Factors affecting customer satisfaction and repurchase intention - A study of low cost carriers in Vietnam
Phuong, Diep Hue
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Low cost airline in Vietnam has been seeing tremendous growth during the past ten years. As the business model iis suitable for the majority of Vietnam population, low cost carriers are gradually attracting more and more passengers, and taking over the market share of legacy airline. This research aims to find out the effect of six dimensions, including ticket price, tangible features, schedule, service provided by ground staff, service provided by flight attendant, and online services to customer repurchase intention with the mediation of customer satisfaction when using the service of domestic low cost airlines in Vietnam. The researcher hopes that through the result of this study, low cost airline operators will be able to identify significant contributors to customer behavior and make changes to fulfill customer’s requirements. This study applied quantitative method to analyze the data collected from 252 surveys of passengers who have previous experience in the service of low cost airlines in Vietnam. The result demonstrated the positive effect of independent variables, mediator and dependent variable. Schedule and Service provided by flight attendant is proved that it does not affect both direct and indirect to perceived value and repurchase intention. Ticket price shows the positive direct effect while other dimensions have positive indirect effects to repurchase intention. After that, the recommendations for the management and future researches are provided for more improvement in the customer experience.