Customer satisfaction vs frequent flier programmes in the airline industry

Competition in the airline industry has intensified over the decade concurrent with the rapid growth in air travel. Two of the defensive strategies employed by airline companies to retain customers are customer satisfaction and switching barriers. In particular, a switching barr...

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Main Authors: Joo, Eileen Chee Hui, Peng, Cindy Choong Mei, Shern, Lim Mei
Other Authors: Lee Boon Ooi
Format: Final Year Project (FYP)
Language:English
Published: 2014
Subjects:
Online Access:http://hdl.handle.net/10356/55521
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author Joo, Eileen Chee Hui
Peng, Cindy Choong Mei
Shern, Lim Mei
author2 Lee Boon Ooi
author_facet Lee Boon Ooi
Joo, Eileen Chee Hui
Peng, Cindy Choong Mei
Shern, Lim Mei
author_sort Joo, Eileen Chee Hui
collection NTU
description Competition in the airline industry has intensified over the decade concurrent with the rapid growth in air travel. Two of the defensive strategies employed by airline companies to retain customers are customer satisfaction and switching barriers. In particular, a switching barrier unique to the airlines industry is the frequent flier programme (FFP). After a period popularity, FFPs have come under criticisms from users and airlines. As a result, airlines are turning their focus back to providing quality service and enhancing customer satisfaction. This research was conducted with the objective of comparing the relative strengths of customer satisfaction vis-a-vis frequent flier programmes at retaining customers A survey was conducted on passengers of Singapore Airlines and Qantas Airways to facilitate this and an index was created to analyse the data. The results reveal that FFPs have different effectiveness depending on their structure. On the whole, FFPs do affect the decisions of passengers but not as much as the original expectations. Despite this, airlines should not discontinue the programmes as FFPs have evolved to the point where passengers take for granted the membership.
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spelling ntu-10356/555212023-05-19T05:41:41Z Customer satisfaction vs frequent flier programmes in the airline industry Joo, Eileen Chee Hui Peng, Cindy Choong Mei Shern, Lim Mei Lee Boon Ooi Nanyang Business School Lee Boon Keng DRNTU::Business::Accounting Competition in the airline industry has intensified over the decade concurrent with the rapid growth in air travel. Two of the defensive strategies employed by airline companies to retain customers are customer satisfaction and switching barriers. In particular, a switching barrier unique to the airlines industry is the frequent flier programme (FFP). After a period popularity, FFPs have come under criticisms from users and airlines. As a result, airlines are turning their focus back to providing quality service and enhancing customer satisfaction. This research was conducted with the objective of comparing the relative strengths of customer satisfaction vis-a-vis frequent flier programmes at retaining customers A survey was conducted on passengers of Singapore Airlines and Qantas Airways to facilitate this and an index was created to analyse the data. The results reveal that FFPs have different effectiveness depending on their structure. On the whole, FFPs do affect the decisions of passengers but not as much as the original expectations. Despite this, airlines should not discontinue the programmes as FFPs have evolved to the point where passengers take for granted the membership. ACCOUNTANCY 2014-03-11T07:40:21Z 2014-03-11T07:40:21Z 1995 1995 Final Year Project (FYP) http://hdl.handle.net/10356/55521 en Nanyang Technological University 71 p. application/pdf
spellingShingle DRNTU::Business::Accounting
Joo, Eileen Chee Hui
Peng, Cindy Choong Mei
Shern, Lim Mei
Customer satisfaction vs frequent flier programmes in the airline industry
title Customer satisfaction vs frequent flier programmes in the airline industry
title_full Customer satisfaction vs frequent flier programmes in the airline industry
title_fullStr Customer satisfaction vs frequent flier programmes in the airline industry
title_full_unstemmed Customer satisfaction vs frequent flier programmes in the airline industry
title_short Customer satisfaction vs frequent flier programmes in the airline industry
title_sort customer satisfaction vs frequent flier programmes in the airline industry
topic DRNTU::Business::Accounting
url http://hdl.handle.net/10356/55521
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