The Effect of Value-Creation on Consumer-Based Destination Brand Equity

Abstract

The present work examines the competitive strategies of tourist destinations and proposes that value-creation among tourists during their entire experience of a destination (before, during, and after their stay) is an antecedent of increased destination brand equity. This value-creation is conceptualized and measured from the service-dominant logic perspective. The research objective is achieved by (a) identifying the dimensions of customer-based destination brand equity and tourist value-creation; (b) validating the scales generated for the measurement of both variables; and (c) proposing a model that captures the antecedent effect of value-creation on customer-based destination brand equity. The findings reveal that value-creation is an antecedent by which the customer perceives greater destination brand equity. The results of the study make a contribution to the specialized literature on tourism and service-dominant logic and offer interesting implications for the professional domain.

The Influence of Value-Creation on Customer's Based Destination Brand Equity: Case Study Daerah Istimewa Yogyakarta and Magelang in Indonesia

“…Yet, other dimensions are added into measurement, such as brand associations (Im et al, 2012) and brand assets (Kladou & Kehagias, 2013). Therefore, this study attempts to confirm suggested dimensions by Jamilena et al (2016) as a significant measurement of customer-based destination brand equity and the application of the dimensions in case study. In this study, customer-based destination brand equity is measured by five dimensions suggested, which are destination brand awareness, destination brand Image, destination brand quality, destination brand value, and destination brand loyalty.…”

“…(Gartner et al, 2011). Thus, the dimensions to measure customer-based destination brand-equity purpose in this research, based on Jamilena et al (2016) are classified into five dimensions: awareness, quality, image, loyalty, and value. Each of the dimensions are explained below.…”

“…In tourism context, destination brand awareness is considered a main component of a brand's effect and consumers' purchasing decision (Boo et al, 2009). Destination brand awareness also perform a significant role in tourism decision process for travelers for destination choice as stated by Chon (1992) in Jamilena et al (2016).…”

“…To attract more potential visitors into the destination, DMOs play an important role in sustained destination competitiveness by cultivating resources that could create competitive advantage, which is by brand-building of the destination (Jamilena et al, 2016). Ferns & Walls (2012) stated that DMOs can improve their marketing productivity by understanding the destination brand perceived by the consumers, known as brand on customer-based view.…”

“…In tourism context, the branding literature offers performance instrument to evaluate and measure customer perceptions of destination brand is through Customer-Based Destination Brand Equity (Ferns & Walls, 2012). However, there is a lack of agreement on the effective dimensions to measure brand equity (Jamilena et al, 2016). Majority agreed the measurement of customer-based brand equity is classified into four dimensions: awareness, image, perceived quality, and loyalty (Konecnik & Gartner, 2007;Ferns & Walls, 2012).…”