Customer-Based Brand Equity of Star Hotels in Nepal
International Journal of Research, Volume 05, Issue 15, May 2018
15 Pages Posted: 19 Jul 2018
Date Written: May 21, 2018
This study examines the customer based brand equity of star hotels in Nepal. The concept of the customer-based brand equity of star hotels in Nepal is a new concept, and to address the gap the current research was conducted. Moreover, it also examines the level of impact of the independent variables: brand awareness, brand loyalty, brand image and perceived quality on the dependent variable: customer-based brand equity. The research was conducted using a mixed method utilizing both quantitative and qualitative method. While for the quantitative method a sample of 380 customers from four different star categorized hotels was taken from Kathmandu, Nepal. The convenient sampling method was used for the study. The qualitative method sample included the 4 senior marketing managers of those 4 conveniently selected star-rated hotels and the thematic analysis was done. The five-point Likert scale questionnaires and the semi-structured interview were conducted for data collection, the collected data were analyzed using correlation and regression analysis apart from the thematic analysis. The paper found that there was a positive significant relationship between the independent variables: brand loyalty, brand image and perceived quality and the dependent variable: customer-based brand equity. Whereas, brand awareness did not show a significant relationship with customer-based brand equity. From the thematic analysis, it was found that the majority of the participants argued that their customers are from all over the world including domestic guests and segmentation is very important for building customer loyalty. Moreover, pricing strategy, revenue management strategies and promotional strategy should be the main focus to develop customer-based brand equity of the star hotels. Further, it was also found that all the sample hotels have been following various branding activities, campaigns to promote star hotels through mass media, and ad agencies, partnering up with specialized agencies, providing discounts and value-added promotional activities etc. were essential to promote the brand of the star hotels and build customer-based brand equity. To sum up, all the elements of brand equity are equally important for developing customer-based brand equity.
Keywords: Brand Equity, Customer-Based Brand Equity, Hotels, Hotel Brand Equity
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