The Effect Of Digital Sales On Revenue Maximization The Case Of Ethiopian Airlines

This study analyzed the effect of digital sales on revenue maximization taking the case of EthiopianrnAirlines. The study took the selling function as an extension of the marketing concept as suggestedrnby Jobber D. and Lancaster G. (2009) where the firm’s and its sales person’s long-term survival isrnvery much dependent on their ability to identify customer needs and to support customers’rndecision-making by serving those products and services that best fit their requirements. Therngeneral objective of this paper was to identify the effect of digital sales on maximizing revenue ofrnEthiopian Airlines with the specific objectives being to identify the effect that determinants ofrndigital sales, namely, digitally connected customers, digital customer relationship management,rnproduct/service offering digitally, and digital delivery of products/services had on maximizingrnrevenue of the airline. A survey was conducted with a total of 70 employees of the airline workingrnunder the division of Integrated Marketing Communications where the effect of digital sales onrnrevenue maximization was broken down into four major constituents namely digitally connectedrncustomers, digital customer relationship management, products/services offering digitally, andrndigital delivery of products/services and the collected data was analyzed via regression analysis.rnThe results showed that all of the determinants had a positive and significant effect on the airlines’rnrevenue maximization except digital delivery of products/services whose influence was found tornbe insignificant. In addition, the results demonstrated that product/service offering digitally wasrnthe most important factor influencing the airlines’ revenue maximization followed by digitallyrnconnected customers and digital customer relationship management respectively. It was expectedrnthat the result of this study might be used as a fundamental data in the development of airlinernmarketing strategies, particularly by investigating the relative importance of each component andrnanalyzing the effects of each on airline revenue.

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