What is Low-Cost Carrier

This chapter examines the effects of the complaints about the practices of revenue management (RM) on the travel experience perception and loyalty of the customers. The analysis shows that the complaints about the RM practices have positive effects on the travel experience perception, and the travel experience perception has a positive effect on the loyalty of the customer who travel short distances. The results of the detailed sub-hypothesis test performed in relation to the travel purposes of the customers and the business model adopted by an airline company show that the companies which adopt low-cost business model are obliged to manage their RM practices on a much more customer-centric basis. The companies in the sector should develop special customer programs for their customer segments which remain outside the business purpose. Thus, the operational efficiency will increase, and revenues will be maximized.