The influence of seat pitch, wi-fi, and other service features on airfares and passenger share in the U.S. domestic air travel market
Kiljae K. Lee,
Li Zou and
Scott Ambrose
Journal of Air Transport Management, 2025, vol. 128, issue C
Abstract:
This study examines how six service features affect passenger share and airfare in the U.S. domestic market. Applying two-stage least squares and random forest models to 5248 O&D records, we find seat pitch has the strongest impact. The relationship is nonlinear: share rises sharply at 29 inches, then levels off -- suggesting passengers may view 29 inches as a minimum comfort threshold. Wi-Fi impact plateaus: moving from no to paid Wi-Fi boosts share, but making it free adds little, suggesting connectivity is valued more than whether it is free. Live TV is negatively associated with share. USB access and aircraft age show modest positive association with both share and fares, while aircraft size has a strong positive association with share but a slight negative effect on fares. Building on recent empirical studies of service differentiation in aviation, these findings highlight that passenger preferences are evolving by valuing functional and digital connectivity.
Keywords: Passenger share; Airfare; Wi-fi; Seat pitch; Aircraft size; 2SLS; Random forest (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:jaitra:v:128:y:2025:i:c:s0969699725001164
DOI: 10.1016/j.jairtraman.2025.102853
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