Academia Revista Latinoamericana de Administración

CSR influence on hotel brand image and loyalty

Patricia Martínez Andrea Pérez Ignacio Rodríguez del Bosque
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Patricia Martínez Andrea Pérez Ignacio Rodríguez del Bosque , (2014),"CSR influence on hotel brand
image and loyalty", Academia Revista Latinoamericana de Administración, Vol. 27 Iss 2 pp. 267 - 283
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CSR influence
CSR influence on hotel brand on hotel brand
image and loyalty image
Patricia Martı́nez, Andrea Pérez and Ignacio Rodrı́guez del Bosque
Faculty of Economics, University of Cantabria, Santander, Spain
267
Abstract Received 4 December 2013
Purpose – The purpose of this paper is to investigate the influence of corporate social responsibility Revised 4 December 2013
(CSR) on brand image and loyalty in the hotel industry. Accepted 6 December 2013
Design/methodology/approach – A reflective structural equations model was developed to test the
research hypothesis. The study was tested using data collected from a sample of Spanish consumers
who assessed the top ten Spanish hotel chains operating in the Latin American context.
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Findings – The role of CSR as a tool to generate both functional and affective brand image, and
loyalty was confirmed. CSR has a greater influence on the affective dimension of brand image, whereas
functional image has a greater influence on brand loyalty. Furthermore, CSR can be seen as having a
direct positive effect on brand loyalty.
Research limitations/implications – It is necessary to extend this study to other subsectors in the
tourism industry and to other Latin American countries. Future research should measure CSR as a
formative construct to provide a greater consensus regarding the measurement of this topic. Moreover,
the inclusion of new variables in the model would increase its explanatory power.
Originality/value – The principal contribution of this paper is that it provides important insights
into the development of efficient strategies to enhance brand image and loyalty through CSR. Findings
from this study may be of importance for hotel managers and directors when developing more
effective branding strategies.
Keywords Brand image, Corporate social responsibility, Latin America, Brand Loyalty, Hotel sector,
Reflective indicators
Paper type Research paper

1. Introduction
Branding is one of the most important trends in the global hotel industry. In the USA,
brand penetration in the ratio of branded vs non-branded properties is over 70 percent
in the hospitality industry whereas in Europe it is under 25 percent (Forgacs,
2006). Additionally, the concepts of brand image and loyalty have gained considerable
attention from academicians and practitioners in recent years. Several reasons have
been cited for the growth of these notions within the hotel industry. From the
perspective of customers, key benefits comprise the reduction of search costs and
perceived risks. From the point of view of brand managers, central benefits include the
ability to set a price premium over rival hotel chains and independent hotels, the ability
to gain market share against these competitors and the ability to build brand loyalty.
Despite these advantages, the existing literature on brand image and loyalty within the
hotel industry is still limited (Kayaman and Arasli (2007)). Therefore, it is considered
indispensable to delve into the tools used by hotel companies to enhance their brand
image and loyalty.
Academia Revista Latinoamericana
de Administracion
This research was funded by the FPU Scholarship Program provided by the Spanish Ministry of Vol. 27 No. 2, 2014
Education, Culture and Sports. pp. 267-283
r Emerald Group Publishing Limited
The authors also thank the editor and the two anonymous reviewers for their helpful feedback 1012-8255
and encouragement. DOI 10.1108/ARLA-12-2013-0190
 ARLA In this sense, the development of a favorable brand image and the maintenance of
27,2 loyal stakeholders is related to the maintenance of a responsible behavior toward these
collectives by respecting the environment (Bigné et al., 2005; Garcı́a de los Salmones
et al., 2005), reducing the consumption of natural resources (Manaktola and Jauhari,
2007), engaging in social causes and providing a fair treatment to employees (David
et al., 2005). However, managers do not forget that companies have a number
268 of economic obligations related to making profit, long-term success and improving
economic performance. All these ideas are closely-related to the philosophy of
corporate social responsibility (CSR), which sets aside the idea that organizations
are oriented only to shareholders, worrying about maximizing profits (Friedman,
1962), to incorporate other issues in the design of corporate strategy. Today, the CSR
field presents not only a landscape of theories but also a proliferation of approaches,
which are controversial, complex and unclear. Garriga and Melé (2004) clarify the
situation by classifying the main CSR theories in four groups: instrumental theories,
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political theories, integrative theories and ethical theories. As a key focus within this
latter category, Garriga and Melé (2004) include the theory of sustainable development
which will be followed in this study to the conceptualization of CSR since it has been
widely applied in the field of tourism (Martı́nez and Rodrı́guez del Bosque, 2012;
Martı́nez et al., 2013).
Finally, the authors develop this research based on the Latin America context
for the following reasons. First, ethical and socially responsible aspects have lately
been a relevant focus in the academic research within the Latin America context
(Roitstein, 2004; Ogliastri et al., 2009; Reficco and Ogliastri, 2009). As Flores et al. (2009,
p. 59) state “the development of CSR [strategies] in the Latin American region has been
driven in recent decades.” These authors also reflect in their study that several Latin
American companies have taken concrete actions in the field of social responsibility.
Moreover, the concept of CSR is going through something of a renaissance in the Latin
American context, particularly because special issues of academic journals (see: the
special volume 43 of Academia Revista Latinoamericana de Administracion: Empresa y
Sociedad en Latinoamérica). Second, the most significant presence of the leading
Spanish hotel chains abroad occurs in Latin America and the Caribbean (Berbel, 2008;
Fuster et al., 2010). Similarly, the tourism sector in Latin America is one of the first
service industries in the region. The tourism sector in these geographic areas
corresponds to 7.3 percent of the general economy contributing 9.6 percent to the GDP
(CEPAL, 2011). It is therefore considered that this research is of interest because
knowledge of CSR, brand image and customer loyalty are key aspects for managers of
hotel chains in both the Spanish and Latin American context enabling them to develop
most effective branding strategies. Moreover, the host country would be helped
by a greater and better establishment of hotel companies, favoring the competitiveness
of these regions. Consequently, the objective of this study is to contribute to the
academic literature by providing relevant information for the management of brand
image and customer loyalty. Thus, this study aims to investigate the role of CSR
in the formation of brand image and loyalty in hotel services. The development of the
research, its results and the main conclusions are presented below.

