stories would come to your mind when I say Saudia, the local carrier! I can confidently bet that even if you have never tried it, you will never want to just because of its stories; you know, messed up schedules, flights delays, below average ground and air services, not so cooperative staff, and so on. I dare you if you ever lived in Saudi and never heard a punch of bad stories about Saudia?!!! That’s the power of the bad stories on a brand!

My free-spirit-statement before you leave; all the opinions mentioned in this post are mine and never been influenced by anybody else!

 
6 Comments

Posted in Branding, Marketing

 

Sama; Another Sad Story of Saudi Aviation Industry

24 Aug

The Saudi low budget Sama Airlines is suspending its operations in the Kingdom starting today until further notice.

Should this be a surprise? I would say: No, it was expected!

The whole scene of civil aviation industry in Saudi does not look that good. Whether we are talking airports or airliners, It is a mess, to say the least!

Operating an airlines is a tough business, no doubt about it. Lots of head to head competition and very turbulent business environment. And when you are working in a messy market like the one both Sama and Nas had stepped in, the situation becomes even harder.

I am not sure what kind of business plans they had both studied to reach the decision that the Saudi market is an attractive investment opportunity. Maybe by only looking at the status of Saudia and how almost all Saudis agree that it suck! the idea of having a second airlines should’ve looked appealing. The fact of the matter is that Saudia is a company both owned and supported by the government. And what makes it even worse for commercial activities in such market is when the regulator (GACA in this situation) does not provide any guarantees to protect the fairness of competition. Maybe the new comers received some promises, but businesses are not usually built on promises, they are built on facts, at least when it comes to the market environment.

Now both of the companies are waiting for the promises to be fulfilled especially for fueling prices. It could be a tactic played by Sama to get the attention of higher authorities although it is a hugely damaging move to the company name (especially that Nas did not play along, if it was a tactic!!)

It is another sad story added to the book of sad stories of Saudi airlines business!!

 
4 Comments

Posted in Branding, General Management, Saudi business

 

It is Time To Dance

21 Jun

The videos you are about to see have been around the Internet since the beginning of the year. However, I’ve just got the chance to see one of them via an email that my sister sent me.

And let me tell you; beside having fun watching it … I am impressed  :)

Now, we all may agree that traveling is fun. But the worst part of it is definitely going to the airport, any airport! I mean who really loves the waiting lines, security checks, dragging or pushing bags all over the place, and the constant anxiety over delaying or canceling flights at any moment. Add to that the glooming sensation that usually occupies airports at seasons when everybody wants to go back home or fly out and start vacationing.

So can you quickly think of any thing that could ease such situation and make it fun. Think … any thing … I am not sure you came up with any thing near this. The Portuguese airliner named TAP Portugal turned the airport floor … into a dancing floor.

Before seeing the video, let discuss some marketing stuff:

  • The Power of Surprise: For advertisers and social media marketers, nothing beats surprises in determining how successful a campaign might be. One of the videos had been seen by more than 300,000 people in only 3 days after being released through the company YouTube channel. Just to have a glimpse of how successful that campaign is, just think of what are the odds of you ever hearing about TAP Portugal!!
  • The Happy Brand: I am not sure you will be seeing the staff of TAP Portugal dancing all over the place every time you travel with them, but you will always remember that these people made you genuinely smile. That video was shot during the christmas vacation. So the company was actually celebrating with its customers, and easing the whole airport experience on them.

I cannot help but thinking about what our local carrier, Saudi Airlines, might do to entertain its customers in such a way??!!

Enjoy …

 
5 Comments

Posted in Branding, Marketing, Social Media

 

See You in Court

02 Apr

A Saudi businessman is suing Saudi Airlines after purchasing an ill-equipped aircraft (Arabnews). I thought at first that he was suing the Airlines because of a missed important meeting or over a lost investment opportunity caused by their well known off-time scheduling. But hey, everyone has his own reasons!!

