Exploring non‐linear effects of determinants on tourists' satisfaction

Abstract

Purpose – The effect of the antecedents of satisfaction on consumer satisfaction is an issue still under debate in the academic literature. Thus, the primary goal of this article is to analyze the relationship between two of the most important antecedents of consumer satisfaction – namely perceived quality and price. Design/methodology/approach – To analyze the relationship between tourist consumer satisfaction and its main antecedents, we performed an empirical study on such issues with regard to the purchase of a package tour. Findings – The results of this research are that the tourist's perception of quality has a positive and significant effect on his or her satisfaction. This effect is of greater magnitude than the effect produced by perceived price. The present study identifies two components in the total effect of perceived price on satisfaction. Those components have opposite signs: the negative effect of the sacrifice perceived by the consumer and the positive effect that shows the influence of price as a sign of quality. One can estimate the first effect from the price that the consumer recalls paying, which shows a non-linear negative effect on satisfaction (following the model of “decreasing returns”). One can estimate the positive effect by the range of minimum and maximum prices that the consumer considers acceptable to pay for the product. Originality/value – Entrepreneurs must know how improvement in service quality influences customer satisfaction and what price levels they might consider to increase consumer satisfaction and to influence positively the quality perceived by the consumer.