2. Literature review and hypotheses development

2.1 Influence of CSR on brand image and customer brand loyalty
When making their purchasing decisions customers are influenced not only by merely
tangible attributes (price and quality), but more intangible characteristics such as
 brand associations, brand image or corporate reputation (Cretu and Brodie, 2007). CSR influence
Lynch and Chernatony (2004) suggest that those brands based on emotional values on hotel brand
are perceived as more durable and less likely to suffer from competitive erosion.
Consequently, CSR as an emotional aspect of brand image and loyalty becomes an image
important source of sustainable competitive advantages. Brand image has been
recognized as one of the most important concepts in marketing and it is defined as
perceptions about a brand as reflected as brand associations held in consumer memory 269
(Keller, 1993). However, there is no consensus in the academic literature regarding the
dimensions forming the concept. A number of authors have addressed this topic.
For instance, Kennedy (1977) suggests that brand image has two main components:
the functional and the affective dimension. The functional dimension is related to
tangible characteristics that can be easily measured, while the emotional dimension is
associated with a psychological dimension manifested through feelings and attitudes
toward the company. In the present study we analyzed brand image in terms of these
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two dimensions since the differentiation between a functional and an emotional domain
of brand image is a common practice among researchers (Vazquez et al., 2002).
This decision will allow us to delve into the relationship between CSR, customer loyalty
and both dimensions of brand image and make a greater contribution to the academy.
A favorable and well-known image is an asset for any firm because image
has an impact on customer perceptions of the communication and operations of the
firm (Kang and James, 2004). Therefore, CSR perceptions provide valuable content to
brand image. By linking a brand with ethical and social issues, the bond with the brand
is reinforced (Berry, 2000; Rust et al., 2000), to the extent that it conveys a distinct
character (Keller and Aaker, 1992) and values (Turban and Greening, 1997) showing
respect toward customers and enhancing loyalty to the company (Maignan et al., 1999).
However, even though brand image is one of the most important intangible assets of
the company, it still exists a certain degree of ignorance on the part of businesses
about how it is perceived by consumers. Thus, we consider the existence of a positive
direct relationship between CSR perception and both dimensions of brand image.
Thus, based on the previous ideas, we propose the following hypothesis:

H1. Perceived CSR will positively influence on functional brand image.

