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Factors influencing the airport customer experience PDF

208 Pages·2015·3.3 MB·English
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Factors influencing the airport customer experience: A case study of Auckland International Airport’s customers Erwin Losekoot A thesis submitted to Auckland University of Technology in fulfilment of the requirements for the degree of Doctor of Philosophy (PhD) 2015 Faculty of Business and Law Abstract The aim of this study was to investigate the factors influencing the airport customer experience. Much current research and management effort on airports focuses on efficiency, effectiveness, speed of processing and rankings on international league tables. These measures seem to reward those airports which can best move the largest number of passengers and their luggage. The writer of this study believed that the ‘experience’ of the ‘airport customer’ (passengers and those meeting or farewelling them) is not being given sufficient prominence at a time when it is recognised that the ‘experience economy’ can add value and create customer loyalty. New Zealand’s largest airport was the case study location for this research, and 120 interviews were undertaken in the airport environment with people who were experiencing the airport, either as arriving or departing passengers, or those greeting or farewelling them. In addition, 10 interviews were undertaken with airport management to explore their perceptions of the airport customer experience. All interviews with airport customers were undertaken in the land-side food court area of the international terminal. A plan of the airport is provided in Appendix 2 to assist the reader in understanding the layout of the airport. The guided conversations were focused on encouraging participants to share their perspective of the airport customer experience in order to build on what is already known from the quantitative surveys of passengers which are the more common form of research into airports. Together with the above data, the writer also kept a detailed research diary with observations made over the course of the data gathering phase. Hermeneutics guided the interpretive process which resulted in a number of overarching themes or notions which form the basis of this study’s findings. These include processes, people, physical environment and ‘placeness’. However, the research also uncovered what the writer has termed a ‘personal travel philosophy’. There was a significant number of people who, despite delays and other obstacles to their travel plans, appeared to be remarkably content with their lot at the airport, and this term is used to describe that group. The research concludes with a proposed model of the airport customer experience addressing five aspects – physical environment, processing, people, placeness and personal travel philosophy – and provides recommendations for airport management and opportunities for further academic research both in airports and in congruous areas ii such as hospitals. Airport management must spend time making people feel welcome if these spaces are to be perceived as hospitable places. The contribution that this thesis makes to the body of knowledge is a deeper understanding of the factors influencing the airport customer experience in the customers’ own words. It allows the voices of airport customers to be heard in a way that has not previously happened, in part because the dominant paradigm is a positivist one of facts, figures, benchmarks and league tables. By taking the time to listen carefully in an open-ended discussion, this research has identified much of what the airport customer really feels about the space they are obliged to spend an increasing amount of time in. iii Table of Contents Abstract ............................................................................................................................ ii List of Tables .................................................................................................................. vi List of Figures ................................................................................................................. vi Attestation of Authorship ............................................................................................. vii Acknowledgements ...................................................................................................... viii Chapter 1: Introduction ................................................................................................. 1 Aim and scope of the research ...................................................................................... 1 Rationale and significance of the study ........................................................................ 2 History and context of the airport used in this study .................................................... 6 Outline of the study ..................................................................................................... 11 Chapter 2: Literature review ....................................................................................... 13 Introduction ................................................................................................................. 13 The development of airports ....................................................................................... 15 Management of airports .............................................................................................. 22 Space ........................................................................................................................... 32 The mobilities literature .............................................................................................. 41 Hospitality ................................................................................................................... 44 The customer experience............................................................................................. 50 Chapter 3: Methodology ............................................................................................... 56 Introduction ................................................................................................................. 56 The research question .................................................................................................. 57 Ontology and epistemology ........................................................................................ 58 Phenomenology and hermeneutics .............................................................................. 61 Symbolic interactionism and airport research ............................................................. 68 Thematic analysis ........................................................................................................ 70 The case study approach ............................................................................................. 74 Saturation .................................................................................................................... 77 Objectivity through triangulation ................................................................................ 80 Methods ....................................................................................................................... 83 Interviews with airport customers ........................................................................... 