Influence of Brand Personality on Repurchase of LCC Airlines

Author(s):  
Yoon-Hee Hong ◽  
Seong-Woo Choi

Nowadays, many people live with SNS, showing their own lives to others and sharing ideas throughout the day. Thanks to the advanced technology, they need less time than ever to acquire information by using hashtag and only a single word and have no difficulties predicting others’ preferences and propensity to consume. Previous research results indicate that people having similar tendencies tend to similar kinds of brand products.The recent increase on the number of LCC(low-cost carrier) airlines has accelerated the competition in the air transport market, which makes airline companies introduce and apply a new brand strategy to their marketing. However, LCC airliners do not seem to differentiate themselves in their service quality and air-fare, in which circumstances it is not easy to attract new consumers.This paper is to suggest a new strategic marketing of LCC airliners by doing some research on the relationship between domestic LCC companies’ brand tendency and consumers’ recurring purchasing.

Author(s):  
Muhammad Khairi Majid ◽  
Norhani Bakri ◽  
Nur Shazwani Laila Junaidi ◽  
Rahmat Roslan Buang

As there is an increasing demand in public transportation and electronic transaction, the service quality of website determines the success of the service provider. Therefore, electronic service quality (e-SQ) plays an important role for any business involved in online transaction to attract customers. Customer’s assessment of e-SQ is usually based on their actual experiences of interaction with the website. According to previous research, there exists relationship between e-SQ and service satisfaction. The moderating effect of technology acceptance model (TAM) shows positive result. As e-SQ and TAM improve, this will, in turn, improve service satisfaction. However, the relationship between “e-SQ-TAM service satisfactions” has been found to be not consistent in the case of low cost carrier airline in Malaysia. With concern to further understanding of this area, the present study explores dimensions of e-SQ in low cost carrier airline context and their relationship with service satisfaction. Furthermore, the moderating effect of perceived ease-of-use and perceived usefulness (TAM) was explored. This study employed convenience sampling and questionnaire method to gain data; 392 completed questionnaires were gathered from Malaysia Airline Industry (low cost carrier) website users. The result indicated that e-SQ dimensions: customization, site privacy and aesthetic, efficiency, system availability and fulfillment constitute e-SQ for low cost carrier airline. Moreover, the result also illustrates that perceived ease-of-use and perceived usefulness (TAM) positively moderate the relationship between e-SQ and service satisfaction.


2018 ◽  
Vol 22 (1) ◽  
Author(s):  
Sri Vandayuli Riorini ◽  
Christina Catur Widayati

Airline industries are currently faced with challenges to satisfy consumers in order to improve organizational performance. The purpose of this study is to analyze service quality, corporate image, price fairness, and airline safety as a stimulus of customer satisfaction and its impact on brand loyalty. Samples data of 350 Low Cost Carrier/LCC passengers in Indonesia were collected and purposive sampling technique was used to analyze the developed hypothesis. Further data is processed with Structural Equation Modeling technique. The results of the study found that the stimulus of customer satisfaction of LCC is service quality, corporate image, price fairness, and airline safety. Furthermore, customer satisfaction will provide consequences for airline brand loyalty. The study also found that corporate image is the strongest factor affecting customer satisfaction. For further research, it is suggested to add customer value as a stimulus of customer satisfaction.


Psibernetika ◽  
2019 ◽  
Vol 12 (1) ◽  
Author(s):  
Dion Nardo Julius ◽  
Devi Jatmika

<div class="WordSection1"><p><strong><em>ABSTRACT. </em></strong><em>As one of the peoples choice for traveling, "X" airline company </em><em>is </em><em>one of low cost carrier in Ind</em><em>o</em><em>nesia is considered to have poor service quality despite controlling nearly 60% of domestic market share. The purpose of this study was to determine whether there is influence of service quality on customer loyalty among "X" airline company. The method used is </em><em>causal comparative </em><em>quantitative research. Data were collected through a questionnaire with a sample size of 250 people aboard with "X" airline company. Purposive sampling technique</em><em> </em><em>was used in this research. The results of this study indicate that there is a positive influence between service quality on customer loyalty with regression value of 0.802 (p = 0.000). Reliability, </em><em>a</em><em>ssurance and empathy </em><em>dimensions are the</em><em> three dimension that have</em><em> </em><em>the most impact on customer loyalty (p&lt;0.</em><em>05).</em><em> </em><em>Based on the results, i</em><em>t is recommended that the "X" airline company continue to strive to improve the quality of services, especially in terms of safety and comfort to create a customer loyalty.</em></p><p><strong><em>Keywords:</em></strong><em> service quality, customer loyalty, low cost carrier, </em><em>passengers</em></p><p> </p><p><strong>ABSTRAK. </strong>Sebagai salah satu pilihan masyarakat untuk berpergian, perusahaan penerbangan “X” adalah salah satu maskapai berbiaya rendah di  Indonesia yang dianggap memiliki kualitas layanan yang buruk meskipun menguasai hampir 60%  pangsa pasar domestik. Tujuan dari penelitian ini adalah untuk mengetahui apakah ada pengaruh kualitas layanan terhadap loyalitas konsumen perusahaan penerbangan “X”. Metode yang digunakan adalah penelitian kuantitatif kausal komparatif. Data dikumpulkan melalui kuesioner kepada sampel berjumlah 250 orang yang pernah menggunakan penerbangan maskapai penerbangan “X”. Teknik sampling <em>purposive sampling</em> digunakan dalam penelitian ii. Hasil penelitian menunjukkan bahwa ada pengaruh positif antara kualitas layanan terhadap loyalitas pelanggan dengan nilai regresi 0.802 (p=0.000). Dimensi reliabilitas, jaminan, dan empati adalah tiga dimensi yang paling berdampak terhadap loyalitas konsumen (p&lt; 0.05).  Berdasarkan hasil, direkomendasikan agar perusahaan penerbangan “X” terus berusaha untuk meningkatkan kualitas layanan, terutama dalam hal keselamatan dan untuk menciptakan loyalitas konsumen.</p><p><strong>Kata kunci:</strong> kualitas layanan, loyalitas konsumen, <em>low cost carrier</em>, penumpang</p></div>


