Restoring Customer Trust and Loyalty: A Case Study of AirAsia
Abstract
Aviation industry was among the most affected by the COVID-19 pandemic. One of the players in this industry, the Capital A Berhad or better known as AirAsia was famous for its innovative approach to airline travel by offering low-cost flights and unique customer service experience. Based in Malaysia, AirAsia is the largest airline company by fleet size with 165 destinations spanning 25 countries. When the pandemic hit, AirAsia suspended its operations in March 2020 which triggered a series of major challenge faced by the company. Specifically, AirAsia’s customer service has been criticised for its ineffective chatbot as well as inadequate responses to customer complaints regarding refunds, flights cancellations and flight delays amid the COVID-19 pandemic. This case study delves into the factors contributing to AirAsia’s customer service issues and their impact on the company’s reputation and customer perception.