The Effect of Service Marketing Mix in Low Cost Airlines: A study of Scoot Airlines Indonesia

Abstract

Scoot Tigerair Pte Ltd (operating as Scoot) is one of new player that enter Indonesian market. Scoot claim as airlines for young people, those who are young at heart and looking for real value. For those who hold that a journey is filled with things never before seen, and new experiences. Scoot offers quality delivery services with ethics, contemporary ethics as well as the option that you only pay what you think is worth to pay. As new player scoot has unique marketing mix. Service Marketing Mix are the most important factors that affect the low-cost airline passenger buying intention. The service marketing mix consists of 7 P's (Product, Price, Place, Promotion, People, Physical Evidence, and Process). This research aimed to investigate the relationship between buying intention towards service marketing mix the passengers of lowcost airlines service. This study employed by quantitative research and the questionnaire was used to collect the data from 400 sampled of the passengers who have ever used the low-cost airline services based in Jakarta, Indonesia. The descriptive statistics and Pearson's correlation analysis were used to analyze data. The results obtained in this study indicate that Service Marketing Mix in Scoot Airlines simultaneously has significant effect to buying intention. But in partially the variable who has significant effect to customer satisfaction only 5 variables such as Product, Price, Promotion, Place, physical evidence meanwhile process and people has no effect on buying intention.