See discussions, stats, and author profiles for this publication at: https://www.researchgate.

net/publication/356893114

HOTEL BRAND EQUITY-A PROGRESS ON LITERATURE REVIEW

Article · December 2021

CITATIONS READS

0 527

2 authors:

Ms Riya Yadav Mahesh Uniyal

Jamia Hamdard University Maharishi Markandeshwar University, Mullana
2 PUBLICATIONS   0 CITATIONS    17 PUBLICATIONS   1 CITATION   

SEE PROFILE SEE PROFILE

Some of the authors of this publication are also working on these related projects:

FEMALE JOB SATISFACTION View project

AN EMPIRICAL STUDY ON THE RELATIONSHIP BETWEEN MARKETING COMMUNICATION TOOLS AND BRAND EQUITY View project

All content following this page was uploaded by Ms Riya Yadav on 20 December 2021.

The user has requested enhancement of the downloaded file.

 Wesleyan Journal of Research , Vol.13 No4(VII) Research Article: Commerce

HOTEL BRAND EQUITY- A PROGRESS ON LITERATURE REVIEW

Ms. Riya Yadav

Research Scholar, Amity University, Uttar Pradesh (India)
Dr. Savita Sharma
Associate Professor, Amity University, Uttar Pradesh (India)
Dr. Mahesh Uniyal
Associate Professor, Maharishi Markandeshwar (Deemed to be University), Mullana, Ambala
(Haryana)
Abstract:
Hotel Brand Equity is prevalent in the last few years. Brand Equity (BE) creation and
maintaining is one of the domains which contributes to the success of the organization. This Study
aims to contribute to the existing literature of hotel brand equity. Research conducted with the
intention to record the paper available on the hotel brand equity. All the papers were searched using
the database Google Scholar. Few studies are available in the context of hotel brand equity; however,
this paper will provide a systematic literature review. Researcher examined the dimensions of brand
equity and their impact on the hotel brand equity. Aaker model of Brand Equity is also discussed in
the study. Study suggested the managers to focus on branding, and to strengthen the brand equity of
the hotel. Findings indicate that the brand awareness; brand image needs to be consistently
communicated in the market. Perceived quality of the hotel can be improved by offering better
services to the guests. Managers should focus on building long term relationship with guests and
focus on improving brand experience to build brand loyalty. Study considered 15 empirical study in
the final review, covering the hotel brand equity and its dimensions. Marketing Managers should
review brand equity from customers point of view to understand their perspectives towards their
brand.

Keywords: Brand Equity, Hotel Industry, Brand Awareness, Brand Image, Brand Loyalty, Perceived
Quality

INTRODUCTION:
1.1 BRAND EQUITY
Considering the present competition in the market every organization should consider the importance
of building and maintaining of brand equity. Brand equity comes into the existence in 1980’s, and
since both academicians and researchers have studied the significance of brand equity. (Aaker D. ,
1991), defines Brand Equity as “a group of symbols, logo, name, brand that adds value to the
products or services provided by the company”. (Keller & L, 1993) proposes Brand Equity as “the
differential effect of brand knowledge on consumer response to the, marketing of the brand”. (Bailey
& Ball, 2006) defines brand equity as value associated with the hotel brand, and ultimately influence
on the financial performance of the hotel. Brands have high equity in the market results more
recognition by the consumer (Park, 1994).
Traditionally, Brand Equity has four dimensions Brand Awareness, Perceived Quality, Brand
Loyalty, Brand Image. Few scholars have discussed Brand Trust( (Šeri & Irene Gil-Saura Alejandro
Mollá-Descals, 2016), Affective Commitment (Maja Šerić, 2016), Brand Choice Intention (Cathy H.
C. Hsu, 2011), Brand Uniqueness (Lin, Huang, & Lin, 2015), Brand Identity (Hung & Feng-Li Lin,
2012), Brand Association (Han Shen, 2014), Brand Equity concept has been studied by many
scholars in different context like customer satisfaction impact on brand equity, ICT and Innovation
influence brand equity
Brand equity of brand is rooted into the consumers mind and appeared in his/her expectations
(Davcik NS, 2015). Brand equity concept can be studied from consumer-based approach or financial
approach, a mix of both is suggested for the better results. Brand equity in the hotel industry should

