The Effect of Price and Service Quality on UK and Italian perceptions of Ryanair's new approach to customer service
(2015) The Effect of Price and Service Quality on UK and Italian perceptions of Ryanair's new approach to customer service, no. 82.
Purpose - Following Ryanair's announcement of intention to focus more on their service quality in September 2013, the researcher wants to explore if this change had an effect on the perceptions of price and service quality by UK and Italian consumers and link the results to customer experience, customer satisfaction and behavioural intentions when flying with the Irish airline. Design/Methodology - Six UK and six Italian semi-structured interviews were conducted as a data collection method for this exploratory study. One candidate per country was chosen for the following age groups: 18-24, 25-34, 35-44, 45-54 and 55-64 for a total of 12 interviews. The age groups categories were made based on standard age groups set by Quinlan (2011); Gray (2009); Sekaran and Bougie (2012); Jankowicz (2000) and Zikmund et al. (2013). Findings - The clear implication for Ryanair which emerged from this study is that what the airline has done with their service is not enough to retain customers and that it still needs to rely heavily on price to influence customer experience, customer satisfaction and behavioural intentions. Ryanair needs to address issues such as their hand luggage policy, seat comfort and lack of empathy which customers still find frustrating when flying with them and makes them switch to a competitor if the price is similar. Limitation - The biggest limitation of this study is that the results are based on the themes that arose from interviewing six Ryanair consumers from Britain and six from Italy who were aged 19-60. To increase its validity the next step would be to conduct a quantitative research on a larger sample to verify the insights which emerged from this exploratory study.