Building brand relationship quality among hotel loyalty program members (original) (raw)

Influence of Relationship Quality on Hotel Guests' Loyalty: A Case Study of A Malaysian Budget Hotel

Building up loyalty through relationship marketing as in the case for a budget hotel has been found to be a long term investment and loyal customer were more tolerance towards occasional inferior performances. The objective of this study was to investigate the relationship quality of trust, commitment and satisfaction perceived by the customer that can influence their loyalty towards a budget hotel. A cross sectional data collection approach was employed on a group of 85 hotel guests who were staying in a budget hotel. This study revealed that there was a direct relationship between relationship quality and loyalty with the exception to trust. Furthermore, this study confirmed that commitment and customer satisfaction acted as important factors in building customer loyalty. This study implies to service providers in enhancing loyalty is to reach the customer through a mean of communication, customized service and comfort to the customer. Future studies suggest such as replicated of ...

INFLUENCE OF RELATIONSHIP QUALITY ON HOTEL GUESTS’ LOYALTY: A

Building up loyalty through relationship marketing as in the case for a budget hotel has been found to be a long term investment and loyal customer were more tolerance towards occasional inferior performances. The objective of this study was to investigate the relationship quality of trust, commitment and satisfaction perceived by the customer that can influence their loyalty towards a budget hotel. A cross sectional data collection approach was employed on a group of 85 hotel guests who were staying in a budget hotel. This study revealed that there was a direct relationship between relationship quality and loyalty with the exception to trust. Furthermore, this study confirmed that commitment and customer satisfaction acted as important factors in building customer loyalty. This study implies to service providers in enhancing loyalty is to reach the customer through a mean of communication, customized service and comfort to the customer. Future studies suggest such as replicated of the study in other service industries (e.g. banking, hospitals, insurance, food service, and hotels) and also to consider a bigger sampling frame that will have the ability to be generalize.

Unpacking The Moderating Role Of Customer Satisfaction In The Relationship Between Perceived Value And Brand Loyalty: Insights From Pakistan's Hotel Industry

Journal of Positive School Psychology , 2023

In recent years, the hotel industry has been severely affected due to COVID-19, but now a positive trend can be observed. This study aims to explore the impact of service quality, social media marketing, perceived experience, and perceived risk affect hotel brand loyalty and perceived value in Pakistan. In addition, the study examines the moderating role of customer satisfaction in the relationship between perceived value and brand loyalty. The study used a quantitative research design and collected data from 427 hotel customers in Pakistan via a structured questionnaire. The structural equation modeling (SEM) is utilized for data analysis. The results indicate that service quality and social media marketing greatly increased perceived value. However, perceived experience and perceived risk were found insignificant. Furthermore, customer satisfaction moderates the perceived value-brand loyalty relationship. This study can help hotel managers increase brand loyalty and service quality. The survey suggests hotel management should improve service quality to increase customer satisfaction and brand loyalty. The study also contends the need for excellent customer experiences to boost hotel perceived value and brand loyalty. Hotel managers should prioritize customer satisfaction and provide customized services to address customer issues quickly and proactively to ensure customer satisfaction. The study emphasizes the importance of customer satisfaction as a key factor in brand loyalty and the need for hotel managers to devise effective strategies to improve customer satisfaction and perceived value in order to foster brand loyalty. This study contributes to the brand loyalty literature and has practical managerial implications.

Exploring effects of hotel chain loyalty program

International Journal of Culture, Tourism and Hospitality Research, 2014

Purpose-The main purpose of this work is to evaluate the long-term effectiveness of a hotel's chain loyalty program from a behavioral perspective. Design/methodology/approach-A Dirichlet model was estimated to assess purchase frequency and hotel choice within one of the biggest hotel chains in Portugal. The sample comprises hotels where a loyalty program was implemented, with a total of 176,099 reservations. Data were extracted from the customer relationship management (CRM) systems of the hotel group. Findings-The results suggest that instead of being loyal to a certain hotel, customers are loyal to the branded hotel chain. As the hotels are all part of the branded group, this polygamy is not only accepted but also very welcome. Research limitations/implications-The level of penetration and purchase frequency of CRM was measured. Nevertheless, a thorough understanding of these will be critical for the success of this program. Practical implications-This research is a step toward assessing hotel chain competitiveness, by improving and suggesting segmented groups of brands/hotels and to induce cross-selling products accepting polygamous loyalty as the only way to sustain long-term relationships with customers. Originality/value-This is one of the few research studies, if not the only one, to assess loyalty with tangible indicators, such as purchase frequency. Further, the results suggest that loyalty programs are more effective if multiple options are available and as such, cross-selling is perhaps the only way to fix customers.

