Proceedings of the 24th International Academic Conference, Barcelona

IDENTIFYING LUXURY VALUE MAXIMIZING FIRST CLASS AIRLINE PASSENGERS’ SELF ENHANCEMENT

EUNKYUNG JOO, HYEJIN SHIN, NA-RI HONG, INSIN KIM

Abstract:

The purpose of this study is to investigate critical factors of luxury value in inducing self enhancement of first class passengers and to explore the relationships among first class passengers’ self enhancement, first class loyalty, and willingness to pay more. The main survey was randomly distributed to individuals who had experienced first class services during their flights from any airline companies by an online market research company in U.S. Based on the data collected from 205 first class passengers, descriptive data analysis using SPSS was conducted and AMOS was used to test the hypotheses. The results demonstrate that all factors of luxury value, namely financial value, functional value, individual value, and social value, have significant influence on first class passengers’ self enhancement. In addition, first class passengers’ self enhancement has a substantial influence on first class loyalty and willingness to pay more. The results of this study contribute insights into the effect of each component of luxury value on first class loyalty and willingness to pay more mediated by self enhancement of first class passengers.

Keywords: Luxury value; Self enhancement; Loyalty; Willingness to pay more; First class airline.

DOI: 10.20472/IAC.2016.024.041

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