[113]
 Wesleyan Journal of Research , Vol.13 No4(VII)

adopt better strategies to make a difference among brands. Relation between brand equity and its
dimensions, (Ling, 2013) concluded relationship between brand loyalty and brand equity is mediated
by brand image, brand image and brand equity are mediated by perceived quality. The purpose of
this study was to do a thorough systematic literature review of brand equity of hotels. Sales volume
and profit margins highly affected by the stronger brand equity (Nassar, 2017). (Keller K. a., 2006)
quoted brand equity reduces risks, simplifies choices for the customer, built trust, provide a level of
quality. Building strong brands considered as key drivers of any business success (Prasad, 2000).
Brand Equity and perceived value are directly associated with the customer satisfaction (Óscar
González-Mansilla, 2019). (Keller & L, 2002) Managers view brands as creating awareness,
reputation, and prominence in the market.
1.2 OBJECTIVE OF THE STUDY
The objective of the study is to:
1. What contributes to the hotel brand equity?
2. To study the impact of each construct on hotel brand equity.

2.1 LITERATURE REVIEW

Hotel brand equity involves influence of brand on the customer, which becomes the key
component of achieving customer success (Wang, 2019). (K. R. Deepalakshmi, 2019) proposed
model of brand equity depicting the importance of brand experience in the building of brand equity.
Brand experiences have direct relation on the brand equity and considered as a main component in
creation and maintaining of brand equity.
(Nassar, 2017) customer satisfaction can be one of the acceptable ways for the successful
branding. (Kim, (2005).) establishes a significant relationship between brand equity and the financial
performance of the luxury hotels. Shareholder value and stock prices are also greatly affected by the
brand equity.
Brand Loyalty: (Hanna Górska-Warsewicz, 2020) Hotel Brand Loyalty affected by factors such as
perceived quality, brand satisfaction, customer brand engagement, brand identification, brand image
and brand trust. Studies shows significant relation between brand equity and repurchase intention of
the customer. Repurchase intention of customer makes them loyal. Brand loyalty is also defined as
long term relation between guest/customer and brand (Dick & Basu, 1994). (Zakaria, et al., 2014)
highlights loyal customers as less price sensitive, leads to marketing benefits like reduce the
marketing expenses, defined market position, attract new customers (Gremler & Brown, 1999).
Brand Awareness: Brand awareness is the most common dimension of in all brand equity models (
(Aaker D. , 1991); (J.N., 1992); (Keller K. , 1992) (Agarwal, 1996) (Krishnan, 1996) (Na, 1999) .
(Keller K. , 2003) describe brand awareness as “when customer recollect or acknowledge any brand
under different conditions”. (Aaker D. A., 1996) added brand dominance, knowledge about brand,
brand opinion. Brand awareness can also be improved by emphasizing on brand knowledge and
brand opinion. For products new in the market brand recognition is particularly important, however
existed products needs brand dominance and brand opinion from the customers.
Perceived Quality: Perceived is one of the dimensions of Aaker’s model of brand equity. (Aaker D.
, 1991) outlines customers perception about the quality of products or services in comparison with
the competitor brand. Perceived quality of product differs from product quality because perceived
quality is the quality in the consumers mind (Erenkol, (2010)). Perceived quality has positive impact
on brand equity (Yoo, 2000), (Motameni, 1998).
Brand Image: Feelings and thoughts related to the brand in the consumers mind (Roy, 2007).
Customer’s behavior will be decided by the brand image (Burmann, 2008). Brand Image as a images
and thoughts, expressing attitude towards it, (Zhang, 2015). (Iversen, 2008) express brand image as
consumers way of imaging and accepting all the definitions, symbolizing related to the brand. It
accommodates all the information and ideas concerning the brand of the product (Lee, 2011).

