Skip to main content
Log in

Influence of environmental practices on brand equity, satisfaction and word of mouth

  • Original Article
  • Published:
Journal of Brand Management Aims and scope Submit manuscript

Abstract

In developed countries, a growing number of consumers have been looking for environmentally sustainable products and services. As a response to this demand, hotel managers are increasingly striving to implement sustainable practices to meet the needs of their guests, improve hotel image and create brand equity. However, empirical evidence on the existence of a positive influence of hotels’ “green” practices on brand equity, satisfaction and intention of consumers to spread a positive word of mouth (WOM) is still rather scarce. The purpose of this study is to address this gap by examining relationships between environmentally sustainable practices adopted by hotels on the one hand and brand equity dimensions (i.e., brand awareness, brand associations, perceived quality and brand loyalty), satisfaction and WOM on the other. A survey was conducted among 378 guests from three- and four-star hotels in Valencia (Spain). The results confirm the impact of “green” practices on brand equity, satisfaction and WOM. In addition, positive effects of brand equity on guest satisfaction and WOM are also confirmed.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Fig. 1

Similar content being viewed by others

References

  • Aaker, D.A. 1991. Managing brand equity. New York, NY: The Free Press.

    Google Scholar 

  • Aaker, D.A. 1996. Measuring brand equity across products and markets. California Management Review 38(3): 102–120.

    Article  Google Scholar 

  • Atilgan, E., S. Aksoy, and S. Akinci. 2005. Determinants of the brand equity: A verification approach in the beverage industry in Turkey. Marketing Intelligence & Planning 23(3): 237–248.

    Article  Google Scholar 

  • Berezan, O., C. Raab, M. Yoo, and C. Love. 2013. Sustainable hotel practices and nationality: The impact on guest satisfaction and guest intention to return. International Journal of Hospitality Management 34: 227–233.

    Article  Google Scholar 

  • Boley, B.B., and M. Uysal. 2013. Competitive synergy through practicing triple bottom line sustainability: Evidence from three hospitality case studies. Tourism and Hospitality Research 13(4): 226–238.

    Article  Google Scholar 

  • Bowen, D., and J. Clarke. 2002. Reflections on tourist satisfaction research: Past, present and future. Journal of Vacation Marketing 8(4): 297–308.

    Article  Google Scholar 

  • Bravo Gil, R., E. Fraj Andres, and E. Martinez Salinas. 2007. Family as a source of consumer-based brand equity. Journal of Product and Brand Management 16(3): 188–199.

    Article  Google Scholar 

  • Cai, L.A., and J.S.P. Hobson. 2004. Making hotel brands work in a competitive environment. Journal of Vacation Marketing 10(3): 197–208.

    Article  Google Scholar 

  • Can, A.S., N. Turker, S. Ozturk, and F. Alaeddinoglu. 2014. Tourists´ perceptions of Green practices in eco-friendly hotels: A case study from the Antalya region of Turkey. Journal of Tourism Challenges and Trends 7(1): 9–26.

    Google Scholar 

  • Carl, W.J. 2006. What’s all the buzz about? Everyday communication and the relational basis of word-of-mouth and buzz marketing practices. Management Communication Quarterly 19(4): 601–634.

    Article  Google Scholar 

  • Chan, E.S.W. 2013. Gap analysis of green hotel marketing. International Journal of Contemporary Hospitality Management 25(7): 1017–1048.

    Article  Google Scholar 

  • Chang, N.J., and C.M. Fong. 2010. Green product quality, green corporate image, green customer satisfaction, and green customer loyalty. African Journal of Business Management 4(13): 2836.

    Google Scholar 

  • Chang, H.H., and Y.M. Liu. 2009. The impact of brand equity on brand preference and purchase intentions in the service industries. The Service Industries Journal 29(12): 1687–1706.

    Article  Google Scholar 

  • Chang, C.H., and C.Y. Tu. 2005. Exploring store image, customer satisfaction and customer loyalty relationship: Evidence from Taiwanese hypermarket industry. Journal of American Academy of Business 7(2): 197–202.

    Google Scholar 

  • Chen, Y.S. 2010. The drivers of green brand equity: Green brand image, green satisfaction, and green trust. Journal of Business Ethics 93(2): 307–319.

    Article  Google Scholar 

  • Chen, R.J. 2015. From sustainability to customer loyalty: A case of full service hotels’ guests. Journal of Retailing and Consumer Services 22: 261–265.

