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International Journal of Contemporary Hospitality Management

Customer loyalty: exploring its antecedents from a green marketing perspective


Patricia Martínez,
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perspective", International Journal of Contemporary Hospitality Management, Vol. 27 Issue: 5,
pp.896-917, https://doi.org/10.1108/IJCHM-03-2014-0115
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IJCHM
27,5
Customer loyalty: exploring its
antecedents from a green
marketing perspective
896 Patricia Martínez
Business Administration Department, University of Cantabria, Santander, Spain
Received 10 March 2014
Revised 10 July 2014
18 September 2014
Accepted 28 September 2014 Abstract
Purpose – This study aims to propose a hierarchy of effects model to study three antecedents of green
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loyalty: green trust, green satisfaction and green overall image, and to examine the relationships between
these variables. At present, environmental issues attract the attention of academics and professionals around
the world. In the hospitality industry, this interest is even greater because of the considerable quantities of
water and energy consumed by hotel companies and because of the environmental degradation that this
industry can cause with unmanaged growth and development. For this reason, several authors have
proposed incorporating the green loyalty construct as a key variable in tourism theory and practice.
Design/methodology/approach – To test the proposed model empirically, personal surveys of hotel
customers were conducted in Spain using a structured questionnaire. A structural equations model was
developed to test the research hypothesis.
Findings – The findings show that green overall image has positive direct effects on green trust, green
satisfaction and green loyalty. At the same time, they reveal that both green trust and green satisfaction have
positive effects on green loyalty. In addition, green trust has a positive influence on green satisfaction.
Research limitations/implications – This research deals with the relationship between the
variables of interest, without considering other antecedents and consequences. Thus, there is still a need
to explore other mediating variables (e.g. willingness to pay more to stay in a green room, or
commitment regarding environmental issues), as the explanatory power of this model could still be
improved. In addition, given the role of green trust and green satisfaction as mediating variables of
green overall image and green loyalty, this study recognizes the need for in-depth research into the
enhancement of green trust and green satisfaction.
Practical implications – From a practical point of view, hoteliers and marketers working for a green
hotel should develop a positive green overall image and enhance customers’ perceptions of green trust
and green satisfaction. In particular, they should emphasize the importance of environmental issues to
customers by promoting green campaigns. At the same time, hoteliers in a green context should create
effective strategies to improve their hotel’s image.
Originality/value – Although existing research has investigated relevant aspects of customer trust,
satisfaction, overall image and loyalty, these issues have not been discussed from a green marketing
perspective. Apart from that, the main contribution of this paper is its exploration of the influence of green
trust, green satisfaction and green overall image on green loyalty in a hospitality setting, following the
framework of the hierarchy of effects model. By complementing previous studies on customer loyalty in the
environmental context and exploring the relationships among these constructs, this study offers an
assessment of how green marketing strategies in the hospitality industry increase green loyalty.
Keywords Sustainability, Customer loyalty, Customer satisfaction, Green marketing, Hospitality,
International Journal of Green loyalty, Green overall image, Hierarchy of effects model, Green satisfaction, Green trust
Contemporary Hospitality
Management Paper type Research paper
Vol. 27 No. 5, 2015
pp. 896-917
© Emerald Group Publishing Limited
0959-6119
This research was funded by the FPU Scholarship Program provided by the Spanish Ministry of
DOI 10.1108/IJCHM-03-2014-0115 Education, Culture and Sports.
Introduction Customer
Given the environmental problems that plague the world (e.g. global warming, loyalty
environmental degradation, habitat destruction, air and water pollution and resources
depletion), customers are considering green options to integrate in their behavior that
can do good to the planet (Hsieh, 2012; Jones et al., 2014). The consequence of this
attitude is that an increasing number of organizations are admitting their environmental
responsibility (Chan, 2013a). To respond to these environmental demands, companies 897
should develop new corporate strategies that can guarantee fulfillment with these green
alternatives, such as green marketing (Chen, 2010; Kang and Hur, 2012). According to
Chan (2013a), green marketing has become one of the most relevant concepts. By
developing green marketing strategies, companies can develop and make possible any
exchange to please environmental requirements of customers (Polonsky, 1994). As
Bonilla-Priego et al. (2011, p. 361) state: “this change in environmental behavior is of
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particular interest because it could lead to potentially major changes throughout the
hotel industry”.
In the hospitality industry, more and more hotels are developing green marketing
strategies to satisfy the requests environmentally conscious consumers (Hsieh, 2012;
Chan, 2013a). Given that this sector consumes considerable quantities of natural
resources, water and energy (Bohdanowicz, 2005; Chan and Ho, 2006), many hotels make
use of the label “green hotel” as a strategy to catch the attention of customers and attract
them (Brown, 1996; Pizam, 2009). The Web site of the Green Hotels Association (2013)
states that:
[…] green hotels are environmentally-friendly properties whose managers are eager to
institute programs that save water, save energy and reduce solid waste, while saving money,
to help protect our one and only earth.
About 75 per cent of the environmental impacts of hospitality companies are related to
water, energy, perishable products as well as soil, water and air contamination (APAT,
2002). The Green Seal (2012) indicates that (on average) a hotel purchases more products
in seven days than a hundred households in one year. Consequently, hotel managers
have implemented corporate programs aimed at saving natural resources such as water,
decreasing energy consumption, reducing water and air pollution, solid waste and using
resources efficiently (Bohdanowicz, 2005; Hsieh, 2012) to keep at the minimum the
expenditure and to maximize profit, as it has been accepted that these activities result in
cost savings (Bohdanowicz, 2005). For instance, NH Hotels have developed an
interesting initiative named “Ecomeeting”. This initiative consists of organizing
meetings and events taking into account environmental issues guaranteeing a
responsible consumption of resources and materials. Apart from that, NH Hotels give
the possibility of compensating the CO2 emissions generated during the event. Previous
research shows that a number of hospitality companies are interested in green
initiatives only if they reduce costs (Akis, 2001), which signifies that some hotel
managers “go green” to save money rather than to protect the environment. However,
not only hoteliers ought to be responsible for the environmental impacts of hotel firms.
Actually, the efficient implementation of green initiatives within the hotel industry
requires guests’ commitment and support (Tsai and Tsai, 2008). Liu et al. (2012) state
that customers’ decisions regarding buy (or not) green products have a great influence
on green practices.
IJCHM With regard to this, previous studies show customers’ biases toward green
27,5 accommodation because of price and who should fund green policies (Manaktola and
Jauhari, 2007; Ogbeide, 2012). In this sense, extant research indicates that customers are
not eager to pay a higher price to finance green activities (Millar and Baloglu, 2011),
while other studies suggest otherwise (Laroche et al., 2001; Pizam, 2009). In this vein,
some scholars identify customers’ barriers to participation in green hotels such as
898 perceptions of cost cutting (Baker et al., 2014), while others propose that customers
increasingly demand green services in the hospitality industry (Manaktola and Jauhari,
2007). Overall, despite these potential inconsistencies in academic research, the number of
customers willing to seek and stay in green hotels has grown (Deloitte, 2014). Moreover, the
green hotel sector is a market segment on the rise not only because these properties
differentiate themselves from its competitors but also because they satisfy a need in the
market for more environmentally friendly hotels (Manaktola and Jauhari, 2007).
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The relationships among green initiatives, hotels’ overall image and consumer
behavior have a great impact on hotel business because of the intangible characteristics
of hospitality services. Extant research supports that overall corporate image exerts
great influence on customers’ behavior and their purchasing decisions within the
hospitality setting (Chen and Tsai, 2007; Han et al., 2009; Kandampully and Suhartanto,
2000; Lin et al., 2007; Ryu et al., 2012). Despite the many benefits of a favorable image by
hotel companies, only a few studies have explored the influence of green practices and
green overall image on customers’ behavioral intentions in the context of hotel
management. As far as the author knows, no previous studies have explored the
consequences of the image of a green hotel and its role in developing green loyalty. At
the same time, the growing interest of marketing academics and practitioners in
relationship marketing suggests that customer trust and satisfaction are vital to develop
lasting relationships with consumers (Delgado and Munuera, 2005; Kim et al., 2001; Lee
et al., 2009). Connecting these ideas with a green approach to customer loyalty, the
author suggests the following research question: What should hotel companies do to
enhance customer loyalty? Although extant research has investigated relevant aspects of
customer trust, satisfaction, overall image and loyalty, these issues have not been
discussed from a green marketing perspective. Based on the framework developed by
Lavidge and Steiner (1961) – the hierarchy of effects model – the author proposes that
two affective variables, green trust and green satisfaction, mediate the relationship
between green overall image and green loyalty. This research contributes to previous
studies exploring the influence of green overall image, satisfaction and trust on green
loyalty in a hospitality setting. Moreover, if the statistical tests carried out in this
research validate the hypotheses that are proposed, an additional contribution of this
research will be the validation of the hierarchy of effects model in a green marketing
context. By expanding previous studies on customer loyalty in a green context and
exploring the relationships among these constructs, this study offers an assessment of
green marketing strategies within the hotel context to increase green loyalty on the part
of customers.

