1 AIT Asian Institute of Technology

Demand model for domestic scheduled air transport services in Thailand

AuthorPhimphorn Sowawattanakul
Call NumberAIT Diss. no.SM-15-01
Subject(s)Aeronautics, Commercial--Thailand
Air lines--Thailand
Intra-airport transportation--Thailand
Air lines, Lcoal service--Thailand

NoteA dissertation submitted in partial fulfillment of the requirements for the degree of Doctor of Philosophy in Management
PublisherAsian Institute of Technology
Series StatementDissertation ; no. SM-15-01
AbstractThis study explained the fundamental situation change of air transport industry in Thailand and identified key concerning factors that affect to demand of air transport in Thailand during the period of 1996-2009. The study also constructed a model of air transport to be the basic guideline to forecast demand of domestic air transport service in Thailand. Two types of passenger demand, both market demand and individual demand, were studied. The study of market demand was the study of factors that affected the demand for domestic air transportation service which were divided into an industry level and in city-pair level. The data used in this study were historical data during the period of 1996-2009 collected from various sources such as the Department of Civil Aviation (DCA), the Bank of Thailand (BOT), the office of the National Economic and Social Development Board, the Department of Tourism, the Tourism Authority of Thailand, and the Department of Land Transport, Ministry of Transport. During the study period, the Thai air transportation industry showed many significant changes in overall mark et level. Seven new airlines entered the market, while four airlines already discontinued their operations. Flying patterns of each airline became more planned and structured. Moreover, characteristics of both passengers and air transport operation reflected the changes in air transportation industry which resulted from the deregulation. The average number of passengers per airport, average number of airlines operating in each airport, and the average number of flights in each airport increased significantly when comparing the period of 1996-2003 to 2004-2009, except for the case of average number of destinations from each airport, which decreased when comparing the periods of 1996-2003 and 2004-2009. The study of market demand in industry level found that changes in economic factors, demographic factors, the tourism factor, and the supply factor affected the demand for airline service in the industry level. The most suitable variables to explain the change in demand for air transportation serv ices were GPP per capita, provincial populations, foreign visitors, rout distance, number of airlines operating at the airport and number of destinations from each air port, under 2 control variables which were year and regional location. The study of market demand in city-pair level found that the change in economic factors, demographic factors, the tourism factor, and supply factor affected the demand for airline service in city-pair level, as well as the analysis of market demand in industry level. The most suitable variables to explain the change in demand for air transportation services were: the sum of GPP per capita at origin and the destination provinces,; the sum of provincial population at origin and destination provinces; the sum of hotel rooms at origin and destination provinces,; and the number of airlines operating each route and number of flights in each route, under 2 control variables which are year and regional connections in each route. For individual demand analysis, 574 respondents were collected at Suvarnabhumi airport and Don Mueng airports to analyze for customer’s attitude toward airline service. The study of individual demand found the factors which impacted the demand were the same as prior studies conducted in other countries. One of the factors that impacted individual demand was the business model which can be mainly classified to Full Service Carriers (FSCs) and Low cost carriers (LCCs). The passengers using FSCs had different needs than those of passengers using LCCs, especially in regards to beverage, personnel service, cabin features, safety, airline value, and communication. Price increases were more important to LCCs passengers than to FSCs passengers. Travelling purpose was another factor affecting the demand. Food and beverage, personnel service, cabin feature, safety, ground service, airline value, and communication were more important to business passengers than leisure passengers, while price was more important to leisure passenger than that to business passengers. Furthermore, demographic factor s such as sex, age, occupation and education also impacted the demand for air transportation in some aspects. The study also showed that passenger domicile was another important factor affecting the demand.
Year2015
Corresponding Series Added EntryAsian Institute of Technology. Dissertation ; no. SM-15-01
TypeDissertation
SchoolSchool of Management
DepartmentOther Field of Studies (No Department)
Academic Program/FoSMaster of Business Administration (MBA) (Publication code=SM)
Chairperson(s)Winai Wongsurawat;Winai Wongsurawat;
Examination Committee(s)Do Ba Khang ;Huynh Trung Luong;
Scholarship Donor(s)Royal Thai Government Fellowship;
DegreeThesis (Ph.D.) - Asian Institute of Technology, 2015


Usage Metrics
View Detail0
Read PDF0
Download PDF0