ЕКОНОМИКА Vol.

70, july-september 2024, № 3

ISSN 0350-137X, EISSN 2334-9190, UDK 338 (497,1) P. 1-9

Nikola Ćurčić1, ORIGINAL SCIENTIFIC ARTICLE

“Tamiš” Research and Development Institute, Pančevo DOI: 10.5937/ekonomika2403001C
Aleksandar Grubor2, Received: July, 02. 2024.
University of Novi Sad, Faculty of Economy in Subotica Accepted: September, 04.. 2024.
Boris Jevtić3,
University Union Belgrade, Computing Faculty RAF

IMPLEMENTING ARTIFICIAL INTELLIGENCE

IN TRAVEL SERVICES, CUSTOMER SATISFACTION
GAP STUDY AT SERBIAN AIRPORTS
Abstract
AI technologies have significantly transformed various sectors, including travel and
airport operations. This research aims to investigate the implications of implementing
artificial intelligence (AI) in airport services on passenger satisfaction and overall travel
experiences, as well as how AI technology shapes the way airports support passengers
throughout their journey. The study conducted empirical research at Serbian airports with
a sample size of 668 passengers. Participants provided their attitudes and satisfaction
ratings on 10 statements regarding the impact of AI technology implementation in airport
services. The findings from regression analysis reveal a high level of AI implementation
in airport services, particularly concerning passenger experience and security. However,
passengers express less satisfaction with the implementation of chatbots and virtual
assistants, AI algorithms, and certain AI tools that do not meet their expectations.
Specifically, passengers feel they do not always receive sufficient instant responses,
real-time flight information in the case of delays, or effective issue resolution at the
analyzed airports. These results contribute valuable insights to the AI literature and offer
implications for future implementations of these technologies in industry, marketing, and
technology development. Moreover, they can guide managerial practices and investments
in future digital technologies aimed at enhancing passenger experience.
Keywords: artificial intelligency, passanger satisfaction, passanger experience,
Serbia, travel industry.
JEL: M15, Q31, Z32, 014, R41.
ПРИМЕНА ВЕШТАЧКЕ ИНТЕЛИГЕНЦИЈЕ У УСЛУГАМА
АВИПРЕВОЗА, ГЕП СТУДИЈА ЗАДОВОЉСТВА
КОРИСНИКА НА АЕРОДРОМИМА У СРБИЈИ
Сажетак
Технологије ВИ су значајно трансформисале различите секторе,
укључујући путовања и аеродромске услуге. Ово истраживање има за циљ да

1
[email protected], ORCID ID /0000-0003-3375-2690
2
[email protected], ORCID ID /0000-0001-9798-0401
3
[email protected], ORCID ID /0000-0001-9497-0582

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проучи импликације примене вештачке интелигенције (ВИ) у аеродромским

услугама на задовољство путника и укупна искуства путовања, као и на то
како ове технологије обликују начие на које аеродроми подржавају путнике
током њиховог путовања. Спроведено је емпиријско истраживање на српским
аеродромима на узорку од 668 путника. Учесници су дали своје ставове и
оцене задовољства на 10 изјава у вези са утицајем примене ВИ технологије у
аеродромским услугама. Налази из регресионе анализе откривају висок ниво
примене вештачке интелигенције у аеродромским услугама, посебно у погледу
искуства путника и њихове безбедности. Испитаници су, такође изразили мање
задовољства код примене четботова и виртуелних асистената, алгоритама
вештачке интелигенције и одређених ВИ алата који не испуњавају њихова
очекивања. Сматрају да не добијају увек тренутне одговоре, информације
о лету у реалном времену у случају кашњења, недовољна је ефикасност у
решавању проблема на анализираним аеродромима. Ови резултати доприносе
литератури о вештачкој интелигенцији, маркетингу, искуству коринсика, као
и подтицању будуће примене ових технологија у индустрији. Доприноси и
менаџерској пракси и улагањима у будуће дигиталне технологије са циљем
побољшања искуства путника.
Кључне речи: вештачка интелигенција, задовољство путника, искуство
путника, Србија, туристичка привреда.

