Determinants of university brand loyalty in an emerging higher education market

Abstract

PurposeA university’s brand is a key competitive advantage in higher education (HE). This study examines the university's reputation’s intermediary impact on core services (emotional environment, perceived faculty and course suitability) and brand loyalty in private universities in Iran.Design/methodology/approachA quantitative method was used to achieve research objectives. The data collected from students enrolled in major private universities in the capital of Iran were analyzed to test the proposed model, both directly and indirectly, using structural equation modeling (SEM).FindingsThe findings confirmed all of the hypothesized relationships. Prominently, the core service construct (emotional environment, perceived faculty and course suitability) was found to be significantly affecting the university brand reputation. The study found evidence for the impact of university reputation on students' loyalty. Findings also indicated the presence of several indirect relationships among the considered dimensions.Research limitations/implicationsCurrent research offers implications for universities that are met with the perpetual challenge of survival in the competitive HE marketplace. Findings from the study not only help build theory on university brand loyalty but also make an essential contribution towards guiding managers in developing effective strategies by building reputation and loyalty by concentrating on the most crucial determinants.Originality/valueAlthough research in HE marketing is growing, the effects of university core services on building loyalty have not garnered attention, which is theoretically a vital construct. The paper presents a new framework to realize university brand loyalty with the help of integrated relationships among select dimensions in the setting of an emerging HE market.