Literature review and hypotheses


Green marketing
The origin of the “green marketing” concept is situated in the decade of the eighties
(Chen, 2010). Customers often relate this notion to other terms such as “recyclable” or
“environmentally friendly” (Polonsky, 1994). However, green marketing represents a Customer
more inclusive concept that comprises: loyalty
[…] all activities designed to generate and facilitate any exchanges intended to satisfy human
needs or wants, such that the satisfaction of these needs and wants occur, with minimal
detrimental impact on the natural environment (Polonsky, 1994, p. 2).
The academic literature on this approach has mainly focused on theoretical approaches 899
(Peattie and Crane, 2005; Polonsky, 1994), the assessment of diverse green marketing
strategies (Brown, 1996; Cronin et al., 2011) and the relevance of these policies (Chan,
2013b; Hsieh, 2012; Kasim, 2009). Other academics have also explored the motivations to
implement green initiatives (Bonilla-Priego et al., 2011; Tzschentke et al., 2004). For
instance, one reason to develop green marketing strategies is to accomplish corporate
goals (Shearer, 1990). Other motives include moral obligations to be more ethical
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(McIntosh, 1990), pressure from competitors or government (Delmas and Toffel, 2008),
costs associated with reductions in waste disposal (Tzschentke et al., 2004), the
opportunity to develop a favorable corporate image and reputation (Lee et al., 2010) or
the opportunity to seek new markets and enhance product value (Chen, 2010). Similarly,
previous studies have analyzed the effect of green marketing on consumers (Chan,
2013a; Chen, 2010; Di Pietro et al., 2013; Hur et al., 2013; Kang and Hur, 2012; Laroche
et al., 2001; Lee et al., 2010; Slevitch et al., 2013). For instance, Han et al. (2009) explore the
role of attitudes toward green behaviors in consumers’ eco-friendly decision-making
process. Their research shows that overall image is a positive function of attitudes
toward green behaviors and that it affects specific behavioral intentions such as visit
intention and readiness to pay a premium price. On the other hand, Hur et al. (2013)
explore how consumer value relates to loyalty and price consciousness through
customer satisfaction, following a green perspective in the automobile industry.
Similarly, Kang and Hur (2012) investigate the antecedents of green brand equity within
the electronic sector in South Korea.
It must be highlighted that extant studies on green marketing issues have focused on
electronic products and firms producing manufactures products such as cosmetics,
toiletries or hybrid cars (Chen, 2010; Hur et al., 2013; Ng et al., 2014). However, scant
research has based its proposal on the hierarchy of effects theory to explore how the
overall image of a green hotel and its consequences (e.g. green trust and green
satisfaction) can affect green loyalty. As Chan (2013b, p. 444) states “studies on green
marketing in the hotel industry are seen as less sensitive”. Consequently, this study
bridges this gap by investigating how to develop green hotel loyalty using the concepts
of green overall image, green trust and green satisfaction.