83 Interviews with official airport organisations ......................................................... 84 Observation ............................................................................................................. 85 Other sources of feedback ....................................................................................... 85 The sample .................................................................................................................. 86 Reflection .................................................................................................................... 89 Delimitations of the research ...................................................................................... 90 iv Chapter 4: Findings ...................................................................................................... 92 Introduction ................................................................................................................. 92 Themes ........................................................................................................................ 94 Other data sources ....................................................................................................... 96 Physical environment .................................................................................................. 99 Processes ................................................................................................................... 104 People ........................................................................................................................ 111 Placeness ................................................................................................................... 117 Personal Travel Philosophy....................................................................................... 123 Suggestions ............................................................................................................... 127 Airport management and other operators .................................................................. 128 Chapter 5: Analysis and discussion ........................................................................... 133 Introduction ............................................................................................................... 133 Themes ...................................................................................................................... 134 Physical environment ............................................................................................ 135 Processes ............................................................................................................... 136 People .................................................................................................................... 138 Placeness ............................................................................................................... 141 Personal Travel Philosophy................................................................................... 142 Models of the airport customer experience ............................................................... 143 The thesis application model ................................................................................. 143 The early observations model ............................................................................... 145 The concentric circles of experience model .......................................................... 146 The benchmark mapping model ............................................................................ 147 The airport customer experience model ................................................................ 149 Chapter 6: Conclusions .............................................................................................. 152 Introduction ............................................................................................................... 152 Research objectives ................................................................................................... 153 Summary of the findings ........................................................................................... 154 Contribution of the study .......................................................................................... 154 Research issues.......................................................................................................... 158 Recommendations for management .......................................................................... 159 Further academic research opportunities .................................................................. 162 References .................................................................................................................... 165 Appendix 1: Outputs from this research .................................................................. 183 Appendix 2: Plan of Auckland Airport terminal buildings .................................... 184 Appendix 3: Research, photography and airports as places or non-places ........... 186 v List of Tables Table 1.1: The top and bottom airports in the Top 100 airports listing on Skytrax ......... 4 Table 2.1: Airport operating revenue sources ................................................................ 23 Table 2.2: Motivations for airport terminal shopping .................................................... 26 Table 3.1: Research approach......................................................................................... 65 Table 3.2: Initial coding outputs ..................................................................................... 74 Table 3.3: Sources of evidence ....................................................................................... 76 Table 4.1: Details of evidence used ................................................................................ 93 Table 4.2: Frequency of comments from airport customers........................................... 94 Table 4.3: Stages of data analysis................................................................................... 97 Table 6.1: Quotes supporting the conceptual model .................................................... 157 List of Figures Figure 5.1: The thesis application model ..................................................................... 144 Figure 5.2: The early observations model .................................................................... 145 Figure 5.3: The concentric circles of experience model .............................................. 146 Figure 5.4: The benchmark mapping model ................................................................ 147 Figure 5.5: The airport customer experience model .................................................... 149 Figure 6.1: The model of the airport customer experience. ......................................... 