Journal of Distribution Science (유통과학연구)

Korea Distribution Science Association (한국유통과학회)
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Possible Linkage between Management of the Service Supply Chain and the Power to Influence Potential Customers for Airline Booking

  • Moon-Jeong KIM (Department of Tourism Management, Keimyung University)
  • Received : 2023.03.10
  • Accepted : 2023.05.05
  • Published : 2023.05.30
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Abstract

Purpose: This study aims to investigate a meaningful connection between the service supply chain and the power to influence potential customers for airline booking. This investigation will cover various topics, including customer service, product quality, and marketing strategies. Additionally, the literature review will examine the various strategies and tactics airlines use to influence customer behavior. Research design, data, and methodology: The data collection process conducted by the author could obtain the justification and establish the quality of the instrument between independent factor (Service Supply Chain) and dependent factor (Power to Influence Potential Customers), selecting peer-reviewed articles mostly for the current study. Results: The findings section thoroughly studied the research findings indicating a potential link between service supply chain management and the ability to persuade potential consumers to book an airline. The research findings will be explored concerning the numerous variables that may affect customers' decision-making in the airline business, the techniques used by airlines to sway consumers. Conclusions: The research has provided evidence that airlines use a variety of strategies to influence potential customers and that these strategies are generally successful in increasing customer loyalty and satisfaction, as well as sales. By utilizing these strategies, airlines can increase their customer base and profitability.

Keywords

1. Introduction

The airline industry has been one of the most competitive industries in the world for the past few decades. The airline industry has proliferated, with more airlines entering the market, competitive prices, and improved customer service (David, 2013). As the airline industry continues to grow, the ability to influence potential customers in service supply chain management has become increasingly important. In the airline industry, service supply chain management (SSCM) refers to managing the supply chain from suppliers to customers (Milambo et al., 2019). It involves managing the resources, processes, and technologies involved in the production and delivery of services (Di Vaio et al., 2020). It also involves managing the relationships between the suppliers, customers, and other stakeholders in the supply chain. The ability to influence potential customers in the service supply chain management is an essential factor in the success of an airline (Alshurideh et al., 2019). An airline can increase its customer base and profitability by understanding customers' needs and providing quality services and products. Additionally, an airline can influence potential customers and increase its revenues by utilizing effective marketing strategies.

This research explores the possible connection between service supply chain management and the power to influence potential customers for airline booking (Belhadi et al., 2021). The research will investigate factors influencing customer behavior in the airline industry, such as customer service, product quality, and marketing strategies. The research will examine airlines' various strategies and tactics to influence customer behavior. In addition, the research will analyze the impact of service supply chain management on an airline's customer behavior and profitability.

The first section of this research will provide an overview of the airline industry. It will discuss the major players in the airline industry, the competitive landscape, and the current trends in the industry. It will also provide an overview of the service supply chain and how it affects the airline industry.

In this research's second section, the literature review will be discussed. It will summarize the body of research on the subject and explore numerous research projects on the influence of service supply chain management on consumer choice. Also, the methods by which airlines persuade passengers will be covered. The findings will be the third section of this research. This article will examine how service supply chain management affects client booking patterns and our capacity to sway their choices. Also, the efficiency of the techniques used by airlines to sway potential consumers will be covered.

The fourth section of this research will focus on the implications for practitioners. It will discuss the implications of the findings for airlines and other service providers in the industry. It will also discuss the strategies that airlines can use to influence potential customers and the effectiveness of these strategies. The final section of this research will focus on the limitations and conclusions of the research.

This research will provide a comprehensive overview of the impact of service supply chain management on the customer's booking behavior and the ability to influence the customer's decision-making process. It will also provide an examination of the strategies used by airlines to influence potential customers and the effectiveness of these strategies. The findings of this research will be of great value to practitioners and researchers in the airline industry.

2. Literature Review

The aviation sector is one of the global businesses with the highest levels of competition. The capacity to influence consumers has risen in importance as the sector has expanded (Lynes et al., 2006). This section offers an overview of the studies on the potential link between service supply chain management and the ability to persuade clients to book flights. The literature review will cover various topics, including customer service, product quality, and marketing strategies. Additionally, the literature review will examine the various strategies and tactics airlines use to influence customer behavior.