H2. Perceived CSR will positively influence on emotional brand image.

In respect to the relationship between CSR and brand loyalty, previous research
suggests that socially responsible initiatives can be positively correlated with both
brand choice and brand recommendation (Klein and Dawar, 2004). Traditionally,
brand loyalty has been approached from two different perspectives: behavioral and
attitudinal (Yi and La, 2004). In the first case, loyalty is represented by the number of
repurchases made from the consumer in a period of time without considering the
reasons why the product/service is acquired and the factors influencing the decision
(Dick and Basu, 1994). From the attitudinal perspective, loyalty is analyzed in terms of
consumer preferences and intentions (Dick and Basu, 1994).
Those companies operating in a socially responsible way and carrying out CSR
strategies can enhance the link with their stakeholders (Aaker, 1996; Maignan
et al., 1999). As Delgado and Munuera (2001) argue, loyalty is based on an individual
experience with the brand so the result comes not only from direct relations arising
from the use of the service, but also other indirect contacts coming through advertising
 ARLA or the image and reputation of the company. Following these ideas, the perception
27,2 of a socially responsible behavior can strengthen brand loyalty as it conveys
a character (Keller and Aaker, 1992), a system of distinct values (Turban and Greening,
1997), showing respect toward customers and enhancing loyalty to the company
(Maignan et al., 1999). On the other hand, some academics have observed that a large
number of consumers are more willing to buy products from companies involved in
270 social causes (Maignan et al., 1999; Garcı́a de los Salmones et al., 2005). Accordingly,
individuals value the efforts of companies that engage in philanthropy programs,
energy conservation plans or sponsorship of cultural or social events, among other
initiatives. Additionally, this support may lead to a greater brand loyalty (Maignan
et al., 1999). Therefore, we propose the following hypothesis:

H3. Perceived CSR will positively influence on customer brand loyalty.

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Furthermore, brand loyalty is determined by brand image (Park et al., 2004; Brunner
et al., 2007). In the search for the key determinants of customer brand loyalty, several
researchers have proposed brand image as a key component finding that this construct
is associated with loyalty (Andreassen and Lindestad, 1998; Park et al., 2004; Brunner
et al., 2007). In the tourism industry, Kandampully and Suhartanto (2000) found
that brand image is one of the most important factors for hotel guests in their
recommendation and purchase intent. However, the relationship between image
and loyalty is not clear (Ziaul et al., 2010) since several studies have failed to
demonstrate the direct impact of brand image on customer loyalty (Davies and Chun,
2002). Similarly, brand loyalty has been studied extensively in relation to customer
satisfaction, while brand image has received much less attention (Brunner et al.,
2007). With regard to this, Andreassen and Lindestad (1998) argue that in complex and
infrequently used services, brand image rather than satisfaction may be the main
predictor of brand loyalty. Following this line of thought and given the high involvement
of customers in the tourism sector (which produces a much closer relationship between
the company and the consumer) and the low frequency of use of hotel services we
propose that:

H4. Functional brand image will positively influence on customer brand loyalty.

H5. Emotional brand image will positively influence on customer brand loyalty.

3. Research methodology and variables measurement

The quantitative method used to test the proposed research hypotheses included the
development of a survey questionnaire to measure customers’ perceptions of
hotel brands. The justification for the selection of this method was threefold. First,
survey research involves a structured questionnaire that is effective in eliciting
specific and primary information from respondents. Second, the use of the survey
method facilitates the examination of factors and relationships that are not directly
measurable (Hair et al., 2010) and that are the focus of this study. Finally, prior
researchers have extensively used the survey method to examine perceived CSR
(Maignan, 2001; Garcı́a de los Salmones et al., 2005; Martı́nez et al., 2013), brand
image (Kandampully and Suhartanto, 2000; Brunner et al., 2007) and brand loyalty
(Delgado and Munuera, 2001; Yi and La, 2004; Ziaul et al., 2010), making this method
appropriate for this research.
 To design the research sample, a non-probability sampling procedure was CSR influence
chosen (Trespalacios et al., 2005). Specifically, a convenience sample was used. on hotel brand
In order to ensure greater representation of the data, a multistage sampling by
quotas was made by characterizing the population according to two criteria relevant image
to the investigation: the sex and the age of the respondent, which is included in
the National Statistics Institute (2011). Respondents had to assess the leading
Spanish hotel chains operating in Latin American. Table AI shows the specific 271
hotel brands that respondents had to evaluate. At the time of designing the
questionnaire, a classification question was included to ensure that only those
customers who had stayed in one of these chains in Latin America or the Caribbean
in the last 12 months were involved in the study. Fieldwork was conducted in
April 2011 and after data collection and treatment 1,921 valid questionnaires were
obtained.
All measurement items had been validated in previous studies producing high
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Cronbach’s a and, therefore, were considered appropriate for this study. Nevertheless,
item wording was slightly modified to reflect the context of this study. CSR was
measured following the scale of Bigné et al. (2005). This scale, however, has not been
previously confirmed by first- or second-order factor analysis, a task which is
undertaken in this research. Brand image was measured following the validated
scale by Martı́nez et al. (2004b), while brand loyalty included items measuring both
attitudinal and behavioral aspects. The final measures are provided in the Table AII.
Finally, Table I displays the respondents’ profile.