Introduction

As opportunities expand and societal interests evolve, more people are inclined to
travel and explore new destinations. The demand for air travel is projected to continue
rising, forecasted to 8.2 billion annually by 2037 (IATA report, 2024). The growth is
expected to generate substantial global benefits, potentially supporting 100 million jobs
over the next 20 years. While this growth represents a significant success for the aviation
industry, it also poses considerable responsibilities for airports and airlines. To manage
the associated safety risks, strict regulations for passengers, staff, and aircraft must
be rigorously enforced. Effective management is crucial to ensure safety throughout
airport processes and flights, necessitating updates to handle the increasing number of
passengers. Passengers now seek a connected, safe, secure, seamless, efficient, and highly
personalized travel experience. Technological advancements (Miletić et al., 2020; Špiler
et al., 2023; Jevtić et al., 2014; 2020; 2024), adoption of digital processes for assessing
and identifying travelers’ needs have significantly impacted the aviation industry (Ćurčić
& Grubor, 2023; Srebro & Jevtić, 2024; Srebro et al., 2024). Consequently, the authors
conducted empirical research with 668 passengers from Serbian airports in 2023 to
assess passenger’s satisfaction with the level of AI implementation in airport services, as
an extension to bigger research on relations of peeved quality of airport services (Ćurčić,
2023). The paper addresses the following research questions: RQ1: How satisfied are
customers with the AI-based services provided at these Serbian airports?, RQ2: What are
the primary discrepancies between customer expectations and actual experiences with
AI technologies in travel services at Serbian airports?, RQ3: Which AI technologies are

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most effective in enhancing customer satisfaction in the context of travel services at

Serbian airports?, RQ4: What enhancements can be made to current AI implementations
to better align with customer expectations and enhance overall satisfaction? The abstract,
introduction, and literature review are provided in the first part of the paper, while the
research description, final results, discussion, conclusion, and references are presented
in the second part.
The paper addresses the following research questions: RQ1: How satisfied are
customers with the AI-based services provided at these Serbian airports?, RQ2: What are
the primary discrepancies between customer expectations and actual experiences with
AI technologies in travel services at Serbian airports?, RQ3: Which AI technologies are
most effective in enhancing customer satisfaction in the context of travel services at
Serbian airports?, RQ4: What enhancements can be made to current AI implementations
to better align with customer expectations and enhance overall satisfaction? The abstract,
introduction, and literature review are provided in the first part of the paper, while the
research description, final results, discussion, conclusion, and references are presented
in the second part.

Literature review

Main Artificial Intelligence Technologies Implemented in Airport Services

Concerning Customers is:
− Facial Recognition Systems, employed for security and boarding processes to
enhance efficiency by quickly and accurately verifying passenger identities.
The implications of using facial recognition technologies in airports and other
settings, particularly concerning privacy and bias, are discussed in works by
Ho et al., 2024; Yeung et al., 2020);
− Automated Check-In and Bag Drop. AI-powered kiosks allow passengers
to check in and drop off their luggage without human assistance, reducing
wait times and streamlining the process. Self-service bag drop systems
enhance the passenger experience by reducing congestion, improving space
utilization, and increasing passenger satisfaction, though initial resistance
from passengers unfamiliar with the technology is noted (BEUMER Group,
2021). Additionally, automated bag drop systems are crucial for streamlining
airport operations, improving efficiency, and managing increased passenger
volumes while reducing manual labor costs (AIQ Consulting, 2022);
− Chatbots and Virtual Assistants. These AI technologies provide real-
time customer support, answering queries related to flight schedules, gate
information, and general airport services through text or voice interfaces.
Agarwal et al. (2022) provide a comprehensive analysis of the literature on
chatbots and virtual assistants across various industries, including airport
services, highlighting technological advancements and research trends in this
field. Bălan (2023) systematically reviews the business research literature
on chatbots and voice assistants, emphasizing their transformative role in
the customer interface across sectors, including travel and hospitality. The
adoption of AI chatbots in travel and tourism services is examined by Springer

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(2023), focusing on how these technologies enhance customer service,

streamline operations, and improve the overall passenger experience, as well
as exploring future trends; Personalized Customer Service. AI algorithms
analyze passenger data to offer personalized recommendations and services,
such as lounge access, dining options, and retail offers. Research by Ryu and
Park (2019) and Redha (2013) provides insights into personalized customer
service in airports, including customer relationship management, passenger
behavior and satisfaction, the impact of service quality on the overall
experience, and systematic literature reviews on personalized services;
− Security Screening Enhancements. AI technologies improve the effectiveness
of security screenings by analyzing X-ray images, detecting prohibited items
more accurately, and speeding up the screening process. Enhancing security
screening at airports is critical for ensuring passenger safety and preventing
security threats (Alrayes et al., 2022);
− Language Translation Services. AI-powered translation tools assist
international travelers by providing real-time translations of signs,
announcements, and customer service interactions. These services are
vital for facilitating communication between passengers and airport staff,
particularly in international airports.

