Linkages between customer service, customer satisfaction and performance in the airline industry: Investigation of non-linearities and moderating effects

The paper investigates the linkages between customer service, customer satisfaction, and firm performance in the US airline industry. In particular, the moderating effects of market concentration and firm dominance on the service-satisfaction-performance relationship are examined. Our major finding is that market concentration dampens the relationship between customer satisfaction and airline profitability. Although the same moderating relationship was not found for market power, these results, combined, indicate that airlines can increase profits in concentrated markets without providing for the same, concomitant increases in customer satisfaction as airlines operating in more competitive markets. From a public policy perspective, our results point to the importance of regulators monitoring airline actions, such as mergers and alliances, that serve to increase the concentration of markets, but may result in lower levels of customer satisfaction.     

SOCO's impact on service outcomes of tour guides: the moderating effect of customers’ shopping orientation

This research examines the effects of both sales-oriented and customer-oriented service strategies of tour guides on service outcomes: rapport, customer satisfaction, customer loyalty, and willingness to tip. This research also investigates how customers’ shopping orientation moderates the above relationships. A convenience sampling was conducted and 370 valid questionnaires were obtained. The data were analysed using structural equation modelling. The findings are as follows: (1) customer-oriented strategy of tour guides has a significantly positive impact on the service outcomes; (2) selling-oriented strategy of tour guides has a significantly negative impact on customer satisfaction and customer loyalty; and (3) shopping orientation of tour members moderates the relationships between selling orientation and service outcomes. Thus, if tour guides can provide service for customers in a suitable way, they will then improve the customers’ perception of services. These findings provide practical information for travel agencies and tour guides.     

Driving holistic innovation to heighten hotel customer loyalty

Innovative offerings facilitate hotels to expand the segment of loyal customers, who display stronger re-patronage intention and recommendation willingness. Innovation performance is essential for enhancing hotel management performance. According to the holistic innovation paradigm, successful innovation should be holistic in nature and comprise novel, utilitarian and experiential value dimensions. Empirical findings also attest to the conduciveness of holistic innovation to heightening customer loyalty. However, the antecedents and outcome of holistic innovation are still unclear in the hotel context. The current study validates a theoretical framework via surveys administered on the chief executive officers and customers of 112 five-star hotels. As the research result suggests, ambidextrous innovation orientation and value co-creation capabilities are primary drivers of holistic innovation. In turn, the three value dimensions of holistic innovation relate positively to customer loyalty with variant effect sizes. The research result contributes to hotel management both academically and practically.     

Does the nature of airport terminal service activities matter? Processing and non-processing service quality,passenger affective image and satisfaction

The surge in air transport demand and the increasingly competitive and volatile market dynamics due to airline deregulation are rapidly transforming airports’ character into multi-service firms and destinations. As a result, service performance measurement of significant systems and their consequent impact on airport users are crucial in creating better airport service design, operation and management for sustainable competitive advantage. The present study 1) assesses the applicability of the Airport Indicators of Passenger Experience (AIPEX) model on Shanghai Pudong International Airport (PVG), and 2) tests a theoretical model that explores the direct and indirect relationships among airport service quality, passenger affective image and satisfaction, as well as the moderating mechanism of passenger type (travel purpose) in these associations. The results indicate that, the AIPEX model fits the PVG context for airport service performance assessment. Also, the theoretical model suggests robust direct associations among processing/non-processing domains and passenger satisfaction, as well as the processing domain and passenger affective image, except non-processing domain and passenger affective image relation. Moreover, significant mediating and moderating effects of passenger affective image and travel purpose on the significant positive direct associations are found. Further, implications for theory and practice are discussed.     

