Customer Satisfaction in Lufthansa Airlines - Research Paper Example

The aim of the paper is to identify the factors that influence customer satisfaction through airline services. The paper focuses on how Lufthansa Airlines can improve its customer satisfaction in comparison with Singapore Airlines for greater sustainability. The objective of the paper is to identify the reasons behind customer dissatisfaction using annual reports of the respective companies and other relevant theories.Service quality is a vital issue for the success of the airline industry. The major challenge faced by the airline industry is to provide excellent service and value to its passengers.

The quality of service provided by the business is the factors that can satisfy or dissatisfy the demand of customers. The rapid development in the airline industry and the increase in competition in both developed and developing economies have made it essential for airline companies to evaluate the services provided by them. Major problems faced by the airline industries are regarding managing the fluctuating demands because of the introduction of various low-cost airlines providing similar kinds of services.

Other challenges are maintaining the superior quality of service in order to maintain customer loyalty (Baker, 2013). According to the annual review of IATA in the year 2014, it has been identified that the airline industry has been performing operations in an effective manner. In 2013, it has been estimated that passengers and cargo of around 3.3 billion and “50 million metric tons” respectively have been transported efficiently. In addition, the industry has been successful in improving the global GDP condition.

The industry is also identified to be serving over 50,000 routes (IATA, 2014). Based on the study of the annual report published by the company, it has been recognized that the company has performed in a record building manner by the end of the year 2014. It has been estimated that the company has a customer base of around 106 million. In addition, to provide the required service requirement, 3,290 aircraft are being served (Lufthansa, 2014).