Effects of Brand Experience on Brand Loyalty in Indonesian Casual Dining Restaurant: Roles of Customer Satisfaction and Brand of Origin

• Main Author: Ananda Sabil Hussein
• Format: Article
• Language: English
• Published: Faculty of tourism and hospitality management 2018-05-01
• Series: Tourism and Hospitality Management
• Subjects: brand experience; customer satisfaction; brand loyalty; multigroup comparison; casual dining restaurant
• Online Access: https://thm.fthm.hr/images/issues/vol24no1/04_Hussein.pdf
• ISSN: 1330-7533; 1847-3377

Purpose – this study aims to scrutinize direct and indirect effects of brand experience on brand loyalty and to investigate the moderating effect of brand of origin in the context of Indonesian casual dining restaurant. Design –this paper analyzed the direct effect of brand experience on brand loyalty and also the indirect effect through customer satisfaction. This study inserted the notion of brand of origin as a variable moderating the effect of brand experience on customer satisfaction and brand loyalty. Methodology – covariance based SEM was used to analyse the data. The robustness of measurements was evaluated by confirmatory factor analysis. Sobel’s test was employed to test the indirect effect and multigroup analysis was used to investigate the moderating effect of brand of origin. Findings – brand experience was found to have positive direct effects on both customers’ satisfaction and brand loyalty. This study confirmed the indircct effect of brand experience on brand loyalty through customer satisfaction. However, multigroup analyzis did not find the moderating effect in brand of origin. Originality – this study highlights the direct effect of brand experience on brand loyalty. In addition, this study confirmed that customer satisfaction plays an important role in mediating the effect of brand experience on brand loyalty.