Effect of Revenue Increase Strategies to Air Freight Operations for Low-Cost Airlines in Thailand

Abstract

This informative paper aims to evaluate the impact of revenue increased strategies on the advanced air freight operation within the low-cost airlines in the Thailand market. To fulfill this objective, the demand based pricing, psychological pricing, capacity management and over contracting booking based strategies are considered as independent variables; while the competitive advantage is acted as a dependent variable, and revenue management performance is studied as a mediator. To collect the relevant data, the airline finance managers and related field experts are considered by conducting an online research survey. According to its structural equation modeling based valid outcomes, it becomes concluded that there is a significant relationship between the over contracting booking and competitive advantage, and between the psychological pricing and competitive advantage, as compared to the demand based pricing and capacity management based strategic approaches. No doubt, this paper will help the marketing and sales-related strategies' developers of this industry to enhance their revenue. There is an opportunity in front of upcoming researchers to cover its research gap in their researches, by making a mixed research-based comparative analysis.