Service Quality and Customer Satisfaction on Budget Airlines: Kano Model Approach

Main Article Content

Anthony Tik-Tsuen Wong
Mandy Wai-Man Ho


Although low-cost carrier (LCC) airlines do not provide significant service to customer, the demand and market share of LCC is constantly increasing. Services provided by LCC and the quality of their services become a competitive advantage of LCC airlines. The purpose of this research is to identify the factors that are ‘must-be’ dimension after being categorized into five attributes by using Kano Model. 260 responses were collected. The questionnaires include questions about the services factors in the SERVQUAL service model, basic demographic variables and respondents who have taken or not taken the Hong Kong Express before as Hong Kong Express is classified as one significant player of LCC airlines in Hong Kong. The result can give insights to Hong Kong Express to identify their service areas that needed to be improved and paid attention to increase customers’ satisfaction in future.

Kano model, service quality, customer satisfaction, airlines.

Article Details

How to Cite
Wong, A., & Ho, M. (2019). Service Quality and Customer Satisfaction on Budget Airlines: Kano Model Approach. Journal of Economics, Management and Trade, 24(5), 1-16.
Original Research Article


Wenweipo. Hong Kong Express Passengers rise 36%; 2017.

Brady MK, Cronin JJ, Brand RR. Performance-only measurement of service quality: A replication and extension. Journal of Business Research. 2002;55 (1):17–31.

Cronin JJ, Taylor SA. Measuring service quality: A reexamination and extension. Journal of Marketing. 1992;56(3):55–68.

Zeithaml VA, Bitner MJ. Services marketing: Integrating customer focus across the firm. 7th edition. McGraw-Hill Education; 2017.

Szwarc P. Researching customer satisfaction & loyalty: How to find out what people really think. Kogan Page, London; 2005.

Skytrax. HK Express Customer Reviews; 2017.

Shahin A, Zairi M. Kano model: A dynamic approach for classifying and prioritising requirements of airline travellers with three case studies on international airlines. Total Quality Management & Business Excellence. 2009;20(9):1003-1028.

Chen CF. Investigating structural relationships between service quality, perceived value, satisfaction and behavioral intentions for air passengers: Evidence from Taiwan. Transportation Research Part A: Policy and Practice. 2008;42(4):709-717.

Chen FY, Chang YH. Examining airline service quality from a process perspective. Journal of Air Transport Management. 2005;11(2):79-87.

Gursoy D, Chen MH, Kim HJ. The US airlines relative positioning based on attributes of service quality. Tourism Management. 2005;26(1):57-67.

Jones TO, Sasser WE. Why satisfied customers defect. Harvard business review, 1995;73 (6):88-100.

Chang YH, Yeh CH. A survey analysis of service quality for domestic airlines. European Journal of Operational Research. 2002;139(1):166-177.

David Mc AB. Service quality and customer satisfaction in the airline industry: A comparison between legacy airlines and low-cost airlines. American Journal of Tourism Research. 2013; 2(1):67-77.

Vu MV, Huan HH. The relationship between service quality, customer satisfaction and customer loyalty: An investigation in Vietnamese retail banking sector. Journal of Competitiveness. 2016; 8(2):103-116.

Gerson R. Measuring customer satisfaction. Crisp Learning; 1993.

Choi KS, Cho WH, Lee S, Lee H, Kim C. The relationships among quality, value, satisfaction and behavioral intention in health care provider choice: A South Korean study. Journal of Business Research. 2004;57(8):913-921.

Naik CK, Gantasala SB, Prabhakar GV. Service quality (SERVQUAL) and its effect on customer satisfaction in retailing. European Journal of Social Sciences. 2010;16(2):231-243.

Belás J, Cipovová E, Demjan V. Current trends in area of satisfaction of bank clients in the Czech Republic and Slovakia. Transformation in Business & Economics. 2014;13(3):219-234.

Belas J, Gabcova L. Reasons for satisfaction and dissatisfaction of bank customers. International Journal of Entrepreneurial Knowledge. 2014;2(1):4-13.
DOI: 10.15759/ijek/2014/v2i1/53759

Kadir HA, Rahmani N, Masinaei R. Hazlina. Impacts of service quality on customer satisfaction: Study of online banking and ATM services in Malaysia. International Journal of Trade, Economic and Finance. 2011;2(1):1-9.

Agbor JM. The relationship between customer satisfaction and service quality: A study of three service sectors in Umeå. Umeå University, Faculty of Social Sciences, Umeå School of Business, Master Thesis, Two-Years, 30hp; 2011.

Shanka MS. Bank service quality, customer satisfaction and loyalty in Ethiopian banking sector. Journal of Business Administration and Management Sciences Research. 2012;1(1):001-009.

Steven AB, Dong Y, Dresner M. Linkages between customer service, customer satisfaction and performance in the airline industry: Investigation of non-linearities and moderating effects. Transportation Research Part E: Logistics and Transportation Review. 2012;48(4):743-754.

Behn BK, Riley Jr, RA. Using nonfinancial information to predict financial performance: The case of the US airline industry. Journal of Accounting, Auditing & Finance. 1999;14(1):29-56.

Snyder DJ. Customer satisfaction at low cost airlines: A case study of Jetstar Pacific Airlines (JPA). The Clute Institute International Academic Conference; 2014.

Sim KL, Song CJ, Killough LN. Service quality, service recovery and financial performance: An analysis of the US airline industry. Advances in Management Accounting. 2010;18:27-53.

