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Exploring the Impact of Airlines Service Quality on Customer Loyalty: Evidence from Taiwan

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  • Chun-Mei Chen
  • Hsian-Ming Liu

Abstract

The purpose of this paper tries to explore what are the key factors to influence customers to choose an airline. The research assesses the service quality, brand image, perceived value and customer loyalty on Taiwan-based airlines. The study analyzes the data by applying structure equation modeling (SEM) from valid 560 questionnaires surveyed in the airports. To validate the measurement model, this study checks scale reliability, overall model fit, and validity using the CFA technology. Moreover, the two major indicators including convergence validity and discriminate validity were employed to assess scale validity. Many prior studies had proved that brand image has a positive influence on perceived value, this study had validated that perceived value has also a positive influence on brand image. The brand image assists in the relation between service quality and loyalty, and perceived value strengthens their relationship. Furthermore, brand image and perceived value mediate the effect of service quality on customer loyalty to display a distal effect. The strategic implications for the effects of service quality lead to repurchase intention and loyalty inclination, which are contributed to both scholarly advancement of knowledge and the state of managerial practice.

Suggested Citation

  • Chun-Mei Chen & Hsian-Ming Liu, 2017. "Exploring the Impact of Airlines Service Quality on Customer Loyalty: Evidence from Taiwan," International Journal of Business and Management, Canadian Center of Science and Education, vol. 12(5), pages 1-36, April.
    • Handle: RePEc:ibn:ijbmjn:v:12:y:2017:i:5:p:36
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    References listed on IDEAS

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    3. Homsombat, Winai & Lei, Zheng & Fu, Xiaowen, 2014. "Competitive effects of the airlines-within-airlines strategy – Pricing and route entry patterns," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 63(C), pages 1-16.
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    6. Hussain, Rahim & Al Nasser, Amjad & Hussain, Yomna K., 2015. "Service quality and customer satisfaction of a UAE-based airline: An empirical investigation," Journal of Air Transport Management, Elsevier, vol. 42(C), pages 167-175.
    7. Chen, Ching-Fu & Chen, Fu-Shian, 2010. "Experience quality, perceived value, satisfaction and behavioral intentions for heritage tourists," Tourism Management, Elsevier, vol. 31(1), pages 29-35.
    8. Chin-Mei Chou & Shu Fen Hsieh & Hsi Peng Tseng, 2014. "The Crowding-out Effects of Chinese Tourists on Inbound Tourism in Taiwan," Tourism Economics, , vol. 20(6), pages 1235-1251, December.
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    Citations

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    Cited by:

    1. Shiwakoti, Nirajan & Jiang, Hongwei & Nguyen, An Duong, 2022. "Passengers’ perception of safety and its relationship with demographics, service quality, satisfaction and loyalty in airlines sector - A case study of Vietnam to Australia route," Transport Policy, Elsevier, vol. 124(C), pages 194-202.
    2. Francesco Bellandi, 2021. "Aircraft Wet Leases: Accounting Dissonance with Competitive Strategy and Travelers’ Perspectives," International Journal of Business and Management, Canadian Center of Science and Education, vol. 13(11), pages 214-214, July.
    3. Chandra Mahapatra, Subas & Bellamkonda, Raja Shekhar, 2023. "Higher expectations of passengers do really sense: Development and validation a multiple scale-FliQual for air transport service quality," Journal of Retailing and Consumer Services, Elsevier, vol. 70(C).

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    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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