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An analysis of the relationship between service failure, service recovery and loyalty for Low Cost Carrier travelers

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  • Chou, Pin-Fenn

Abstract

The purpose of this study is to analyze the relationship between service failure, service recovery, and loyalty for Low Cost Carrier travelers. This study also examines the mediating effects of service recovery between service failure and loyalty through travelers' perceived satisfaction. The study reveals that service recovery has a positive effect on attitude and behavior loyalty, while service failure has a positive effect on service recovery. The empirical analysis shows that both apology and compensation have only a partial mediating effect between delivery failure, and attitude loyalty and behavior loyalty separately. Practical implications of the findings for Low Cost Carrier services are discussed.

Suggested Citation

  • Chou, Pin-Fenn, 2015. "An analysis of the relationship between service failure, service recovery and loyalty for Low Cost Carrier travelers," Journal of Air Transport Management, Elsevier, vol. 47(C), pages 119-125.
    • Handle: RePEc:eee:jaitra:v:47:y:2015:i:c:p:119-125
    DOI: 10.1016/j.jairtraman.2015.05.007
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    References listed on IDEAS

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    1. Chang, Yu-Wei & Chang, Yu-Hern, 2010. "Does service recovery affect satisfaction and customer loyalty? An empirical study of airline services," Journal of Air Transport Management, Elsevier, vol. 16(6), pages 340-342.
    2. Hong-Sheng Chang & Han-Liang Hsiao, 2008. "Examining the casual relationship among service recovery, perceived justice, perceived risk, and customer value in the hotel industry," The Service Industries Journal, Taylor & Francis Journals, vol. 28(4), pages 513-528, May.
    3. Weber, Karin & Sparks, Beverley, 2004. "Consumer attributions and behavioral responses to service failures in strategic airline alliance settings," Journal of Air Transport Management, Elsevier, vol. 10(5), pages 361-367.
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    2. Ivatul Laili & Sumiati & Sudjatno, 2022. "The effect of service failure on customer loyalty through customer forgiveness and service recovery as mediation variables:A study on go-car in Surabaya," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 11(4), pages 23-29, June.
    3. Lee, Won Seok & Tang, Ruohan & Moon, Joonho & Song, Myungkeun, 2022. "The structural relationship between a low-cost carrier’s service experience, corporate social responsibility, brand love, and reuse intention: The case of Southwest Airlines," Journal of Air Transport Management, Elsevier, vol. 102(C).
    4. Chao, Shih-Liang & Lin, Ru-Yan & Sun, Yu-Han, 2019. "Mediating effects of service recovery on liner shipping users," Transport Policy, Elsevier, vol. 84(C), pages 40-49.
    5. Park, Joonyong & Kim, Renee B., 2022. "Importance of offline service quality in building loyalty of OC service brand," Journal of Retailing and Consumer Services, Elsevier, vol. 65(C).
    6. Lin, Hsiu-Fen & Huang, Yi-Wen, 2015. "Using analytic network process to measure the determinants of low cost carriers purchase intentions: A comparison of potential and current customers," Journal of Air Transport Management, Elsevier, vol. 49(C), pages 9-16.
    7. Liu, Chih-Hsing Sam & Lee, Tingko, 2016. "Service quality and price perception of service: Influence on word-of-mouth and revisit intention," Journal of Air Transport Management, Elsevier, vol. 52(C), pages 42-54.
    8. Lee, C.K.M. & Ng, K.K.H. & Chan, Hing Kai & Choy, K.L. & Tai, W.C. & Choi, L.S., 2018. "A multi-group analysis of social media engagement and loyalty constructs between full-service and low-cost carriers in Hong Kong," Journal of Air Transport Management, Elsevier, vol. 73(C), pages 46-57.
    9. Muhammad Mazhar & Muhammad Amir Nadeem & Haider Ali Abbasi & Umaima Tariq & Amin Jan & Rao Abdul Hannan Jaffar, 2022. "Reparation for Service Failure Through Service Recovery: An Assessment of Consumer Behaviour in an Online Shopping Context," Business Management and Strategy, Macrothink Institute, vol. 13(1), pages 64-87, June.
    10. Emrah Oney & Iman Aghaei, 2024. "Consumer complaint intentions: the impact of general and specific self-confidence," Journal of Marketing Analytics, Palgrave Macmillan, vol. 12(2), pages 390-410, June.
    11. Nicholas O Mantey & Vannie Naidoo, 2016. "Service Quality Failure and Recovery Imperatives: Implications for Airlines Owned by South Africa," Journal of Economics and Behavioral Studies, AMH International, vol. 8(4), pages 67-78.

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