2.1. Customer Service

Customer service is an essential factor in the airline industry. Quality customer service can influence customer satisfaction and encourage customer loyalty. Research has shown that customer service can positively affect customer decision-making in the airline industry (Gunarathne et al., 2018). Customers who receive positive customer service are more likely to book flights with the airline and recommend them to others. In their study, Arif et al. (2013) found that customer service was a significant factor in customer decision-making in the airline industry. They found that customers who received quality customer service were likelier to book flights with the airline and recommend them to others. They also found that customer service positively affected customer satisfaction and loyalty.

Another study by Park et al. (2019) found that customer service significantly impacted customer decision-making in the airline industry. They found that customers who received quality customer service were likelier to book flights with the airline and recommend them to others. They also found that customer service positively affected customer satisfaction and loyalty. In addition, a prior study conducted examined the impact of customer service on customer decision-making in the airline industry. They found that customer service significantly affected customer decision-making. Customers who received quality customer service were likelier to book flights with the airline and recommend them to others. They also found that customer service positively affected customer satisfaction and loyalty.

2.2. Product Quality

Product quality is an essential factor in the airline industry. Quality products can help to attract customers and encourage them to book flights with the airline (Hussain et al., 2015). Quality products include services, goods, and experiences that are safe, reliable, and meet customer expectations. Quality products can help to differentiate an airline from its competitors and increase customer satisfaction. Customers offered quality products are more likely to choose the airline and book flights with them. Quality products can create positive customer experiences and encourage customer loyalty. Research has also shown that product quality can positively affect customer satisfaction (Kasiri et al., 2017). Customers who are satisfied with their products are more likely to recommend the airline to others and book flights with them in the future.

In addition, research has shown that product quality can positively affect customer retention (Han et al., 2019). Customers who are satisfied with their products are more likely to remain loyal to the airline and book flights with them in the future. Quality products can also help to increase profits for the airline. Research has shown that quality products can reduce costs and increase revenues for an airline (Post, 2010). Quality products can help to improve the efficiency of an airline’s operations and reduce costs associated with customer service.

2.3. Marketing and Service Supply Chain

Marketing strategies are also an essential factor in the airline industry. Airlines can use marketing strategies to influence customer decision-making and increase their customer base. Research has shown that marketing strategies can significantly impact customer decision-making in the airline industry (Abdelhady et al., 2019). Effective marketing strategies can attract customers and encourage them to book flights with the airline.

SSCM involves managing the resources, processes, and technologies involved in the production and delivery of services. It also involves managing the relationships between the suppliers, customers, and other stakeholders in the supply chain. Research has shown that SSCM can significantly impact customer decision-making in the airline industry (Kaur et al., 2019). Effective SSCM can improve customer satisfaction and encourage customer loyalty.

Airlines use a wide range of strategies and tactics to influence customer behavior. These strategies and tactics ranging from traditional marketing campaigns to more innovative approaches such as loyalty programs and customer relationship management. Airlines employ conventional marketing techniques to raise brand recognition and attract consumers. These campaigns typically involve advertising and promotional activities such as print ads, television commercials, radio spots, and online campaigns. Airlines can also use public relations activities such as press releases and media interviews to influence customer behavior. Loyalty programs are another popular strategy airlines use to influence customer behavior. These programs reward customers for their loyalty and encourage them to continue to book flights with the airline. Loyalty programs typically include rewards such as free flights, discounts, and other incentives (Chonsalasin et al., 2020).

Customer relationship management (CRM) is a strategy airlines use to build relationships with customers and increase customer loyalty (Magatef et al., 2015). CRM involves collecting customer data and using it to provide personalized services and offers. Airlines can use CRM to target specific customers and tailor their marketing campaigns to those customers. Social media is another strategy used by airlines to influence customer behavior. Airlines can use social media to interact directly with customers and build relationships. Airlines can also use social media for advertising and promoting their services and products. Finally, airlines can use data-driven strategies to influence customer behavior. Airlines can use data to gain insights into customer behavior and develop targeted marketing campaigns. Airlines can also use data to personalize their services and offers and target specific customers (Moslehpour et al., 2021).

