Role of Perceived Fit With Hotels' Green Practices in the Formation of Customer Loyalty: Impact of Environmental Concerns

Abstract

With the increasing concern for ecological issues among hotel customers, this study pursues an investigation of customers' perceptions of hotels' core business in association with green practices and the resulting purchase-related loyalty (i.e. intentions to visit, accept price premiums, and recommend). In addition, the study examines the moderating role of environmental concerns in the relationships among perceptions of hotels' green practices and loyalty components. A survey of tourists using hotels showed that customers related hotels' core businesses and green practices positively, which consequently affected customers' purchase intentions toward the hotels. This study is unique in academia in that it investigates the fit theory for the hospitality industry by considering the impact of environmental concerns, while employing environmental practices as an emerging social cause, which is, increasingly, important for the society. This study is beneficial by providing hotel managers with insight into hotel customers' decision-making processes regarding green practices.