Guest Loyalty Likelihood in Relation to Hotels' Corporate Image and Reputation: A Study of Three Countries in Europe

Abstract

Corporate reputation and corporate image are identified as potentially influencing guest loyalty likelihood toward the hotel firm. However, the precise nature of the relationships that exist between hotels' corporate reputation and corporate image and the understanding of their effect on customer behavior remains a challenge for both academia and hotel management alike. With data collected in three European countries, namely in the United Kingdom, in Greece and in Germany, this study contributes to the body of knowledge by empirically testing the nature of the relationship between corporate reputation and corporate image in the hospitality industry and their effect on the guests' loyalty decisions. The results of the study reveal that the degree of guest loyalty appears higher when perceptions of both corporate reputation and image are strongly favorable. The interaction between both constructs contributes to better explain guest loyalty likelihood.