Tourist expenditure and quality: why repeat tourists can spend less then first-timers
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[1] Universitat de les Illes Balears
Universitat de les Illes Balears
Palma de Mallorca, España
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- Localización: Tourism economics: the business and finance of tourism and recreation, ISSN 1354-8166, Vol. 16, Nº. 3, 2010, págs. 517-533
- Idioma: inglés
- Texto completo no disponible (Saber más ...)
- Dialnet Métricas: 1 Cita
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Resumen
In the tourism and marketing literature, repeat visitation/repeat purchasing is assumed to be desirable behaviour. However, consumer expenditure might decrease with purchase repetition. Thus, expenditure by repeat visitors could actually be lower than that of first-timers. This result can be explained using limited information models and consumers' perceptions of prices as a signal of product/ service quality. This paper estimates the effect that quality as a motivation may have on tourist expenditure, distinguishing between first-time and repeat visitors. The hypothesis is that quality as a motivation has a higher positive effect on tourist expenditure for first-timers than it does for repeat visitors. It is more likely for new visitors to regard higher prices as a signal of higher quality than repeat visitors, given their greater uncertainty about the characteristics of the destination.
