Designing Pattern for Suitable Fare Rates of Low-cost Airlines
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Abstract
he research aimed 1) to study levels of service quality, marketing mixes, passengers’ satisfaction, brand loyalty, and suitable fare rates and 2) to study the path influences of service quality, marketing mix, passengers’ satisfaction, and brand loyalty affecting suitable fare rates. The mixed methods research were used with quantitative research, data were collected from a sample of 400 low-cost airline passengers with a questionnaire and quota sampling and qualitative research, data were collected from 13 low-cost airline executives with an interview form. The quantitative data were analyzed by descriptive statistics: percentage, average and standard deviation, inferential statistics, SEM: Structure Equation Model and content analysis. The findings found that 1) service quality, marketing mixes, and passengers’ satisfaction were at a high level and loyalty and suitable fare rates satisfaction were highest level. 2) Brand loyalty and passenger’s satisfaction have a direct influence on suitable fare rates moreover passenger’s satisfaction has indirect to suitable fare rates with brand loyalty the most influential on suitable fare rates of low-cost airline and next is passenger’s satisfaction. The results of this research can be utilized by low cost airline executives take to formulate a plan for concrete brand loyalty planning.
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