Methodology

The empirical research sample consists of 668 respondents, passengers in transit,

either transferring, departing, or arriving at airports in Serbia in 2022, during defined
times. Data was collected online using a structured questionnaire, which included
8 general questions about the respondents’ profiles and 10 statements related to the
key research variables. The study defines the independent variable as the Level of AI
technologies used in airport services (LAI) and the dependent variable as the Passenger’s
Satisfaction Level (PSL). The hypothesis formulated for this study posits that the level
of AI technologies implemented in airport services (LAI) significantly impacts the
level of passenger satisfaction (PSL). Table 1 presents descriptive statistics, including
frequencies and probabilities, detailing the profile of the respondents.

Table 1. Descriptive Statistics on Respondent Profiles

Level Sub-Level Count Prob
Belgrade 404 0.60479
Airports/Serbia
Niš 264 0.39521
Female 277 0.41467
Gender
Male 391 0.58533
Higher education 361 0.54042
Level of education
Secondary education 307 0.45958

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Level Sub-Level Count Prob

(18-28) 140 0.20958
(29-42) 262 0.39222
Age (43-56) 208 0.31138
(57-65) 45 0.06737
(>65) 13 0.01946
Employed 561 0.83982
Social status In pension 13 0.01946
Unemployed 94 0.14072
>1000 117 0.17515
From 300-500 158 0.23653
Level of personal income (€)
From 501-700 208 0.31138
From 701-1000 185 0.27695
With 449 0.67216
Travel experience
Without 219 0.32784
Departure / Arrival 596 0.89222
Travel direction
Transfer 72 0.10778
Total 668 1.00000
Source: Authors’ calculations

The study employed correlation and regression analyses, performed using SAS
JMP 17 software. Respondents rated their opinions on a weighted Pearson scale from
1 to 5, where 1 signifies complete dissatisfaction, 2 signifies partial dissatisfaction, 3
signifies neutrality, 4 signifies partial satisfaction, and 5 signifies complete satisfaction
(T.2).

Table 2. Distribution of respondents’ attitudes towards various statements

Claims Attitude
AI technologies level in the airports' services (LAI) 1 2 3 4 5
LAI1. Personalized travel recommendations enhance the overall travel 41 70 89 270 198
experience.
LAI2. Chatbots and virtual assistants provide instant responses, real-time flight 42 73 97 261 195
information, and issue resolution.
LAI3. AI-driven facial recognition technology automates check-in, security 36 70 107 259 196
screening, and boarding, optimizing passenger flow, reducing wait
times.
LAI4. AI algorithms improve booking and reservation processes 71 74 174 121 228
LAI5. AI-driven video surveillance systems significantly enhance passenger 41 73 94 276 184
and airport security.
Passenger's satisfaction level (PSL)
PSL1. Passenger satisfaction is the process of evaluating how well the AI 47 69 93 271 188
technologies used in airport services meet passengers' needs.
PSL2. Passenger satisfaction also includes dissatisfaction when the level of AI 73 95 220 157 123
technology used does not meet their expectations.
PSL3. The value of airport services matches the price paid by the passenger. 28 38 62 129 411

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PSL4. Passenger satisfaction is an emotional response to the experience 43 82 107 256 180
(pleasant/unpleasant) with the level of AI technology used in airport
services.
PSL5. Passenger satisfaction with airport services is an expression of happiness 49 69 104 260 186
resulting from the development of the passenger's own digital skills.