[114]
 Wesleyan Journal of Research , Vol.13 No4(VII)

2.2 SEARCH STRATEGY

For the systematic review, the search database used was Google Scholar, due to the reliability of the
sources. The search terms used in the databases were Hotel Brand Equity. Study contains brand
Equity in Hotels with different approaches were considered for the research. After screening from 32
research papers only 15 papers were considered for the review. Screening of the paper is done in two
stages: one selected from the title; and second by reading the abstracts.

2.2 DATA PRESENTATION

Table 2.3.1
Author/Year Conclusion and Managerial Implications
(Wen-Qi Ruan, 2020) Innovative changes and developments adoption by the hotels helps in global
brand competition. Study suggested few technological changes in the hotel
like Virtual dynamic scenes, bicentennial man with smart sound, light, and
vision. Employee should be motivated to bring new ideas, as employee
builds long term relation with guests.
(Ijaz Hussain, 2020) Study revealed strong relation between brand equity and hotel performance.
Brand equity and sustainable competitive advantage also have significant
positive relation between each other. Effective marketing strategies should
be adopted to develop brand equity and increase market performance. Use
of social media, reaching the international guests, few steps to build brand
name.
(Matthew Tingchi Brand attitude influences customer purchase intention. Luxury hotel can
Liua, 2017) generate positive customer responses by improving brand equity. On Brand
awareness and brand loyalty, repeat guest have significantly high perception
of brand loyalty, results in high brand attitude and purchase intention.
Managers suggest increasing the arrival of repeat guests, hotel should
emboss guests name on bathrobes. Personalized service or tailored made
services may enhance repeat guest.
(Maja Šerić, 2016) Trust has significantly positive impact on brand equity. Guests easy access
to management staff increase the guest trust in the hotel services. Study
found affective commitment as one of the driving forces of the brand equity.
Loyalty Program should be encouraged to understand the guest behavior.
Repeat guest of any hotel adds value to the brand by the positive word of
mouth to others. Hence, strong brand equity results in advantages of brand
loyalty.
(Seric, Irene, & Josip, Researcher added two new constructs in brand equity model: Affective
2016) commitment, and brand trust. Affective commitment has strongest impact
brand equity building process. From the guest point of view perceived
quality and brand image creates strong brand equity.
(Zhuowei (Joy) Brand Loyalty and Brand Image have direct impact on the brand equity.
Huang, 2015) Study also reviewed effects of trust and affective commitment. Researcher
highlights satisfaction as loyalty items. Also, satisfaction and loyalty should
not be treated as same.
(Tommy Wong, Findings indicates the international brands are more reliable among the
2015) Chinese middle class.
(Šeri & Irene Gil- Successful entry of Marriott into the Chinese hotel industry establishes few
Saura Alejandro steps for managers. Firstly, to communicate with the functional areas like
Mollá-Descals, 2016) marketing, accounting departments, etc. Secondly, establishing relationship
with key stake holders. Thirdly, implementing the brand audits in the

[115]
 Wesleyan Journal of Research , Vol.13 No4(VII)