Investigation of Factors Influencing Customer Loyalty in Malaysia and Jordan Hotel Industry

Journal of Business and Hotel Management, 2018

This study aims to proffer solutions to customer loyalty challenges at these destinations by proposing and validating customer loyalty model using relationship marketing and social exchange theory. Based on the underpinning theories, this study analyzed the direct and indirect influence of brand image, trust, convenience and emotion on customer loyalty of five star hotels in Malaysia and Jordan. Further, the mediating effect of customer satisfaction on the relationship between exogenous latent variables and endogenous latent variable was investigated. A total of 384 and 371customers respectively of three famous hotels under the management of Starwood were sampled using convenience sampling method for data analysis from Malaysia and Jordan. SPSS version 21.0 software was used for the analysis. However, the empirical results showed partial mediation effects on the relationship between brand image, trust, convenience, emotion and customer loyalty in respect of Malaysian hotel customers. In Jordan hotels, satisfaction does not mediate the relationship between trust and customer loyalty but partially mediate between emotion, brand image, convenience and customer loyalty. In summary, the findings of this study will narrow the perception of the top echelon of these hotels on the actual factors to focus in order to earn loyalty of their valued customers. This study also contributed to frontier of knowledge by integrating the variables of relationship marketing from the perspectives of two developing countries.

Customer Satisfaction and Brand Loyalty in the Hotel Industry

Most of marketing literature recognizes customer satisfaction as a significant antecedent to Brand loyalty. Further, the relationships between both satisfaction constructs with Brand loyalty have mostly been studied separately. The purpose of this study is to explore the effects of three customer perceptions (brand image , price fairness) on customer satisfaction and Brand loyalty. A combination of a convenience and judgmental sample survey of 584 guests of three different hotels in Damascus was used to the test the hypotheses. The results illustrate that customer satisfaction significantly affects customer loyalty. Also, the factors of brand image and price fairness affect Brand loyalty. Customer perception of brand image and price fairness are almost equally to build up the satisfaction. We suggest that managers should consider price fairness as foundations to build up customer satisfaction , Brand loyalty and, also to improve brand image as an added on value for customers .

Relationship Marketing, Customer Satisfaction and Loyalty: A Theoretical and Empirical Analysis From an Asian Perspective

Journal of International Consumer Marketing, 2008

Hospitality has turned to one of global industry which plays a great role for generating profit in most countries. The customers of such service sector which is included using facilities like restaurants, bar, pool, clubs has been considered as a luxury service users. In such a fierce market, it becomes so crucial for hospitality service owners to gain more competitive advantage over their competitors. One of different strategies to gain competitive advantage is improving customers' loyalty through adding value. Thus, this research aims to take benefit from relationship marketing as a value added concept to improve customer satisfaction and loyalty at in-house restaurants hotels in Malaysia. Hence, this study investigates the effects of three variables of relationship marketing including trust, commitment and communication towards customer satisfaction. Moreover, this research examines the association between customer satisfaction and loyalty by identifying the moderating role of switching cost. The data is collected through selfadministrated questionnaire from hotels in two states of Malaysia from 200 customers which at least have been served once at in-house restaurant of those hotels. Structural Equation Modelling (SEM) was used to analyse the reliability and validity of data and the hypothesised relationships in the proposed research model.

An Examination of the Effects of Service Quality and Customer Satisfaction on Customer Loyalty in the Hotel Industry

This paper aims to investigate the direct and indirect effects of service quality and customer satisfaction on customer loyalty in the hotel service industry. It proposes to confirm a theoretical model which has not been identified in the literature within the spectrum of the hotel industry in Indonesia. A quantitative methodology was used in this study. 182 respondents of hotel customers in Indonesia were used to gather information about their perception of service quality, customer loyalty and satisfaction. PLS-SEM was used to analyse the collected data and to specify the Structural Equation Modelling (SEM) of the hypothesised model. The results revealed that SERVQUAL affects positively on customer satisfaction and customer loyalty. Similarly, the testing showed the positive effect of customer satisfaction on customer loyalty. A significant mediation effect of customer satisfaction was found on the relationship between SERVQUAL and customer loyalty. Therefore, the proposed model helps the hotel operator in developing their customer service development program to enhance customer's satisfaction and loyalty to increase the profitability of the industry. This research contributes to hotel service industry by confirming the proposed structural model and offering insights about the customer perception, which helps hotel operators to more successfully incorporate the service quality to build customer loyalty and achieve customer satisfaction.

A Structural Model of Service Quality, Perceived Value, Satisfaction, and Customer Loyalty in the Hotel Industry: A Case Study of Tarakan City, Indonesia

Proceedings of the 2019 International Conference on Organizational Innovation (ICOI 2019), 2019

This study aims to examine the direct effect of service quality on perceived value, the direct influence and indirect influence of service quality on satisfaction, the direct influence and indirect influence of service quality on customer loyalty, the direct effect of perceived value on satisfaction, the direct influence and indirect perceived effects value towards customer loyalty, and direct satisfaction effect on customer loyalty in Structural Equation Modelling (SEM). The study sample consisted of customers who stayed at several hotels in Tarakan in May and June 2018. To achieve the objectives of this study, SmartPLS 3.0 Professional was used to test convergent validity and discriminant validity as well as tools to develop structural models and test hypotheses. The results of this study indicate that all the hypotheses proposed in this study were proven and accepted. In addition, the results of testing indirect effects between variables were also discussed in this study. Theoretically, the results of this study contribute to the development of a loyalty model, whereas pragmatically, it could be useful as material for the preparation of marketing strategies to increase hotel customer loyalty.