    Article  Google Scholar 

  • Chen, J.S., P. Sloan, and W. Legrand. 2009. Sustainability in the hospitality industry. Maryland Heights, MO: Elsevier.

    Google Scholar 

  • Chen, M.F., and P.J. Tung. 2014. Developing an extended theory of planned behavior model to predict consumers’ intention to visit green hotels. International Journal of Hospitality Management 36: 221–230.

    Article  Google Scholar 

  • Chin, W.W. 1998. The partial least squares approach to structural equation modeling. Modern Methods for Business Research 295(2): 295–336.

    Google Scholar 

  • Cleveland, M., M. Kalamas, and M. Laroche. 2005. Shades of green. Journal of Consumer Marketing 22(4): 198–212.

    Article  Google Scholar 

  • Constantin, C.P., A. Ispas, and A.N. Candrea. 2013. Tourist` intention to support environmental initiatives in mountain destinations: the case of PoianaBrasov, Romania. Studia Universitatis Babes-Bolyai Negotia 4: 5–21.

    Google Scholar 

  • Constantin, C.P., A. Ispas, and A.N. Candrea. 2014. Identifying tourists interested in eco-certified accommodation units from Brasov, Romania. Management Dynamics in the Knowledge Economy 1(3): 521–542.

    Google Scholar 

  • De Chernatony, L., F. Harris, and G. Christodoulides. 2004. Developing a brand performance measure for financial services brands. The Service Industries Journal 24(2): 15–33.

    Article  Google Scholar 

  • Del Río Lanza, A.B., R. Vázquez Casielles, and V. Iglesias Argüelles. 2002. El valor de marca: Perspectivas de análisis y criterios de estimación. Cuadernos de Gestión 1(2): 87–102.

    Google Scholar 

  • Dick, A.S., and K. Basu. 1994. Customer loyalty: Toward an integrated conceptual framework. Journal of the Academy of Marketing Science 22(2): 99–113.

    Article  Google Scholar 

  • Ekinci, Y., P.L. Dawes, and G.R. Massey. 2008. An extended model of the antecedents and consequences of consumer satisfaction for hospitality services. European Journal of Marketing 42(1/2): 35–68.

    Article  Google Scholar 

  • Fairweather, J., and C. Maslin. 2005. Environmental values and response to ecolabels among international visitors to New Zealand. Journal of Sustainable Tourism 13(1): 82–98.

    Article  Google Scholar 

  • Fitzsimons, G.J., and D. Lehmann. 2004. Reactance to recommendations: When unsolicited advice yields contrary responses. Marketing Science 23: 82–94.

    Article  Google Scholar 

  • Fornell, C., and D.F. Larcker. 1981. Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research 18(1): 39–50.

    Article  Google Scholar 

  • Franzen, G. 1999. Brand equity: Concept and research, 98–175. Henley-on-Thames: Brands and Advertising–How Advertising Effectiveness Influences Brand Equity, Admap Publications.

    Google Scholar 

  • Furlow, N., and C. Knott. 2009. Who’s reading the label? Millenials’ use of environmental product labels. Journal of Applied Business and Economics 10(3): 1–12.

    Google Scholar 

  • Gao, Y.L., and A.S. Mattila. 2014. Improving consumer satisfaction in green hotels: The roles of perceived warmth, perceived competence, and CSR motive. International Journal of Hospitality Management 42: 20–31.

    Article  Google Scholar 

  • Gartner, W.C., and M.K. Ruzzier. 2011. Tourism destination brand equity dimensions: Renewal versus repeat market. Journal of Travel Research 50(5): 471–481.

    Article  Google Scholar 

  • Gómez, M., and A. Molina. 2012. Wine tourism in Spain: Denomination of origin effects on brand equity. International Journal of Tourism Research 14(4): 353–368.

    Article  Google Scholar 

  • Green Hotel Association. (2014). Why should hotels be green? Retrieved from http://www.greenhotels.com. Accessed 25 May 2016.

  • Han, H. 2015. Travelers’ pro-environmental behavior in a green lodging context: Converging value-belief-norm theory and the theory of planned behavior. Tourism Management 47: 164–177.

    Article  Google Scholar 

  • Han, H., L. Hsu, and J. Lee. 2009. Empirical investigation of the roles of attitudes toward green behaviors, overall image, gender, and age in customers’ eco-friendly decision-making process. International Journal of Hospitality Management 28(4): 519–528.

