The Hidden Cost of Airline Unpunctuality
AbstractThe 'soft' cost of delay - for example, loss of market share due to unpunctuality - is a dominant component in the economics of airline delay. Nevertheless, it remains poorly understood, with almost no quantitative costs published. Drawing on primary survey data and the literature, including Kano satisfaction factors, passenger airline-switching propensity is modelled. Using our peer-reviewed estimate of the average soft cost, we newly estimate its distribution as a function of delay duration. Policy implications emerging from the economics of punctuality target-setting and disruption management techniques are discussed. A shift in strategy from managing delay minutes to delay costs is proposed. © 2012 LSE and the University of Bath
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by London School of Economics and University of Bath in its journal Journal of Transport Economics and Policy (JTEP).
Volume (Year): 46 (2012)
Issue (Month): 2 (May)
Contact details of provider:
Web page: http://www.bath.ac.uk/e-journals/jtep
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum).
If references are entirely missing, you can add them using this form.