Conceptual background
The hierarchy of effects model
The author builds the conceptual framework of this research on the principles of the
hierarchy of effects theory. This approach considers that customers normally do not
switch from disinterested individuals to convinced purchases in one instantaneous step
(Lavidge and Steiner, 1961). Instead, customers approach purchases through a
multi-stage process, of which the purchase itself is the final step. Lavidge and Steiner
(1961) divide the stages of customer behavior into three components:
IJCHM (1) the cognitive (or rational) dimension, which refers to customer thoughts and
27,5 beliefs;
(2) the affective (or emotional) dimension, referring to the realm of emotions; and
(3) the conative (or motivational) dimension, referring to customer behavioral
intentions and actions.
900 Companies communicate their green programs and activities primarily through what
Lavidge and Steiner (1961) call “image advertising”, which focus on the steps of
generating attitudes and feelings rather than directly accessing the stage of conative
behavior (loyalty). In this cognitive – affective – conative sequence, green overall image
is a set of beliefs that determine corporate image. Consecutively, these beliefs determine
affective responses from customers (e.g. green trust and green satisfaction) because of
the cognitive effort to evaluate the company in relation to the cost of being its customer.
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Finally, these affective responses affect customer conative or behavioral outcomes, such
as recommendation and repurchase behaviors (e.g. green loyalty).
Along this line, previous studies analyzing the direct effect of green and
environmental issues on green customer behavior have obtained mixed findings.
However, it has been observed than when scholars introduce mediating affective
variables in the study (e.g. green perceived value, green affect and green trust), green
marketing variables always have an impact on behavioral consumer responses (Chen
and Chang, 2013; Ng et al., 2014). Therefore, it seems that the hierarchy of effects model
is more appropriate to understand the effects of green overall image on customer
responses than the study of direct connections between the cognitive and behavioral
phases of the hierarchy of effects model. An explanation could be that given the
relatively high degree of perceived risk associated with services, the competitive
advantages resulting from pursuing green products may not be as direct as the positive
reactions of customers to other corporate associations such as service quality or
functional benefits (Ng et al., 2014) (Figure 1).

Green loyalty and its antecedents


Several studies explore the antecedents of loyalty in the hospitality context (Martínez
and Rodríguez del Bosque, 2013; Osman et al., 2009; Tanford et al., 2012), but further
research is needed to investigate the determinants of hotel customer loyalty from the
perspective of green marketing. Extant research in the hospitality sector does not
expand previous empirical studies on green loyalty by incorporating the consequences
of the overall image of green hotels and its role in enhancing green loyalty. Furthermore,
no previous studies apply the hierarchy of effects model in a green marketing context.
Customer loyalty has become a strategic objective for companies and is of particular
importance in the service sector, given that customers perceive a greater risk in the
choice of services (Polo et al., 2013). Moreover, customer loyalty represents the final

Green overall image Green trust and Green loyalty


Figure 1. green sasfacon
Cognive dimension: Conave
The hierarchy of The realm of Affecve dimension: dimension:The realm
effects model applied thoughts The realm of feelings of moves
to the context of
green loyalty Source: Based on Lavidge and Steiner (1961)
ambition of a number of companies, as loyal customers buy more, spend a larger share Customer
of their income at the supplier and tend to be less price-sensitive than other customers loyalty
(Williams and Naumann, 2011). It is recognized that the visit frequency of loyal
customers is higher, and that they buy more than non-loyal consumers. Additionally,
loyal customers are unlikely to consider competitor hotel brands in their
accommodation decisions only due to an economic reason (Yoo and Bai, 2013). Previous
studies show that a minimal variation in the percentage of loyal customers can have a 901
great impact on the profitability of companies (Reichheld, 1993). For instance, in their
research in the service context, Reichheld and Sasser (1990) demonstrate that an
increase of 5 per cent in the retention of customers implies an increase of 125 per cent in
profits. Furthermore, Petrick (2004) demonstrated that it is six times cheaper to retain
existing consumers than to attract new ones. Based on Dick and Basu’s (1994) study,
“green loyalty” is defined in this study as “a consumer commitment to repurchase or
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otherwise continue using a green brand”. Finally, the antecedents of green loyalty in the
proposed model are explained in the next section.

