A comprehensive hierarchical model of resort hotel stays in Thailand: An empirical analysis

Abstract

Resort hotels are unique service organizations in terms of their long duration and high customer contact times. Currently, resort hotels are in a very competitive marketing environment in Thailand. A study that develops a much deeper insight into the marketing constructs such as service quality and its dimensions, customer perceived value, satisfaction, corporate image, and customer loyalty is of vital importance for the resort hotels to survive in the competitive market. Therefore, this study aims to adopt a comprehensive hierarchical modelling approach as a framework to identify the dimensions of service quality and to analyse the interrelationships between the aforementioned five marketing constructs. This study uses mix method research to analyse the data. The data was collected in Phuket Province between April and August 2012 using a self-administered survey. Three focus group interviews and a pre-test preceded the data collection process. In addition, Exploratory Factor Analysis, Confirmatory Factor Analysis, and Structural Equation Modelling were used to analyse the data. The results support a comprehensive hierarchical structure of service quality for resort hotel stays that consists of eleventh first order sub-dimensions: attitude, behaviour, professionalism, decor &ambience, room quality, design, location &convenience, facility &activity, valence, waiting time and sociability, three second order primary dimensions: interaction, physical environment and outcome quality and overall service quality. The sub-dimensions that drive the primary three dimensions vary in number and importance; however outcome quality is the most important primary dimension for overall service quality performance. Furthermore, service quality is the most important determinant of customer satisfaction which is the most significant antecedent of customer loyalty. Lastly, customer satisfaction is found as a complete mediator variable on the relationship between service quality and customer loyalty, customer perceived value and customer loyalty.