Out of sight,out of cancellation: The impact of psychological distance on the cancellation behavior of tourists

Travel products such as package tours, Airtels, hotel rooms, and airline seats lose their value unless they are sold by a certain date. Therefore, predicting customer behavior allows travel companies to maximize their profits, minimize their loss of revenue by balancing supply and demand (e.g., determining an overbooking level), and wisely respond to pressures from the government and customer groups to lessen cancellation penalties. For this reason, it is important to investigate what cause people to cancel their travel plans after reservations have been made. Based on construal level theory (CLT), this study tries to identify the reasons for the cancellation behavior of customers in accordance with different types of psychological distance between travelers and their travel or reservation behavior. Moreover, it examines the moderating role of tourists’ dependence on a travel agency in these relationships for predicting tourist cancellation patterns in a more specific manner.     

Examining hotel salespeople's new membership programme sales performance

Promoting new membership programmes can be a rewarding, yet challenging task for hotels. However, high-performance sales teams can improve consumer perceptions of new membership programmes in the market and allow hotels to remain competitive. Few studies have explored how hotel sales personnel approach the task of selling new membership programmes, and studies examining the moderating influence of market orientation are also rare. The current study contributes to the hospitality sales management literature by using the goal orientation theory to examine the new membership programmes sales performance of 168 salespeople. ‘Market orientation' was included as a variable that could moderate salespeople's performance. The results show that learning goal orientation and performance-prove goal orientation positively influence salespeople's performance, but performance-avoid goal orientation negatively influences sales performance. Furthermore, hotels' levels of market orientation (high or low) can moderate the relationship between goal orientation and sales performance.     

The split delivery vehicle routing problem with minimum delivery amounts

In the vehicle routing problem, a fleet of vehicles must service the demands of customers in a least-cost way. By allowing multiple vehicles to service the same customer (i.e., splitting deliveries), substantial savings in travel costs are possible. However, split deliveries are often an inconvenience to the customer who would prefer to have demand serviced in a single visit. We consider the vehicle routing problem in which split deliveries are allowed only if a minimum fraction of a customer’s demand is serviced by a vehicle. We develop a heuristic method for solving this problem and report computational results on a wide range of problem sets.     

Influences on the perceived value of medical travel: the moderating roles of risk attitude,self-esteem and word-of-mouth

This study aims to discover the influential factors and critical moderators that can enhance the perceived value that international tourists feel towards medical travel. A total of 259 international tourists were surveyed using questionnaires. The results were analysed using structural equation modelling, and the findings are as follows. Firstly, hospital elements, such as service quality, hospital credibility and hospital image, all influence the perceived value of medical travel. Moreover, the results also confirmed the positive moderating effects of personal-factors (risk attitude and self-esteem) and an external factor (word-of-mouth), which can increase the influences of these hospital elements on the perceived value of medical travel.     

Performance measurement of a transportation network with a downtown space reservation system: A network-DEA approach

We propose an evaluation approach for a novel travel demand management strategy known as the downtown space reservation system (DSRS). This approach takes into account three perspectives, i.e., transportation service provider’s, the user’s, and the community’s and is based on network-Data Envelopment Analysis (DEA) where the perspectives are inter-related through intermediate inputs/outputs. Two types of network-DEA models (radial and slacks-based models) are considered. An example is provided using data propagated from a microscopic traffic simulation model of the DSRS. The results show that individual node performance can drive network DEA performance and that this information can inform future designs of the DSRS.     

Text mining approach to explore dimensions of airline customer satisfaction using online customer reviews

The airline industry operates in a highly competitive market, in which achieving and maintaining a high level of passenger satisfaction is seen as a key competitive advantage. This study presents a novel framework for measuring customer satisfaction in the airline industry. Using text mining methods we explore Online Customer Reviews (OCRs) to provide guidelines for airlines companies to improve in competitiveness. We analyze a database of more than 55,000 OCRs, covering over 400 airlines and passengers from 170 countries. Using a Latent Dirichlet Allocation model we identified 27 dimensions of satisfaction described by 882 adjectives. Dimensions and adjectives were used to predict airline recommendation by customers, resulting in an accuracy of 79.95%. The most relevant dimensions for airlines' recommendation prediction were calculated. OCRs were stratified according to several variables. Of those, type of passenger impacted the least on the number of dimensions of customer satisfaction, while type of cabin flown impacted the most. Observing results in different publication years we showed airline customer trends through time. Our method showed sensitiveness to identify variations in dimensions distribution according to different passenger characteristics and preferences. Practical implications are that airline service providers aiming at maximizing customer satisfaction should focus their efforts on (i) customer service to first class passengers, (ii) comfort to premium economy passengers, and (iii) checking luggage and waiting time to economy class travelers. Regression analysis revealed cabin staff, onboard service and value for money as top three dimensions of satisfaction to predict the recommendation of airlines. Designing services that excel in those dimensions is likely to improve the company's performance with customers.     