Green overall image and its influence on green satisfaction and green
trust
Green overall image
Many scholars and practitioners have shown great interest in the concept of a
company’s image due to its effects on customers’ behavioral decisions (Chen and Tsai,
2007; Han et al., 2009; Kandampully and Suhartanto, 2000; Lin et al., 2007; Ryu et al.,
2012). Overall image is defined by Keller (1993, p. 3) as “a set of perceptions about a
brand as reflected by brand associations in consumer’s memory”. Park et al. (1986) argue
that customers can benefit from overall image of companies as it provides them with
functional, experiential and symbolic benefits. According to these authors, functional
and experiential benefits correspond to product-related attributes, while symbolic
benefits are related to underlying psychological needs of customers such as personal
expression and correspond to attributes that are not related to the product or service.
Based on the previous definition by Keller (1993) and Chen (2010), the present study
suggests a new variable “green overall image” defined as “a set of perceptions of a firm
in a consumer’s mind that is linked to environmental commitments and concerns”.
Previous studies support the influence of overall image on customers’ behavior (Han
et al., 2009; Kandampully and Suhartanto, 2000; Lin et al., 2007; Ryu et al., 2008; Ryu
et al., 2012). For instance, Lin et al. (2007) demonstrated that tourists are highly likely to
choose a tourist destination with a favorable image. In the hospitality setting, Han et al.
(2009) support the relationship between overall image and green behavioral intentions
in terms of word – mouth, visit intention and readiness to pay a higher price. Relating the
concept of green marketing to overall image and customer loyalty, the next hypothesis
is proposed:
H1. Green overall image positively influence green customer loyalty.
According to the hierarchy of effects theory, the affective stage of customer behavior
begins with the evocation of feelings based on the perception of the company (Lavidge
and Steiner, 1961). Following this approach, green overall image is a set of beliefs that
determine corporate image. Consecutively, these cognitive beliefs determine affective
responses from customers (e.g. green trust and green satisfaction) because of the
IJCHM cognitive effort to evaluate the company in relation to the cost of being its customer.
27,5 Finally, these affective responses influence customer conative or behavioral outcomes,
such as recommendation and repurchase behaviors (e.g. green loyalty).

Green satisfaction
Enhancing customer satisfaction is widely recognized as an important element leading
902 to the success of hospitality companies (Bowen and Chen, 2001).Within the highly
competitive hotel industry, which offers homogeneous products and services, hotel
managers must find ways to make their offer to stand out among their competitors. As
Choi and Chu (2001, p. 278) state “hoteliers need to understand their customer’s needs
and meet or exceed these needs”. Overall, the term of customer satisfaction is defined
based on Mai and Ness’s (1999, p. 863) definition as “a general feeling of pleasure or
gratification experienced by a consumer arising from the ability of a product or service
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to satisfy the customers’ expectations, desires and needs”. Following this


characterization, the present study proposes “green satisfaction” as an affective variable
defined as “a pleasure level of consumption-related fulfillment to satisfy customers’
environmental desires, sustainable expectations and green needs”.
As previous studies suggest, overall image and customer satisfaction are positively
related (Chang and Tu, 2005; Kandampully and Suhartanto, 2000; Martenson, 2007). In
this line of thought, several academics consider that overall image is one of the most
reliable cues which signal the ability of hotels to satisfy consumers’ desires and needs
(Kandampully and Hu, 2007). As Andreassen and Lindestad (1998) explain (1998, p. 10):
[…] overall image is believed to create a halo effect on customers’ satisfaction judgment […]
when customers are satisfied with the services rendered, their attitude toward the company is
improved. This attitude will then affect the consumers= satisfaction with the company.
Additionally, Nguyen and Leblanc (2002, p. 244) state that “a favorable image is a
powerful tool […] for improving […] levels of satisfaction toward the company”.
Therefore, the author proposed the next hypothesis:
H2. Green overall image positively influences green customer satisfaction (Figure 2).

Green trust
This study conceptualizes trust as an emotional construct defined as the “willingness to
rely on an exchange partner in whom one has confidence” (Moorman et al., 1992, p. 315).
The present research is based on deep-rooted theoretical approaches from the social
psychology literature using not only cognitive aspects but also affective elements to

Green
Trust
H4
H3
Green H1 Green
Image Loyalty
H6
H2 H5

Green
Figure 2.
Sasfacon
Conceptual model
conceptualize trust. Emotional aspects of trust are considered to be significant in the Customer
hospitality industry due to the fact that customers trust in affective signals from loyalty
companies as a point of reference to evaluate quality (Johnson and Grayson, 2005).
Following the previous definition by Moorman et al. (1992), this research defines “green
trust” as the “willingness to rely on an exchange partner in whom one has confidence
because of its environmental performance”.
As previous studies demonstrate, customer trust is positively influenced by image of 903
companies because corporate associations (e.g. overall image) are able to diminish the
risk perceived by customers while increasing purchase probability (Flavián et al., 2005).
Overall image influence customer behavioral intentions, and extant research has
provided evidence that overall image positively impact customer trust (Mukherjee and
Nath, 2003). Based on the previous ideas, the more favorable the green overall image, the
higher the confidence customers place in the company due to the feeling generated by
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the level of care the company shows about its environmental commitment. Therefore,
the author proposed the following research hypothesis:
H3. Green overall positively influences green customer trust.

