Project Flight School: Package pricing practice: Does it work?

This is Cirrus Aviation’s Nayda Cattin on the package pricing ideas that were presented last time.

In meeting with Rod and Mike we discussed in further detail the three program ideas that they presented to us last week. The first idea that we discussed was the “Try Your Wings Program.” I was very excited to hear about this and I think that it will be a great qualifier for our potential customers. The second idea we discussed was a type of package that would suit the businessman type. This program will be able to help businessmen get into their private planes, help them with any tax write-off’s and any other matters of that variety. Plus, we would also be available for any maintenance and help that they might need down the road. The third idea we discussed in the meeting was the “LSA Market Package.” While we were very excited about LSA when it first came about, I am now a little hesitant about it. Rod and Mike brought up very valid points in the meeting about using LSA from a marketing standpoint but I am still not convinced. We have seen from previous experiences a different clientele than expected from using LSA. I find that the clientele and their needs outweigh our profit in the situation for the amount of work that is required. Talking about this brought us to a great point where we realized that it is beneficial to use the LSA marketing as a tool for those people that we see get their medicals but don’t pursue getting their license. This tactic would be a great tool to help reconnect with these individuals to try to bring them back in and this is definitely something that we will revisit in the future.

Another thing that I have gotten out of the meeting is that it feels like Mike and Rod are still trying to convince me on their ideas. We have gone over them and I am on board and ready to get started. Time is playing a vital factor in this project and unfortunately we do not have a lot of it, so planning successfully is the key. I think that the ideas that we discussed will be very beneficial and I can’t wait to get started on them. I am ready for this project to move forward and with this these changes we have also discussed a marketing budget. To build this necessary budget we will increase our instructor rates by two dollars an hour, bringing it to $57. This will help us create a fund that we are able to dip into while we are getting everything going, including the website. With everything hashed out, next week we will look forward to dissecting the details even further and starting to implement some of these ideas. I want us to team up and be able to structure these packages and make them marketable.

To sum up what I have gotten out of this meeting is a lot of input but I’m not sure that it is necessarily tailored to my business. I feel as though they have done a great job researching what they can online and by talking with me a few times about what it is our business does and stands for. Still I am not sure if they know everything they need about Cirrus Aviation. At this point I am a little hesitant because I am not quite sure what my role is in this process. Do I listen to all of the ideas and jump on board with them immediately or do I intervene and add my opinions? I guess I am still feeling out our relationship as a client and an advisor to what suits our business the best.