Tulsa World: Airlines rank low in customer satisfaction

• June 21, 2011
  
  

  by: D.R. STEWART World Staff Writer
  Tuesday, June 21, 2011
  6/21/2011 3:56:19 AM

  Poor service and higher airfares and fees are reducing customer satisfaction levels with the U.S. airline industry, which now ranks dead last (tied with newspapers) among 47 industries in satisfying its customers, a survey has found.

  The annual report from the Ann Arbor, Mich.-based American Customer Satisfaction Index says the overall airline industry customer satisfaction score dropped 1.5 percent from a year ago, to 65 out of a possible 100.

  However, the score of Southwest Airlines, which charges no fees for checked baggage, rose 2.5 percent to an industry-leading 81, 17 points higher than its closest competitor, Continental Airlines, whose score of 64 is down 9.9 percent from 2010.

  American Airlines, which operates 16 flights a day and employs 7,000 people at its Maintenance & Engineering Center at Tulsa International Airport, had a score of 63, unchanged from a year ago.

  Delta Air Lines, which merged last year with Northwest Airlines, ranks last in the industry with a score of 56, a 9.7 percent drop.

  “Airline mergers typically have a destructive effect on passenger satisfaction,” said Claes Fornell, founder of the ACSI and author of ‘The Satisfied Customer: Winners and Losers in the Battle for Buyer Preference.’

  “In 2005, US Airways fell 8 percent to an industry low following its merger with America West, and now, Delta falters in the same way. Past experience points to more customer satisfaction challenges ahead for United and raises the question of whether Southwest can escape customer satisfaction problems from its acquisition of AirTran in May.”

  Poor service remains a problem for the airline industry, the ACSI survey found.

  “Higher fuel prices and fees for baggage and other services raise passenger costs and contribute to discontent among travelers,” the survey says.

  “Passengers who pay for checked bags are much less satisfied than those who don’t. … Because about 50 percent of fliers pay bag fees, the negative impact on their satisfaction is quite significant.

  “Airlines have another concern as well; that is, their most profitable market segment, business passengers, is the least satisfied (ACSI score of 61).”

  The survey found that even though Southwest’s in-flight services are minimal, its overall service is viewed very favorably by its customers.

  “For example, switching flights is easy and usually without cost to passengers,” ACSI says. “Second, Southwest does not have any agreement with websites that allow people to compare prices.

  “Third, Southwest seems to have a knack for knowing when to charge additional fees and when not to add to its customers’ costs. Charging for value-added services such as early check-in does not cause problems with passengers. Charging for luggage, on the other hand, is perceived quite differently, and Southwest does not impose baggage fees.”

  David VanAmburg, managing director of ACSI, said the airlines are beset with problems unique to its industry.

  “It’s a very challenging industry compared with banking, buying a car or eating at a restaurant,” he said.

  “From booking a flight, to boarding the aircraft, the departure and arrival, there are a lot of touch points at which a customer may experience problems. For three hours in the air, you are a captive audience – as opposed to a restaurant where you spend half an hour.”

  ACSI scores for full-service restaurants averaged 82, a 1.2 percent improvement from last year.

  Top scores among full-service restaurants were made by Olive Garden and Red Lobster, both with 82, although Olive Garden was down 2.4 percent and Red Lobster was down 1.2 percent from a year ago.

  Fast-food and pizza restaurants had an overall score of 79, up 5.3 percent from last year.

  Top fast-food restaurants were Pizza Hut, 81, up 3.8 percent; Little Caesar, 80, up 2.6 percent; Starbucks, 80, up 2.6 percent; and Papa John’s, 79, down 1.3 percent.

  Hotels had an overall score of 77, a 2.7 percent increase from last year.

  Top hotel scores were by Hilton, 80, unchanged; Marriott, 79, down 1.3 percent; and Sherwood, 79, up 2.6 percent.

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  American Customer Satisfaction Index

  Airlines, 2011 scores, percentage change from 2010 All airlines: 65, down 1.5 percent.

  Southwest Airlines: 81, up 2.5 percent.

  Continental Airlines: 64, down 9.9 percent.

  American Airlines: 63, unchanged. United Airlines: 61, up 1.7 percent.

  US Airways: 61, down 1.6 percent.

  Delta Air Lines: 56, down 9.7 percent.

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