Traveler perceptions and airline choice: A multivariate probit approach

• Factors that affect passenger decisions regarding airline choice are explored.
• Multivariate probit models are developed.
• Fare and safety- reliability are the most important airline choice determinants.
• Airline choice determinants depend on socio-demographic and trip characteristics.

We investigate the factors that affect passenger decisions regarding airline choice. Three Multivariate Probit (MP) models are developed to analyze data for a sample of 853 respondents. This methodology allows for modeling the simultaneous, yet separate, consideration of airline choice determinants. Fare, safety and reliability, and friendly-and-helpful staff during flight are the most important determinants of airline choice. In-flight entertainment and frequent flyer program are considered to be less important. Results clearly depict differences in the significance of these factors among passengers with different socio-demographic and trip characteristics.