Adoption and loyalty toward low cost carriers: The case of Taipei–Singapore passengers

This study explores the determinants for the duration of airline passengers to adopt a low cost carrier (LCC) and their loyalty toward the LCC. The analysis results of travel information on 338 passengers traveling between Taipei and Singapore show that business passengers take longer duration to accept the LCC. Cheaper fares and convenient booking channels can shorten the passenger’s duration to adopt the LCC, whereas airline image and safety consideration can increase the duration. Frequent flyer programs and convenient booking channels can increase the passengers’ loyalty toward the LCC.

► This study explores the determinants for passengers’ adoption and loyalty toward LCC. ► Business passengers take longer time to adopt the LCC than non-business passengers. ► Lower fares and convenient booking channels shorten the duration to adopt the LCC. ► Frequent flyer programs and convenient booking channels can increase the loyalty.