Effects of discount offer customers satisfactions and service quality on the brand image of jester

6 Research questions ……………………………………………………………………. 6 Literature review…………………………………………………………………………. ……7 Discount offers …………………………. 7 Role of discount offers……………………………………………………………………. 8 Service quality…………………………………………………………………………. 16 Research design …………………………………………………………………………………17 Methodology ………………………………………. ……………………………………………18 Data collection ………………………………………………………………,………………. 19 Population ………………………………………………………………………………………. 20 Sampling 20 Designing questionnaire………………………………………………………………………. 21 Data analysis …………………………………………………………………………………. The research is composed of a descriptive survey of jester Airline Company. The primary figures was gathered with the use of self-administered questionnaires while analysis was conducted with the use of descriptive statistics. The study found out that the brand image of the company was highly affected by the level of customer’s satisfaction, the quality of services as well as discount offers. INTRODUCTION In today’s competitive business atmosphere, discount offers, customer’s fulfilment, and quality service serves a major purpose in ensuring the organization is succeeding thus the three factors are very sensitive for many business firms.

Due to this, building a reputable brand image goes a long way to attract new customers something, which remains to be the aim of many marketing managers in any given organization. Amongst some of the factors that make the airline to be widely recognized is flexible fares, tastiest meals for customers while on board as well freedom for the customers to choose a comfortable sitting position that they prefer. Besides that, customers in Jetstar Airline Company are in a position to access shop cheaply while on board. Widely recognized, the staff is usually professional and polite. They are always ready to assist the customers at any place and time. The Jetstar news later and the website keeps the customers updated concerning promotions, seasonal sales as well as cheap flights.

DISCOUNT OFFERS Ailawadi in his journal with the title effects of promotion on consumers argues that discounts are very important in not only attracting customers but also maintaining them. According to the author by discounting products and service most of the companies more especially airline companies create a good opportunity to construct a long term relationship with their specific customers something which breeds to customers loyalty. The journal states that by discounting products and services at the beginning of the relationship can increase the rate of customer’s retention even after the expiry of the given discounts. However, albeit most of the organization choosing this promotional tool to attract customers care should be taken since it is believed that discount can make customers become price sensitive (Azar, 2009).

This according to research is believed to be a causative agent of company’s downfall in the long run. Whenever the discount price for products and services, for instance, is high, most of the consumer perception is that the product in question’s value is low and vice versa. Therefore, it is good to understand that, in connection with quality, price, model as well as value, consumers can come into conclusion that, products and services whose discounts are high have low value. (Ailawadi, 1998). Discounts are quite useful in the event where the products in question have got low lifecycle something which attracts customers thus avoid losses when the products expire. SERVICE QUALITY According to the author of an article entitled service quality organization, the environment in which we are living is rapidly moving towards an economy that is based on service.

The impact of service in this situation can so diverge and forms the basis of the company’s performance. When the customer gets good services there are high chances of retaining the customer who can speak positively and thus increase the brand image of the organization. Role of service quality Over the last 10 years, there has been a significant growth in business performance something which is brought about by high-quality service within the organization. According to research, service quality is a very important input variable for increasing organization profit margins through customer’s satisfaction. Service quality plays a number of roles in any business organization. Customer’s loyalty is all about customers’ attachment emotionally to the brand making it hard for them to quit.

According to research, an approximate of 40 % of the behavior within different humans together with decisions are determined by consideration, which is rational. This translation leads to the fact that approximately two-thirds of the general consumers spending is determined by emotional attachment. Customer’s satisfaction is termed as a type of emotional state concerned with the expectation for specific emotions as well as experiences from shopping behavior (Fornell 1995). In Jetstar airline company context it is derived from a range of services passengers get from the organization while inboard, booking, and waiting to board. According to studies when a given customer is not satisfied with particular services and products from a brand, there is a high likelihood of the customer to express his or her level of dissatisfaction to other people.

(Kondo 2001)This destroys the brand image of the company and thus preventing other viable customers from buying goods and services from that brand. Association between customer’s satisfaction and quality service Conferring to the study article with the title “impact of consumer satisfaction and association quality on customer’s fulfillment,” the writer relate quality service with customer’s satisfaction. According to the author, the two variables have a huge impact on any organization. Service superiority, which in their context is a formula of decision that is executed by consumers in relation to the superiority of products or service, play a major role in brand reliability (Kurtenbach 2000). RESEARCH PHILOSOPHY Research philosophy, in this case, refers to a belief concerning the ways in which data regarding a particular subject should be collected analyzed and used (Siadat 2008).

