Factors Affecting Commitment and Loyalty Towards Airline

The aviation industry in Indonesia especially in domestic market has been increasing more than ever. With the Indonesian domestic airline competition increasing between carriers, it will be important for airlines to seek better competitive advantage by focusing which factors are affecting customers� commitment and loyalty, in order to stay profitable in the market. This research however will focus on Garuda Indonesia as the flag carrier of Indonesia, which still fighting to be the market leader in domestic market. This research utilized multiple regression analysis to study the relationship between confidence benefit, social benefit, special treatment benefit, relationship investment, relationship communication, and relationship management with customer commitment. Which the result will be further analyzed by simple regression to study the relationship between customer commitment and customer loyalty. Data were gathered using online questionnaire to 172 respondents of people that have travelled with Garuda Indonesia at least once for the past 3 months. The result showed that confidence benefit is the main factor for determining customer commitment. While overall customer commitment led to significant relationship with customer loyalty. However relationship communication proved to be insignificant to this research