The influence of green trust and satisfaction on green loyalty


Extant research recognizes that trust is a must-have condition to develop and preserve
durable relations with customers (Delgado and Munuera, 2005; Morgan and Hunt, 1994).
Some academics have even postulated that trust is the “cornerstone” of long-term
relationships (Spekman, 1988, p. 79). Within the hospitality industry, this construct has
been identified as an essential element to encourage strong customer-company
relationships. In this sense, recent studies have demonstrated the role of trust at the time
of enhancing loyalty to hotels (Martínez and Rodríguez del Bosque, 2013; So et al., 2013;
Wilkins et al., 2009). Therefore, this study proposes the next research hypothesis:
H4. Green customer trust positively influences green customer loyalty.
The concept of customer satisfaction has been identified by a number of scholars as a
prerequisite to develop customer loyalty (Oliver, 1996). It is generally accepted that
customers tend to develop greater levels of loyalty toward a specific company (e.g.
repurchasing and recommending its products and services) when they are satisfied with
its performance (Martínez and Rodríguez del Bosque, 2013). In a similar way, previous
studies have proven that customer satisfaction has a great influence not only on the
retention of customers but also on their purchase intention (Ranaweera and Prabhu,
2003). The academic literature in the hospitality industry context has empirically
supported that customer loyalty is positively influenced by satisfaction on the part of
customers (Bowen and Chen, 2001; Caruana, 2002; Kandampully and Suhartanto, 2000;
Kim et al., 2001; Ryu et al., 2012). However, no previous studies have explored this
relationship for green environmental issues. Therefore, this study proposes the
following hypothesis:
H5. Green customer satisfaction positively influences green customer loyalty.
Extant research in the tourism and hotel setting confirms the direct and positive link
between customer satisfaction and trust (Kim et al., 2009). Previous studies support that
customer trust serves as a predictor of customer satisfaction (Chiou and Pan, 2009;
Martínez and Rodríguez del Bosque, 2013). These studies base their proposals on the
IJCHM idea that there are different strategies to increase the level of trust among customers (e.g.
27,5 corporate communications or positive word-of-mouth) and that each of these tactics will
positively affect customer satisfaction. By favorably influencing customer satisfaction
judgment, companies will positively impact behavioral intentions of customers toward
firms (Chiou and Pan, 2009). Therefore, it is proposed that:
H6. Green customer trust positively influences green customer satisfaction.
904
Methodology
Sample and data collection
A sample of hotel customers was surveyed with a questionnaire in the Spanish context
to validate the research hypotheses. The author used a structured questionnaire to
collect the data. The potential respondents were required to answer a screening question
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to confirm that they had actually been customers of a hotel company over the past year.
University students collaborated in collecting and gathering data[1]. Each student had
to conduct surveys to several persons (no more than six per student) following specific
patterns of gender and age (see next paragraph). Students could choose relatives, friends
or acquaintances as respondents as long as they met these criteria. The length of each
interview averaged 15 minutes. After eliminating erroneous questionnaires 382 surveys
were obtained. Before conducting the fieldwork, the author provided students with
specific instructions to carry out data collection (included the final questionnaire
developed by the author).
A convenience sample was used (non-probabilistic sampling procedure) to design the
research sample. With the purpose of ensuring greater representativeness of the data,
the author used a multistage sampling by quotas based on customers’ gender and age.
Table I displays the profile of respondents. Of the total, 49.8 per cent of the sample
corresponded to male respondents, whereas female respondents accounted for 50.2 per
cent (which was comparable to the population in the country). Ten per cent of the
respondents were under the age of 24, with 38.7 per cent aged between 25 and 44 and 51.3
per cent being over the age of 45 years. As far as the educational level is concerned, 18.9
per cent had a postgraduate degree, 20.3 per cent a graduate degree and 52.7 per cent had
an undergraduate degree.

Measures
This study uses seven-point Likert scales from 1 to 7 (rating from strongly disagreement
to strongly agreement) to measure the items of the constructs. Green satisfaction was
measured following the methods described by Oliver (1996). Five items based on Chen
(2010) were used to measure green trust. To asses green overall image, five items based
on the study by Cretu and Brodey (2007) were used. Finally, four items based on studies
by Sirdeshmukh et al. (2002) and Zeithaml et al. (1996) were used to measure green
loyalty. The Appendix shows the scales used for each factor. In a pre-fieldwork stage the
questionnaire was scrutinized by several academics experts in hospitality and tourism
to ensure content validity of the measurement instruments. These scholars revised
several aspects of the questionnaire such as the item understandability, legibility,
vagueness and other inconsistencies in the survey (Hair et al., 2010). As a result, the
wording of several items was modified to improve the comprehension of potential
respondents.
Feature N (%)
Customer
loyalty
Gender
Male 190 49.8
Female 192 50.2
Occupation
Student 54 14.1 905
Self-employed 52 13.7
Worker 151 39.4
Retired/pensioner 67 17.5
Unemployed 21 5.6
Housework 37 9.7
Age
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From 18 to 24 years 38 10
From 25 to 34 years 76 19.9
From 35 to 44 years 72 18.8
From 45 to 54 years 72 18.9
From 55 to 64 years 53 13.8
Over 65 years 71 18.6
Education
No education 31 8.1
Basic/elementary/secondary 87 22.9
Baccalaureate/FP/COU/BUP 114 29.8
Associate degree 78 20.3
Higher university 72 18.9 Table I.
Profile of
Source: National Statistics Institute – INE (data from January 2011) respondents

Findings
To assess the psychometric properties of the measurement instruments and test the
proposed hypothesis, several statistical analyses were conducted. Specifically, the
present study follows the structural equation modeling (SEM) procedure developed by
Anderson and Gerbing (1988). Thus, reliability and validity of the measurement scales
were evaluated through a confirmatory factor analysis (CFA) before testing the
conceptual model.

