Unpacking The Moderating Role Of Customer Satisfaction In The Relationship Between Perceived Value And Brand Loyalty: Insights From Pakistan’s Hotel Industry

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Asif Iqbal , Aisha Shaikh , Syeda Tooba Saleem , Raheel Farooqi , Muhammad Usman


In recent years, the hotel industry has been severely affected due to COVID-19, but now a positive trend can be observed. This study aims to explore the impact of service quality, social media marketing, perceived experience, and perceived risk affect hotel brand loyalty and perceived value in Pakistan. In addition, the study examines the moderating role of customer satisfaction in the relationship between perceived value and brand loyalty. The study used a quantitative research design and collected data from 427 hotel customers in Pakistan via a structured questionnaire. The structural equation modeling (SEM) is utilized for data analysis. The results indicate that service quality and social media marketing greatly increased perceived value. However, perceived experience and perceived risk were found insignificant. Furthermore, customer satisfaction moderates the perceived value-brand loyalty relationship. This study can help hotel managers increase brand loyalty and service quality. The survey suggests hotel management should improve service quality to increase customer satisfaction and brand loyalty. The study also contends the need for excellent customer experiences to boost hotel perceived value and brand loyalty. Hotel managers should prioritize customer satisfaction and provide customized services to address customer issues quickly and proactively to ensure customer satisfaction. The study emphasizes the importance of customer satisfaction as a key factor in brand loyalty and the need for hotel managers to devise effective strategies to improve customer satisfaction and perceived value in order to foster brand loyalty. This study contributes to the brand loyalty literature and has practical managerial implications.

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