Discount or Prestige: E-reputation, Compatibility, and Continued Mobile Apps Usage Intention of Low-Cost Carriers

Abstract

In low-cost carrier (LCC) businesses, LCCs have developed cabin design and production services that are different from the available airlines to compete for routes in certain regions. The LCC reduces operating costs. Its operation mode has quickly robbed ordinary airlines of a market, and its business model is also a concern for academia and the industry. This study aims to explain how low-cost mobile carrier apps can enhance decision-making during shopping with an LCC. Stratified sampling was used for data collection in this study, which included individuals who had experience using LCCs and utilized LCC mobile apps; 868 participants completed the surveys, and their data were considered for analysis. We then evaluated our hypotheses using structural equation modeling (SEM). The findings of this study offer some critical implications for the design of mobile applications and results to succeed in LCC business endeavors: the mobile application's interface design can be personalized and display things that are the user interface for passengers while reflecting lifestyles and preferences that appeal to them, to increase their willingness to continue using the application. Moreover, LCCs can adjust their competitive market strategies by implementing mobile applications. This study is based on the operation of LCCs, presents a continued usage mobile device application model, and provides strategic practice guidelines and academic insights.