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The Four Characteristics of Services Offered by AirAsia
One of the characteristics of service offered by AirAsia is intangibility. Services intangibility is inevitable and sometimes could be a challenge for every service provider. According to Pride & Ferrell (2011) intangibility of services can be defined as the characteristic that the service is not physical and cannot be perceived by the senses. For instance like AirAsia which provides flight services, it is impossible for the customers to touch the flight as it is a journey to specific destinations. They might be able to touch the plane, but in the context of services, the customers do not own the physical tools or equipment used to deliver the service but are only entitled to get the service which is the flight service.
Intangibility distinguishes between services and goods. Unlike goods, services have no physical attributes that can be used by the consumers to make judgment. Therefore, the customers cannot imagine what would they get from a particular service. The customers might think of the possible risks that they would encounter if they buy the service. Hence, the service provider must consider enhancing their marketing strategy to convince the customers about their services and reduced the perceived risks.
The next characteristic of service offered by AirAsia is inseparability. Inseparability refers to a distinguishing characteristic of services that reflects interconnection among the service provider, the customers involved in receiving the service and other customers sharing the service experience (Hoffman&Bateson, 2010). Based on this definition, it can be concluded that the inseparability in the service involves the participation by both the customers and also the service provider. Different from the goods that are manufactured prior to its sale, the services production includes the presence of the customers in its production process. For AirAsia, the production of the services started as soon as the passengers board the plane. Since the production and the consumption of the services happen simultaneously, then punctuality is very important especially for AirAsia, which is an airline. AirAsia must ensure that their flights depart on time and should try their best to avoid flight delays. This is because flight delays will cause dissatisfaction to the customers and might cause inconvenience to them.
The next characteristic is heterogeneity. Heterogeneity in services has caused customers to receive inconsistent services, even though the services are purchased are the same services and from the same service provider. It also differentiates services from goods.
In other words, the company cannot be good at everything. Moreover, to achieve Service Excellence it is needed to compromise some of the service attributes, mainly by reducing the ones that the targeted group of customers values less, in order to focus on the improvement of the service’s qualities that the customers want most.
Even though Southwest offers no-frills, there is still a high degree of customer satisfaction that continuously builds customer loyalty for the company. As mentioned, Southwest offers low prices on their airplane tickets. Also, Southwest is renowned in the airline industry for its short turnaround time on arrivals and departures. And since people's biggest concern nowadays is money and time, having low price airline tickets to cater their traveling needs in a shorter period of time will surely satisfy them. Moreover, aside from the low prices offered, what attracts to customers is Southwest’s way in dealing with them. The employees of the airline treat their customers well and really listen to their needs.
At the end it all comes down to being receptive of the customer’s perception and their requirements by offering a service or a product that caters to everything and removes the barriers to adoption of the emerging technology and innovations rather than just holding them
It has been argued that there is no universally recognised definition for services. However, Philip Kotler (1997) has defined services as ‘any activity that does not result in the ownership of anything’. There are generally two types of distinguished services, tangible and intangible. Tangible services are services that customers can touch and feel whereas intangible services cannot be perceived by senses. The service sector across the globe has had a revolutionary change and businesses such as Virgin Atlantic have been using the latest technology; mainly the internet; as a base for expansion but also to offer a larger customer base its services. Certain services such as those provided by Virgin Atlantic are an example of service consumption at business-to-consumer level (B2C).
The characteristics of a service are intangible, inseparable, perishable, heterogeneous and lack ownership. The marketing mix of a service is not perceptible and as the features of a service is distinctive to the features of a product, it has additional elements which are process, people and physical evidence.
Customer experience directly influences the sustainability of Asiana Airlines. Any business solely depends on customers to thrive. The customer service quality is paramount in Asiana airlines. The airline ensures that the customers are satisfied with service delivery in various ways. For instance, the introduction of Netflix streaming for a passenger aboard is a great step towards the sustainability of the airline. The initiative is important for the passengers because they are kept busy while aboard. According to Reader & Ridout (2013), the airline’s KLM technology will enhance the airline’s sustainability. As traveler centered advancements proceed swiftly, there are constantly
Singapore Airlines Limited (IATA code: SQ/ SIA) is the national carrier of the Republic of Singapore which operates from its hub at Changi Airport, Singapore. Singapore Airline is a prestigious member of Star Alliance which consists of airlines such as Scandinavian Airlines and Lufthansa. The Singapore Airlines group has also diversify to cover over 20 airline-related subsidiaries businesses ranging from aircraft handling to travel agency. Singapore airlines is also the world second best airline in the year 2014 only behind Qatar Airways, an award given out by Skytrax, a consultancy and reviews site. (Channel News Asia, 2015) Singapore airline currently hire cabin crew over 9 countries.
