• Presenter : Junyuk Lee (TUPA LAB)
• Date : 2026. 05. 28
• Affiliation : KAIST (Cho Chun Shik Graduate School of Mobility)
• Category : M.S. Thesis Defense

Analyzing Choice Behavior and Economic Valuation of Hub Airport Service Quality for Millennial and Generation Z Transfer Passengers

Abstract

This video presents an M.S. Thesis Defense at KAIST (Cho Chun Shik Graduate School of Mobility).

The research establishes an integrated choice behavior and economic valuation framework for hub airport service quality, focusing specifically on Millennial and Generation Z transfer passengers. Traditional aviation studies predominantly center on origin-destination (O&D) travelers and airline-controlled attributes, leaving significant research gaps regarding the micro-destination role of airport terminals and standardized monetary benchmarks for airport services. To bridge this gap, this study proposes a discrete choice modeling approach combined with quantitative economic valuation tools.

Using a Stated Preference (SP) survey dataset collected from 621 valid international respondents across 11 languages (totaling 5,589 choice observations), the study employs a Panel Mixed Logit (PMXL) model framework. A core contribution is the model’s ability to capture individual-level preference heterogeneity and the repeated choice structure of the survey across three distinct transfer contexts: short transfer, layover, and stopover. The framework further incorporates a Meta-Analysis of 28 empirical valuation studies to establish a robust shadow price mechanism, translating qualitative airport service utility directly into monetary values (Marginal Willingness-To-Pay) to support evidence-based airport investment and policy planning.

Presentation Overview

This presentation covers the following key topics:

• Research Background & Objectives: The shift to demand-side service strategies in hub airports
• Survey Design & Choice Modeling: 7 airport-controlled service attributes under a D-efficient design
• Model Comparison: Why PMXL consistently outperforms standard Multinomial Logit (MNL) models
• Empirical Findings: High-speed free Wi-Fi and friendly staff as top utility drivers
• Paradoxical Discoveries: The “Basic English Mismatch” and “City Tour Halo Effect”
• Economic Valuation: Deriving the service utility shadow price of USD 91.91 per passenger
• Policy Scenario Simulation: Welfare gain analysis across Digital Focus, Human Focus, and All-in Strategies