It is not often that you come across an airline operator running a start-up programme. But German major Lufthansa has been doing it for a few years now, stepping up the effort recently. The aim is to go beyond mass-media advertising, building long-term relationships with its target audience, which includes entrepreneurs.
Conceived and developed in partnership with TiE (The Indus Entrepreneurs), the initiative has brought together over 150,000 small and medium enterprises over the years. The unique one-day event offers start-ups the much-needed exposure, interaction and partnership opportunities with different stakeholders.
“We are co-creators of the initiative and our involvement in this endeavour goes beyond just financial support,” Alexander Schlaubitz, vice president, marketing, Lufthansa Group, said.
Schlaubitz’s claims there is a felt-need among small and medium entrepreneurs for mentorship that goes beyond funding into management and brand-building.
His comments are not off the mark here. Almost 1,000 start-ups have died quickly in India over the last few years for lack of funds as well as effective managerial talent.
Lufthansa’s ‘Runway to Success’ programme encourages start-ups to compete in the coveted television series of the same name, receiving inspiration and mentorship from leading business icons. The grand prize winner receives a paid-for business class ticket to Europe, a sponsored business programme at Cambridge University, UK, and a TiE mentorship.
A link to the past
To be sure, Lufthansa’s effort to integrate itself with Indian culture goes well beyond the ‘Runway to Success’ programme it has been organising over the last few years here.
India was Lufthansa’s first market to receive a country-specific advertising campaign back in 2014, something which is unique for the German airline known for sticking to uniform branding across markets.
“Our first-ever Indian television commercial three years ago was aimed at dispelling notions attached to German brands,” Schlaubitz said. This notion included the feeling among Indians that Germans were stiff and unwilling to relent in their pursuit of best-in-class technology and service. The campaign in question, which was very popular back then leading to a 13 per cent increase in passenger traffic following release, shows a young Indian boy who is on his way to visit his father along with his grandfather.
The initial impression the child carries of Germans is of a bunch of serious people, unwilling to accommodate Indian mannerisms, quirks and eating habits. However, the child is in for a complete surprise when he boards a Lufthansa flight, being greeted the Indian way to being served Indian food and allowed to watch Bollywood movies.
Brand experts say Lufthansa’s attempt to hold a mirror to itself with the campaign, best remembered for the line - ‘Grandpa, we are travelling in the wrong plane’ - was brave. Other operators were loud with their advertising.
Schlaubitz claims the 2014 campaign continues to resonate to this day and may see new versions in the future. As far as the ‘Runway to Success’ programme goes, the initiative now has turned into a full-fledged multimedia outreach that brings together investors, mentors, partners and corporates committed to helping start-ups unlock their potential. The platform has been a catalyst for firms such as Chaayos, Sattviko, Heads up for Tails among others start-ups to grow.
Besides this, Lufthansa is also focusing on increased digital engagement with its customers in India. “Traveler experience is at the heart of everything we do. We have understood that the digital space is where travellers’ needs can be best met thus recommitting ourselves to digitisation,” Schlaubitz said.
Lufthansa’s investment in innovation, also an important area for it, involves working on systems and processes to match customers’ needs for personalised travel.
Few of the innovations being developed by Lufthansa includes SMILE, a customised travel experience based on big-data analytics, virtual reality and augmented reality. There are also chatbots, digital baggage tags, a self-directed compensation solution that works easily online and enhanced FlyNet services that allows passengers live ground-to-air teleconferencing.
Schlaubitz says there are more initiatives in the pipeline aimed at weaving the Lufthansa brand into the Indian ethos. This, he says, will be in the area of marketing communication, on-ground events aimed at bringing its target groups together and on-air customer experience. Lufthansa’s Indianess journey is on in full swing.