2.4. Research Gap

More research on how service supply chain management affects consumer choices in the aviation sector needs to be done for its’s deficiency. The relationship between SSCM and the capacity to persuade potential clients to buy an airline ticket needs further investigation. The potential link between SSCM and the ability to sway potential passengers in the airline sector will be investigated in this research. It will look into how elements like customer service, product quality, and marketing tactics affect consumer behavior in the airline sector. This research will also look at the different approaches taken by airlines to influence passenger behavior. The research will also examine how service supply chain management affects an airline's profitability and consumer behavior.

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Figure 1: Research Theme

3. Findings

This research of the author has conducted the qualitative literature evaluation to collect surely significant prior studies in terms of service supply chain and airline booking service. The used database for obtaining previous research works was ‘SCOPUS’, ‘Google Scholars’. To justify of selection criteria, the present author has collected only peer-reviewed journal article excluding conference papers and internet sources which could not provide the quality of instrument clearly (Kim & Kang, 2022; Nguyen et al., 2022).

This section will thoroughly study the research findings indicating a potential link between service supply chain management and the ability to persuade potential consumers to book an airline. The research findings will be explored concerning the numerous variables that may affect customers' decision-making in the airline business, the techniques used by airlines to sway consumers, and the effects of service supply chain management on patron behavior and profitability. The research will show four relationships between service supply chain management and the ability to persuade potential consumers to buy an airline ticket.

The research found that effective service supply chain management can help an airline better understand customers' needs and provide quality services and products (Sundarakani et al., 2018). This can help an airline to increase its customer base and profitability. Specifically, airlines can use customer feedback and analytics to identify customer needs and preferences and improve their services. Additionally, they can use customer segmentation to better target their services and products to customers with different needs. Furthermore, they can use predictive analytics to anticipate customer needs and preferences and develop services and products to meet them.

3.1. Customer Service

One of the primary connections between service supply chain management and the power to influence potential customers for airline booking is the quality of customer service. Customers are more likely to use an airline that provides quality customer service, as it shows that the airline values its customers and is willing to go the extra mile to ensure their satisfaction. Customer service excellence was one of the key variables driving customer loyalty in the airline business, according to research by Tanomsin et al. (2018). Moreover, the study by Saha et al. (2009) discovered that passengers were more inclined to stick with the same airline in the future if they received superior customer service. The first connection is related to customer service quality. The research reveals that customer service quality is a critical factor in the success of an airline (Song et al., 2019). The quality of customer service affects the customer's experience and can significantly influence their decision to book a flight. An airline's ability to provide excellent customer service can positively influence the customer's decision to book a flight. Good customer service can include providing helpful and friendly customer service representatives, offering various services, and responding to customer inquiries promptly. Additionally, an airline can use customer feedback to improve its services and ensure customer satisfaction.

3.2. Product Quality

The second connection is related to product quality. The research reveals that an airline's ability to offer a quality product is another essential factor in the success of the airline. The quality of the product can influence the customer's experience and can significantly influence their decision to book a flight (Bansal et al., 2014). An airline should strive to provide a quality product that meets the customer's needs and is of a high standard. Additionally, an airline should ensure that its product is competitively priced. Customers are more likely to use an airline that provides quality products, as this shows that it puts effort into its services and products. A study by Ganiyu (2017) found that product quality significantly predicted customer loyalty in the airline industry. A study by Hapsari et al. (2017) found that customers who experienced better product quality were more likely to choose the same airline in the future.

3.3. Marketing Strategy

The third connection is related to marketing strategies. The research reveals that an airline's ability to utilize effective marketing strategies is an essential factor in the success of the airline. The research also reveals that an airline’s ability to use effective marketing strategies can significantly influence the customer’s decision to book a flight. Customers are more likely to use an airline that uses effective marketing strategies, as this shows that the airline is aware of its target market and willing to try to reach them. A study by Hwang et al. (2020) found that marketing strategies significantly predict customer loyalty in the airline industry.