    Article  Google Scholar 

  • Han, H., L. Hsu, and C. Sheu. 2010. Application of the theory of planned behavior to green hotel choice: Testing the effect of environmental friendly activities. Tourism Management 31: 325–334.

    Article  Google Scholar 

  • Han, H., and Y. Kim. 2010. An investigation of Green hotel customers’ decision formation: Developing an extended model of theory of planned behavior. International Journal of Hospitality Management 29(4): 659–668.

    Article  Google Scholar 

  • Harrison-Walker, L.J. 2001. The measurement of word-of-mouth communication and an investigation of service quality and customer commitment as potential antecedents. Journal of Service Research 4(1): 60–75.

    Article  Google Scholar 

  • Henseler, J., C.M. Ringle, and M. Sarstedt. 2015. A new criterion for assessing discriminant validity in variance-based structural equation modeling. Academy of Marketing Science Journal 43(1): 115.

    Article  Google Scholar 

  • Huang, Z., and L.A. Cai. 2015. Modeling consumer-based brand equity for multinational hotel brands: When hosts become guests. Tourism Management 46: 431–443.

    Article  Google Scholar 

  • Jeong, E., and Jang, S. 2010. Effects of restaurant green practices: Which practices are important and effective? Caesars Hospitality Research Summit, Paper 13. https://digitalscholarship.unlv.edu/hhrc/2010/june2010/13/. Accessed 15 June 2017.

  • Jeong, E., S.S. Jang, J. Day, and S. Ha. 2014. The impact of eco-friendly practices on green image and customer attitudes: An investigation in a café setting. International Journal of Hospitality Management 41: 10–20.

    Article  Google Scholar 

  • Jones, P., D. Hillier, and D. Comfort. 2014. Sustainability in the global hotel industry. International Journal of Contemporary Hospitality Management 26(1): 5–17.

    Article  Google Scholar 

  • Kasim, A. 2004. Socio-environmentally responsible hotel business: Do tourists to Penang Island, Malaysia care? Journal of Hospitality and Leisure Marketing 11(4): 5–28.

    Article  Google Scholar 

  • Kasimu, A.B., S. Zaiton, and H. Hassan. 2012. Hotels involvement in sustainable tourism practices in Klang Valley, Malaysia. International Journal of Economics and Management 6(1): 21–34.

    Google Scholar 

  • Keller, K.L. 1993. Conceptualizing, measuring, and managing customer-based brand equity. Journal of Marketing 57(1): 1–22.

    Article  Google Scholar 

  • Kim, Y., and H. Han. 2010. Intention to pay conventional-hotel prices at a green hotel e a modification of the theory of planned behavior. Journal of Sustainable Tourism 18(8): 997–1014.

    Article  Google Scholar 

  • Kim, W.G., B. Jin-Sun, and H.J. Kim. 2008. Multidimensional customer-based brand equity and its consequences in midpriced hotels. Journal of Hospitality and Tourism Research 32(2): 235–254.

    Article  Google Scholar 

  • Kim, H.B., and W.G. Kim. 2005. The relationship between brand equity and firms’ performance in luxury hotels and chain restaurants. Tourism Management 26(4): 549–560.

    Article  Google Scholar 

  • Kim, T.T., W.G. Kim, and H.B. Kim. 2009. The effects of perceived justice on recovery satisfaction, trust, word-of-mouth, and revisit intention in upscale hotels. Tourism Management 30(1): 51–62.

    Article  Google Scholar 

  • Kim, Y.J., R. Palakurthi, and M. Hancer. 2012. The environmentally friendly programs in hotels and customers’ intention to stay: An online survey approach. International Journal of Hospitality and Tourism Administration 13(3): 195–214.

    Article  Google Scholar 

  • Koens, J.F., C. Dieperink, and M. Miranda. 2009. Ecotourism as a development strategy: Experiences from Costa Rica. Environment, Development and Sustainability 11(6): 1225–1237.

    Article  Google Scholar 

  • Kozinets, R.V. 2002. The field behind the screen: Using netnography for marketing research in online communities. Journal of Marketing Research 39(1): 61–72.

    Article  Google Scholar 

  • Krishnan, H.S. 1996. Characteristics of memory associations: A consumer-based brand equity perspective. International Journal of Research in Marketing 13(4): 389–405.

