CSR and customer loyalty: The roles of trust,customer identification with the company and satisfaction

Corporate social responsibility (CSR) has become a crucial construct in hospitality companies. One of the main reasons is due to the idea that CSR influence consumer loyalty. This paper presents a model of influence of CSR on hotel customer loyalty by simultaneously including trust, customer identification with the company and satisfaction as mediators by showing the direct and indirect effects among these constructs. In the proposed model, loyalty is indirectly affected by perceived CSR, via the mediation of trust, identification and satisfaction. Empirical testing using a survey of Spanish hotel consumers confirms most of our hypothesized effects except the effect of customer trust on customer identification with the company. Finally, managerial implications and limitations of our findings are discussed.     

Employee satisfaction,customer satisfaction,and financial performance: An empirical examination

The purpose of this study is to examine the relationship between employee satisfaction and customer satisfaction, and to examine the impact of both on a hospitality company’s financial performance utilizing service-profit-chain framework as the theoretical base. Specifically, this study explores four major relationships: (1) the direct relationship between customer satisfaction and financial performance; (2) the direct relationship between employee satisfaction and financial performance; (3) the direct relationship between customer satisfaction and employee satisfaction; and (4) the indirect relationship between employee satisfaction and financial performance. Furthermore, this study examines the mediating role of customer satisfaction on the indirect relationship between employee satisfaction and financial performance. Data for this study was collected from employees, customers and managers of three- and four-star hotels. Structural equation modeling (SEM) with a two-step approach was utilized to empirically test the proposed hypotheses and the relationships between the constructs. Findings suggest that while customer satisfaction has positive significant impact on financial performance, employee satisfaction has no direct significant impact on financial performance. Instead, there is an indirect relationship between employee satisfaction and financial performance, which is mediated by customer satisfaction.     

A casino-induced satisfaction of needs: scale development and its relationship with casino customer loyalty

Based on Maslow’s hierarchy of needs theory, this study develops a five-factor casino-induced satisfaction-of-needs scale and examines its relationship with casino customer loyalty using Macau as a study context. The findings show that the respondents’ most visited casinos had only marginally met the respondents’ various inner needs; there is still ample room for Macau casinos to improve the level of their customers’ satisfaction regarding customers’ inner needs. Among the five types of inner needs, self-actualization appears to be one need that requires more attention than the others because it was rated as the need that was the least satisfied but contributed the second most to measuring satisfaction. Additionally, Macau casinos should continue their efforts to improve and maintain a safe and secure casino environment, coupled with providing a variety of quality foods and beverages, for their customers. Lastly, safety and security, self-actualization and physiological needs were found to positively affect casino customer loyalty.     

The impact of customer-to-customer interaction and customer homogeneity on customer satisfaction in tourism service—The service encounter prospective

Customer satisfaction has been an important topic in tourism service management. Many researchers have argued that customer-to-customer interaction may affect customers’ evaluation of the service experience. Consequently, the objective of this research is to investigate the relationship between customer-to-customer interaction, customer homogeneity and customer satisfaction. This research adopted questionnaires to investigate tourists traveling to foreign areas from Taiwan. In conclusion, the perception of customer-to-customer interaction incidents could be extracted into six factors, including protocol and sociable incidents, violent incidents, grungy incidents, malcontent incidents, crude incidents, and inconsiderate incidents. The results of the analysis indicate that “protocol and sociable incidents” have a significantly positive impact on the “evaluation of fellow customers”. However, “malcontent incidents” have a significantly negative impact on customer satisfaction. “Marital homogeneity” has a positive influence on the “evaluation of fellow customers”. Finally, “evaluation of fellow customers” has a positive influence on customer satisfaction. Some suggestions for practitioners to manage customer compatibility and enhance customer satisfaction are proposed.     

Destination attachment: Effects on customer satisfaction and cognitive,affective and conative loyalty

Tourists may develop attachment to a destination because of its ability in fulfilling specific goals or activity needs and/or because of its symbolic meaning and thus, attachment could be an important measure of tourist satisfaction and loyalty. Despite its significance, only limited research has been conducted to determine the likely influences of emotional associations or meanings tourists attach to the places they visit on their satisfaction and future behavior. This study therefore explores the role of attachment in predicting satisfactory holiday experiences and destination loyalty. Results of the structural equation modeling show that positive emotional and cognitive bonds with a place could indeed affect an individual's critical assessment of a destination and his/her loyalty to the place. Implications of the study are discussed.     

