discussion post 7
Janet Woodland posted Feb 28, 2018 2:49 PM
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Inevitably, at least a few airlines hit the top ten list or customer service hall of shame for worst service industries each year. In 2017, Spirit Airlines captured the worst ranking in the airline industry again according to the American Customer Satisfaction Index (Vasel, 2017). They received the same ranking in 2015 and 2016. A travel website, The Points Guy, used several sources to report that Spirit ranked last in tangibles (cabin comfort), reliability (delays), assurance and empathy (customer satisfaction) and responsiveness (frequent flyer program).
However, Spirit’s low-cost airfare strategy could prove to be a successful venture in the long run. As Spirit’s CEO, Ben Baldanza pointed out in a 2013 interview, consumers care more about price than amenities. Increasing seating by roughly 20-25 percent and eliminating amenities like food and comfort, Spirit can hire more employees, accommodate more consumers and satisfy investors.
My travel is mainly by road – I fly just once or twice each year at the most, so my experience is different than that of the frequent business traveler as portrayed in this week’s worksheet analysis. If I am flying, it is because I am going to a desirable vacation spot. Because I am interested in the end result – getting to my vacation spot – tangibles and responsiveness are not high on my list of expectations. Reliability and assurance are important to me. I want to get there and start my vacation, and I want to get there safely. While I could begrudgingly live without the empathy, a higher level of customer service almost always justifies my willingness to spend a little extra money for any service.
I am doubtful that Spirit Airlines can surpass Southwest’s popularity based on current practices, but they can certainly offer some fierce competition. By adding Columbus, as well as other cities to their flight routes, Spirit should entice some Southwest consumers. There are plenty of frequent airline travelers who don’t require the tangibles like baggage check and carry-on and in-flight drinks. So, while Spirit will probably not eclipse Southwest’s market share, they will certainly be able to increase their profit margin.
References
Levine-Weinberg, A. (November 15, 2017). Spirit Airlines continues targeting Southwest
Airlines for growth. The Motley Fool. Retrieved from:
https://www.fool.com/investing/2017/11/15/spirit-airlines-targeting-southwest-airlines-grow.aspx
Martyn, A. (March 2, 2017). Spirit airlines is ranked the worst airline in America. Consumer
Affairs. Retrieved from: https://www.consumeraffairs.com/news/spirit-airlines-is-ranked-the-worst-airline-in-america-030217.html
Peter, J.P., & Donnelly, J. H. (2015). A preface to marketing management. NewYork: McGraw-
Hill Education.
Vasel, K. (April 25, 2017). America’s least favorite airline (hint, it’s not United). CNN.
Retrieved from: http://money.cnn.com/2017/04/25/pf/best-worst-airline-customer-satisfaction/index.html
https://www.youtube.com/watch?v=8WB_IVuSpe0
https://www.youtube.com/watch?v=eAfjCOpjpyY
https://www.youtube.com/watch?v=gam5H9weZt4
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