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Case Study

Ryanair strategic positioning (B): Always getting better

By Seán Meehan

13 pages

March 2017

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Reference: IMD-7-1873

By 2013, after over near 30 years, Ryanair has become the largest airline in Europe in terms of passengers flown internationally. It outperformed its low cost rivals on most operational dimensions. It was unambiguously positioned as the lowest cost of the low cost airlines. Its success, however, came at a price. Ryanair was far from loved. Its operational model, which enabled such low cost flying, had as a side effect service that was seen as far below industry norms. In 2013 its outspoken CEO, Michael O’Leary, came under increasing pressure to tone down the macho image he had cultivated and enhance service levels. To do this he would need to adapt the successful operational model. The A case asks whether such an adaptation make sense. The B case documents the evolution and implementation of Ryanair’s response, a change program called “ALWAYS GETTING BETTER” (AGB). AGB encompasses a digitalization program that chief marketing officer Kenny Jacobs believes can enable Ryanair to become the “Amazon of Travel in Europe.” The B case asks whether this is a realistic ambition.

Learning Objective

Understanding customer centricity
Understanding strategic alignment
Understanding whether and how successful incumbents can embrace change.
Understanding how incumbents can best embrace digitalization

Keywords

Marketing, Operations, Positioning, Transformation, Customer Centricity, Disruption, Strategic Innovation, Innovation

Settings

Europe, Republic of Ireland
Ryanair, Travel and Leisure, Airlines and Aviation
2013–2016

Type

Field Research

Available Languages

English

Related material

Teaching note, Video

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This case study is part of a series

Ryanair strategic positioning (A): July 2013
Ryanair strategic positioning (B): Always getting better

This case study is part of a series

Ryanair strategic positioning (A): July 2013
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