Measurement model results


To assess the convergent validity and discriminant validity, a CFA was conducted.
Results show a good model fit (Hair et al., 2010): ␹2⫽ 292.27; df ⫽ 113; p ⫽ 0.00; NFI ⫽
0.927; NNFI (or TLI) ⫽ 0.944; IFI ⫽ 0.954; CFI ⫽ 0.953. Convergent validity was tested
by analyzing the standardized lambda coefficient of each item, the average variance
extracted (AVE) and the coefficient of Cronbach’s alpha (Table II). The individual
reliability shows a value superior to 0.5 (Hair et al., 2010). Furthermore, the Cronbach’s
coefficient and AVE were above to the reference value, at 0.70 and 0.50, respectively.
These results led the author to conclude that the dimensions proposed to measure the set
of constructs were valid. To conclude, to verify discriminant validity, the author focused
on the procedure developed by Fornell and Larcker (1981) (Table III).
IJCHM Standard
27,5 Factor Item lambda Cronbach’s ␣ AVE

Green image GI1 0.800 0.846 0.526 ␹2 ⫽ 292.27


GI2 0.790 df ⫽ 113 (p ⫽ 0.000)
GI3 0.562
906 GI4 0.748
GI5 0.701
Green trust GT1 0.776 0.897 0.636 NFI ⫽ 0.927
GT2 0.854 TLI ⫽ 0.944
GT3 0.850 CFI ⫽ 0.953
GT4 0.791 IFI ⫽ 0.954
GT5 0.707
Green satisfaction GS1 0.894 0.915 0.782 RMSEA ⫽ 0.063
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GS2 0.870
GS3 0.889
Table II. Green loyalty GL1 0.752 0.836 0.592
Confirmatory factor GL2 0.653
analysis of the final GL3 0.902
model GL4 0.899

Construct Green image Green trust Green satisfaction Green loyalty

Green image 0.725


Green trust 0.706 0.797
Green satisfaction 0.705 0.635 0.884
Green loyalty 0.685 0.650 0.813 0.769
Table III.
Discriminant validity Notes: The bold diagonal elements are the square root of the variance shared between the constructs
analysis and their measures; off diagonal elements are the correlations among constructs

Structural model results


SEM fit measures indicate that the fit of the model is very good (␹2 ⫽ 292.28; df ⫽ 113;
p ⫽ 0.000; NFI ⫽ 0.927; NNFI (or TLI) ⫽ 0.944; IFI ⫽ 0.954; CFI ⫽ 0.953) (Table IV).
Regarding the structural equations, the findings show that green overall image have
positive effects on green trust (␤ ⫽ 0.671*) and green satisfaction (␤ ⫽ 0.212*) in support
of H3 and H2. In addition, green trust (␤ ⫽ 0.593*), green satisfaction (␤ ⫽ 0.251*) and
green overall image (␤ ⫽ 0.227*) have a positive effect on green loyalty. Thus, H4, H5
and H1 are supported. Finally, green trust is positively related to green satisfaction (␤ ⫽
0.862*) supporting H6 (Figure 3).

Discussion and implications


Theoretical and managerial implications
Gaining and sustaining customer loyalty constitutes the ultimate aspiration of many
firms, including hospitality companies, as loyal customers buy more, spend a larger
share of their incomes at the supplier and tend to be less price-sensitive than other
customers (Williams and Naumann, 2011). Additionally, green marketing has become
Standard coefficient
Customer
Hypotheses Structural relationship (Robust t-value) Contrast loyalty
H1 Green image ¡ Green loyalty 0.227 (2.876)* Accepted
H2 Green image ¡ Green satisfaction 0.212 (2.979)* Accepted
H3 Green image ¡ Green trust 0.671 (13.956)* Accepted
H4 Green trust ¡ Green loyalty 0.593 (5.162)* Accepted
H5 Green satisfaction ¡ Green loyalty 0.251 (2.855)* Accepted
907
H6 Green trust ¡ Green satisfaction 0.862 (10.294)* Accepted
NFI ⫽ 0.927 TLI ⫽ 0.944, CFI ⫽ 0.953, IFI ⫽ 0.954 RMSEA ⫽ 0.063
␹2 ⫽ 427.763, df ⫽ 113 (p ⫽ 0.000) Table IV.
Structural equation
Note: * p ⬍ 0.005 model results
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GT1 GT2 GT3 GT4 GT5

0.85 0.85 0.79


0.78 0.71
GI1 GI2 GI3 GI4 GI5
Green
0.56 0.75 Trust 0.593*
0.80 0.79 0.671*
0.70
Green Green
*
Image 0.227 Loyalty
0.893* 0.251*

0.212*
Green
0.75 0.65 0.90 0.90
Sasfacon
GL1 GL2 GL3 GL4
Figure 3.
0.89 0.87 0.89 Structural model
GS1 GS2 GS3 estimation

an accessible marketing technique for customers (Polonsky and Rosenberger, 2001).