    Article  Google Scholar 

  • Lam, S.Y., V. Shankar, M.K. Erramilli, and B. Murthy. 2004. Customer value, satisfaction, loyalty, and switching costs: An illustration from a business-to-business service context. Journal of the Academy of Marketing Science 32(3): 293–311.

    Article  Google Scholar 

  • Lee, M., H. Han, and G. Willson. 2011. The role of expected outcomes in the formation of behavioral intentions in the green-hotel industry. Journal of Travel and Tourism Marketing 28(8): 840–855.

    Article  Google Scholar 

  • Lee, S., and C.Y. Heo. 2009. Corporate social responsibility and customer satisfaction among US publicly traded hotels and restaurants. International Journal of Hospitality Management 28(4): 635–637.

    Article  Google Scholar 

  • Lee, J.-S., J.L.T. Hsu, H. Han, and Y. Kim. 2010. Understanding how consumers view green hotels: How a hotel’s green image can influence behavioral intentions. Journal of Sustainable Tourism 18(7): 901–914.

    Article  Google Scholar 

  • Legrand, W., P. Sloan, and J.S. Chen. 2016. Sustainability in the hospitality industry: Principles of sustainable operations. Abingdon: Routledge.

    Google Scholar 

  • Manaktola, K., and V. Jauhari. 2007. Exploring consumer attitude and behavior towards green practices in the lodging industry in India. International Journal of Contemporary Hospitality Management 19(5): 364–377.

    Article  Google Scholar 

  • Martenson, R. 2007. Corporate brand image, satisfaction and store loyalty: A study of the store as a brand, store brands and manufacturer brands. International Journal of Retail and Distribution Management 35(7): 544–555.

    Article  Google Scholar 

  • Miles, M.P., and J.G. Covin. 2000. Environmental marketing: A source of reputational, competitive, and financial advantage. Journal of Business Ethics 23(3): 299–311.

    Article  Google Scholar 

  • Millar, M., and Baloglu, S. 2008. Hotel guests’ preferences for green hotel attributes. Hospitality Management. Paper 5. http://repository.usfca.edu/hosp/5. Accessed 15 June 2017.

  • Millar, M., and S. Baloglu. 2011. Hotel guests’ preferences for green guest room attributes. Cornell Hospitality Quarterly 52(3): 302–311.

    Article  Google Scholar 

  • Nam, J., Y. Ekinci, and G. Whyatt. 2011. Brand equity, brand loyalty and consumer satisfaction. Annals of Tourism Research 38(3): 1009–1030.

    Article  Google Scholar 

  • Namkung, Y., and S.S. Jang. 2013. Effects of restaurant green practices on brand equity formation: Do green practices really matter? International Journal of Hospitality Management 33: 85–95.

    Article  Google Scholar 

  • Nicholls, S., and B. Amelung. 2015. Implications of climate change for rural tourism in the Nordic region. Scandinavian Journal of Hospitality and Tourism 15(1–2): 48–72.

    Article  Google Scholar 

  • Nunnally, J.C., and I.H. Bernstein. 1994. Psychometric theory, 3rd ed. New York: McGraw-Hill.

    Google Scholar 

  • Oliver, R.L. 1980. A cognitive model of the antecedents and consequences of satisfaction decisions. Journal of Marketing Research 17(4): 460–469.

    Article  Google Scholar 

  • Oliver, R.L. 1997. Satisfaction: A behavioral perspective on the consumer. New York: Mc-Graw-Hill.

    Google Scholar 

  • Pappu, R., P.G. Quester, and R.W. Cooksey. 2005. Consumer-based brand equity: Improving the measurement—Empirical evidence. Journal of Product & Brand Management 14(3): 143–154.

    Article  Google Scholar 

  • Pizam, A., and T. Ellis. 1999. Customer satisfaction and its measurement in hospitality enterprises. International Journal of Contemporary Hospitality Management 11(7): 326–339.

    Article  Google Scholar 

  • Prud’homme, B., and L. Raymond. 2013. Sustainable development practices in the hospitality industry: An empirical study of their impact on customer satisfaction and intentions. International Journal of Hospitality Management 34: 116–126.

    Article  Google Scholar 

  • Robinot, E., and J.L. Giannelloni. 2010. Do hotels’ “green” attributes contribute to customer satisfaction? Journal of Services Marketing 24(2): 157–169.

