Abstract

The airline industry is undergoing a very difficult time and many companies are in search of service segmentation strategies that will satisfy different target market segments. This study attempts to identify the service dimensions that matter most to current airline passengers. The research measures and compares differences in passengers’ expectations of the desired airline service quality in terms of the dimensions of reliability; assurance; facilities; employees; flight patterns; customization and responsiveness. Primary data were collected from passengers departing Hong Kong airport. Regarding the service dimension expectations, differences analysis shows that there are no statistically significant differences between passengers who made their own airline choice (decision makers) and those who did not (non-decision makers). However, there are significant differences among passengers of different ethnic groups/nationalities as well as among passengers who travel for different purposes, such as business, holiday and visiting friends/relatives. The findings also indicate that passengers consistently rank ‘assurance’ as the most important service dimension. This indicates that passengers are concerned about the safety and security aspect and this may indicate why there has been such a downturn in demand as this study was conducted just prior to the World Trade Center incident on the 11th September 2001.

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