emerging market.
(Haemoon Oh, 2014) Study analyzed that technology positively influences hotel guest perceptions.
Nonetheless, Technology has no impact on Brand Loyalty. Also concluded
from the findings, Gender and Age have no effect on brand equity
dimensions. Visit Frequency significantly positively affects brand image.
Findings discloses the interrelationship of perceived quality, brand image
and brand loyalty. Managers should adapt more technological advancement
to reach and connect with customers.
(Han Shen, 2014) Study conducted for the economy domestic brands of china, concluded
brand awareness has the least impact on brand equity, whereas brand
association has the most. Managers needs to focus on strengthening brand
association among customers. Economy hotels emphasize more on
becoming the first choice of customer. Brand Awareness should be building
by creative logos, symbol, characters to differentiate from other brands.
Brand recognition also boosts and influence brand equity of the hotel.
(Hung & Feng-Li Findings states that brand loyalty and brand identity did not influence the
Lin, 2012) experience-based luxury brand equity.
(Cathy H. C. Hsu, Study proposed management trust and brand reliability, two new constructs
2011) in the model of hotel brand equity. These two can replace and stand more
stronger than perceived quality and brand awareness.
(Gil-Saura, 2012) Positive relation between guest perceptions of ICT and IMC. Perceived IMC
and brand equity also have correlation between each other. Study suggested
managers to adopt various marketing communication tools to convey the
organization goal to customers and make a positive brand image.
(Nassar, 2017) In satisfying customers brand equity plays a significant role. Branding
activity can be measured by the customer satisfaction, moreover, contributes
to the company’s performance.
Study concluded showing the positive impact of brand awareness, brand
loyalty, brand association on customer satisfaction, however no effect shown
by perceived quality.
(Lin, Huang, & Lin, Brand Equity significantly impact the customers repurchase intention. Brand
2015) equity concept importance can benefit the customers repurchase intention
and hence, brand loyalty. Advertisement regularly will be helpful to improve
brand image in the customer’s mind.

3.1 RESULTS
In all the15 Studies considered for the review, 14 study uses survey, questionnaires as data collection
tool for their study. One study conducted semi structured interviews with the managers. SEM used
for the 7 Studies, 6 applies CFA, 4 uses PLS. Research conducted in Five-star Hotels, Four Star
Hotels, Upscale hotels, Economy hotels, located in the popular destinations.

4.1 CONCLUSION AND SUGGESTIONS

Based on systematic literature review of Hotel Brand Equity, we can conclude that strong Brand
Equity in the hotel industry influence brand loyalty, revisit to the hotel. Eventually, improving the
financial performance of the hotel. Few strategies can be adopted by the managers of the hotel;
Providing more specialized guest services like embossing the guest name of the amenities to make
him loyal to your brand. Innovation and Technology should be adopted to make customer aware of
your brand. Marketing Communication tools like Advertising, Sales Promotion, Direct Marketing,
Personal Selling should be adopted to attract more customers towards your brand. Marketing

[116]
 Wesleyan Journal of Research , Vol.13 No4(VII)

Communication strategies should be used consistently to portray brand image of the hotel. Building
and Strengthening of brand equity is long term process, and every constructs likely to have
cooperating effects.