Two terms are quite common in research philosophy which is doxology and epistemology. Epistemology is what is true while doxology is about what is believed to be true. Interpretive and positivist are two common research philosophies in the western tradition of science. Positivist and Interpretivism According to positivist philosophy, the reality is usually stable and is possible to observe and describe it from an objective viewpoint without the need to interfere with particular Subject being studied (Hirschman 1986). In order to obtain the research findings both primary and secondary data is used for the study. Basically, research can be either inductive or deductive. Normally deductive research starts with the theory of hypothesis development and upgrades to develop a plan for testing its respective context.

This is meant for the purpose of verifying the claims. Therefore, deductive research is all about advancing from general thinking to specific thinking (Hirschman 1986). (Westbrook and Oliver 1991). In most cases, it is applied in situations whereby the study seeks to get a deep understanding of a particular phenomenon or the area of research is new to an extent that the researcher wants to examine new variables that have the possibility of affecting a given phenomenon. The research is descriptive in nature in the sense that it seeks to describe in details the importance of customers satisfaction, service quality and discount offer to Jetstar Airline Company. Through this, it gives the in-depth reality of customer’s satisfaction and the impact of a good brand image of the company.

This aids in understanding the importance of customers loyalty and the number of strategies that can be applied to maintain and attract customers. On the same note, using the research, an individual is in position to clearly describe the actual picture concerning reliability where there is involvement of the problem. Research designs helps the researcher to have a clear framework concerning how to conduct the research. Without a good research design most of the researchers end up being confused on how to collect the data and analyze it. A descriptive survey in this case enables the researcher to concentrate on survey questions that concerns the respondent of the company. Through use of good research design researcher will be in position to study the population well and look for applicable methods to collect the data.

It is however significant to note that the design of the study questions plays a major role in triggering response. A good research question will significantly increase the reliability and suitability. METHODOLOGY This particular section clarifyis a variety of actions which are likely to be taken in order to investigate the research problem. A good research methodology enables the researcher to get findings which are reliable and valid. Through methodology, different methods of collecting data are applied depending on the structure of the research. A research which has been done in the right period will give management confidence to make use of the research findings. DATA COLLECTION The study will in-cooperate self-administered survey questions for the purpose of collecting data from passengers onboard.

The questionnaires will be given randomly to the respective passengers in the waiting room. The main tool for collecting the data that will be employed will be questionnaires. The questionnaires are expected to be open and closed-ended in order to provide room for further evaluation and sufficient collection of information. SAMPLING With a huge number of population in the airline company, it is suitable to come up with a sampling technique to select as a suitable sample to represent the other part of the population. In the research, a convenient technique for sampling was chosen following the nature of the current study as well as other constraints such as limited resources and limited time frame of the researcher. Participants, in this case, were chosen based on availability as interest.

Passengers were picked from the waiting room as well as in the process of boarding. A sample of 150 passengers was chosen to assemble the data for the research purpose. Customers answered 80 questionnaires while the staff of Jetstar Airline Company answered 10 of the questionnaires. The questionnaires were handed out to the passengers in the airport or sent via email and the results collected after some time. NUMBER OF RESPONDENTS Service quality, discount offers and customers satisfaction surveys were given to passengers who are either waiting to board or those who are inboard. The gap between male and female respondents was small bearing in mind the ration of male to female passengers was very close. However, males were leading in terms of response with 58.

VALIDITY AND RELIABILITY TEST CUSTOMERS SATISFACTION VALIDITY TEST Correlations Customer Satisfaction I am satisfied by inflight services offered by Jetstar Airline Company The ground services offered by Jetstar Airline Company are quite satisfying I am satisfied with promos and frequent flyer program in Jetstar Airline Company Jetstar Airline Company offers good meals Customer Satisfaction Pearson Correlation 1. 616** Sig. (2-tailed). 000 N 130 130 130 130. 130 I am satisfied by inflight services offered by Jetstar Airline Company. 676** 1 Sig. (2-tailed). 000 N 130 130 130 130 130 According to results obtained concerning customers satisfaction, the ratio of item to total and item to item is greater than 0. 5 and 0. 3 respectively. 000 N 122 122 122 122 122 122 Jetstar Airline Company has convenient ticketing process and skilled crew Pearson Correlation. 385** Sig. (2-tailed). 000 N 122 122 122 122 122 122 Flight attendants served you personally Pearson Correlation. 509** Sig. (2-tailed). 000 N 122 122 122 122 122 I am interested in hearing Discount offer/ Sales promotion from Jetstar Pearson Correlation.

