• Title/Summary/Keyword: Low Cost Carrier Selection Attributes

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Market Strategy for Low Cost Carrier of Selection Attributes (저비용항공사 선택 속성에 관한 시장전략)

  • Kim, Ji-Soo;Park, Hye-Yoon;Park, So-Yeon
    • Journal of Distribution Science
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    • v.16 no.3
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    • pp.69-77
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    • 2018
  • Purpose - As more low cost carriers are introduced, the competition between the low cost carriers to become the nation's leading low cost carrier is also being intensified. The purpose of this study is to select various choice attributes for low cost carrier and figure out important factors that customers take into account for low cost carrier selection. The study also involves in establishing the relationship between perceived value, customer satisfaction, and customer behavior Intention, in an effort to identify choice attributes that are important to customers' low cost carrier. Research design, data, and methodology - To examine these research models, samples were collected from 247 peoples who visited In-Cheon international Airport during June, 2017. Results - The results of the study showed that, 'reservation service', 'airport service', 'in-flight service', and 'price' services have a significant effect on the perceived value of the choice attributes. While 'reservation service', 'airport service', 'in-flight service', and 'flight operation service' have a significant effect on the customer satisfaction of the choice attributes, perceived value has a significant effect on customer satisfaction. Perceived value has a significant effect on customer behavior intention. Finally, customer satisfaction has a significant effect on customer behavior intention. Conclusions - Flight operation service has no significant effect on perceived value of the choice attributes of low cost carriers, which indicates that the low cost carriers have not yet been well-established in the flight operation service sector. It seems likely that low cost carrier will be able to gain a competitive advantage over other companies if they expand their routes and improve the convenience of flight connections. In addition, the results show that the price service does not have a significant effect on customer satisfaction of the choice attributes of low cost carriers. From this, we may assume that the airline ticket prices of low cost carriers are already low, and the price cannot be a deciding factor in the competitive advantage of low cost carriers. To achieve higher customer satisfaction of the choice attributes, companies should strengthen the competitiveness of 'reservation service', 'airport service', 'in-flight service', and 'flight operation service'.

A study on the difference of Selection Attributes and importance of FSC and LCC by age group (대형항공사와 저비용항공사에 대한 연령대별 선택 속성 및 중요도 차이에 대한 연구)

  • Kim, Young-Rok;Lim, Jae-Hwan;Choi, Yun-Chul
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.25 no.4
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    • pp.91-100
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    • 2017
  • Movements using aircraft are continuously increasing. This is because options for airlines, including eight national airlines, are becoming more diverse. In particular, FSC and LCC provide different services and prices, so it is not easy to choose, but it is analyzed that safety is the most important factor when selecting airlines in 2013 and 2017(all age groups are the same). There was a difference between 2013 and 2017 for each age group. In particular, the importance of price factors is high in 2017 compared to 2013, and other items in the 40s and 50s are also significantly changed.