REFERENCE
1. Aaker, D. (1991). Managing Brand Equity. . New York: Free Press.
2. Aaker, D. A. (1996). Measuring brand equity across products and markets. California Management.
3. Agarwal, M. a. (1996). An empirical comparison of consumer-based measures of brand equity. Marketing Letters 7(3):
237-47.
4. Bailey, R., & Ball, S. (2006). An Exploration of the meanings of the hotel brand equity. The services industries journal;
26:1, 15-38; DOI: 10.1080/02642060500358761.
5. Burmann, C. S. (2008). Industry image: Its impact on the brand image of potential employees. Journal of Brand
Management, 16(3), 159-176.
6. Cathy H. C. Hsu, H. O. (2011). A Customer-Based Brand Equity Model for Upscale Hotels. Journal of Travel Research
2012 51: 81 DOI: 10.1177/0047287510394195.
7. Davcik NS, S. P. (2015). Impact of product differentiation, marketing investments and brand equity on pricing strategies:
A brand level investigation. . European Journal of Marketing. 2015 May 11;49(5/6):760-81.
8. Dick, A., & Basu, K. (1994). Customer loyalty: Toward an integrated conceptual framework. . J. Acad. Mark. Sci. 1994,
22, 99–113.
9. Erenkol, A. D. ((2010)). Customers perceived brand equity and a research on the customers of Bellona which is a
Turkish furniture brand. . The Journal of American Academy of Business, 16(1).
10. Gil-Saura, M. Š. (2012). ICT, IMC, and Brand Equity in High-Quality Hotels of Dalmatia: An Analysis From Guest
Perceptions. Journal of Hospitality Marketing & Management, 21:8, 821-851, DOI: 10.1080/19368623.2012.633211.
11. Gremler, D., & Brown, S. T. (1999). he loyalty ripple effect Appreciating the full value of customers. Int. J. Serv. Ind.
Manag. 1999, 10, 271–291.
12. Haemoon Oh, C. H. (2014). Assessing equivalence of hotel brand equity measuresin cross-cultural contexts.
International Journal of Hospitality Management 36 (2014) 156– 166 http://dx.doi.org/10.1016/j.ijhm.2013.09.
13. Han Shen, Y. Y. (2014). An Empirical Study of Customer-Based Brand Equity Model for China Economy Hotels, .
Journal of China Tourism Research, 10:1, 21-34, DOI: 10.1080/19388160.2013.861778.
14. Hanna Górska-Warsewicz, a. O. (2020). Hotel Brand Loyalty—A Systematic Literature Review. Sustainability 2020, 12,
4810; doi:10.3390/su12124810.
15. Hung, J.-Y., & Feng-Li Lin, W.-G. Y. (2012). DEVELOPING EXPERIENCE-BASED LUXURY BRAND EQUITY IN
THE LUXURY RESORTS HOTEL INDUSTRY. GLOBAL JOURNAL OF BUSINESS RESEARCH VOLUME 6
NUMBER 4 2012.
16. Ijaz Hussain, S. M. (2020). Effects of sustainable brand equity and marketing innovation on market performance in
hospitality industry: meaditing effects of sustainable competitive advantage. Sustainability 2020, 12, 2939.
17. Iversen, N. M. (2008). Provenance association as core value of place umbrella brands: a framework of characteristics. .
European Journal of Marketing, 42(4-5), 603-626.
18. J.N., K. (1992). Strategic Brand Management. New York and London: Kogan Page.
19. K. R. Deepalakshmi, D. S. (2019). THE ROLE OF BRAND EXPERIENCE ON BRAND EQUITY DIMENSIONS.
Journal of the Gujarat Society ISSN: 0374-8588 Volume 21 Issue 16s, December 2019.
20. Keller, & L, K. (1993). Conceptualizing, measuring and managing customer based brand equity. Journal of Marketing,
57(1), 1–22.
21. Keller, & L, K. (2002). Branding and brand equity. In Weitz, B.A. & Wensley, R. (Eds) Handbook of marketing.
Thousand Oaks, CA: Sage.
22. Keller, K. (1992). Memory retrieval factors and advertising effectiveness. In Advertising Exposure Memory and Choice.
. Mitchell A.A., ed. Hillsdale, NJ: Lawrence Erlbaum Associates, in press.
23. Keller, K. (2003). Strategic Brand Management. . 2nd edition. Upper Saddle River, NJ: Prentice Hall.
24. Keller, K. a. (2006). Brands and branding: research findings and future priorities. . Marketing Science, 25(6), 740-759.
http://dx.doi.org/10.1287/mksc.1050.0153.
25. Kim, H. &. ((2005).). The relationship between brand equity and firms’ performance in luxury hotels and restaurants.
Tourism Management, 26(4), 549-560.
26. Krishnan, H. (1996). Characteristics of memory associations : a consumer based brand equity perspective. International
Journal of Research in Marketing. 13: 389-405.
27. Lee, H. M. (2011). Brand image strategy affects brand equity after M&A. European. Journal of Marketing, 45(7/8),
1091-1111.
28. Lin, A. Y.-S., Huang, Y.-T., & Lin, M.-K. (2015). Customer-Based Brand Equity: The Evidence from China.
Contemporary Management Research Pages 75-94, Vol. 11, No. 1, March 2015, doi:10.7903/cmr.14153.

