Segmentation of passengers using full-service and low-cost carriers – Evidence from Taiwan |
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| Institution: | 1. Department of Marketing and International Business, Faculty of Business, Lingnan University, Tuen Mun, New Territories, Hong Kong;2. Aviation Policy and Research Center, The Chinese University of Hong Kong, New Territories, Hong Kong;3. School of Aviation, Massey University, Palmerston North, New Zealand;1. Air Traffic Management Research Institute, Nanyang Technological University, Singapore;2. Department of Industrial and Systems Engineering, National University of Singapore, Singapore;3. Room 8-15, Haking Wong Building, University of Hong Kong, Hong Kong;1. Stanford University, Civil and Environmental Engineering, Jerry Yang & Akiko Yamazaki Environment & Energy Building, 473 Via Ortega, Stanford, CA 94305, United States;2. Stanford University, Freeman Spogli Institute for International Studies, Encina Hall West, 417 Galvez Mall, Stanford, CA 94305, United States;3. Stanford University, Global Projects Center, Jerry Yang & Akiko Yamazaki Environment & Energy Building, 473 Via Ortega, Stanford, CA 94305, United States;1. CERIS/ICIST, Instituto Superior Técnico, Universidade de Lisboa, Portugal;2. ADVANCE/CSG, ISEG-(Lisbon School of Economics and Management), Universidade de Lisboa, Portugal;1. Department of Tourism Information, Aletheia University, No. 32, Zhenli St., Danshui Dist., New Taipei City 25103, Taiwan;2. Department of Civil Engineering, National Chi Nan University, 1, University Road, Puli 545, Taiwan |
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| Abstract: | Low-cost carriers in Taiwan have rapidly drawn a large number of passengers away from full-service carriers in recent years. However, many passengers still stick with traditional airlines as their primary air carriers. These two groups of passengers should differ in terms of their personal and trip characteristics, valuations of factors in determining an airline, and perceptions of need for ancillary services. The present paper compares the profiles of passengers using different types of air services in Taiwan using data collected from an online survey and assesses the potential of principal component analysis with biplot technique to define different passengers based on their preferences of services and valuations of the importance of factors. Our study shows that passengers of full-service and low-cost carriers have different trip characteristics; principal component analysis is applicable for this context of passenger profile segmentations. |
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| Keywords: | Passenger profiles Full-service carriers Low-cost carriers Principal component analysis |
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