Abstract

In India, air travel in the early twentieth century is mostly between major cities and has historically been driven by businesses. However, a set of relatively unused airfields exist in or near smaller cities, presenting a potential opportunity for generating air travel demand in these locations. This would require a thorough understanding of existing travel options and the design of an air travel offering that can successfully compete with these options. The three-part case describes a methodology to arrive at the appropriate new air travel offering and an assessment of the extent of potential demand in this context. In the third part (C), a methodology for assessment of nationwide demand for the new offering is discussed. The focus is on developing a cost-efficient method to extend the conjoint study described in Parts (A) and (B) to all origin–destination pairs in the country.

Learning Objectives 

The case provides a setting to engage in an end-to-end exercise of developing an attractive new product that is capable of generating primary demand and assessment of potential demand for such an offering in the aggregate market and segments within the market. This task requires an understanding of the conjoint methodology, with a specific focus on choice-based conjoint, and its use in the new product development process. In the final part (C), the focus is on using cluster analysis to develop a methodology for assessing country-wide potential. This case set is intended for use in a course on “Analytical Marketing” or ‘‘Marketing Research’’