The Jetstar Group and Customer Service Issues

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Jester Group has successful to generate huge manpower base of 7000 currently across Asia Pacific which was only 400 people in 2004 at the initial phase of its business operation. This airline group offers 3000 flights per week to near about 60 destinations in 16 countries and territories across Asia Pacific by its core assets of 60 aircrafts. This airline group is recognised for value based and low fare airlines in Asia pacific and it is highly successful in a different customers segment who desire for lowest fare. Mission of the company shows its core focus on the low fares which has successfully its core competency (Jetstar, 2012). Airline industry is part of hospitality industry which is a service based industry. So, for a service company, quality is the most important factor and the company needs to have best focus on quality of the services which only results customer satisfaction. Satisfaction is the parameter to measure the quality and broadly worth of an airline service provided by a service company like Jetstar. Gerally low fare airlines provide comparably lower quality of services to the customers. It is a very common customer psyche is that low price means low quality. Therefore, despite of tremendous growth of Jetstar airlines, it low fare service recognition might have decreased its brand value with respect to quality of service which results number of service issues from the customers. Business problem Different service issues are common for the service industries especially for airlines industry as it is a part of hospitality industry. Service provided by the airlines companies need to be of high quality as in hospitality industry quality of service with respect to customer satisfaction needs to be the core value of business. Jetstar group has been receiving frequent customer service issues and this might be for its low fare focus where quality is automatically neglected by the staffs and employees to provide service in lowest cost. It is a common perception that airlines companies that only focus low fare service do not review the customers’ feedback or even do not bother to get customers’ response with service related issues or complaints (Steven, Dong, amp. Smith, n.d., p.37). Therefore, this might be a major problem for Jetstar airlines as it also focus on low fare service and many customers might have unsatisfied with the service provide by the Jetstar. Different issues regarding service offered by the airlines leads to decline in existing customer base. Customer satisfaction positively influence potential customers and helps to generate new customers and this will only be possible if there is no service related issues an airline company gets. Frequent service issues or service complaints are indication of decline of quality of service. Research questions This study presents a detailed research and analysis of critical business problems of an airline company. The motivation of this study can summarized through a specific research question. What are the service issues Jetstar Group? No company disclose service issues or customers’