Although Ryanair’s marketing spend in the fourth quarter of last year was actually less than the previous year, it’s increased focus on marketing has apparently already had a positive effect on passenger bookings.
According to marketingweek.co.uk, in the fourth quarter, Ryanair’s marketing, distribution and other expenses were down to €147.4 million (around £122 million) from €160.6 million (£132 million) just a year ago. The airline had decided to spend less on marketing per passenger, but its recent marketing spend has increased.
In fact, Ryanair has said it will triple its marketing budget this year to €35 million, as it is aiming to change its negative image into a positive one and invest in more television advertisements, reports independent.ie.
Michael O’Leary, CEO of the airline, said in the past it has focused on prices, but now there will be more attention given to the company’s website, customer service, punctuality and family products.
“While we intend to commit to that kind of spending, if the advance bookings remain strong some of it may not get spent,” he explained. “We’re also looking at television advertising to support the launch of the new website, which is due sometime around April, and also we’ll do a bit more of the brand-led advertising.”
Ryanair said that the increase in marketing has already helped to increase the number of fourth-quarter and full-year bookings, which are already ahead of last year’s figures.