Impact of Trust, Service Quality, Satisfaction on Loyalty: Mediating Role of Image for The Relationship between Satisfaction and Loyalty in The Indian Hotel Industry

Abstract

Purpose: Failure is inevitable, and the hospitality business faces it more as the number of tourists continues to rise worldwide. The study aims to examine the impact of trust, satisfaction, and service quality on customer loyalty. In addition, this study endeavors to understand the mediating role of hotel image between customer satisfaction and loyalty. Design/approach/Methodology : A structured questionnaire was distributed among 700 hotel customers who had the experience of staying in three, four, or five-star hotels. The PLS-SEM technique was used for data analysis and to study the relationship between constructs. Findings: The study found the significant and positive influence of trust, satisfaction, and service quality on customer loyalty. The partial mediation effect of hotel image between satisfaction and loyalty was also established. Practical implications :The hotel plays a crucial role in the tourism industry. Based on the previous studies, hotels should take appropriate action to improve customer satisfaction and customer loyalty. With continuous substantial annual changes in the tourist industry, hotels need to reevaluate their business tactics to maintain customer loyalty. Hence, hotels should provide better services to dissatisfied customers. Originality: Because of the tough competition in the service industry, organizations focus more on service quality to secure long-term profitability. Organizations should continuously evaluate the business strategies to improve customer satisfaction and customer loyalty.