Therefore, the academic literature on green marketing has to incorporate the concept of
customer loyalty.
Even though extant research in the hospitality industry broadly explores loyalty
issues, there is no study investigating the concept of green marketing in the literature on
hotel customer loyalty. Scholars have not provided hospitality practitioners with
comprehensive models to understand the links among green image, its affective
consequences and behavioral customer reactions. Based on a green marketing approach
and following the principles of the hierarchy of effects model, this study integrates the
overall image of a green hotel into a model of customer loyalty, showing its relevance to
develop not only green loyalty but also green trust and green satisfaction on the parts of
customers. By considering the overall image of a green hotel with the notion that
customer trust and satisfaction are important constructs for understanding consumer
behavior (Delgado and Munuera, 2005; Kim et al., 2001; Lee et al., 2009), this research
suggests a research framework to delve into customers’ green loyalty.
Additionally, the results presented here confirm the validity of the hierarchy of
effects theory to understand the mechanism through which green overall image
IJCHM influence green customer loyalty. Specifically, the cognitive associations concerning
27,5 green image directly influence affective responses of customers such as their green trust
and green satisfaction. In turn, this positive affect determines green loyalty of
customers. Therefore, this study shows two different ways for hospitality companies to
generate green customer loyalty. The first path is composed of the beliefs and thoughts
generated by green issues, while the second route is composed of the emotions and
908 feelings generated by these aspects.
This study presents four additional theoretical contributions to academic literature
in the hospitality industry. First, this research follows a holistic approach by combining
two perspectives, relationship marketing and green marketing, to develop a research
framework for understanding green customer loyalty. These results are in agreement
with past studies using both approaches to explore consumers’ reactions toward green
products or services (Chen, 2010; Kang and Hur, 2012; Hur et al., 2013). Nevertheless, this
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study expands previous studies on green marketing and customer loyalty by including
relationship constructs as mediating variables.
Secondly, no prior research investigates the relation between green overall image and
green customer loyalty in the hotel sector. This study demonstrates that green overall
image positively influences not only green customer loyalty but also green trust and
green satisfaction. Moreover, this study provides empirical evidence that green
satisfaction and green trust mediates the relationship between green image and green
loyalty, which is consistent with previous research such as the paper by Lee et al. (2010),
which points to green overall image as a strategic concept that is suitable for generating
not only an overall evaluation of companies but also for arousing affective positive
perceptions of service performances. Fourth, increasing consumer perceptions about
green overall image, trust and satisfaction can help to raise customer loyalty for green
services in the hospitality industry. These results reveal the relevance of environmental
issues in today’s business context and the need for hospitality companies to include
them into their management strategies and policies. The findings demonstrate that
green issues are a key strategic tool, given its essential role in building not only customer
loyalty but also customer trust and satisfaction.
Hotel managers ought to design strategies to raise perception of green image and to
help guests to develop greater levels of green satisfaction and trust to build enduring
relationships with companies. To obtain these outcomes, hoteliers could implement
visible environmental practices such as energy and water conservation initiatives,
waste management systems, recycling programs, using environmentally friendly
products, obtaining environmental certifications (e.g. Green Globe Certification, Energy
Star, Green Seal […]), implementing sustainable building practices or developing
environmental protection initiatives, among others. Moreover, as customers’
perceptions of green overall image, trust and satisfaction might be largely affected by
corporate communications related to green issues, the hotel accommodation industry
should effectively communicate these initiatives to explain the goals of green strategies.
Consequently, hotel managers should emphasize the importance of environmental
issues by promoting green campaigns so as to build up the green overall image of hotels.
For example, NH Hotels’ actively promotes its “Green Rooms” that consist of key drivers
aimed at reducing the environmental impact of its bathrooms. For instance, new
dispensers of paper towels have been installed to achieve a significant reduction in the
amount used. Similarly, traditional taps have been replaced with aerators in 77 per cent
of hotels, while its “Agua de la Tierra” amenities are packaged in containers made of Customer
biodegradable plastic. Finally, the toilets operate with a flushing system fed from loyalty
collected rain water requiring 25 per cent less water than traditional models (Green
Hotelier, 2013). To effectively promote green initiatives, it is highly recommended that
hoteliers develop an integrated communication strategy with multiple information
channels to show the characteristics of a green hotel. For instance, green hotels should
use social media, direct mail, public relations and advertising to communicate their 909
green practices to customers. Specifically, by actively participating in ecological forums
and events, sponsoring environmental programs, increasing their presence in social
networks (e.g. Facebook, Twitter, Youtube, LinkedIn […]) and using in-house
advertising (e.g. in-house magazines and television channels aimed at customers), hotels
can develop a favorable overall image based on environmental aspects.
In addition, hospitality companies should develop specific programs to educate
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employees and customers to increase green trust and satisfaction. In a hotel context,
employees are essential mediators who transmit information from guests to managers
(and vice versa) showing that employees’ knowledge about environmental issues is vital
to enhance green customer satisfaction and trust. Therefore, hoteliers are encouraged to
provide training related to green and environmental issues (e.g. conferences, site visits,
competitions […]) to encourage employees to become involved in a hotel’s environment
program. Similarly, as hotel guests often are unaware of the impacts they have on the natural
environment, it is highly recommended that hotel managers help customers to understand
how they can minimize these negative impacts, for example, by providing information about
environmental issues on public areas of the hotel, hotel rooms, the corporate Web site or
annual reports. Hotel managers should also use other tools to influence customers’
perceptions of the green overall image of hotels such as the visual symbolism of the company
(e.g. corporate brand name, corporate graphic symbols, logo, claim, colors scheme […]).
Therefore, hotel managers should relate some elements of hotels’ visual identity with
environmental aspects to promote the development of a green overall image.
However, and even though hotels successfully perform and implement green
initiatives, guests may under-perceive the green overall image of the hotel (thereby
preventing the development of appropriate levels of green trust and satisfaction). Thus,
it would be advisable for hotel managers to show that they are “doing green” through
advertising and other communication tools to build green associations (e.g. green image)
in customers’ minds. However, hotel managers should perform green communication
campaigns carefully because guests’ reactions to “green washing” could be unfavorable
(Chan, 2013a). In this sense, companies have to ensure that they present and promote
their green attributes through sincere and truthful messages, reducing ambiguity, to
avoid green skepticism.
Furthermore, as experience is necessary to develop green customer trust and
satisfaction, customer will tend to become more trusting and satisfied through recurrent
positive encounters with the service provider. As a result, green hotel managers should
devote financial resources to inform customers about green behaviors of the hotel (e.g.
communication strategies, loyalty programs […]). This could be a powerful incentive to
integrate a green orientation in hotels’ business strategy, considering that green trust
and satisfaction are important determinants of green loyalty. Moreover, given that
green marketing can be a useful instrument to differentiate and position firms,
hospitality companies ought to take advantage of the environmental concerns of
IJCHM customers to benefit from new green niche markets. Nevertheless, the real challenge for
27,5 these firms is to integrate their environmental commitment into their corporate identity
instead of promoting their green products and services (Martínez et al., 2014).
To conclude, the present research stands out the relevance of green marketing
initiatives to achieve sustainable competitive advantages. In the author’s opinion, green
marketing should be an integral part of hospitality firms. The author considers that this
910 integration will be improved when hospitality managers realize that the implementation
of green marketing policies may help firms to reach a situation in which both the
company’s financial performance and the environment will benefit. By implementing
green marketing policies into their corporate strategies hospitality, companies can build
sustainable competitive advantages such as higher levels of differentiation, reduction of
operating costs, appeal to investors, the attraction of highly motivated employees and
higher levels of guest loyalty (Lee et al., 2010; Tzschentke et al., 2004). Similarly, green
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marketing may also result in increased demand from environmentally sensitive