Malaysia Airlines (MAS) is our country, Malaysia national airlines. MAS was established in 1 May, 1946 as Malayan Airways. The headquarters of MAS are located on the grounds of Sultan Abdul Aziz Shah Airport in Subang. It is undoubtedly that MAS was an award-winning airline. The airline has won World Travel Award (WTA) 2013 and Best Airline Signature Dish 2012. MAS has more than 1000 aircrafts including A380 airbus, Boeing 737- 800 and Boeing 747- 400P. These aircrafts fly to more than 110 destinations around the world. Some of the destinations are Tokyo, London and Paris. The missions for MAS are to provide air travel and transport service that rank among the best in terms of safety, comfort and punctuality as well as to be a profitable airline.
Many companies sell miscellaneous products all across the Internet, but two stand out drastically among them all, Zappos and Amazon. One important factor contributes to this, delivery. By taking into account the total needs and wants of customers Zappos and Amazon produce huge profit numbers each year. According to an article from The Indian Express, “customers are willing to play 22 percent more for good service experience”. Also, take note that most phone, and cable companies know that the experience and/or delivery is more noticed than the actual ...
It’s the strategic interface between marketing and logistics, it adds value to any given product, yet it’s intangible – what is it? The answer is simple: customer service. “Customer service has been an issue since the early 1970’s” (Cavinato 60). Though it’s long been considered an issue, it’s important to remember that there isn’t one set formula to developing customer service, it’s more of a mindset (Cavinato 61).
As with most things in life there seems to be only one thing constant, that is change. Just as in one’s personal life in their business or professional life is just as complex and ever changing. Today 's business environment requires that organizations, in order to remain successful, undergo changes more or less on a constant basis if they are to remain competitive. These changes may only be minor such as installing new software throughout the organization or it may be something major such as in refocusing the overall strategy of the organization. It is up to the change manager to effectively move the organization forward, at minimal cost, from its current state to its desired state in such a way that it will continue to be a successful thriving
For instance, global economic downturn aircraft leasing costs were reduce by about 40%. Creating an environment with lesser competition and enabled AirAsia to lease their aircraft at a cheaper rate and it will leading to cheaper ticket prices for customers. Last several year, economic growth rapidly resulted in a burgeoning middle class within Asia’s large population. Demand for air travel increased together with increased. More people were willing to compromise on food and other services in exchange for lower prices. The attractiveness of budget airlines is primarily their lower ticket prices, which can be as low as 10-20% of those charged by full-service airlines. This presents AirAsia with opportunities to differentiate itself with competitors by adding customer services or operation as full service airline with low fare. It give it a competitive advantage and corporate travel services with its own branded credit card by further increasing brand awareness and value for
Malaysian Airlines Berhad (Known as MAB) was founded in 1947 and known as Malayan Airways. Their main hubs are Kuala Lumpur International Airport meanwhile their secondary hubs are Bayan Lepas International Airport. MAS have got 111 Destinations over around the world. Their parent companies are Malaysia Airline System Berhad and the headquarters are at Kuala Lumpur, Malaysia.
AirAsia can enter to the market like Thailand, Malaysia, Indonesia, Japan, Hong Kong and so on. Those countries are included in the list of destinations that AirAsia offer. AirAsia offers 88 destinations that let the customers to travel along these places. (AirAsia, 2015) Therefore, AirAsia can slowly enter to the market from country to country. AirAsia is mostly travelling to the Asian countries; therefore AirAsia should enter the Asia market with the brand new Auto-inflate lifejacket with additional features. This may be attracted by the public of the Asian countries.
David Neelman realized his vision of creating an airlines company that is focused on customer service by starting JetBlue. During the startup phase or entrepreneurial stage, typically most of the companies go through the activities of marketing the service and /or product. But Neelman, perceptive of the industry needs, went about raising enough capital before starting JetBlue, as airlines industry is a capital intensive industry. His entrepreneurial style and previous experience enabled him to identify the core value of the service “To improve the passenger experience at a low cost” that he wanted JetBlue to provide. Neelman wanted to utilize technology to bring better customer experience at a low cost. Some of the technological activities that JetBlue planned include state-of-the-art revenue management system, paperless tickets etc. His in-depth experience enabled him to identify the external factors that would affect the business such as simple check-in and boarding process, hassle free ticketing procedures etc. This emphasized his knowledge of adapting to the ever changing customer needs. Neelman instilled the culture of...