n %

Gender
Male 959 49.8
Female 962 50.2
Occupation
Student 272 14.1
Self-employed 263 13.7
Worker 758 39.4
Retired/pensioner 336 17.5
Unemployed 107 5.6
Housework 185 9.7
Age
From 18 to 24 191 10
From 25 to 34 382 19.9
From 35 to 44 362 18.8
From 45 to 54 364 18.9
From 55 to 64 265 13.8
Over 65 357 18.6
Education
No education 155 8.1
Basic/elementary/secondary 440 22.9
Baccalaureate/FP/COU/BUP 573 29.8
Associate degree 390 20.3
Higher university 363 18.9
Table I.
Source: National Statistics Institute (data from January 1, 2011) Sample profile
 ARLA In order to measure the constructs (latent variables), reflective indicators were used.
27,2 With regard to this, latent variables may be associated with reflective or formative
indicators. In this research, each indicator of the proposed model is considered as
a reflective indicator constituting a direct measurement of the variables (Edwards and
Bagozzi, 2000). Reflective indicators are an explanation for observed variances or
covariances and reflective models minimize the trace of the residual variances in the
272 outer (measurement) equations (Fornell and Bookstein, 1982). In this study, data were
analyzed using variance and covariance structure analysis. Particularly, confirmatory
factor analysis (CFA) and structural equation modeling (SEM) using the statistical
software programs SPSS 18 and EQS 6.1. The main reason why this type of indicators
was employed in this study is that the EQS statistical software can only handle
reflective indicators ( Jöreskog and Goldberger, 1975; Dellande et al., 2004). Actually, as
Chin (1998, p. 301) proposes “in covariance structure analysis all indicators must be
treated in a reflective manner where they are causally influenced by an underlying
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construct.” A comprehensive literature review shows that this technique is widely used
for CSR (Maignan et al., 1999; Garcı́a de los Salmones et al., 2005; Isa, 2011), brand
image (Martı́nez et al., 2004a, b) and brand loyalty measurement (Park et al., 2004;
Brunner et al., 2007).