    Article  Google Scholar 

  • Schwaiger, M. 2004. Components and parameters of corporate reputation: An empirical study. Rebranding in the hospitality industry. Journal of Marketing Research 52(6): 865–878.

    Google Scholar 

  • Sun, L.B., and H. Qu. 2011. Is there any gender effect on the relationship between service quality and word-of-mouth? Journal of Travel and Tourism Marketing 28(2): 210–224.

    Article  Google Scholar 

  • Tsai, Y.L., C.S. Dev, and P. Chintagunta. 2015. What’s in a brand name? Assessing the impact of rebranding in the hospitality industry. Journal of Marketing Research 52(6): 865–878.

    Article  Google Scholar 

  • Tsiotsou, R. 2006. The role of perceived product quality and overall satisfaction on purchase intentions. International Journal of Consumer Studies 30(2): 207–217.

    Article  Google Scholar 

  • Verma, V.K., and B. Chandra. 2018. Sustainability and customers’ hotel choice behaviour: A choice-based conjoint analysis approach. Environment, Development and Sustainability 20(3): 1347–1363.

    Article  Google Scholar 

  • Wang, R. 2012. The investigation of green best practices for hotels in Taiwan international conference on Asia Pacific business innovation and technology conference. Procedia, Social and Behavioral Sciences 57: 140–155.

    Article  Google Scholar 

  • Wang, C.H., L.C. Hsu, and S.R. Fang. 2009. Constructing a relationship-based brand equity model. Service Business 3(3): 275–292.

    Article  Google Scholar 

  • Washburn, J.H., and R.E. Plank. 2002. Measuring brand equity: An evaluation of a consumer-based brand equity scale. Journal of Marketing Theory and Practice 10(1): 46–62.

    Article  Google Scholar 

  • Werthner, H., and F. Ricci. 2004. E-commerce and tourism. Communications of the ACM 47(2): 101–105.

    Article  Google Scholar 

  • Williams, P., and G.N. Soutar. 2009. Value, satisfaction and behavioral intentions in an adventure tourism context. Annals of Tourism Research 36(3): 413–438.

    Article  Google Scholar 

  • Wu, C.C. 2011. The impact of hospital brand image on service quality, patient satisfaction and loyalty. African Journal of Business Management 5(12): 4873.

    Google Scholar 

  • Yasin, N.M., M.N. Noor, and O. Mohamad. 2007. Does image of country-of-origin matter to brand equity? Journal of Product and Brand Management 16(1): 38–48.

    Article  Google Scholar 

  • Yoo, B., and N. Donthu. 2001. Developing and validating a multidimensional consumer-based brand equity scale. Journal of Business Research 52: 1–14.

    Article  Google Scholar 

  • Yoo, B., N. Donthu, and S. Lee. 2000. An examination of selected marketing mix elements and brand equity. Journal of the Academy of Marketing Science 28(2): 195–211.

    Article  Google Scholar 

  • Yoon, Y., and M. Uysal. 2005. An examination of the effects of motivation and satisfaction on destination loyalty: A structural model. Tourism Management 26(1): 45–56.

    Article  Google Scholar 

  • Yue, Y.F. 2012. A research on environmental issues applied to the hotel industry. Advanced Materials Research 430–432: 1159–1162.

    Article  Google Scholar 

  • Zeithaml, V.A. 1988. Consumer perceptions of price, quality, and value: A means-end model and synthesis of evidence. The Journal of Marketing 52: 2–22.

    Article  Google Scholar 

  • Zografakis, N., K. Gillas, A. Pollaki, M. Profylienou, F. Bounialetou, and K.P. Tsagarakis. 2011. Assessment of practices and technologies of energy saving and renewable energy sources in hotels in Crete. Renewable Energy 36(5): 1323–1328.

    Article  Google Scholar 

Download references

Acknowledgements

This research has received financial support from the Spanish Ministry of Economy and Competitiveness (Project reference: ECO2016-76553-R).

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Irene Gil-Saura.

Additional information

Publisher's Note

Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Moise, M.S., Gil-Saura, I., Šerić, M. et al. Influence of environmental practices on brand equity, satisfaction and word of mouth. J Brand Manag 26, 646–657 (2019). https://doi.org/10.1057/s41262-019-00160-y

Download citation

  • Revised:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1057/s41262-019-00160-y

Keywords

Navigation