561** Sig. (2-tailed). 000 N 122 122 122 122 122 The price of flight in Jetstar Airline Company is lower than most airline Pearson Correlation. 3 respectively. This indicates that the data reliable and valid. BRAND IMAGE VALIDITY TEST Brand image Jetstar Airline Company has a good brand image The good brand image of Jetstar Airline Company makes me willing to choose their flight services You are aware of the reputation of Jetstar Airline Company Does the brand image of Jetstar Airline Company affect the services offered? Is the brand image affected by the ambassadors of services offered at Jetstar Airline Company I can recommend the brand of Jetstar Company to my friend or colleague Brand image Pearson Correlation 1. 877** Sig. (2-tailed). 733** Sig. (2-tailed). 000 N 122 122 122 122 122 I can recommend the brand of Jetstar Company to my friend or colleague Pearson Correlation.

647** Sig. (2-tailed). 743 4 Brand Image 0. 811 6 In order to rest data reliability we applied the Cronbach’s alpha test whereby we analysed all the variables used in the research. The reliability of all variables were above 0. This shows the research conducted was very reliable as well as authentic. ALL VARIABLES MODEL SUMMARY Model Summaryb Model R R Square Adjusted R Square Std. 419 Total 92. 518 127 a. Dependent Variable: Brand image b. Predictors: (Constant), Discount offers, quality service, customer satisfaction. From the above results concerning analysis of variance the results shows that there is a fit between the hypothesized model and the actual data obtained. Correlation is significant at the 0. 01 level (2-tailed). There is a moderate relationship between discount offers and brand image. This is based on the data obtained 0.

521 which is <0. There is a relationship between brand image and service quality since the data obtained 0. 627 is >0. H3. Quality Service and Brand image Correlations Service quality Brand Image Quality service Pearson Correlation 1. 605** Sig. B Std. Error Beta 1 (Constant). 152 Customers satisfaction. 000 Discount offers -. 242 Quality service. Questions asked were designed in such a way that they were free from biasness something which will cause conflict. Open ended questions were the mojorty during the research as they encouraged the respondent while on the other hand closed ended questions were meant to give a deeper understanding concerning the customers perspective. Through the closed ended questions the researcher were in position to get the views of the respondent which aid in drawing the research finding.

The interviews were conducted on the airport more especially to those passengers who were awaiting to board a flight. To save time the researcher had a list of questions which he had wrote on a notebook. According to the respondents of the questionnaire, discounts have a positive impact on the passengers since it reduces their overall budget. With the largest group of passengers being from the middle class, the discount can enable the company to not only retain but also attract new passengers who create awareness of the company and thus improving the brand image. From the data obtained it certain that discounts significantly affect the brand image of Jetstar Airline Company. The average data of respondents who were attracted by discounts was directly proportional to those who agreed with the Jetstar airline company having a good brand image.

This shows that the more the discount offers the more the passengers which translate to an increase the brand image of the company. With time, this creates a good brand image of the company From the data, obtained most of the passengers were satisfied with the different services offered by Jetstar Airline Company. It is through this satisfaction that led to a good brand image of the company which is also evident from the response obtained. Therefore, it is important to note that, employees who mostly interact with the passengers should be well trained such that they can offer professional service. A good service will create customers satisfaction which will increase the brand image of the company. Time should also be of great essence while offering service to the passengers.

Through this, the passengers will be creating awareness concerning the company and thus increase the general brand image. QUALITATIVE FINDINGS According to the data provided by the respondent, most of the passengers were satisfied by a number of services offered by Jetstar Airline Company and thus they felt free to speak positively concerning the brand image of the company. Most of the passenger’s value quality services something which makes them to stay loyal to the company. In terms of quality services most of the respondent emphasized cabin and crew attendant services which happen sensitive to them. On the same note most of the passengers attested to the fact that satisfaction plays a major role in brand image. The finding shows that a good brand image creates confidence for the passenger's something, which attracts more passengers from a different background.

Most of the customers are also loyal to Jetstar airline company something which is shown by the actual number of consistent passengers and the level of customer’s satisfaction. The finding shows that customer’s satisfaction depends majorly on the level of quality service offered. Therefore, in order to create a good brand image quality service is very important. Discount offers, as well as promotions, reduce the passenger’s budget as well as the level of expenditure something which makes the passengers happy. This means that if a marketing manager is looking forward to increase the brand image of company he or she should invest heavily on upgrading the actual services being offered. This can either be achieved by training the employees or hiring professional personel with enough experience concerning the services being offered.