The point is that this piece of news made me wonder about the whole idea of suing service companies; will it make any difference in Saudi? It is not unusual in Saudi Arabia to be faced by poor services provided by a number of major players in the market. Saudi Airlines just happens to be leading the list!!

Although I do not have hard numbers to support my claim, I can comfortably argue that Saudi consumers, in regard to poor business performances, have always been known to be … what should I say … loud-but-with-no-action kind of people. That means they could initiate a scene and get loud whenever faced by a poor service, but that’s it!!! No further steps.

Now, let me rephrase my question above; Do you think companies’ fear of being sued by customers who deeply understand their rights would eventually push them to provide high quality services? So no Airlines would manipulate its schedules without even giving it a second thought? No telecom company will fool you with you nice advertisements about the huge X Mbps Internet connectivity that you could get upon subscription and when you do, you find out that you can only get 20% of that because of technical reasons! No contractors will leave the street in front of your house full of holes or improperly asphalted and force you to take your car to mechanics every 15 days! No hospital would prefer low-waged-so-called-doctors without much of background check ups?

Just a note before leaving you here; I said in my question above “sued by customers who understand their rights,” so may be the right question should be: “Do Saudi customers truly understand their rights?”

 
No Comments

Posted in Culture, Saudi business

 

Saudi Airlines; I'm Not Impressed

23 Mar

So Saudi Airlines just signed five privatization agreements (link); I do not know why I am not impressed by this!

As a summary, these are the five agreements:

  1. Privatizing the core aviation unit.
  2. Establish a new ground service company.
  3. Financing its new fleet of Aircrafts.
  4. Manage its IPO (initial public offering) of its catering company.
  5. Developing aircraft maintenance at KAIA.

Now, none of the agreements above seem to address Saudia long, lasting, and main problem of poor customer service performance. None of these agreements, arguably, would directly impact the final customers (passengers) except the one ending with a new fleet of aircrafts. In addition to that, these headlines or projects’ titles do not disclose much about their true value or how they are related to Saudia strategic goals (I am assuming they have strategic goals here!!). Take the project number two for example, my understanding is that Saudia has always been subcontracting its ground services to several companies; so what is the point now of forming a company with one of them, how that will enhance the service?

Moreover, one of the interesting parts in this piece of news is the gesture towards Saudia’s revenue which, in 2009, reached SAR 18.5 billions. For a company that is working in a near monopoly status, that should not be so surprising. Nevertheless, the revenue figure itself is not of a much importance here because we do not know their operational costs, and hence we do not know their net profit!

All in all, privatization in itself should not be looked at as a step toward open and modern market mentality. Lack of competition, clear understanding of the market and its needs, and the well to be different and competent at the first place cannot be compensated by the mere move from being ‘public’ to ‘private.’

 
2 Comments

Posted in General Management, Saudi business

 

Ignoring Your Customers

03 Jan

Here is an interesting question asked by Gill Corkindale in her HBR blog; does your company’s reputation really matter? She is arguing that some big companies in certain industries do not really care about customer services! Despite regular customers complains, such companies are keeping their lousy performances and customers are still coming back.

The blog post is filled with examples and cases supporting her point; and thinking about it, we do have our own fair share of examples: our beloved Saudi Airlines (I love Saudi Airlines so much; I already have two posts about them :) here and here), most of service industries and most, if not all, public services are bright examples of lousy performers.

Lack of competition is the most obvious reason comes to your mind in your desperate need to understand those companies’ mindsets. That could be true in a lot of cases and, furthermore, even with some minimum competition, the situation is not that different. Again, Saudi Airlines and its competitors are good examples. Saudia has the power and the support of the government while NAS and SAMA are struggling to get a small piece of the cake.

However, I would not accept this point as a justification, or at least as the only justification. There is another big problem in our own behavior and mindset; I am talking about us, customers!