Service climate and customer satisfaction in a casino hotel: An exploratory case study

Given the global escalation in gaming availability, this paper proposes a service management framework for the study of competitive advantage in casino hotels. Using data collected from 303 employees at an Australian casino hotel, an exploratory case study in service climate and customer satisfaction is presented. The findings suggest that while service climate is highly correlated with customer satisfaction, internal dynamics result in significant differences in the perceptions of casino employees versus non-casino employees, highlighting the need to tailor organisational strategies to different types of employees.     

Enhancing customer loyalty in tourism services: the role of customer-company identification and customer participation

Travel agencies are high-contact service organizations and customer orientation plays a critical role in their success. However, not all the academic research on the effect of customer orientation on service performance has been positive. This research examines the effect of customer orientation on customer loyalty through two mediators: customer satisfaction and customer-company identification. The study also investigates how customer participation moderates the relationships between two mediators and customer loyalty. The findings are as follows: (1) customer orientation has significantly positive impacts on customer satisfaction and customer-company identification as well as on customer loyalty; (2) two mediators have significantly positive impacts on customer loyalty; and (3) customer participation moderates the relationships between the two mediators and customer loyalty. The research results indicate that customer-company identification can be used as an additional way to enhance customer loyalty. Important theoretical and managerial implications for travel agencies are also provided in this research.     

The effects of tipping policies on customer satisfaction: A test from the cruise industry

Many in the media have called for the abolition of the practice of tipping and at least some resorts, private clubs, hotels, and restaurants have replaced tipping with automatic service charges or service inclusive pricing. Particularly notable in this regard is the cruise industry, where several of the largest brands have switched to an automatic service charge system. Given the popularity of tipping and its perceived role as an incentive/reward for service, such moves to replace tipping with service charges seem likely to have negative effects on customer satisfaction. We test this expectation by examining the effects of Carnival Cruise Line's tipping policy change in the early 2000s on its customers’ evaluations of their cruise experience. After controlling for the effect of ship and review date, we found that Carnival Cruise Line's guests rated their cruise more positively when they sailed under a voluntary-tipping policy than when automatic service charges were added to their onboard bills. However, this effect was small and need not deter firms from replacing voluntary tipping with service charges. Discussion of this finding focuses on ways services marketers might be able to mitigate this modest negative effect of service charges.     

Switching intention model development: Role of service performances,customer satisfaction,and switching barriers in the hotel industry

The intricate relationships among core service and service encounter performances, customer satisfaction, and switching barriers in the formation of satisfaction and switching intention were examined in this study. A field survey was conducted at upper-midscale hotels. The results of the structural analysis revealed that both core service and service encounter performances significantly affected customer satisfaction, and satisfaction completely mediated the effects of service performances on switching intention. In addition, findings from the tests for metric invariances indicated that components of switching barriers (switching costs, relational investment, and lack of alternatives’ attractiveness) moderated the relationships between satisfaction and switching intention. In particular, the role of satisfaction derived from service performances in decreasing hotel guests’ intention to switch is greater when they perceive high switching costs, relational investment, and lack of alternatives’ attractiveness. Based on study findings, theoretical and practical implications are identified and discussed.     

Effect of corporate social responsibility,customer attribution and prior expectation on post-recovery satisfaction

A conceptual model is proposed to account for how customers’ attributions of the cause of a service failure, their perceptions of a firm's social responsibility and their prior expectations can influence post-recovery satisfaction through the mediating effect of customer–company (C–C) identification. It was tested in the context of hospitality services. Findings from a survey of 281 restaurant patrons show that after a service failure, favorable corporate social responsibility (CSR) perception can help mitigate the negative effects of internal cause attribution on customer identification and ultimately contribute to post-recovery satisfaction. Besides, the interaction effect of CSR perception and attribution on C–C identification is particularly salient for customers with higher prior expectation. Findings also highlight that the dynamic interaction effect among attribution, CSR perception and prior expectation on customer post-recovery satisfaction is mediated by C–C identification.     

