Abstract

This article adopts the customer equity framework to study how service experience shapes customer satisfaction and loyalty in the casino service encounter. This study reconceptualizes customer equity by postulating service experience equity to supersede value equity. An empirical model is developed to examine the direct and indirect roles of service experience equity, relationship equity, brand equity, and customer satisfaction on loyalty outcomes. The results suggest that service experience is driven by four first-order factors: the service environment, employee service, service convenience, and hedonic service. In addition, the findings suggest that customer satisfaction and brand equity mediate the relationship between service experience and relationship equities and loyalty outcomes. This article ends with a discussion of the implications and future research directions.

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