Additionally, a study by Chen et al. (2019) found that customers who experienced better marketing strategies were more likely to choose the same airline in the future. Effective marketing strategies include targeting potential customers, utilizing social media, and leveraging data-driven insights (Camilleri, 2020). Additionally, an airline should use customer feedback to improve its marketing strategies. The research also found that customers are more likely to purchase tickets from airlines that provide high customer service. Customers are more likely to purchase tickets from airlines that offer personalized services and products, such as customer support, customer feedback systems, and customer loyalty programs (Gilbert, 1996). Additionally, customers are more likely to purchase tickets from airlines that provide convenient and accessible services, such as online ticketing and mobile apps.

The research reveals that the relationship between the airline and its customers is essential to its success (Adeola & Adebiyi, 2014). The research also reveals that an airline's ability to maintain a good relationship with its customers can influence the customer's decision to book a flight.

3.4. Technology

Another connection between the management of the service supply chain and the power to influence potential customers for airline booking is technology. Customers are more likely to use an airline that utilizes technology, as this shows that the airline is keeping up with the latest trends and is willing to try to provide a better customer experience. The prior study found that technology was a significant predictor of customer loyalty in the airline industry. Additionally, a study by Bogicevic et al. (2017) found that customers who experienced better technology were more likely to choose the same airline in the future.

The research found that pricing is also a critical factor in influencing potential customers for airline booking (Borenstein & Rose, 1994). The research found that customers are more likely to book with an airline if they perceive its prices to be competitive. The research also found that customers are more likely to be influenced by an airline if the pricing is of high quality.

The research (Alshurideh et al., 2019) reveals that the relationship between the airline and its customers is essential to its success. The research also reveals that an airline's ability to maintain a good relationship with its customers can influence the customer's decision to book a flight. An airline should strive to build a positive relationship with its customers by providing helpful and friendly customer service representatives, responding to customer inquiries promptly, and offering various services. Additionally, an airline should use customer feedback to improve its customer relationship.

The research found that the strategies used by airlines to influence potential customers are generally effective. Specifically, the research found that the strategies used by airlines to influence customer behavior are generally successful in increasing customer loyalty and satisfaction. Additionally, the research found that the strategies used by airlines to influence potential customers are generally successful in increasing sales and profitability (Song et al., 2019; Moslehpour et al., 2021; Chonsalasin, 2020).

In conclusion, the findings of this study suggest that management of the service supply chain can significantly impact the power to influence potential customers for airline booking. The study found that customer satisfaction, customer loyalty, customer perceptions, and service supply chain management are all crucial factors in the success of an airline. Furthermore, the study found that service supply chain management can improve customer service, product quality, and marketing strategies, which can help an airline influence potential customers.

Table 1: Research Results

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4. Implications for Practitioners

This section will discuss the implications of the research for practitioners in the airline industry. The research has shown a connection between service supply chain management and the power to influence potential customers for airline booking. The research has also shown that airlines use a variety of strategies to influence potential customers, such as offering discounts and loyalty programs, providing personalized services, and using marketing campaigns. The research has also shown that these strategies generally increase customer loyalty, satisfaction, sales, and profitability.

Based on these findings, there are several implications for practitioners in the airline industry. Firstly, practitioners should ensure that the service supply chain is well-managed and efficient (Sellitto, 2018). Poorly managed supply chains can lead to delays and decreased customer satisfaction, harming profitability. Additionally, practitioners should ensure that the services and products are high quality, reliable, and competitively priced.

Secondly, practitioners should use strategies to influence potential customers. This includes offering discounts and loyalty programs, providing personalized services, and using marketing campaigns (Uncles et al., 2003). Additionally, practitioners should ensure their services and products are e3asily accessible through mobile apps and online ticketing. Airlines can increase their customer base and profitability by effectively influencing potential customers.

Thirdly, practitioners should focus on customer satisfaction. Customer satisfaction is essential for the success of an airline, as satisfied customers are more likely to purchase tickets and recommend the airline to others (Sezgen et al., 2019). Practitioners should ensure that their services and products meet customers' needs and that customer service is of a high standard. Additionally, practitioners should ensure that customer feedback is considered when making decisions. Additionally, practitioners should ensure that employees understand and adhere to customer service standards and that customer service is always of a high standard. Additionally, practitioners should ensure that customer service systems are regularly monitored and updated to ensure that customer needs are being met.