Service quality and customer satisfaction: The moderating effects of hotel star rating

This research contributes to customer satisfaction knowledge with regard to accommodation in South Africa whose star grading differs. A multi-group analysis and an importance-performance map analysis by means of PLS-SEM allow us to differentiate between service quality performance scores and their influences on customer satisfaction across accommodation with a different star grading. The two most important predictors of satisfaction with one-star and two-star category accommodation are the accommodation infrastructure and the employee expertise. Both predictors were found to have relatively low levels of performance. Safety and security and room quality are two significant determinants of satisfaction with three-star establishments, although they under-perform with regard to safety and security. In respect of four-star and five-star accommodation, waiting time and customer interaction, both of which have above average performance scores, influence customer satisfaction. We provide specific guidelines for managerial interventions to improve service quality and guests’ satisfaction for each grading category.     

From Guanxi to customer relationship marketing: How the constructs of Guanxi can strengthen CRM in the hospitality industry

Abstract

Business today has recognized the cost advantages of customer retention. In reaction to decades of industrialization and mass production, the pendulum has slowly swung back toward more one‐to‐one customer relations and mass customization. One‐to‐one personal attention and relationship building is widely perceived as a desirable method for increasing customer loyalty. Such concepts, however, are not new. Over thousands of years, the Chinese have been practicing “Guanxi,” which Davies (1995) defines as the social interaction within a networked group where repeated favor exchanges ensure a measure of trust among the participants of this network. The constructs of Guanxi, namely bonding, trust, empathy, and reciprocity, can be combined with customer relationship marketing (CRM) and strengthen what a business can offer its customer. This paper, therefore, discusses the history and development of Guanxi in China and its similarities to customer relationship marketing that is practiced today in the Western world. It also presents how the constructs of Guanxi can be combined with CRM. Tips for good Guanxi and CRM to ensure success are also highlighted.     

Accounting for customer satisfaction in measuring hotel efficiency: Evidence from the US hotel industry

Customer satisfaction, though an important output, is often ignored in hotel efficiency studies. Our study provides empirical evidence that excluding customer satisfaction may lead to significant difference in the mean and ranking of hotel efficiency scores. We derive our hotel efficiency scores using the distance stochastic frontier method based on a balanced sample of leading hotel chains in the US. We present and compare the efficiency results from two models, one that includes customer satisfaction and one that excludes customer satisfaction. The study discusses the difference in efficiency scores between the models. It also elaborates on the efficiency scores of some individual hotel chains and provides directions for future research.     

The impact of Halal tourism,customer engagement on satisfaction: moderating effect of religiosity

The research aimed at finding out the relationship between Halal tourism, religiosity, customer engagement, and tourist’s satisfaction. The population of the study were Muslim tourists who visited West Sumatra, Indonesia. The data were 450 respondents, but only 393 were useable responses. It is found that Halal tourism and customer engagement have significant impacts on the tourist’s satisfaction. Religiosity is a significant moderating variable on this relationship. Thus, this study gives some contribution to tourism sector especially on Halal tourism, religiosity, and customer satisfaction.     

Relationship between the arrangement of shopping activities and consumer prepurchase perceptions of group package tours

Shopping is an indispensable part of a group package tour and an activity that substantially affects the travel experience and quality. However, few studies have focused on shopping-spot types and arrangements. This study examined the effects of shopping-spot types and arrangements in trip itineraries on consumer prepurchase perceptions. Survey data were collected from 282 outbound tourists in Taiwan. A 2?×?2 mixed factorial design was employed to test the hypotheses. Our main results demonstrate that a process-oriented shopping spot combined with an official tour itinerary was preferred by consumers. By contrast, a product-oriented shopping spot combined with a tourist shopping habitat was less preferred by consumers. The findings suggest strategic directions for travel managers to design package tour itineraries and conduct marketing planning. Managerial implications of this study and future research directions are discussed.     

