Airline Industry

Topics: Airline, Southwest Airlines, Low-cost carrier Pages: 33 (9917 words) Published: March 31, 2013

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NAME (Block capitals): Alexander Glenn Sugiarto

MODULE TITLE: Service Marketing


I certify that this assignment is my own work. It does not reproduce anyone else’s work without proper acknowledgement.

Signed By: Alexander Glenn Sugiarto Date: 10 July 2012

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I hereby give consent for my assignment, if accepted, to be available for display in the library.

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Signed By: Alexander Glenn Sugiarto Date: 10 July 2012


I, Alexander Glenn Sugiarto, NRIC: G0872965X, UB Number: 10032431 Declared that this work submitted for assessment is wholly of my own and expressed in my own words. Any use of works of other authors in any form (e.g. ideas, text, and models) is properly acknowledged at their point of use.

A list of the references employed is included.

The word count for this dissertation stands at 7,468 which include Chapter 1 to Chapter 6.

Date: 10 July 2012

Executive Summary

This report provides an analysis on customer acquisition and retention on the airline industry. This research has been done because of the rapid increasing of airline service usage. In today’s time where the competition is strict, knowing how to acquire and retained customers is very important. Hence, these project objectives are to find out what are the factors that affect customer’s satisfaction and provide recommendations for better customers’ acquisition, repetition and recommendation for airline service. First of all, the airline industry background has been analyzed by Porter’s five forces model. Based on the analysis, it shows that the power of suppliers and competition between existing firms in airline service industry is high. While, the threats of substitutes, power of buyer and threats of new entrants are relatively low. Moreover, in order to help airline companies to survive this strict competition, several important attributes have been provided to achieve the objectives. This includes Customer acquisition, Customer retention, Customer Satisfaction and loyalty, Service Recovery and Management and Training. Next, this project use primary quantitative research method which is distributing survey and use several journal and books as a secondary research method to support the thesis. The sample size of the survey is 80 respondents. The data will be analyzed using XLD Data analyst. Based on the result, it shows several factors that affect customer’s satisfaction which lead to acquisition, repetition and recommendations in purchasing airline service In addition, the author provides conclusion to sum all the data from finding and analysis. Furthermore, a list of recommendations for airline companies has been provided to further enhance their acquisition, retention and recommendations that helps them to stay competitive in the present and long term. Last but not least, the limitation of the research and recommendations for further research has also been provided to improve the accuracy for future research. (304 Words)


The author would like to give his best appreciation and gratitude to many people, as without the aid of them, this research would not be possible. First of all, the author wants to give his sincere appreciation and gratitude for Mr. Justin Kung for his excellent support, guidance and advices. Moreover, special thanks for all of respondents that has spent their precious time to fill in the survey. Last but not least, the author would also like to thanks his family for their endless support throughout...
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