I believe we mostly lack a certain understanding of our own rights. We acknowledge companies’ mistreating us, we get angry about it, may be shouting all the way and telling everybody about it, and … that’s it! We return to these companies and use their products/services again! If there is no alternative and the company is enjoying a monopoly state in the market; then it is really sad for you, you do not have a choice! Actually you still have the option of making official complains, talking to their managers, and even going and talk to regulatory bodies supervising their sector. The most important point, do not simply let it go!

Finally, those companies ignorant enough at the moment should always remember that they might face the moment of truth when the market is opened for real competition. Globalization is a trend; and one of the lessons coming with it is customer services philosophy as an essential aspect of companies’ differentiation strategies.

 
2 Comments

Posted in Branding, Culture, Customer Service, Marketing

 

Who Says Camels Can’t Dance?

20 Dec

In the title of this post, I am mimicking the title of the infamous business book ‘Who Says Elephants Can’t Dance? Inside IBM’s Historic Turnaround’ by Louis Grestner. The author was the chairman of the board and CEO of the well known international giant IBM from 1993 up to 2002. In this book, he is telling the story of reviving ‘the elephant’ that was going through a near death experience.

Anyway, I won’t be talking about IBM. I already changed the title to camels, right! And by that I mean our big, boring, weak, slow and dull company; ladies and gentlemen, please allow me to introduce the camels of the show, Saudi Airlines!!

Don’t you just love Saudi Airlines. They give you all the reasons to love hating them! I bet my last can of soda (it is getting expensive and I am starting a healthy program any way!) that you are bored to death of Saudi Airlines stories. But you better bear with me; I have another story for you; a story about how a company does not respect its customers. Whilst most companies work hard to make you fall in love with them; Saudi Airlines work harder to earn your hatred!  And if you are wondering why I chose this particular post title! Wait till the end …

For my trip to China last month; I made the mistake of using Saudi Airlines. Internationally, I used Cathay Pacific; from Riyadh to Hong Kong, but I made the mistake from Jeddah to Riyadh. On my way back from China, Jeddah flood had already taken place and the robustness of the Saudi Airline’s IT network had already been exposed. I am trying to suppress the engineer in me from taking over this post and describing how lousy a network would be without the A-B-C of  technical building designing and 101 of  network protection (wait a minute; it does not even take an engineer to figure out that there is something called back up.)

Anyway, when I landed in Riyadh, there were about 90 minutes before my next flight to Jeddah. I do not want to bother you with the details. I am sure you already been through some of them. Simply put, the terminal area was a mess. A lot of flights have been canceled (including my own) and some people were camping at the airport for more than 12 hours. The funny thing was that no one from Saudia staff was able to answer any inquiry from passengers. They kept repeating ‘I do not know’ and ‘this is not my problem.’ Even more, one of those managers with the nice Saudia suit and tie said, and this is a direct quote, ‘I do not know anything, I am just coming from home after being asleep for the whole day.’ Just to double confirm, this was a direct quote!

Interestingly, three flights to Jeddah have been canceled and surprise … surprise, they only have one airplane that can go to Jeddah. So Saudia came with a very innovative idea to solve the problem. They asked, do I have to say very rudely, everybody to stand in a line (I was one of the lucky people standing up front). Of course that took some time and when all passengers stood in line; the show began. Another Saudia manager stood there and started shouting ‘families … families … come here’ … >>> I will leave the mental image for you to draw your own conclusions!!

The end of the story that I was lucky enough to be among the few who found a seat after the airplane has been filled with families. And I won’t start talking about the 2 hours in the plane waiting for Saudia to load the baggage manually for each and every passenger!!

Should I comment on customer service, customer respect, brand image, brand values, service processes, etc … I won’t,  because I am sure you got the picture.

Now, why the title of this post has been influenced by the famous book about reviving a company? The answer is that I really wish that, someday, a book will be written by some Saudi Airlines executive describing how he/she/they managed to turnaround the miserable status of Saudi Airlines at the moment to a highly competitive airline!!

Don’t you wish to read such book?

 
17 Comments

Posted in Branding, Customer Service, Marketing, Saudi business

 
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