customers because the ecological characteristics of services are likely to be appreciated
by these green customers (Polonsky and Rosenberger, 2001). Moreover, companies that
adopt environmental strategies may benefit from premium pricing and increased sales
because of enhanced market legitimacy and greater social approval (Chen, 2010). As
observed, academic literature has proved that a better environmental performance can
provide competitive advantages, which will subsequently improve financial
performance. In the case of customers, the main implication for them does not have a
financial nature. The author considers that the most important consequence for guests
of green accommodations is the satisfaction of their green wants and needs. According
to the Hospitality 2015 Report by Deloitte, one of the most significant benefits of
environmentally friendly hotels is the satisfaction of guests as “they respect the idea of
conserving the environment”. In this sense, consumers express a great interest in
environmental and green practices, but this interest does not necessarily translate into a
readiness to pay more but it may be seen in a reluctance to stay in a hotel that is
considered to be environmentally irresponsible (Chan, 2013a). According to this report,
as this expectation becomes the norm, it will be a defining factor in suppressing those
brands that are seen as less environmentally responsible.
This study had several limitations. The present study was performed in the Spanish
hotel context, so that future lines of research could concentrate on other industries or
other countries (e.g. with a longer tradition in green issues) to generalize the findings
presented here. Second, the framework of this research is restricted to its objectives.
This research has dealt with the relationship between the variables of interest, without
considering other antecedents and consequences. Thus, the need still exits to explore
other mediating variables (e.g. commitment regarding environmental issues). Thirdly,
bearing in mind the role of green trust and satisfaction as mediators between green
overall image and green loyalty, this research highlights the necessity to keep deepening
into the development of green trust and green satisfaction. In the fourth place, the author
did not incorporate consumers’ general attitude toward the environment that may be
able to test for differences between consumers with strong environmental concerns with
those who were less concerned about environmental issues. Thus, considering
subgroups of hotel customers in the green marketing context could be another
important line for future research.
Note Customer
1. Undergraduate students at the University of Cantabria (Spain) collaborated in the process of loyalty
collecting data. These students were coursing a compulsory subject in the Business
Administration degree, in which they had to develop a real market research. As the author
teaches this course, it was decided that the surveys were conducted by the students
themselves. Therefore, the author could supervise the fieldwork and guide students in
conducting the surveys. 911

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Appendix

Identification Item

Green image
GI1 This hotel company is regarded as the point of reference of environmental
commitments
GI2 This hotel company has a strong environmental reputation
GI3 This hotel company is successful about its environmental protection
GI4 This hotel company is well-established about its environmental concerns
GI5 This hotel company is trustworthy about its environmental promises
Green trust
GT1 The environmental commitments of this hotel company are generally reliable
GT2 The environmental performance of this hotel company is generally dependable
GT3 The environmental argument of this hotel company is generally trustworthy
GT4 The environmental concerns of this hotel company meet my expectations
GT5 This hotel company is sincere and honest about its environmental protection
Green satisfaction
GS1 The choice of this hotel company due to its environmental commitment makes
me happy
GS2 I consider it is correct to stay in this hotel company because of its
environmental commitment
GS3 I am satisfied with this hotel company because of its environmental
performance
Green loyalty
GS1 I generally choose this hotel company as my first option
GS2 I would stay in this hotel company although other competitors had the same
environmental attributes
GS3 I will choose this hotel company as my first option in the future
Table AI. GS4 I would make positive comments about this hotel company to family and
Measurement scales friends
About the author Customer
Patricia Martínez is a PhD candidate at the University of Cantabria (Spain). She has a doctoral
scholarship financed by the Spanish Ministry of Education, Culture and Sports, and has a loyalty
Master’s degree in Marketing from the University of Cantabria. Her current research interests
include corporate social responsibility, consumer behavior and corporate marketing. Her research
focuses on theoretical and empirical studies in the tourism sector. Her works have been published
in journals of international impact such as International Journal of Hospitality Management,
Journal of Business Ethics, Journal of Travel and Tourism Marketing and Service Business. She 917
regularly participates in several international conferences, such as European Marketing Academy
Conference and International Marketing Trends Conference. Patricia Martínez can be contacted
at: martinezrp@unican.es
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