An assessment of delivery changes for UK terminal air navigation services

In order to meet government contestability policy ambitions, the United Kingdom Civil Aviation Authority (CAA) has undertaken a range of initiatives to create a competitive market for terminal air navigation services (TANS). This paper examines the critical dynamics underlying recent TANS service delivery changes at the nine United Kingdom airports that fall within the Single European Sky performance scheme (SES) using industry data and Porter's five forces model. Interviews with CAA, NATS and airport operators, along with publically available material, are used to explore the various elements impacting competition for TANS at these airports. Competition is intense among a very small number of companies. In addition to optimizing service cost, airport operators require greater value for money including alignment to strategic-operational goals, closer integration with other airside functions and payment structures that are performance based. Gatwick and Birmingham airports changed service provisions due to concerns about the value for money proposition offered by NATS Services Ltd (NSL). This paper also illustrates how competition has changed the customer orientation of NSL. It has been forced to evolve quickly from an expensive, perceived as somewhat arrogant, organisation to one that must be capable of aligning to the cost and service requirements of its customers. Importantly for the ATM industry this paper provides evidence that competition drives lower service costs and provides greater value for money for airlines and airport operators.     

In-flight physical surroundings: quality,satisfaction, and traveller loyalty in the emerging low-cost flight market

The purpose of our research was to investigate the relationships among overall service quality, customer satisfaction, and behavioural intentions by considering the moderating impact of in-flight ambient conditions (air quality, temperature, odour, and noise) in the low-cost airline industry. A survey was conducted on international flights. Results of the structural equation modelling from a sample of 402 passengers indicated that quality and satisfaction are significant drivers of intentions; and satisfaction acted as a significant mediators. Additionally, supporting the moderating impact of ambience, findings from the tests for metric invariance revealed that the effect of satisfaction on intentions was stronger for the high air quality, temperature, odour, and noise groups than for the low groups; and the strength of the relationship between quality and intentions was greater in the high noise group than in the low noise group. Our results will help practitioners/researchers develop effective strategies/theories for passenger satisfaction and retention.     

Profiling Sport Tourists: The Case of Super 12 Rugby Union in the Australian Capital Territory,Australia

The concept of sport related tourism has become more prominent in the last few years as both an academic field of study and an increasingly popular tourism product (Gibson, 1998). Sport tourism includes travel to participate in a passive (e.g. sports events and museums) or active sport holiday (e.g. scuba diving and cycling), and it may involve instances where sport or tourism itself is the dominant activity or reason for travel. However, little research has been undertaken to examine the profile of sport tourist market segments in an attempt to understand these segments and their potential as tourism markets. This paper will examine one such attempt to profile sport tourist spectators through surveying sport tourists attending Super 12 Rugby Union matches at Bruce Stadium, Canberra in April/May 2000. The paper discusses the preliminary results of this exploratory study, and examines the sporting behaviour and travel behaviour of spectators. The paper will then discuss differences between spectator characteristics with an emphasis on examining high yield segments based on sport and travel behaviour, and will conclude with a discussion of future research possibilities.     

Customer satisfaction and loyalty to Alpine ski resorts: the moderating effect of lifestyle,spending and customers' skiing skills

Customer satisfaction and loyalty are key drivers of performance. However, there is increasing evidence that good attribute performance and high overall satisfaction do not always automatically lead to higher loyalty. In this paper, we put forward a study on customer satisfaction and loyalty to Alpine ski resorts. We analyse the moderating effects of three important factors in the attribute performance–overall satisfaction–loyalty relationship: lifestyle, consumer spending and customers' skiing skills in a sample of 6172 skiers. The results show that all studied variables have a moderating effect. The findings have implications on both theory and practice. Copyright © 2007 John Wiley & Sons, Ltd.     

