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The Influence of Visitors’ Satisfaction on Expenditure Behaviour

  • Marta Disegna

    ()

    (Free University of Bozen-Bolzano, School of Economics and Management, Italy.)

  • Linda Osti

    ()

    (Free University of Bozen-Bolzano, School of Economics and Management, Italy.)

This study analyses spending behaviour of international visitors to Italy. In specific it focuses on the impact that visitors’ satisfaction with different attributes of the trip exerts on expenditure among different service categories. Despite a general recognition by the economic literature that customer satisfaction exerts a positive effect on both economic returns and brand loyalty, very few academic studies explored the relationship between tourists’ satisfaction with a destination and spending behaviour. This study focuses on the 1,030 visitors who travelled to the provinces Bolzano, Trento, and Belluno (Northern Italy), an area around the Dolomites. The Double-hurdle model with the Heien and Wessells estimator is applied. Discussion of the empirical evidence is aimed at highlighting the main relations between expenditure behaviour and satisfaction. Policy implications and managerial issues for tourism destinations are also presented.

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Paper provided by School of Economics and Management at the Free University of Bozen in its series BEMPS - Bozen Economics & Management Paper Series with number BEMPS14.

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Length: 30 pages
Date of creation: Dec 2013
Date of revision:
Handle: RePEc:bzn:wpaper:bemps14
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  1. Justo Manrique & Helen H. Jensen, 1997. "Spanish household demand for convenience meat products," Agribusiness, John Wiley & Sons, Ltd., vol. 13(6), pages 579-586.
  2. Brida, Juan Gabriel & Disegna, Marta & Scuderi, Raffaele, 2012. "Visitors of two types of museums: do expenditure patterns differ?," MPRA Paper 38841, University Library of Munich, Germany.
  3. Brida, Juan Gabriel & Scuderi, Raffaele, 2012. "Determinants of tourist expenditure: a review of microeconometric models," MPRA Paper 38468, University Library of Munich, Germany.
  4. Oliver, Richard L & Swan, John E, 1989. " Equity and Disconfirmation Perceptions as Influences on Merchant and Product Satisfaction," Journal of Consumer Research, University of Chicago Press, vol. 16(3), pages 372-83, December.
  5. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-38, May.
  6. Heien, Dale & Wessells, Cathy Roheim, 1990. "Demand Systems Estimation with Microdata: A Censored Regression Approach," Journal of Business & Economic Statistics, American Statistical Association, vol. 8(3), pages 365-71, July.
  7. Patrick J. Byrne & Oral Capps & Atanu Saha, 1996. "Analysis of Food-Away-from-Home Expenditure Patterns for U.S. Households, 1982–89," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(3), pages 614-627.
  8. Amemiya, Takeshi, 1974. "Multivariate Regression and Simultaneous Equation Models when the Dependent Variables Are Truncated Normal," Econometrica, Econometric Society, vol. 42(6), pages 999-1012, November.
  9. Amemiya, Takeshi, 1984. "Tobit models: A survey," Journal of Econometrics, Elsevier, vol. 24(1-2), pages 3-61.
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