The Effect of Service Quality on Customer Satisfaction in the Aviation Industry: The Case of Ethiopian Airlines

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Date

2017-05-18

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Addis Ababa University

Abstract

Customer satisfaction has been one of the main concerns of airline industry all over the world. This has been necessitated by the stiff competition in the aviation industry. Airlines are striving hard to offer quality services to maintain existing customers and to convince new ones as well. The main objective of the research was to assess the effect of airline service quality on customer satisfaction using the five service quality dimensions of AIRQUAL model in Ethiopian Airlines. A sample of 270 customers was taken. The questionnaire was developed based on five dimensions of AIRQUAL model. In methodology part the collected data are analyzed using descriptive statistical tools like mean and correlation and also to analyze the effect relationship regression analysis, normality test and multi-Collinearity test was implemented using SPSS 22 statistical tool. The main findings of the study include the following: all dimensions of AIRQUAL except empathy have a positive relationship with customer satisfaction. The study revealed that airline tangible, terminal tangible and images have positive and significant influence or effect on customer satisfaction. The output of regression shows, from the five dimensions airline tangible, terminal tangible and image have positive and significant effect on customer satisfaction while personnel and empathy were insignificant as the result customer satisfaction is predicted by service quality by the value 63.3% based on the five dimensions of AIRQUAL model. Recommendation that was made include; Ethiopia airlines should have to give more emphasis and do strongly on the dimensions of airline tangible, terminal tangible and image that have positive relationship and significant effect on customer satisfaction. The employees should be polite enough to assure customers feel confident and safe. Employees should try to understand and identify with customers’ specific needs and help according to their respective need. From the research seen all dimensions have a positive effect on customer satisfaction but it is needed to give more emphasis and do on the dimensions of airline tangible, terminal tangible and image that have significant effect on customer satisfaction. However, empathy, and personnel has not been found significant in this study. This study may indicate that customers who used frequently the airline service have a higher tendency of being loyal and hence satisfied with the services

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Keywords

service quality, customer satisfaction, AIRQUAL

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