刍议共享经济时代的铁路出行服务平台

近年来,共享出行成为出行服务市场的生力军,铁路部门也启动了相关业务。以经营实践和市场实际为研究背景,通过梳理共享出行的概念、特点,简析铁路出行相关各方的痛点问题,提出共创美好旅行生活的定位,用假设演绎方式阐释了铁路部门共享出行服务平台的商业开发机会和建构思路,以供参考。     

Conceptualising convenience: Transportation practices and perceptions of inner-urban high density residents in Brisbane,Australia

High-density living in inner-urban areas has been promoted to encourage the use of more sustainable modes of travel to reduce greenhouse gas emissions. However, previous research presents mixed results on the relationship between living in proximity to transport systems and reduced car-dependency. This research examines inner-city residents’ transportation practices and perceptions, via 24 qualitative interviews with residents from high-density dwellings in inner-city Brisbane, Australia. Whilst participants consider public transport accessible and convenient, car use continues to be relied on for many journeys. Transportation choices are justified through complex definitions of convenience containing both utilitarian and psycho-social elements, with three key themes identified: time-efficiency, single versus multi-modal trips, and distance to and purpose of journey, as well as attitudinal, affective and symbolic elements related to transport mode use. Understanding conceptions of transport convenience held by different segments of the transport users market, alongside other factors strongly implicated in travel mode choice, can ensure targeted improvements in sustainable transport service levels and infrastructure as well as information service provision and behavioural change campaigns.     

The impact of service quality and price on passengers' loyalty towards low-cost airlines: The Southeast Asia perspective

The objective of this study is to examine the impact of service quality by adopting AIRQUAL model and price on passengers' loyalty through the linkage of passengers' satisfaction toward low-cost airlines from the perspective of Southeast Asia. With 200 questionnaires analyzed, the results suggest that service quality and price have a positive significant impact on passenger satisfaction, and as a result lead to passengers’ loyalty. Besides, the findings of this research also confirm the mediating role of customer satisfaction between service quality and loyalty, price and loyalty separately, which implies that customer satisfaction is a vital factor for an LCCs to survive in such a highly competitive aviation market.     

Distributed Fascinating Knowledge Over an Online Travel Community

The research goal of this study was to investigate how website design quality and website service quality affect participation behavior in the online travel community by moderating tacit knowledge and commitment. The design of the questionnaire linked it to the invitation message on the three travel communities, of which 235 were returned completed. The finding of the study shows that an online travel community that allows quick manipulation capabilities is likely to attract its members. To succeed, online travel communities have to rethink the way in which they embrace a new art of dialog and collaboration with their members. Copyright © 2012 John Wiley & Sons, Ltd.     

Not just surviving,but thriving: perceived strengths of successful US‐based travel agencies

In‐depth interviews with owners of 19 exceptionally successful US‐based travel agencies were analyzed using a ground theory approach to reveal customer service excellence, employee enrichment and effective networking as three core perceived strengths that comprise a theme of ‘relationship building’. The latter is supported by a theme of ‘facilitation’ entailing diligent client selection, a culture of learning, high adaptability (related to technology and product realignment), scale, adherence to business basics, and owner optimism. Together, both themes suggest a macro‐theme of ‘deep commitment’. The results provide guidelines for aspiring travel agency owners. Copyright © 2007 John Wiley & Sons, Ltd.     

Market orientation and business performance: An empirical investigation in the airline industry

As the airline industry has become more competitive, carriers have looked to improve performance and competitiveness. During the last decade, market-oriented corporate strategy has emerged as a significant antecedent of organizational performance and is presumed to contribute to long-term success. This study investigates potential influences of market orientation on airline performance. Data were collected by mail survey, and MARKOR was used to specify the dimensions of a market-orientated organization. The results support the positive influence of market orientation on business performance.