Service Quality in the Airline Industry: Comparison Between Traditional and Low-Cost Airlines

Abstract

The aim of this study is to assess service quality in the airline industry from the customer's perspective, explore how perceived service quality affects customer satisfaction and loyalty-related behavior, and whether the factors affecting service quality, customer satisfaction, and loyalty differ between full-service and low-cost airlines. The data were collected through questionnaires based on previous research and 153 were completed by passengers who had traveled by air in the previous 6 months. Traditional airline passengers have significantly higher perceived service quality and customer satisfaction. However, there is no significant difference in loyalty-related behavior. Overall service quality has significant influence on customer satisfaction in both traditional and low-cost airlines. However, the effect of service quality on behavioral intentions is only significant for traditional airlines. The results suggest that management of traditional and low-cost airlines should maintain service quality as it affects customer satisfaction.