Drivers of Customer–Brand Relationship Quality: A Case of Mainland Chinese Hotel Loyalty Program Members

ABSTRACT

Hotel chains should understand the effectiveness of the benefits offered by their programs and the influence of customer relationship management (CRM) initiatives of individual hotels because of the high operating costs of loyalty programs and the risk of creating an affinity to the rewards they offer rather than to the brand itself. This study determines the effect of the satisfaction of hotel loyalty program members on the benefits they receive, and the CRM efforts of individual hotels on the quality of their relationship with the brand. The sample was drawn from mainland Chinese customers because of the growing importance of the Chinese tourism market. Results reveal that program benefits have no significant effect on the quality of the relationship of the member with the hotel brand. The communication of the program to its members and the customer orientation of individual hotels are the key determinants of relationship quality.

KEYWORDS:

• Relationship quality
• loyalty program
• customer relationship management
• benefits
• Chinese

This project is funded by The Hong Kong Polytechnic University under the research grant (A-PE1A).

Additional information

Notes on contributors

Ada Sau-Yee Lo

Ada Sau-Yee Lo is Assistant Professor in School of Hotel & Tourism Management, The Hong Kong Polytechnic University, 17 Science Museum Road, Tsim Sha Tsui East, Hong Kong, SAR (E-mail: [email protected]).

Holly Hyunjung Im

Holly Hyunjung Im is Associate Professor in College of Culture and Tourism, Jeonju University, Jeonju, Jeonbuk, Korea (E-mail: [email protected]).