Source: Authors

Results

Table 3. Means and values and standard deviation for the variables
Variables Mean Std Dev
AI technologies used in the airports' services (LAI) 3.7086826347 1.1620625054
Passenger's satisfaction level (PSL) 3.7233532934 1.1406590119
Source: Authors

The data in Table 3 indicates that AI technologies are relatively well integrated
into airport services at Serbian airports. The average value for the level of AI integration
(LAI) is 3.709, and the average passenger satisfaction level (PSL) is 3.723, suggesting a
generally high level of satisfaction among respondents. The standard deviation for LAI
is 1.162, indicating some variability in perceptions of AI technology use, with some
respondents perceiving a high level of use. Similarly, the standard deviation for PSL is
1.141, reflecting variability in passenger satisfaction and indicating diverse experiences
and satisfaction levels among passengers. Regarding the gap study for the statements, the
research results show that passengers believe: LAI2: Chatbots and virtual assistants do
not provide sufficient instant responses, real-time flight information, or issue resolution at
the analyzed airports. Similarly, LAI4, which concerns AI algorithms improving booking
and reservation processes, received lower scores (mean value 3.54, standard deviation);
and PSL2 (mean value 3.24, standard deviation): Passenger satisfaction includes
dissatisfaction when the level of AI technology used does not meet their expectations,
also received lower scores.

Table 4. Parameters
Term Estimate Std Error t Ratio Prob>|t| Std Beta VIF
Intercept 0.1588869 0.030028 5.29 <0.0001 0 .
AI technologies used in the
0.9611139 0.007727 124.39 <0.0001 0.979148 1
airports' services (LAI)

Source: Authors
From Table 4, it can be concluded that both coefficients (Intercept and AI
technologies level used in airport services (LAI)) are highly statistically significant, with
p-values less than 0.0001. This indicates that both coefficients are significant predictors of
the dependent variable, passenger satisfaction level (PSL). According to the passengers’
assessments, the level of AI technologies used in airport services (LAI) has a very strong
positive effect on PSL, with a standardized beta coefficient of 0.979148. This implies

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that an increase in the level of AI technologies significantly and positively correlates

with, and thus increases, passenger satisfaction (PSL). Low standard errors (0.030028
for the intercept and 0.007727 for the level of AI technologies) indicate high precision in
the coefficient estimates. A VIF value of 1 for the level of AI technologies indicates no
multicollinearity issues, suggesting that the research model is stable and the coefficients
are reliably interpretable. Respecting above results the further formula can be defined:

Passenger's satisfaction level (PSL) =

(1)
=0.1588869+0.9611139⋅ AI technologies level in the airports' services (LAI)
This function shows that, with a constant intercept value of 0.1588869, each one-
unit increase in the level of AI technologies used in airport services (LAI) contributes to
an approximate increase of 0.9611139 units in passenger satisfaction level (PSL). The
dominance of higher education among the sample, along with a higher proportion of
frequent travelers (67%), influenced the research results favoring the utilization of AI
technologies in airport hubs. This trend is further accentuated by the predominance of
younger travelers who actively seek AI tools to evaluate airport service quality, reflecting
their digitally savvy nature and specific travel service requirements. Additionally, the
significant presence of employed travelers in the sample further reinforces this inclination
towards AI technology adoption. Based on given analysis, the research hypothesis can be
confirmed H0= AI technologies implemented in airport services (LAI) has a significant
impact on passenger’s satisfaction (PSL). (The assessment of statistical significance it is
[F(1, 666) = 15472.23, p <0.0001].

Conclusion

The research on AI technologies used at Serbian airports, assessed through

passenger feedback, indicates a generally positive outcome concerning customer
satisfaction and the level of AI implementation. Passengers’ assessments reveal a strong
positive correlation between AI integration and their satisfaction levels. The findings
demonstrate that AI technologies are relatively well integrated into airport services at
Serbian airports. However, there is notable variability in passenger experiences and
satisfaction levels. The gap analysis identifies specific areas requiring improvement,
including the performance of chatbots and virtual assistants in providing instant responses
and real-time flight information, as well as the effectiveness of AI algorithms in booking
and reservation processes. These tools did not consistently meet passenger expectations.
This research highlights the substantial benefits and impacts of AI on airport management.
Future investments should prioritize enhancing operational efficiency, improving
intelligent decision-making, bolstering safety and security measures, personalizing
passenger experiences, and achieving cost savings and revenue generation. AI-powered
systems have the potential to automate and optimize various airport processes, offering
personalized services and improved experiences to passengers.

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