I would like to take this opportunity to express our gratitude and appreciation to those who contributed to the research project. The research project would not be as successful without the contribution of them to give advice, suggestions and guidance. Firstly, we would like to thank the help of Universiti Tunku Abdul Rahman (UTAR) for the opportunity to carry out the research project.
His valuable advice and suggestions led us to improve so much in completing the research. Finally, management implications of the research project are provided to describe how the variables are significant and respond to their organizational profit, which follows with the conclusion. To develop a better understanding of the customer experience and how the other variables affect the airline industry, journals, studies, surveys are used in the research.
RESEARCH OVERVIEW
Introduction
Research Background ......................................................................................................... 2-3
- General Objective
- Specific Objectives ...................................................................................................... 4-5
Meanwhile, understanding the factor or measurement of customer experience, such as the achievement of customer expectations of a product or service, is related to their satisfaction and loyalty (Klaus and Maklan, 2012). The customer experience approach is knowing and understanding the customer's cognition and emotions (Juttner, Schaffner, Windler, & Maklan, 2013), which are also related to the customer's willingness to buy again, remain loyal to the product or service, and want to recommend it to others (Temkin et al., 2009). Finally, providing or creating a dominant user experience is imperative for an organization in today's business to gain more market share.
Those professionals are the image of the airline and will cause a bad image of the airline which will affect the experience and emotion of their customers. H1: There is a significant relationship between customer experience and value perception H2: There is a significant relationship between customer experience and service quality H3: There is a significant relationship between value perception and satisfaction. H4: There is a significant relationship between service quality and satisfaction H5: There is a direct relationship between customer experience and satisfaction.
Significant of Study
LITERATURE REVIEW
Introduction
Review of Literature
- Customer Experience ................................................................................................... 8-9
- Service Quality Perception
- Satisfaction
- Loyalty
- Hypotheses Development
- The Relationship between Customer Experience with Value Perception
- The Relationship between Customer Experience with Service Quality
- The Relationship between Value Perception with Satisfaction
- The Relationship between Service Quality Perception with Satisfaction…
- The Relationship between Customer Experience with Satisfaction
- The Value Perception and Service Quality Perception Mediate the Relationship
- The Relationship between Satisfaction and
The customer's perception of the quality of the service provided is the most important factor (Chakrabarty, Whitten and Green, 2007). Customer experience is focusing on service quality factors that include reliability and safety and building positive customer experiences. The effect of customer experience on their perceptions of service quality will influence their level of satisfaction in return for service loyalty (Dagger and O'Brien, 2010; Dagger, Sweeney and Johnson, 2007).
Many studies reliably confirm that service quality perception and customer satisfaction level are interrelated (Rahim, 2015; Oliver, 1997) and supported by Jamali (2007) and Iglesias and Guillen (2004). Marketers have also recognized that satisfaction is strongly influenced by customer value perceptions, service quality perceptions and even user experience (Dahlsten, 2003; Cronin et al., 2000; Rowley, 1999). In short, the perception of service quality has a mediating effect between customer experience and satisfaction (Malik, 2012).
METHODOLOGY
- Introduction
- Research Design
- Data Collection Methods
- Primary Data
- Secondary Data
- Sampling Design
- Target Population
- Sampling Frame
- Sampling Elements
- Sampling Technique
- Sampling Size
- Research Instrument
- Construct Measurement
- Data Processing
- Questionnaire Checking
- Data Editing ............................................................................................................. 33-34
- Data Transcribing
- Data Cleaning
- Data Analysis ................................................................................................................ 34-35
- Reliability
- Inferential Analysis
In this research, descriptions are abstracted from the internet and newspapers to relate the statement to their perception of airline services using the Likert scale method (Zikmund, 2010). This research design is used to understand the cause of the problem and how the effect is related to the attitude of the airline (Zikmund, 2010). The whole process with the airline was easy. I am staying with the airline because of my past dealings with the airline.
If I stay with the airline, the process is much easier. The airline quickly provides me with what I need. I have to choose between different options with the airline. I have to consider offers from more than just airlines. I need to compare different airline options. I have a specific contact at the airline. Airline services have an acceptable quality standard Airline flights arrive and depart on time.
Using airline services gives me social approval Chi & Kilduff (2011), Using airline services improves the way I am perceived. Airline services are good for the price paid. Airline services are affordable. The use of air services is pleasant. It is a pleasure to use air services. The use of air services is interesting.
The airline employees are always kind to me The attitude of the airline employees inspires confidence in me. The airline has convenient operating hours for all customers The airline gives me individual attention. I am glad to experience this airline service again and I think I did the right thing when I decided to use the airline.
I will continue to experience the airline Harris & Goode (2004) Consider the airline as the first choice to buy Zeithaml et al.
