Oscar Munoz, United CEO, pledges to improve customer service

CEO of United Airlines, Oscar Munoz, is trying hard to rehabilitate United’s customer service image that has fallen down a sinkhole. Since taking over as CEO in September this year, Munoz has pledged to turn around the company’s customer service record that has worsened after the Continental-United merger five years ago.

In an interview with Chicago Tribune, United Airlines’ CEO acknowledged that the company has mistreated both the customers and the employees and pledges to do better.

The surprising display of contrition from the airline comes after the company has been severely criticized for sub standard customer service. Munoz said that in pursuit of greater profits, the company seemed to have forgotten about customers and this has been the main problem at United in the past few years.

The customer service problem started right after the Continental-United merger. Some analysts say that the United merger is the perfect example of customer sinkhole, which refers to a merger that paves way for sloppy customer service that continues years after.

Since 2011, the airline company has accumulated mountains of complaints and has repeatedly ranked at the bottom of customer service rankings. The company was ranked near the bottom in the latest travel report from the American Customer Satisfaction Index (ACSI).

According to some analysts, the United-Continental merger can be compared to the various hospital mergers that were criticized by FTC in the 2000s for “higher prices and more dead patients”. The same criticism can be applied to United as a number of previously loyal customers have left the company due to its below-par services and high fares.

Munoz took the leadership reins in September of this year after previous CEO Jeff Smisek decided to step down from his position after rumors of corruption were levied against him. Smisek took with him an exceptionally generous package of $28 million as well as free first class tickets for life. However, his departure was greeted with mixed feelings of cheers and relief as United customers lamented on various traveler blog sites how the traveler perks and employee benefits had disappeared under his leadership.

After taking over the role of CEO, Munoz has led a reconciliation between the public and the airline. The CEO recognized the fact that the merger and integration with Continental has not gone as expected. This fact needs to be laid out for folks before moving forward and taking steps to improve the situation.

Although Munoz had not clearly stated how he was going to perk up the customer experience, he did specify setting small targets that won’t hurt the company’s financials by much. The biggest initiative in this regard is the creation of a website www.UnitedAirtime.com where customers can give feedback to the company to improve its service.

Recently he posted an open letter to the public promising to improve customer service. “We are committed to re-earning your trust. We want to be the first choice for every trip you take,” the letter stated. “We need to do the small things well. We have to deliver meaningful, everyday improvements.”