4. Results
So as to explore the dimensional nature of CSR, first- and second-order CFA were
performed according to the maximum robust likelihood estimation procedure,
using the statistical software program EQS 6.1. The reliability of the measurement
scale was assessed by the Cronbach’s a coefficient (Cronbach, 1951) and the average
variance extracted (AVE) (Hair et al., 2010). The values of these statistics exceed the
minimum recommended values of 0.7 and 0.5, respectively (Hair et al., 2010).
In addition, all items are significant at a confidence level of 95 percent, and
standardized l coefficients are above 0.5 (Steenkamp and van Trijp, 1991), confirming
the convergent validity of the model. Finally, the goodness of fit of the analysis
was verified with the Satorra-Bentler w2 ( po0.05) and the fit indices NFI and NNFI
(or TLI) (Bentler and Bonnett, 1980), CFI (Bentler, 1988) and IFI (Bollen, 1989).
All values were 40.9 (Bentler, 1992), indicating that the model provides a good fit. In
order to assess the reliability and validity of the other constructs (brand image and
loyalty) we followed the same procedure (Table AIII) (Table II).
Finally, confirmatory analyses must be completed through the development
of a second-order CFA to gain a better understanding of the concept under study.
The factor loading for the economic dimension of CSR was o0.5 (Steenkamp and van
Trijp, 1991) and was not significant at a confidence level of 95 percent, making it
inappropriate for inclusion in the measurement scale. Therefore, CSR is seen as a
second-order factor generated from the relationship between two lower order factors:
society and environment.
With regard to this, Carroll (1999) distinguishes between an “economic” and a
“non-economic component” of CSR. The “economic component” is described as the
responsibility to produce those goods and services desired by society and sell them for
a profit, while the “non-economic component” refers to everything that the company
does not by itself but by others (Carroll, 1999). Similarly, Aupperle et al. (1985) conclude
that CSR can be evaluated through two categories. The first category was labeled
as “concern for society” and the second “concern about economic performance”.
It is observed that the economic dimension correlates negatively with the
 Measured
CSR influence
Latent variable variable Standardized l R 2
Cronbach’s a AVE Goodness of fit on hotel brand
Economy CSR1 0.78 0.61 0.90 0.68 S-Bw2 (113df ) 1185.51
image
CSR2 0.86 0.74 ( p ¼ 0.000)
CSR3 0.83 0.70 NFI ¼ 0.92
CSR4 0.83 0.69 NNFI ¼ 0.92
Society CSR5 0.71 0.51 0.86 0.52 CFI ¼ 0.93
273
CSR6 0.71 0.50 IFI ¼ 0.93
CSR7 0.78 0.60
CSR8 0.65 0.42
CSR9 0.70 0.49
CSR10 0.76 0.58
Environment CSR11 0.74 0.55 0.98 0.55
CSR12 0.75 0.57
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CSR13 0.73 0.53

CSR14 0.72 0.52
CSR15 0.80 0.63 Table II.
CSR16 0.78 0.61 CFA of the
CSR17 0.77 0.59 dimensions of CSR

non-economic category. According to these authors, this distinction is logical since CSR
has been associated with ethical, legal and philanthropic actions. In this sense, the
economic dimension can become a distorting factor for the social and environmental
dimensions (Lee, 2008). When examining customer’s perceptions of CSR issues this
result is much more evident. Maignan and Ferrell (2001) and Garcı́a de los Salmones
et al. (2005) have empirically demonstrated that customers do not include the economic
responsibility within the concept of CSR. From a methodological perspective, the
elimination of the economic dimension reflects the dual nature of CSR regarding its
reflective/formative nature. This finding represents the first contribution of this
research as it allows us to develop a second-level inference that externally validates
previous findings suggesting that customers’ perception of the economic responsibility
of CSR does not share a common cause with social and environmental responsibilities
(Lee, 2008). This fact could be explained because when the flow of this type of
relationship is reversed, measures can be regarded as causes of the construct (Edwards
and Bagozzi, 2000), suggesting that CSR could be a formative construct.
Figure 1 shows the final estimates of the second-order model. Additionally, it
displays the reflective sub-dimensions (first-order constructs) and a reflective
relationship between the first-order constructs (social and environmental dimension)
and the second-order latent variable (CSR). Furthermore, the goodness-of-fit indices
(NFI, NNFI, CFI and IFI) exceed the recommended value of 0.90, and the root mean
square error of approximation (RMSEA) is very close to the value of 0.08. Therefore,
the second-order model provides a good fit. To conclude, it is worth noting that the
estimated coefficients for the two factors of CSR (society and environment) are all
above the minimum required value of 0.5 and they are significant at a confidence level
of 95 percent (Steenkamp and van Trijp, 1991). Consequently these factors truly
represent the underlying concept. Then, the proposed hypotheses are tested.
Following Anderson and Gerbing (1998) the validity and reliability of all constructs
were assessed by a CFA. Previously, it was performed a second-order CFA to the
constructs of brand image and loyalty (Table AIII). The results of the CFA of the final
 ARLA 0.70
DSoc ESoc1
27,2 CSR5
0.71 0.70
0.48
CSR6 ESoc2
0.71 0.63
274 Soc 0.78 CSR7 ESoc3

