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Multidimensional Customer-Based Brand Equity and Its Consequences in Midpriced Hotels

Florida State University, wkim{at}cob.fsu.edu

Bongran Jin-Sun

Oklahoma State University, bongrans{at}yahoo.com

Hyun Jeong Kim

Washington State University, jennykim{at}cb.wsu.edu

This study examined the relationship between hotel brand equity and guests' perceived value and revisit intention. The path model (brand equity factors leading to outcome variables) was formed to test research hypotheses. Data from 264 travelers who have stayed in midscale hotels were used for the structural equation modeling (SEM) analysis. All dimensions of brand equity (brand loyalty, perceived quality, and brand awareness/association) positively affected perceived value. Two brand-equity dimensions (brand loyalty and brand awareness/association) were found to increase guests' revisit intention. Although perceived quality was not a direct determinant of revisit intent, the effect of perceived quality on revisit intent was mediated by perceived value. Overall, this study highlights the importance of perceived value in lodging customers' mind. Managerial implications are provided based on the results.

Key Words: brand equity • revisit intent • perceived value • brand loyalty • perceived quality • brand awareness/association

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