Exploring Passenger Purchase Behaviour in Airline Retailing: The Role of Service Experience and Value Perception

Abstract

The airline retail sector has emerged as an important strategic domain for airlines seeking to enhance passenger engagement, brand value, and non-ticket revenue. Airline retail goods, such as branded merchandise and travel-related products, serve not only as revenue-generating tools but also as symbolic representations of airline brands that influence passengers’ emotional and behavioral responses. This study investigates passenger purchase behaviour in airline retail by examining the influence of airline goods product characteristics on perceived experience, brand love, brand personality, and repurchase intention. Drawing on consumer behavior and branding literature, this research proposes a comprehensive conceptual framework incorporating five dimensions of airline goods product characteristics—price appropriateness, external characteristics, visual attractiveness, product meaning, and emotional function.A quantitative research design was employed, and data were collected from 254 passengers who had experience purchasing airline retail goods while traveling from Pakistan to international destinations using both Pakistani and foreign airlines. The data were analyzed using SPSS and AMOS. Exploratory factor analysis and confirmatory factor analysis were conducted to assess the reliability and validity of the measurement model, followed by structural equation modeling to test the proposed hypotheses.The findings reveal that airline goods product characteristics have a significant positive effect on passengers’ perceived experience. Perceived experience, in turn, significantly influences brand love and brand personality. Furthermore, brand personality plays a critical role in shaping passengers’ repurchase intention toward airline retail goods. The study offers meaningful theoretical contributions by extending airline retail and branding literature and provides practical implications for airline managers seeking to strengthen brand engagement through retail strategies.