DATA ANALYSIS
Introduction
Descriptive Analysis ...................................................................................................... 40-47
- Reliability Test ........................................................................................................ 50-52
To determine the score of 5 point Likert scale from disagree to strongly agree with customer experience, value perception, service quality perception, satisfaction and loyalty. The highest average is under customer experience Q15 and the lowest average falls under customer experience Q12. H0: There is no significant relationship between customer experience and value perception. H1: There is significant relationship between customer experience and value perception. Table 4.4.2.1.1 said that the significant value between customer experience and value perception towards the airline service is at the value of 0.000, which is lower if p value of 0.05 with Beta = 0.840 is accepted.
H0: There is no significant relationship between value perception and satisfaction. H1: There is a significant relationship between value perception and satisfaction. H0: There is no relationship between service quality perception and satisfaction H1: There is a significant relationship between service quality perception and satisfaction Table 4.4.2.4.1 states that there is a significant value between service quality perception and airline service satisfaction at 0.000, which is a value lower than p value 0.05 with Beta = 0.651, H1 is accepted. H0: There is no significant relationship between user experience and satisfaction. H1: There is a significant relationship between user experience and satisfaction.
H0: There is no significant relationship between satisfaction and loyalty. H1: There is a significant relationship between satisfaction and loyalty. Based on this research, mediator study is through multiple regression by adding the supposed mediator which is value perception and service quality perception to run the regression again to test whether the mediation effect exists or not. Thus, the fourth condition was also fulfilled, and the results indicated that value perception completely mediated the relationship between customer experience and satisfaction.
Thus, the fourth condition was also fulfilled and the results indicated that the perception of service quality fully mediated the relationship between customer experience and satisfaction.
DISCUSSIONS, CONCLUSION AND IMPLICATIONS
Introduction
Summary of the Statistical Analysis
- Descriptive Analysis
- Scale Measurement
- Inferential Analysis .................................................................................................. 70-72
- Customer Experience toward Service Quality Perception
- Value Perception toward Satisfaction ...................................................................... 74-75
- Customer Experience toward Satisfaction
- Satisfaction toward Loyalty ..................................................................................... 76-77
Based on the results, R² is 0.414 for value perception and satisfaction, which means that 41.4% of the variation in service quality perception was influenced by customer experience. The results showed that the perception of service value and quality fully mediated the relationship between user experience and satisfaction. Research Objective 1: To examine the impact of customer experience on value perception in an airline.
The hypothesis (H1) is thus accepted, as there is a significant positive correlation between customer experience and value perception in airline service. In addition, the survey question "Does the customer experience affect their value perception" is also answered in the survey. Research objective 2: To investigate the impact of customer experience in relation to the perception of service quality in airlines.
Thus, the hypothesis (H2) is accepted, as there is a significant positive relationship between customer experience and value perception in airline services. Thus, the goal of examining the relationship between user experience and the perception of service quality has been achieved. In addition, the research question "Will customer experience affect their perception of service quality?" the answer is also in the research.
The hypothesis (H5) is therefore accepted as there is a significant positive relationship between customer experience and satisfaction in airline service. In this research, the value perception and service quality perception are the mediator for customer experience and satisfaction. Significantly, value and service quality perception mediate the relationship of customer experience and satisfaction.
Past studies have shown that service quality and perceived value have a mediating effect between customer experience and satisfaction (Baker, Parasuraman, Grewal, & Voss, 2002).
Implications of Study
- Managerial Implications ......................................................................................... .78-79
The customer's emotions will affect the airline's reputation, because nowadays customers will post this feedback on social media, and social media is connected worldwide. Therefore, the associated manager should consider incorporating service quality measurement to improve and understand customer perceptions of the service provided, such as providing one-on-one personal training for employees. In order to maintain loyalty, organizations must meet customer expectations and be satisfied with the service offered.
Manager should put more emphasis on the attributes that will link with customer satisfaction and provide customers an opportunity or a platform for customers to evaluate their feeling towards the services and improve the services. That's why there are only 252 respondents who respond to the questionnaire distributed which are people around me. Although the number of respondents is enough for the project, but the larger the number of respondents, the data will be more accurate.
Due to the lack of financial support, the data is collected using an online questionnaire, and the respondents only based on their understanding of the words in the questionnaires. First, the respondents can be increased up to 500 respondents as the sample size for respondents is between 30 and 500 respondents. For greater accuracy of data or results, data collection can be increased to 500 respondents to ensure better generalizability to the entire population.
Next, the research is proposed to collect data from travelers who have more experience in flying. Consumers who fly frequently will have different perceptions of the airline compared to consumers who don't. Different kinds of variables will have different kinds of outcomes and influence the customer's perceptions.
Past research has dealt with different types of variables such as oral behavior.
Conclusion