0.77
0.65 CSR8
ESoc4
0.70 0.72
0.88
CSR9 ESoc5
0.76
0.64
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CSR10 ESoc6
CSR
0.67
DEnv EEnv1
CSR11
0.66
0.87 EEnv2
0.74
CSR12
0.49 0.69
0.75
CSR13 EEnv3
0.73
0.69
Env EEnv4
0.72 CSR14
0.80 0.61
CSR15 EEnv5
0.78
0.622
0.77
CSR16 EEnv6
0.64
Figure 1. EEnv7
CSR17
Second-order CFA of the
dimensions of CSR
(first- and second-order
reflective model) Notes: S-B2 = 1165.07; p = 0.000 NFI = 0.92; NNFI = 0.92; CFI = 0.93; IFI = 0.93;
RMSEA = 0.08

model are shown in Table III. The proposed model is correct since all second-order
variables have internal validity, as demonstrated by the Cronbach’s a and the AVE,
which exceed 0.7 and 0.5, respectively (Hair et al., 2010). The standardized coefficients
are significant and exceed the value of 0.5 ensuring the convergent validity of the
dimensions. Finally, regarding the social aspects of CSR, they take a similar weight in
the construct that environmental issues.
In order to confirm the discriminant validity the procedure described by Fornell and
Larcker (1981) was followed. These authors compare the correlations of the factors
with the square root of the AVE for each of the factors. Discriminant validity can be
established if the square root of the AVE for each one of the factor is greater that the
 Measured Standardized Cronbach’s
CSR influence
Latent variable variable l R2 a AVE Goodness of fit on hotel brand
Corporate social Soc 0.88 0.77 0.85 0.74 S-Bw2(312 df )
image
responsibility (CSR) Med 0.84 0.71 470.212
Functional image (FUNC) Funct 1 0.75 0.56 0.71 0.55 ( p ¼ 0.000)
Funct 2 0.65 0.42 NFI ¼ 0.948
Funct 3 0.60 0.22 NNFI ¼ 0.942
275
Affective (emotional) image Affec 1 0.73 0.28 0.83 0.55 CFI ¼ 0.960
(AFFEC) Affec 2 0.70 0.50 IFI ¼ 0.960
Affec 3 0.74 0.56
Affect 4 0.79 0.48
Loyalty (LOY) Behav 0.80 0.82 0.84 0.73 Table III.
Actit 0.90 0.64 CFA of the final model
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correlations among the factors. As Table IV shows the square root of the AVE for each
factor is greater than its correlations with other factors, providing evidence for
discriminant validity. Consequently, the global model is estimated. The goodness
of fit indices is correct as all the statistics exceed the optimal values (Figure 2, Table V).
In view of this results, it is confirmed the role of CSR as a tool to generate functional
and affective brand image and customer brand loyalty. It is observed that CSR
efforts have commercial benefits since the perception of an ethical and responsible
behavior affects the functional and emotional dimension of brand image as well as
brand loyalty. On the other hand, it is shown that brand image plays a major role in
explaining customer behavior and attitudes toward the brand. Specifically, it is found
that CSR has a greater influence on the affective dimension of brand image (b ¼ 0.641*)
than on the functional dimension of this construct (b ¼ 0.567*). Also, it is confirmed

CSR Functional image Affective image Loyalty

CSR 0.86
Functional image 0.270 0.74
Affective image 0.450 0.320 0.74
Loyalty 0.488 0.536 0.427 0.85
Notes: The italic diagonal elements are the square root of the variance shared between the constructs Table IV.
and their measures. Off diagonal elements are the correlations among constructs Discriminant validity

