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THE FORMULATION OF LOYALTY THROUGH BRANDING IN THE ACCOMMODATION ESTABLISHMENTS

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글로벌지식마케팅경영학회 (Global Alliance of Marketing & Management Associations)
초록

Introduction
Marketing research frequently highlights the role of branding in customer’s decision making in a variety of sectors (Khan et al., 2015). Especially in cases where brands are related to the provision of services, creating competitive experiences seems to be an aspect of paramount importance for marketers (Hartman, et al., 2009). For this reason branding could be regarded as a means to improve a business’s performance (Hsu et al., 2011). Gilmore and Pine (2002) confirm the necessity for a brand to be associated with competitive characteristics, since it is widely acceptable that just selling a product is not enough, thus, the customer should go through a memorable experience in order to support, and, even more, to stay loyal to a brand. According to Liu et al. (2017) in the hotel industry visitors’ brand attitude and brand performance could mediate or moderate loyalty. Although the tourism and hospitality industry heavily relates on experience (Yuan & Wu, 2008), literature does not adequately examine the respective field (Ritchie & Hudson, 2009). This drawback combined with the new tendencies generated by the globalisation (Khan et al., 2015) lead to the need of further research which this study contributes to. The study focuses on hotel branding and existing literature in order to examine the way that brand influences tourists’ purchasing intentions and loyalty. In order to achieve this aim, the role of income and age on brand identification, the study examines the impact of brand identification, image and awareness in visitor satisfaction and price and quality issues, resulting to the formulation of loyalty. The theoretical contribution of the study concerns the examination of the influence of branding on visitors’ loyalty in accommodation establishments, something that is under-researched from previous studies, especially when dealing with destinations heavily affected by an economic crisis.
Proposed Model
The proposed model is based on the combination of two theories, which are the Theory of Planned Behaviour (TPB) and the Theory of Reasoned Action (TRA). Following Ajzen (1991) TPB focuses on three determinants of the human behaviour: (i) reactions towards a basic behaviour (ii) attitude towards others’ approval or disapproval of a behaviour, and (iii) perceptions of the degree of difficulty in performing a behaviour. Furthermore, TRA is used in order to predict an individual’s behaviour based on their existing attitudes and intentions, defined by the expectations of the individual in terms of its attitudinal outcomes (Fishbein & Ajzen, 1975; Untaru et al., 2016). Based on TPB and TRA, the study structures a linear model, formulating its constructs with the use of previous studies of Davvetas and Diamantopoulos (2017), Escalas and Bettman (2003; 2005), Kim and Kim (2005), Liu et al. (2017), Nam et al. (2011), Popp and Woratschek (2017), Sanchez et.al. (2006), Sincovics et al. (2010), Tarnanidis et al. (2015), Tsiros and Mittal (2000), and Yoo, et al. (2000). The model suggests that loyalty is influenced by visitor satisfaction and price quality issues, whilst the latter two constructs are impacted by brand aspects (identification; name; awareness). The following hypotheses were formulated:
H1. Brand identification has a direct positive influence on satisfaction.
H2. Brand identification has a direct positive influence on price and quality.
H3. Satisfaction is positively affected by brand image.
H4. Price-quality nexus is positively affected by brand image.
H5. Brand awareness positively influences satisfaction.
H6. Brand awareness has a direct impact on price-quality nexus.
H7. Loyalty is positively affected by satisfaction.
H8. Price-quality nexus exert direct influence on loyalty.
Methodology
The research was held at the Athens International Airport “Eleftherios Venizelos” from June till August 2017. The respondents were adult tourists visiting Athens for holidays. The study was based on structured questionnaires, which are deemed suitable in cases when quantitative data are required, especially in public spaces and wherever the sample is self-selecting (e.g. tourist destinations, airports etc.) (Brotherton, 2015). Following Akis et al. (1996), for the study 95% minimum level of confidence, and 5% statistical error was selected. While the analogy 50/50 between positive and negative views applies, with N>20 and cumulative probability (Z) is 1.96 the sample size is calculated as follows:
Out of 400 respondents 328 completed their questionnaires successfully. The response rate was 82 per cent. The questionnaire is based on previous research and consists of 57 Likert scale statements (1 strongly disagree; 5 strongly agree), also examining the socio-demographics of age and income.
Results
Structural Equation Model (SEM) was employed for the analysis of linear relations. Figure 1 illustrates the generated standardised coefficients of the model. Confirmatory Factor Analysis (CFA) was applied for testing the compatibility of the data with the proposed model that was generated from respective previous research. Following Kline’s (2010) selection of indices’ importance, the study has generated the following indices: χ2=327.206, df=172, χ2/df=1.902 [acceptable value: 0≤χ2/df≤2; Schermelleh-Engel, Moosbrugger & Müller (2003)], CFI=.907, [acceptable value is when CFI is close to 1.0; Weston & Gore (2006)], SRMR=.769 [acceptable value is when SRMR<.8; Hu & Bentler (1999)], and RMSEA=.487 [acceptable value is when RMSEA<.5; Browne & Cudeck (1993)]. In factor analysis (Table 1) all values less than .4 were suppressed in an effort to evaluate higher coefficients (Norman & Streiner, 2008). The overall Cronbach A was .904, whilst in all constructs it has exceeded the minimum limit of .7. In addition, the Average Variance Explained (AVE) was higher than .5 [minimum acceptable .5; Kim (2014)].
Managerial Implications
Several managerial implications could be generated from this study. First, the research can provide useful guidance to tourism and hospitality stakeholders, on reforming brand strategies accordingly in terms of achieving higher customer satisfaction and optimal outputs from price-quality nexus. Through these aspects the accommodation establishments and destinations can become more competitive and competent to pull prospective visitors. The study also constitutes a useful guide for market segmentation in terms of the influence of income and age in brand aspects. As the results indicate, the substantial influence of socio-demographics on the formulation of brand aspects can significantly influence targeted marketing and promotional activities for both, hotels and destinations.
Limitations
Despite the research’s theoretical contribution, several limitations need to be highlighted. Since the survey was conducted in a destination heavily affected by the current economic crisis (Athens) the influence of brand and loyalty aspects may differ in other metropolitan destinations having other characteristics. Therefore, any generalization should be made with caution. Moreover, the examination of different groups (i.e.: accommodation managers/owners; destination authorities) may generate different outcomes in terms of branding focus and loyalty formulation. Thus, the evaluation of perspectives of tourism and hospitality stakeholders is essential for the holistic approach of these matters. Finally, since perceptions may change over time, the repetition of this research may contribute to the understanding of the evolution of perspectives and their extent of alteration.

저자
  • Marietta Fragkogianni(University of Suffolk, UK)