AN EMPIRICAL STUDY ON SERVICE QUALITY PERCEPTIONS OF DOMESTIC AIRLINE CONSUMERS IN INDIA International Journal on Information Sciences and Computing, Vol.3, No.2, July 2009 Vaishali.C.Mahajan, Dr. S.S.Rau Research Scholar, Sathyabama University Registrar, Sathyabama University Abstract Pricing and service quality are the key variables that decide the brand equity of each player in the airline industry. Existing literature suggests that measurement and management of service quality is the key for survival of airline companies. This research paper examines the service quality delivered by four major airlines in India on the backdrop of stiff competition in the airline service sector. The process of traveling on a domestic airline was divided into pre-flight, in- flight and post-flight experiences. A survey was conducted to find out the perceived service quality of frequent fliers on each of the four airlines across a series of service performance variables. The airline brands were positioned in a perceptual space, where the perceived service attributes were also mapped. Clear differences emerged among the airlines, with two of them perceived as being similar to each other, and the other two differing in many respects. I. INTRODUCTION India at present has twelve competing over the next five years. airlines in the domestic market as against Only a small percentage of India's a single government owned airline in population travels by air partly due to 1991. According to McKinsey Quarterly the high costs of domestic flying. (2005), the Indian aircraft market is the According to the Center for Asia Pacific world's second largest commercial Aviation (CAPA) consultancy, new aircraft market. On-time performance and players will help domestic passenger service levels have risen dramatically and numbers. The players in the current fares have dropped. Passenger traffic is airline market includes airlines like Air Deccan with low-cost, low-fare and no frills along with airlines like Kingfisher, which offers some frills, and premium airline like Jet Airways. Competition has brought in some price advantages to travelers and has converted many railway passengers to airline travelers. This article examines customer satisfaction among travelers of four major domestic airlines in India. Because of proliferated number of players in the airline industry, airlines may enjoy new business opportunities along with high competitive threats. The objective of this study is to understand the customer satisfaction levels of the four major airlines viz. Jet Airways, Indian Airlines, Air Deccan and Kingfisher. A comparison of customer satisfaction based on service quality was done among the four major airlines based on responses from frequent fliers across fourteen variables on a five point Likert scale. A flying experience was divided into three stages- namely, pre-flight, in-flight and post-flight experience. A questionnaire was designed in such a way that the same sets of variables were measured among the customers of the four airlines under study. Fliers who had flown any of the four airlines could answer the questions pertaining to those airlines. The objective of this study was to understand the satisfaction levels of the airline customers. The study measured the expected level of service quality using a Likert type scale. II. RESEARCH OBJECTIVES 1. To study the customer perceptions of service quality of each of the four airlines under study 2. To compare the service quality of the airlines under study III. RESEARCH METHODOLOGY Questionnaire Design The respondents were asked to evaluate the service quality of the service provided by the airline, which they have traveled. Perceived service quality of each variable was measured through questions designed on a 5-point Likert-type scale ranging from always to never. For example, the on-time services of the airline was measured through the question, “The flights are on time” with always as a the best positive response and never as the worst negative response, any other response can be recorded between “always” and “never” on the scale. Similarly, other good ground service – in-flight service and post-flight service were measured through the same scale. The questionnaire also had a question to check the response to the loyalty programs provided by the airlines to frequent fliers which was measured through, “ the airline offers real benefits to frequent fliers” on the five point Likert – type scale. The authors discussed the air travel process with 69