FUNCT

0.567 0.417

CSR 0.138 LOY

Figure 2.
0.641 0.360 Structural model
AFFEC estimation
 ARLA that the functional dimension of brand image has a greater influence on loyalty
27,2 (b ¼ 0.417*) than affective brand image (b ¼ 0.360*). Furthermore, CSR has a positive
direct effect on brand loyalty (b ¼ 0.138*). It is true that the influence of CSR on
consumer brand loyalty is enhanced through the two dimensions of brand image.
However, the direct relationship between CSR and loyalty is significant, so this
influence should not be neglected.
276
5. Conclusions, limitations and future lines of research
This research has explored the concepts of brand image and loyalty from the
perspective of consumers. At the same time, it has delved into the benefits of CSR as a
tool to generate these aspects. In order to conceptualize CSR in the tourism sector,
the theory of sustainable development has received a great support in the academic
literature. This theory defines CSR as a multidimensional construct composed of
economic, social and environmental issues (Martı́nez and Rodrı́guez del Bosque,
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2012; Martı́nez et al., 2013). However, it is confirmed that from the perspective of
consumers there are only two dimensions: social and environmental. Validating
the multidimensionality of the CSR measurement scale through a second-order CFA the
economic component was removed. In this regard, a literature review indicates that
it is needed a greater number of studies aimed at analyzing the consequences of a
responsible behavior on customers since the empirical evidence is still uncertain.
From a methodological point of view, the elimination of the economic dimension
reflects the dual nature of CSR regarding its reflective/formative nature. Findings from
this research show that CSR has a greater influence on the affective dimension of brand
image (b ¼ 0.641*) than on the functional dimension (b ¼ 0.567*). Furthermore,
functional brand image (b ¼ 0.417*) has a greater influence on brand loyalty than
affective brand image (b ¼ 0.360*). It is also demonstrated that CSR has a positive
direct effect on brand loyalty (b ¼ 0.138*). These results allow us to detect certain
implications for hotel managers.
First, if the goal of hotel managers is to enhance brand image through CSR
initiatives, they must take into account that this strategy will be more effective if they
develop a brand personality associated with emotional and social aspects (ethics,
community support, responsible environmental behavior, fair treatment to employees,
etc.) than through functional aspects such as price and quality. Similarly, if managers
want to improve brand loyalty through brand image they should design strategies
linked with the functional benefits of the service (facility design, room cleanliness,
security, location, food and drinks, etc.). Second, it appears that the direct influence of
CSR on customer brand loyalty has a lower strength than the influence of this

Hypotheses Structural relationship Std. coefficient (t-value) Contrast

H1 CSR-functional image 13.483* Accepted

H2 CSR-affective image 18.717* Accepted
H3 CSR-loyalty 2.184* Accepted
H4 Functional image-loyalty 9.053* Accepted
H5 Affective image-loyalty 20.084* Accepted
Table V.
Structural equation Notes: S-Bw2(312 df ) ¼ 470.212 ( p ¼ 0.000); NFI ¼ 0.948; NNFI ¼ 0.942; CFI ¼ 0.960; IFI ¼ 0.960.
model results * po0.05
 construct through brand image. Therefore, we encourage managers whose aim is to CSR influence
create a loyal consumer base through CSR initiatives to make it through policies and on hotel brand
strategies that communicate a responsible brand image. The influence of these actions
on consumer attitudes will be effective only when this collective is aware of the fact image
that companies perform this type of initiatives. Therefore, any company has to
effectively communicate their social and environmental orientation to their target
audiences. To do so, managers could use different communication channels such as the 277
web pages of their establishments or mass media to promote their initiatives in each
CSR dimension. It is also possible to involve consumers in this type of activities. For
instance, customers can reduce their energy and water consumption, recycle different
materials or donate a percentage of their bill to a social cause supported by the hotel.
Finally, we urge managers to create a positive brand image since this component
has a great effect on consumer brand loyalty. Our findings are consistent with
previous studies in the tourism sector (Kandampully and Suhartanto, 2000) which
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show that the hotel image is one of the most important factors in consumer’s
recommendation and purchase intent. In fact, having a well-known brand whose
image is attractive to consumers is the best guarantee of success for the services of
any company.
Although our hypotheses are supported, this study has a few limitations that
present opportunities for further research. This study tests the hypothesis on a
specific subsector of the tourism industry and on customers belonging to a concrete
socio-cultural context. Future research should test this model in other contexts,
for instance in different subsectors of the tourism industry and in different Latin
American countries to generalize the results obtained. Second, it is necessary further
development of CSR measurement scales from the perspective of consumers. This
research is based on the theory of sustainable development and the three dimensions
considered, noting that the economic dimension was not perceived as an integral
dimension of the CSR construct in the context of tourism businesses. Thus, futures
studies should explore how customers understand and perceive this concept. Moreover,
future research should measure CSR as a formative construct to provide a greater
consensus in the academic literature. On the other hand, the inclusion of new
variables in the model would increase its explanatory power. In particular, it would be
interesting to include satisfaction as a mediator between brand image and
loyalty, since little is known about the relationship of these variables, especially in
complex and infrequently used services. Finally, despite the aforementioned
limitations, this study provides new insights into CSR and its benefits. At the
same time, this research should stimulate new research that allows both scholarships
and managers to understand the implications of corporate socially responsible
behaviors.

