A Structural Analysis of Value, Quality, and Price Perceptions of Business and Leisure Travelers

Abstract

Customer value has become the focus of firm strategies in recent years. This study investigates the relationships between travelers’ perceptions of value, quality, and price and their influence on travelers’ ratings of similar hotels and revisit intentions in two segments, business and leisure travelers. The findings suggest that value plays a pivotal role in travelers’ decision schema, emphasizing the need to shift efforts from managing quality alone to managing customer value. Differences in the value perceptions of business and leisure travelers emphasize the need to develop segment-based strategies for managing price and quality.