Testing relationship brand equity to customer satisfaction and brand loyalty in boutique hotel

Abstract

The purpose of this paper is to examine the effects of brand equity, consumer satisfaction and brand loyalty in the boutique hotel. A total of 400 customers of boutique hotel located in Andaman Coastal Province participated in the study and using structural equation modelling approach. Five dimensions in brand equity were identified; physical quality, staff behavior, ideal self-congruence, brand identification and lifestyle-congruence. The findings of the study show that physical quality, staff behavior, ideal self-congruence and lifestyle-congruence affected to consumer satisfaction. Moreover, physical quality, staff behavior, ideal self-congruence and lifestyle-congruence directly affected to brand loyalty via consumer satisfaction. The theoretical contributions of the study and managerial implications were discussed in the paper.