Once the services are of the required level most of the customer will end up being satisfied and thus increase the brand image. On the same note, marketing managers should find out other different methods to attract good image of the company such advertising. Advertisement increases the confidence of the passengers and also enhances awareness since he or she can recommend a friend through the advert. Anderson, E. W. and Sullivan, M. (1993), “The Antecedents and consequences of consumer satisfaction for firms” Marketing Science, Vol. 12, spring, pp. 213-217 Chun, R. , & Davies, G. The influence of corporate character on customers and employees: Exploring similarities and differences. Journal of the Academy of Marketing Science, 34(2), 138-146. Dei-Tumi, E. Ettore, J. (2001), Serving the customer is only true north in stormy retail seas.

Retail Merchandiser, May, 41(5), 33. Fornell, C. (1992), “A National Customer Satisfaction Barometer: The Swedish Experience,” Journal of Marketing, 56 (1), 6-21. G. Rediscovering satisfaction, Journal of Marketing, 63(4), 5-23. Grönroos. C. (2001), " Managing Service Quality, Vol. Journal of marketing Research, 237-249. Kapferer, J. N. The roots of brand loyalty decline: An international comparison. Ivey Business Journal, 69(4), 1–6. Matzler, K. , Hinterhuber, H. H. , Bailom, F. , Sauerwein, E. (1993), “Customer satisfaction, customer Retention and market \share”, Journal of Retailing, Vol. pp. Rust, R. T. , & Oliver, R. T. E. (2001), “An Instrument for Measuring Customer satisfaction towards Web sites that market Digital products and services,” Journal of Electronic Commerce Research, Vol. 2, No. 3, pp. What is the difference between our services and those of competitors? 4. What can you say about the brand image of Jetstar Airline Company? 5.

How often do you receive discount offers and promotions? 6. How did you get to know about Jetstar Airline Company? 7. What can you say about the inflight and crew services of Jetstar Airline Company? Qualitative coded answer No Customer Satisfaction Service Quality Price Brand Image Convenience 1 About the comfort Very good Okay From the seats The AC is very cool 2 The facilities nice nice The cabin looks nice Facility of entertainment 3 Suitable price Ok Situable Nice air port The price 4 The place is very strategic Okay Okay Nice place Service also very nice 5 Price very suitable Good Suitable Nice meals The service is very good 6 Nice promotion Excellent Nice Good taste Service very good to customer 7 Good service Very nice Suitable Service is nice The price also suitable 8 Very tidy Quite good Nice Environment condition They treat customer very nice 9 I like the comfort of the seats Nice ok good comfortable 10 Many promo Ok Ok Always have promo The price also good 11 Good flights Like other economic airlines Yes The flights are economical The facilities 12 The service is very fast Excellent Yes!!! Flights are always on time The price is very good 13 Got promo for everyday Ok average Nice crew The service is also nice 14 The place is very good nice ok Good service The comfort of all flights 15 Nice place for sleep Ok Nice Place is nice Strategic place 16 The employee is very nice Nice Nice The service Service is very good 17 Price is quite comfort for me Average Yes Price is cheaper Price is very nice 18 Easy to reach Make me satisfied Good The comfort of the flights The place easy to reach 19 Near public transport Good nice Nice crew Not too far from everywhere 21 Good service Nice Excellent Nice ground service Nice employee 22 Ticketing as expectations Very good Nice Simple ticketing process Trustworthy 23 Got many promotion Two thumbs good The promotion The facility 24 The place is quite good Nice Good Employee very nice Simple step to book ticket 25 The airline is very clean Good Yes Tidy Clean air port 26 Nice employee that always smile Very good Nice The place is nice The employee is very kind 27 The service is very quick Never make me disappointed Average Services are very fast Got good movies 28 Near my school Okay Yes The entertainment Flights always punctual 29 Variety of flights Nice Ok Perfect flights Flights of all type 30 Understanding their customer Excellent Like others airlines Nice service Excellent for the flights 31 Variation of flights Very fast yes Unique lights Flights very suitable for me 32 The price is very suitable Nice Nice Price is nice The variation of flights 33 Always tempted by their promotion Ok Good Nice promotion The place is very tidy.