Qantas sees brand perception plummet

Australian carrier Qantas’ brand reputation has taken a huge hit following the grounding of all of its flights last month, according to YouGov, but the free flights offered to affected passengers appear to have begun to repair some of the damage.

/c/v/w/qantas160.jpg

It was announced at the weekend (6 November) that passengers whose journeys were disrupted will be handed a free economy flight within Australia or to New Zealand over the next two years. Overseas passengers and frequent flyers are expected to receive offers in the coming weeks.

Qantas chief executive Alan Joyce said that the ticket offer is one of a range of initiatives to be launched “as a way of saying sorry” to customers. Observers have said that the grounding could impact long-term bookings and hand share to nearest domestic rival Virgin Atlantic.

Celebrity tweeter Stephen Fry, with 3.3 million followers, made matters worse for Qantas when he tweeted his disgust after an engine fault had forced his London-bound flight to divert to Dubai.

YouGov Brand Index data shows that “Buzz”, a balance of positive and negative things consumers have heard about the brand, fell to -33.3 on 4 November, from -1 on the 28 October.

Its satisfaction rating, however, increased to 4.4 on 7 November from 3.4 on the 4 November, after the ticket offer was announced. Its value rating rose to 6.2 on 7 November, up from 5.8 on the 4 November.

About 80,000 passengers were affected when 108 aircraft around the world were grounded on 29 October for two days in a bid to settle a dispute with unions that had led to strikes by engineers and baggage handlers.

Industrial relations arbitrators Fair Work has ordered cessation of strike action for 21 days until 20 November in the hope that union and airline chiefs can reach a settlement by 20 November.

Joyce added: “Now that no more industrial action can take place and the cloud of further strike action has lifted, we are 100 percent focused on what matters to customers, getting them to their destinations, safely, on time and in comfort, and in rewarding their loyalty to Qantas.”

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here