2019 ◽  
Vol 2 (2) ◽  
pp. 1001
Author(s):  
Nava Aprilda Wati ◽  
A.M. Tri Anggraini

In early 2019 there was a very high increase in ticket prices. Ticket prices for domestic routes in Indonesia have not gone down, which is a complaint of consumers and make complaints to government agencies such as BPKN and YLKI. However, this has become the spotlight of the Minister of Transportation, raising the lower limit tariff, but this is actually considered ineffective because it can only protect airlines. This is considered to have violated consumer rights as stipulated in the UUPK. The issue of how the regulations and government policies in terms of tariff determination from the perspective of consumer protection and how the protection of consumer rights regarding the imposition of upper and lower limits of air transport services based on Law No. 8 of 1999. The author conducts research in this issue using normative methods supported by expert interview data. The author analyzes that this problem violates the consumer rights of Article 4 regulated by UUPK and analyzes from the Minister of Transportation Regulation PM 20 of 2019 concerning Procedures and Formulation of Calculation of Tariff Limit for Passengers in Economy Class Services for Scheduled Domestic Commercial Air Transport and Minister of Transportation Decree KM 106 of 2019 concerning the Tariff Limit on Passengers of Economy Class Scheduled Domestic Commercial Air Transport Services. The suggestion that can be given by the writer is that the ministry of transportation should oversee airlines in determining tariffs and services to remain balanced and not to the detriment of consumers.


Aviation ◽  
2014 ◽  
Vol 18 (4) ◽  
pp. 203-216 ◽  
Author(s):  
Panarat Srisaeng ◽  
Glenn S. Baxter ◽  
Graham Wild

Due to the vast distances across the country as well as between urban centres, Australia is heavily reliant upon its air transport industry. Following deregulation of Australia's domestic air travel market on the 30th October, 1990, low cost carriers have entered the market. Australia's LCC market has had three discrete phases. The first wave occurred between 1990 and 1993 and was subsequently followed by a duopoly period in 1994–1999. The second wave occurred between 2000 and 2006 and the final wave has been in the post-2006 period. This paper examines the evolution of Australia's domestic low cost carrier airline market and finds that by 2010, low cost carriers had captured around 64 per cent of the market. Following the evolution of the “Virgin Australia” business model from a low cost carrier to a full service network carrier, commencing in 2011, the low cost carrier's market share has declined significantly and is now around 31 per cent. “Jetstar” and “Tiger Airways” are the two major carriers presently operating in this market segment.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hsiu-Fen Lin

PurposeBy extending the existing service quality dimensions and reflecting the low-cost carriers (LCCs) context, the purpose ot this study aims to develop the research model to examine whether passenger satisfaction mediates the relationship between service quality and behavioral intentions of LCCs across low- and high-experience passengers.Design/methodology/approachData collected from 320 passengers (180 for low-experience passengers and 140 for high-experience passengers) to test the research model. The partial least square structural equation modeling approach was used to perform the path modeling and multi-group analysis.FindingsThe results confirm that passenger satisfaction mediates the relationship between four service quality constructs (tangible features, service reliability, quality of personnel and online ticketing service) and behavioral intentions (repurchase and recommendation intentions) for both low- and high-experience passengers. However, convenient flight schedule has a significant influence on passenger satisfaction only for low-experience passengers.Practical implicationsThe results of multi-group analysis indicated that passenger satisfaction exerts stronger effect on recommendation intentions for low-experience passengers. LCCs managers' priority should be placed on providing satisfying service experiences to less experienced passengers. Improved passenger satisfaction through superior service quality motivates low-experience passengers to recommend LCCs, thus increasing the positive word-of-mouth promotion.Originality/valueTheoretically, this study is first considering both low- and high-experience LCCs passenger perceptions to examine how passenger satisfaction mediates the relationship between service quality and post-purchase intentions. From the managerial perspective, the findings can provide useful management insights into developing multi-faceted strategies that allow LCCs firms to restore passenger confidence and retain their repurchase intentions.


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