The Blue Jet Stock was initially offered in April 2002, during
one of the airline industry’s worse financial periods.
But that’s not the only or most remarkable move this start-up airline
carrier the JetBlue Airways, has done.
This is a story of a new comer entering the airline carrier business,
using an innovative marketing strategy. In doing so, it virtually
established a new playing field, by creating novel customer niches in
the airline industry, keeping a narrow focus on its clients and paying
keen attention to this market.
JetBlue Airways first entered the radar screen in February 2000, where
it made its maiden lift-off at the New York's John F. Kennedy
International Airport (JFK).
The services it offers, from the routes, to facilities are innovative
and good old fashioned common sense. The focus clearly remains on the
passengers’ comfort, ease and convenience at affordable airfares.
For stance, the JetBlue Airways offers a one-class service to
customers, who’ll recline in leather seats, use headsets for free and
watch DIRECTV a live, 24-channel satellite TV station, as they travel
from more than 20 US cities and Puerto Rico. Keeping a special
connection with their airline passengers is JetBlue Airways believes
the reason why they are standing out and being patronized. A satisfied
passenger is a walking advertisement and steady source of revenue.
The company’s reservations system is known to be efficient and this
spells convenience for passengers. One can just log on to their
website and book tickets online. Then pick-up the e-ticket up at their
airline counters.
Although JetBlue flies to only 20 major cities, it does this with the
use of small airports, which has resulted in shorter delays in
take-offs and landings, a huge consideration for many passengers. So if
you fly to Los Angeles, you’ll be landing at the Long Beach Airport,
outside L.A.
In an age where major airline carriers such as Southwest Airlines
with 31,000 employees, and 429 Boeing 737 jets, or Delta
Airlines, with 69,150 employees and 547 jets, are
continuously downsizing, JetBlue has a fleet of 50 airplanes and just
over 5,000 employees. It is able to maximize maintenance of its fleet
at reduced operating expenses, because it has only one kind of carrier
the European Airbus A-320s.
Another reason for its successes, is its employees enjoy generous stock
options, profit-sharing and employee benefits, although they have no
union.
During the IPO in 2002, Jet Blue stocks were first offered at $27.00 a
share. The values of these stocks have risen, dropped and today remains
at a rather stable price.
This is because Jet Blue’s strategy at keeping passengers satisfied, is
working. It keeps adding planes to service the more popular routes,
adding more flights, while keeping the fares down.
All of these are good sound reasons why the Blue Jet Stock is a
valuable investment.
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