Gilbert GR, Veloutsou C. A cross-industry comparison of customer satisfaction. Journal of Services Marketing. 2006;20(5):298-308.

Hussain R. The mediating role of customer satisfaction: Evidence from the airline industry. Asia Pacific Journal of Marketing and Logistics. 2016;28(2):234-255.

Brandt DR. How service marketers can identify value enhancing service elements. Journal of Service Marketing. 1988;2(3):35-41.

Kano N, Seraku N, Takahashi F, Tsuji S. Attractive quality and must-be quality. The Journal of the Japanese Society for Quality Control. 1984;14(2):39-48.

Hsu YL, Hsu CC, Bing PC. Capturing passengers’ voices: The application of Kano’s model in the airline industry. International Conference on Logistics, Shipping and Port Management. 2007;28:1-14.

Löfgren M, Witell L. Customer satisfaction in the first and second moments of truth. Journal of Product & Brand Management. 2008;17(7):463-474.

Berger C. Kano’s methods for understanding customer-defined quality. Center for Quality Management Journal. 1993;2(4):3-36.

Shahin A, Nekuie N. Development of the Kano model: A novel approach based on linear logarithmic transformation with a case study in an air travel agency. Asian Journal on Quality. 2011;12(2):176-188.

Behdioğlu S, Çilesiz N. Evaluation of attributes of online shopping sites with Kano model. International Conference on Economics Business Management and Social Sciences, Sarajevo; 2016.

Chen HT, Chen BT. Integrating Kano model and SIPA grid to identify key service attributes of fast food restaurants. Journal of Quality Assurance in Hospitality & Tourism. 2015;16(2):141-163.

Huang YF, Chung JC, Lin YS, Hsu KH, Kao CC. Discussing the effect of lifestyle on customer service strategy with cluster analysis and Kano model: A case study on maintenance and repair of motor vehicles. Journal of Information and Optimization Sciences. 2015;36(3):247-268.

Huang JW. Application of Kano model in requirements analysis of Y Company’s consulting project. American Journal of Industrial and Business Management. 2017;7(07):910-918.
DOI: 10.4236/ajibm.2017.77064

Hwang SH, Tsai IC, Mitsuhashi T, Miyazaki K. The application of Kano model on exploring the attractive attributes of community culture products. Bulletin of Japanese Society for the Science of Design. 2014;61(1):27-36.

Basfirinci C, Mitra A. A cross cultural investigation of airlines service quality through integration of Servqual and the Kano model. Journal of Air Transport Management. 2015;42:239-248.

Gilbert D, Wong RK. Passenger expectations and airline services: A Hong Kong based study. Tourism Management. 2003;24(5):519-532.

Liou JJ, Tzeng GH. A dominance-based rough set approach to customer behavior in the airline market. Information Sciences. 2010;180(11):2230-2238.

Tsantoulis M, Palmer A. Quality convergence in airline co‐brand alliances. Managing Service Quality: An International Journal. 2008;18(1):34-64.

Khan U, Khan N. Customer satisfaction in airline industry. International Proceedings of Economics Development and Research. 2014;76(12):63-67.
DOI: 10.7763/IPEDR

American Customer Satisfaction Index. ACSI Travel Report; 2017.

Ramseook-Munhurrun P, Lukea-Bhiwajee SD, Naidoo P. Service quality in the public service. International Journal of Management and Marketing Research. 2010;3(1):37-50.

Parasuraman A, Zeithaml VA, Berry LL. A conceptual model of service quality and its implications for future research. Journal of Marketing. 1985;49(4):41-50.

Parasuraman A, Zeithaml VA, Berry LL. Servqual: A multiple-item scale for measuring consumer perc. Journal of Retailing. 1988;64(1):1-29.

Grönroos C. Service management and marketing: Customer management in service competition. John Wiley & Sons; 2007.

Lovelock C, Jochen W. Services marketing: People, technology, strategy. Pearson Education India; 2007.

Lai HJ, Wu HH. Using refined Kano's model in Evaluating Kaohsiung Rapid Transit System service quality. Journal of Information and Optimization Sciences. 2010;34(2-03):201-224.

Berry W, Sanders M. Understanding multivariate research: A primer for beginning social scientists. Routledge; 2000.

Lo HW, Wang JY. The study of Kano two-dimensional quality model of low cost carriers; 2016.

Zhan YR. The relationship among service quality, corporate reputation and customer satisfaction of the airlines. National Digital Library of Theses and Dissertations in Taiwan; 2015.

Matzler K, Hinterhuber HH. How to make product development projects more successful by integrating Kano's model of customer satisfaction into quality function deployment. Technovation. 1998;18(1):25-38.

Barceló L, Santesteban A. Kano model applied to low cost airlines. Diva-portal; 2017.

Bing PC, Hsu YL. The study on using Kano's model to explore the service quality of the airlines; 2007.

Breyfogle FI, Cupello J, Meadows B. Managing six sigma: A practical guide to understanding, assessing and implementing the strategy that yields bottom-line success. Wiley, New York, NY; 2001.

Dehdari S, Jafari H. Analytical approach to crime and boundary aggression in Arvand River and strategies to combat them. World Applied Sciences Journal. 2013;25 (1):28-35.

Sauerwein E, Bailom F, Matzler K, Hinterhuber HH. The Kano model: How to delight your customers. International Working Seminar on Production Economics. 1996;1(4):313-327.