FACTORS AFFECTING LOYALTY OF LOW-COST AIRLINE PASSENGERS

The objective of this research was to study the effect of electronic service quality and service quality on loyalty of low-cost airline passengers. The sample used for this study was passengers traveling with domestic lowcost airlines. A sample of 400 was taken from infinite population and questionnaires were used for data collection. Data analysis was carried out by using descriptive statistics, percentage, frequency, mean, maximum, minimum, and standard deviation. The hypothesis testing was conducted by using inferential statistics and multiple regression analysis. From hypothesis testing, it was found that quality of all service dimensions, which included tangibles, reliability, responsiveness, assurance, and empathy; and quality of electronic services, which included efficiency, fulfillment, system availability, and privacy had an effect on loyalty of low-cost airline passengers. Three factors with the highest positively influence included fulfillment, assurance, and privacy at coefficients of 0.517, 0.476 and 0.454, respectively. The equation used for estimation has the predictability of 80.80%.