Segmentation and Positioning Analysis for International Air Travel Market

Abstract

Market segmentation for international air travel is explored, and how airline passenger perception positions air carriers is identified. Data for the empirical study were collected from international airline passengers who flew to Tokyo from Taipei. Factor analysis was initially performed to categorize service attributes of airlines into four underlying factors: onboard amenity, ground service, flight safety and corporate image, and travel cost and time. Cluster analysis divided the air passenger travel market into three distinct segments. For each market segment, correspondence analysis produced perceptual maps that reveal the positioning of the airlines and their attributes. Managerial implications of the empirical findings are discussed.

Using multiple correspondence cluster analysis to map the competitive position of airlines

“…Wen et al (2009) and Wen and Yeh (2010), for example, explored airline positioning using 18 service quality variables categorized as onboard amenity (e.g., comfort and spaciousness of seats, cleanliness on board), ground service (e.g., convenience of reservation and ticketing, queues at the check-in counter), flight safety and corporate image (e.g., flight safety record, customer complaint handling), and travel cost and time (e.g., price, convenience of flight schedule) and this study adds seat choice flexibility, reservation flexibility and accuracy, aircraft type, and dealing with lost or damaged luggage.…”

Analyzing the Online Reputation and Positioning of Airlines

“…Service is one of the important factors for determining the airline image, whereas other attributes like schedules and fare offers have little influence on corporate image [78]. Airlines can use market brand positioning to identify major strengths and weaknesses within their services such as comfort of seats, cleanliness, check-in and boarding, airline image, and travel cost and time [79]. The study conducted by Lucini et al [80], based on content analysis of online opinions of airline customers, determines the dimensions of customer satisfaction, making a prediction of the possibility of recommending the airline or not.…”

Attribute Perception Mapping Services Domestic Airlines Using Correspondence Analysis

“…Correspondence analysis is used to visually view whether or not the dependency between categories and to help see the closeness or link a profile from one category to another (Suharjo and Siswadi 1999). Correspondence analysis is also used in the airline positioning research conducted by Gursoy et al (2005) and Wen et al (2008).…”

“…Positioning analysis can be used to identify the strengths and weaknesses of each major airline service so as to explain how the services of a cost compared to its competitors (Wen and Chen 2010). Research on positioning the airline has been done by several researchers, among others: Kaynak et al (1994), Gursoy et al (2008), Surrovitskikh and Lubbe (2008), Wen et al (2008), Wen and Yeh (2010), Campbell and Ellis (2012), Wang et al (2014), but according to Gursoy et al (2005) positioning flights by using the attributes of quality of service has not been carried out, including in Indonesia.…”