Saturday, February 14, 2015

How does Air Canada come out on top?

2015 Brand Keys Customer Loyalty Engagement Index-Detail
(Source: http://brandkeys.com/wp-content/uploads/2015/02/Brand-Keys-CLEI-2015.pdf)
According to the 2015 Brand Keys Customer Loyalty Engagement Index, Air Canada comes out on top among North American airlines.

And how is the index created? According to Brand Keys;
The Brand Keys data paints a detailed picture of the category drivers that engage customers, engender loyalty and drive real profits.
These drivers not only define how the consumer will view the category, compare offerings, and, ultimately, buy, but also identify the expectations the consumer holds for each driver. The brand whose drivers come closest to meeting (or even exceeding) those of the category Ideal is always the one whose customers will demonstrate the highest levels of engagement and loyalty over the next 12 to 18 months.
This year’s Customer Loyalty Engagement Index examines customers’ relationships with 540 brands in 64 categories. (Source: http://brandkeys.com/portfolio/customer-loyalty-engagement-index/)
I am astounded. In Canada Air Canada has a pretty miserable reputation for its service and prices. If the domestic airline market was not shielded from competition, Air Canada and WestJet (Number 3 on the index) would be struggling to survive. (Air Canada has gone bankrupt twice.) On many routes customers are loyal because they have almost no choice at all. They fly Air Canada, or walk.

Even as the price of oil dropped in half, the airlines retained their fuel surcharges and are raking in the profits.

It just goes to show how miserable the standard of the "Category Ideal" must be.

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