Qantas cuts could impact marketing
Qantas’s announcement today that it will cut 1,000 jobs over the next 12 months could impact the size of its marketing department, the airline has confirmed.
This morning, CEO Alan Joyce released a group market update that included a reduction in Qantas’s head count by 1,000 employees and a review of its spending with its top 100 suppliers.
The changes come as the airline warned it would face a loss of up to $300 million in the first half of 2014.
When asked how the changes would impact Qantas’s recently restructured marketing team the company declined to detail specifics but confirmed marketing would be impacted.
Last year Qantas was reported to have spent $7.9m on media, down 40 per cent on its 2011 expenditure.
Some of the airline’s agencies are likely to be in the top 100 suppliers, with its retained list including media agency ZenithOptimedia, lead creative agency Droga5 while its other retained agencies include R/GA, Razorfish, 303Lowe, Play, Houston, Hulsbosch, Wonder and The Hallway.
Nic Christensen
If Qantas keeps cutting staff it will soon become the first airline in the world to be run without people.
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This can only end well with state protection.
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10 agencies. No wastage there surely …
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