156 vi Attestation of Authorship I hereby declare that this submission is my own work and that, to the best of my knowledge and belief, it contains no material previously published or written by another person (except where explicitly defined in the acknowledgements), nor material which to a substantial extent has been submitted for the award of any other degree or diploma of a university or other institution of higher learning. Signed ______________________________ Date ____________________ vii Acknowledgements This thesis could not have been completed without the support of many people. I would like to thank the management of Auckland International Airport Ltd. for listening patiently to my initial plan and allowing me access to the terminal building. The managers of other organisations operating at the airport whether as government departments, consultants, contractors or concessionaires. The many airport customers who gave me their time and thoughts on their experiences either at the time or later by e-mail. My supervisors Professor Dr J Nevan Wright and Associate Professor Dr Michael Lück. AUT who awarded me a Vice-Chancellor’s Doctoral Study Award scholarship for six months allowing me to complete the study. Professor Liz Smythe and members of the Heideggerian discussion group who met on wet Wednesday afternoons in Akoranga. Dr Larry Powell who helped me to see how Heidegger, hermeneutics and Maslow are all connected through a search for the meaning of things. Julia Sibley and the Savoy Educational Trust who gave me my opening into the academic environment through their sponsorship of the Sir Hugh Wontner Lectureship. My children, who have come to understand the cost of doing a PhD. My three External Examiners: Emeritus Prof. Richard Butler; Prof. Arch Woodside and Reader Dr. Peter Lugosi who gave me helpful suggestions and feedback which have improved this thesis. Finally I would like to thank those colleagues who surrounded me at the start of this journey at The Scottish Hotel School, University of Strathclyde in Glasgow and those who supported me to finish it at Auckland University of Technology in Auckland. To the memory of my grandfather Stephanus Franken who I never met and who never got to finish his PhD. This thesis was granted ethics approval (Ref: 12/69) by AUTEC on 15 May 2012. viii Chapter 1: Introduction Aim and scope of the research Airports are major economic drivers not just for a city or region, but often for the whole country. They (and the city they are located in) may also act as a cultural and symbolic gateway to a country (Lohmann & Duval, 2014). It is therefore desirable that those using the airport have a positive experience. However, airport management face considerable challenges as there are many different segments of airport users, from luxury to budget, and frequent business flyers to holiday travellers. Each may have different needs, and the airport must find a way to meet those needs. An additional challenge in doing this is that there are many different organisations involved in the creation of the airport customer’s experience, ranging from private to public, retail to regulatory. In this study the needs of the customer will be investigated using a phenomenological approach with the focus being on the customer’s lived experience rather than the priorities of the airport management, which is the focus of much existing airport research. Previous research which will also be reviewed in this thesis focused on airport efficiency rather than on the lived experience of those using the facility. As New Zealand’s largest airport (twice the size of Wellington airport), it is used by 14 million passengers a year, over 70% of international visitors to New Zealand, and the international terminal is therefore a crucial gateway to the entire country. Semi- structured interviews, participant and non-participant observation were used in this study, as well as document analysis and netnography data gathering methods in the exploratory phase of this research (Rageh, Melewar, & Woodside, 2013). Poulston and Pernecky (2014, p. 16) point out that “exploratory research requires not only personal interest and passion about the selected research topic but also demands substantial fieldwork”. There are many organisations and businesses operating within the footprint of the modern airport, including transport operators, retailers, tour operators and hotel and restaurant operators. These are outside the scope of this study which focuses specifically on the airport customer – those people making use of the facilities in the actual airport terminal. The ‘airport customer’ includes those who find themselves at the airport but who may not be flying in or out on the day on which they were interviewed. 1 Rationale and significance of the study The research question is ‘what factors influence the airport customer experience?’. This merits investigation because airports act as an increasingly important node in modern society whether for business, leisure or to allow globally-located families to stay connected. They have considerable economic, political and social impacts on the environment that they are located in (Thompson & Clements, 2003). It is expected that international gateway airports will represent and personify entire countries and cultures while at the same time operating efficiently enough to make a major economic contribution to the region and to the wider country. New Zealand’s International Visitor Arrivals Survey (Statistics New Zealand, 2013) estimates that 70% of international visitors to New Zealand come through Auckland International Airport and therefore form their first impressions of the country through their experiences in the terminal building. Likewise, those leaving the country by air have their last experience of ‘kiwi hospitality’ at the airport. Factories are built for efficiency, shopping malls for a variety of retail experiences, and theme parks for entertainment, but an airport increasingly needs to address all three objectives of efficiency, retail experiences and entertainment. Fuller and Harley (2004, p. 41) describe airports post the 9/11 attacks as being “part mall, part theme park, part check-point”. In an ever more competitive global environment, airports must be cost-effective, with competitive landing fees, fast turnaround times and few delays. They must also protect travellers from terrorism and other crime, protect the host country from contraband and disease, be sensitive to the different circumstances and motivations people have for travelling (business, leisure, sad/joyful family occasions, education or an OE – the common name for a young New Zealander’s Overseas Experience) and provide people with an ultimately satisfying and rewarding experience. The airport must achieve this irrespective of how frequently or rarely people travel, how much or little they understand how an airport works, or how much or little they have paid for the experience. Airports already gather a considerable amount of information on customers for the purposes of national security, for economic reasons, for benchmarking their performance against other airports and also in response to government targets that have been set partially out of concern for the monopolistic environment many airports operate in. Statistics New Zealand produces the monthly International Visitor Arrivals to New Zealand which is compiled from the Travel and Migration Dataset (Statistics New Zealand, 2013) made up of electronic records supplied by the New Zealand 2

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'experience economy' can add value and create customer loyalty. New Zealand's The research concludes with a proposed model of the airport customer experience addressing five . The development of airports . and freight airlines fly from Auckland to 35 destinations worldwide resulting in over.
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