The study of customer relationship management in Thai airline industry: A case of Thai travelers in Thailand

Abstract

Purpose:  This paper offer marketing strategy suggestion to the airlines operating within the Thai aviation market. It identifies the recommended motivational factors that influence the airline customers’ decision to their airline choices. Airlines use different customer relationship management programs to attract returning customers.  This paper suggested the most attractive motivation factors for Thailand's air travel market. Design/methodology/approach:  This research paper is an attempt to study and identify the factors, including loyalty program, distribution channel, customer services, promotions and other influence causes that affected the customer preference in the airline ticket purchasing behavior in Thailand. A questionnaire survey was conducted with the sample identified through unrestricted non probability sampling technique at four major airports in Thailand. The data collected are analyzed to identify the favorable drivers that lead to customer decision on airline choice. Findings:  The result from the study has demonstrated that price, and promotion has a significant impact on customer preference and positively leads to repurchase intention for their future travel. Moreover, flight schedules are also a main factor influencing the travelers’ final decision on airline choice. However, when the promotional strategies and schedule are comparable between airlines, customers are attracted by the airline amenities and services. Loyalty program (frequent-flier program flier program) is showing a less attractive motivator while distribution channel demonstrates the least important affecting the travelers’ choice of airline. Originality/value:  The paper begins with an overview of previous research in the area of airlines customer relationship management and then moves on to what is currently being implemented by the airlines. The authors then propose several customer relationship strategies and identify the most attractive one that motivates the Thai consumers.