ABSTRACT

This chapter discusses customer perceptions and some considerations for the successful implementation of alliances. Customers feel that alliances do not produce the consistent, efficient and seamless travel experience as proclaimed and communicated by airlines. The main point is that airline alliances have only partially succeeded in providing to passengers all of the communicated benefits in the areas of product and brand consistency. Alliances have also provided some benefits for passengers. Some international passengers have been better served due to greater, albeit, not yet seamless, coordination of services. Seamless travel so far has resulted in minor improvements in intra-alliance interlining. The biggest hurdle is perhaps the huge difference in member airline business objectives. The chapter reviews with an example, from outside the airline industry, of a successful alliance from the viewpoint of customers worldwide—VISA International. Airline alliances have not yet evolved to that level of passenger acceptance.