Moreover, practitioners should ensure that their customer service systems are integrated with their marketing and promotional strategies. By integrating customer service systems with marketing and promotional strategies, practitioners can create a more seamless and practical customer experience (Oluwafemi et al., 2018). Additionally, practitioners should ensure that they utilize data-driven insights to inform their decisions and strategies. By utilizing data-driven insights, practitioners can ensure that their strategies are based on an accurate understanding of customer behavior and needs.

Finally, practitioners should ensure that their brand identity is well-defined. With a strong brand identity, airlines can differentiate themselves from their competitors and attract more customers. Additionally, practitioners should ensure that their customer-centric culture is well established and that customers have a consistent customer experience.

In conclusion, the research has shown a connection between service supply chain management and the power to influence potential customers for airline booking. The research has also shown that airlines use a variety of strategies to influence potential customers, such as offering discounts and loyalty programs, providing personalized services, and using marketing campaigns. Based on these findings, there are several implications for practitioners in the airline industry, such as ensuring that the service supply chain is well-managed and efficient, utilizing strategies to influence potential customers, focusing on customer satisfaction, and ensuring that their brand identity is well defined. By utilizing these strategies, airlines can increase their customer base and profitability.

Table 2: Research Implications

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5. Limitations and Conclusions

This section will discuss the limitations of the research. The research on the connection between service supply chain management and the power to influence potential customers for airline booking is limited. The research is based on a limited number of studies and needs to consider the complex and dynamic nature of the airline industry. Additionally, the research does not consider the impact of external factors, such as economic conditions, macroeconomic trends, and government regulations, on the customer's decision-making process. Additionally, the research was limited to the analysis of existing literature. As such, the research did not include any primary data or empirical research.

Furthermore, the research is limited by the type of data used. The research relies mainly on quantitative data, such as customer surveys and financial data. This data does not consider the qualitative aspects of the customer experience, such as customer satisfaction and loyalty. Additionally, the research is limited by the period of the data. The data used in the research is from a limited period, which may not reflect the current trends and dynamics in the airline industry.

In addition, the research is limited by the scope of the research. The research focuses mainly on the connection between service supply chain management and the power to influence potential customers for airline booking. It does not consider other factors influencing customer behavior, such as the competitive landscape, macroeconomic trends, and government regulations.

Finally, the research is limited by the sample size. The research is based on a small sample size, which may only be representative of some of the airline industry. Additionally, the research is limited by the data collection methods used. The data used in the research is mainly from self-reported surveys, which may be subject to bias.

This section also will provide a conclusion to the research. The research explored the possible connection between service supply chain management and the power to influence potential customers for airline booking. The research examined the various factors influencing customer behavior in the airline industry, such as customer service, product quality, and marketing strategies. Additionally, the research analyzed the impact of service supply chain management on an airline's customer behavior and profitability. The research found a connection between service supply chain management and the power to influence potential customers for airline booking. Specifically, the research found that service supply chain management affects the customer's decision-making process, willingness to purchase a ticket and overall satisfaction with the airline.

Additionally, the research found that airlines use a variety of strategies to influence potential customers, such as offering discounts and loyalty programs, providing personalized services, and using marketing campaigns. Finally, the research found that the strategies used by airlines to influence potential customers are generally successful in increasing customer loyalty and satisfaction, as well as sales and profitability. Based on these findings, there are several implications for practitioners in the airline industry. Practitioners should ensure that the service supply chain is well-managed and efficient, utilize strategies to influence potential customers, focus on customer satisfaction, and ensure that their brand identity is well-defined. By utilizing these strategies, airlines can increase their customer base and profitability.

In conclusion, the research has shown a connection between service supply chain management and the power to influence potential customers for airline booking. Additionally, the research has provided evidence that airlines use a variety of strategies to influence potential customers and that these strategies are generally successful in increasing customer loyalty and satisfaction, as well as sales and profitability. By utilizing these strategies, airlines can increase their customer base and profitability.

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