Exploring asymmetric effects of attribute performance on customer satisfaction in the hotel industry

Understanding the asymmetric effects of attribute performance (AP) on customer satisfaction (CS) is important for the managers in the hotel industry. Although several studies concerning this issue have been conducted, the varies of asymmetric effects across different market segments have not been revealed. To this end, this study aims to explore the asymmetric effects of AP on CS with respect to different market segments, including different types of hotels, different types of travelers and travelers from different regions. Four theories, i.e., expectation-disconfirmation paradigm, three-factor theory of CS, customer delight theory and prospect theory, are adopted to explain the formation of CS from the perspective of different market segments. The penalty–reward contrast analysis (PRCA) and asymmetric impact-performance analysis (AIPA) are used to analyze 1,547,869 user-generated ratings collected form TripAdvisor posted by the travelers from 140 countries concerning 9,596 hotels from 75 capital cities around the world. The results suggest that the asymmetric effects of AP on CS may vary across different market segments, including different types of hotels, different types of travelers and travelers from different regions. In addition, the priorities of hotel attributes for each type of hotel with respect to different types of travelers and travelers from different regions are also analyzed by AIPA. The obtained results will be valuable for researchers to conduct further studies and hotel managers to formulate improvement strategies.     

Understanding the relationship between food experiential quality and customer dining satisfaction: A perspective on negative bias

This research explores how food experiential quality of consumers affects their overall dining satisfaction. Drawing on negative bias theory, we propose a nonlinear relationship between food experiential quality and customer dining satisfaction. Moreover, we investigate how restaurant price moderates the nonlinear relationship between food experiential quality and customer dining satisfaction. Results of the threshold model using 10,950 online reviews of 219 restaurants on Dianping.com provide support for the proposed hypotheses. The results suggest that a curvilinear relationship is found between food experiential quality dining satisfaction, and the turning points of nonlinear returns decreases for restaurants that belong to high-priced groups. Theoretically, our findings contribute to the existing literature by considering the nonlinear effect of food experiential quality on customer dining satisfaction in the hospitality area through the lens of negative bias, as well as considering the boundary condition. Practically, our findings suggest that restaurant managements can improve customer dining satisfaction through focusing on the food experiential quality of their customers and enhancing their response to customers who have low-level food experiential quality. In addition, if the restaurant price is high, restaurant managers should provide high-level of food experiential quality.     

An investigation of the role of justice in turnover intentions,job satisfaction,and organizational citizenship behavior in hospitality industry

The relationship of organizational justice perceptions of hotel employees in North Cyprus with various work-related variables was investigated. A total of 208 employees and their managers filled out questionnaires. It was found that distributive justice tended to be a stronger predictor of all of the study variables compared to procedural justice. Findings suggest that the fairness of personal outcomes that employees receive may have more impact on turnover intentions, job satisfaction and organizational citizenship behavior (OCB) than the perceived fairness of a firm's procedures. It was also found that even though improved job satisfaction seems to be related to OCB, organizational justice seems to be the key factor that has a strong effect on both OCB and job satisfaction.     

The effects of nonverbal communication of employees in the family restaurant upon customers’ emotional responses and customer satisfaction

The purpose of this study was to understand interrelationships among customers’ perception of nonverbal communication, customers’ emotional responses and customer satisfaction in the family restaurant. A total of 333 customers in Korea participated. The results showed that employees’ kinesics and proxemics among nonverbal communications have a significant effect on customers’ positive emotions, while employees’ kinesics and paralanguage affect customers’ negative emotions. Also, it was found that whether customers feel positive or negative determines their satisfaction. Limitations and future research directions are also discussed.     

The impact of website quality on customer satisfaction and purchase intentions: Evidence from Chinese online visitors

With the increasing popularity of online shopping and being the most populated country in the world, China is one of the major online markets now and is likely to become the largest market in the future. In the academic literature, website quality has generally been recognized as a critical step to drive business online. As such, numerous studies have been devoted to website quality and evaluations. Research efforts are, however, in need of understanding the use of websites in regards to online customers’ behavior, especially Chinese customers. This study developed and empirically tested a conceptual model of the impact of website quality on customer satisfaction and purchase intentions. Results indicated that website quality has a direct and positive impact on customer satisfaction, and that customer satisfaction has a direct and positive impact on purchase intentions. While the influence of website quality on purchase intentions exists, customer satisfaction does significantly mediate this effect. Drawing on the empirical findings, managerial implications and recommendations for future research are offered.