[117]
 Wesleyan Journal of Research , Vol.13 No4(VII)

29. Ling, E. S. (2013). The Mediating Effects of Brand Association, Brand Loyalty, Brand Image and Perceived Quality on
Brand Equity. Asian Social Science; Vol. 9, No. 3; 2013 ISSN 1911-2017 E-ISSN 1911-2025 Published by Canadian
Center of Science and Education.
30. Maja Šerić, J. M.-S. (2016). Exploring relationships between customer-based brand equity and its drivers and
consequences in the hotel context. An impact-asymmetry assessment, Current Issues in Tourism, DOI:
10.1080/13683500.2016.1209163.
31. Matthew Tingchi Liua, I. A.-H.-Y. (2017). Applying consumer-based brand equity in luxury hotel branding. Journal of
business research (2017), http://dx.doi.org/10.1016/j.jbusres.2017.06.014.
32. Motameni, &. S. (1998). Brand Equity Valuation: A Global Perspective. . Journal of Product and Brand Management,
7(4), 275-290. http://dx.doi.org/10.1108/10610429810229799.
33. Na, W. B. (1999). Measuring brand power: Validating a model for optimising brand equity. . The Journal of Product and
Brand Management 8(3): 170-184.
34. Nassar, M. A. (2017). Customer Satisfaction and Hotel Brand Equity: A Structural Equation Modelling Study. Journal of
Tourism and Hospitality Management, July-Aug. 2017, Vol. 5, No. 4, 144-162 doi: 10.17265/2328-2169/2017.08.002.
35. Óscar González-Mansilla, G. B.-C.-C. (2019). The impact of value co-creation on hotel brand equity and customer
satisfaction. Tourism Management 75 (2019) 51–65 https://doi.org/10.1016/j.tourman.2019.04.024.
36. Park, C. &. (1994). A survey-based method for measuring and understanding brand equity and its extendibility. . Journal
of Marketing Research, 31(2), 271–288.
37. Prasad, K. a. (2000). Managing hotel brand equity: A customer-centric framework for assessing performance. . The
Cornell Hotel and Restaurant Administration Quarterly, 41(3), 22-31.
38. Roy, D. &. (2007). Caring strategy for integration of brand identity with brand image. International Journal of
Commerce and Management, 17(1/2), 140-148. http://dx.doi.org/10.1108/10569210710776512.
39. Šeri, M., & Irene Gil-Saura Alejandro Mollá-Descals, M. (2016). "Can advanced technology affect customer-based brand
equity in service firms? An empirical study in upscale hotels",. Journal of Service Theory and Practice, Vol. 26 Iss 1 pp.
- http://dx.doi.org/10.1108/JSTP-10-2014-0239.
40. Seric, M., I. G.-S., & J. M. (2016). Customer-based brand equity building: Empirical evidence from Croatian upscale
hotels. Journal of Vacation Marketing DOI: 10.1177/1356766716634151.
41. Tommy Wong, M. W. (2015). An examination of Marriott's entry into the Chinese hospitality industry: A Brand Equity
perspective. Tourism Management 48 (2015) 439-454; http://dx.doi.org/10.1016/j.tourman.2014.12.
42. Wang, Y. Q. (2019). The formation of sub-brand love and corporate brand love in hotel brand portfolios. . International
Journal of Hospitality Management, 77(2), 375–384. https://doi.org/10.1016/j.ijhm.2018.08.001.
43. Yoo, B. D. (2000). An examination of selected marketing mix elements and brand equity. Journal of the Academy of
Marketing Science, 28(2), 195-211. http://dx.doi.org/10.1177/0092070300282002.
44. Zakaria, I., Rahman, B., Othman, A., Yunus, N., Dzulkipli, M., & Osman, M. (2014). The Relationship between Loyalty
Program, Customer Satisfaction and Customer Loyalty in Retail Industry: A Case Study. Procedia Soc. Behav. Sci. 2014,
129, 23–30.
45. Zhang, Y. (2015). The impact of brand image on consumer behavior: A literature review. . Open Journal of Business and
Management, 3(1), 58-60. doi: 10.4236/ojbm.2015.31006.
46. Zhuowei (Joy) Huang, L. A. (2015). Modeling consumer-based brand equity for multinational hotel brands-When hosts
become guests. Tourism Management46 (2015) http://dx.doi.org/10.1016/j.tourman.2014.0; 431-443.

[118]

View publication stats