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Appendix

Hotel chain Hotels Rooms Hotel chain Hotels Rooms

Melia Hotels International 143 39.654 Oasis Hoteles (Globalia) 25 10.954

NH Hoteles 215 36.328 Occidental Hoteles 22 8.279
Barcelo Hoteles and resorts 130 32.086 Bahı́a Principe 13 7.297
Iberostar Hoteles and Resorts 64 25.435 Fiesta Hoteles 16 5.549 Table AI.
Riu Hoteles and resorts 54 23.023 Hotetur 10 3.210 Ranking of the leading
Spanish hotel chains in
Source: Hosteltur (2008) Latin America
 ARLA Latent variable Measured variable ĺtem
27,2
Corporate society responsibility (CSR) (based on Bigné et al., 2005)
ECO CSR1 – Obtains the greatest possible profits
CSR2 – Tries to achieve long-term success
CSR3 – Improves its economic performance
282 CSR4 – Ensures its survival and success in the long run
SOC CSR5 – Is committed to improving the welfare of the
communities in which it operates
CSR6 – Actively participates in social and cultural events
CSR7 – Plays a role in society that goes beyond mere profit
generation
CSR8 – Provides a fair treatment to employees
CSR9 – Provides training and promotion opportunities for
employees
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CSR10 – Helps to solve social problems

ENV CSR11 – Protects the environment
CSR12 – Reduces its consumption of natural resources
CSR13 – Recycles
CSR14 – Communicates to its customers its environmental
practices
CSR15 – Exploits renewable energy in a productive process
compatible with the environment
CSR16 – Conducts annual environmental audits
CSR17 – Participates in environmental certifications
Brand image (IMA) (based on Martı́nez et al., 2004b)
IM-AF AFFEC 1- This brand arouses sympathy
AFFEC 2- This brand transmits a personality that differentiate
itself from competitors
AFFEC 3 – The hiring of services with this brand says
something about the kind of person you are
AFFEC 4- I have a picture of the kind of people who contract
with this brand
IM-FU FUNCT 1 – Services offered by this brand are of high quality
FUNCT 2 – Services offered by this brand have better features
that those of competitors
FUNCT 3 – Services offered by this brand are usually more
expensive than those of competitors
Brand loyalty (LOY) (based en Suarez et al., 2007)
LOY – ACT LOY 1 – I shall continue considering this one as my main brand
in the next few years
LOY 2 – I would recommend this brand if somebody asked my
advice
LOY 3 – I would make positive comments about this brand to
relatives and friends
LOY – BEHAV LOY 4 – I usually use this brand as my first choice compared to
other brands
LOY 5 – I could find other brands offering services at lower
prices than this brand
LOY 6 – There are different brands that might offer additional
services
Table AII. LOY7 – It would be costly in terms of money, time and effort to
Measurement scales end the relationship with this brand
 CFA brand image CSR influence
Measured Goodness on hotel brand
Latent variable variable Std. l R2 Cronbach’s a AVE of fit
Functional image FUNCT 1 0.68 0.47 0.75 0.60 S-Bw2(12df ) image
FUNCT 2 0.65 0.42 241.409
FUNCT 3 0.55 0.30 ( p ¼ 0.000)
Affective image AFFEC 1 0.57 0.33 0.79 0.66 NFI ¼ 0.902
AFFEC 2 0.75 0.57 NNFI ¼ 0.933 283
AFFEC 3 0.69 0.48 CFI ¼ 0.940
AFFEC 4 0.64 0.41 IFI ¼ 0.941
CFA brand loyalty
Actitudinal loyalty LOY 1 0.75 0.56 0.75 0.59 S-Bw2 (12df )
LOY 2 0.68 0.47 444.866
LOY 3 0.74 0.55 ( p ¼ 0.000)
LOY 4 0.60 0.36 NFI ¼ 0.938
Behavioral loyalty LOY 5 0.79 0.62 0.80 0.56 NNFI ¼ 0.896
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LOY 6 0.85 0.72 CFI ¼ 0.904

LOY 7 0.68 0.46 IFI ¼ 0.905
Discriminant validity – brand image and loyalty
Behav. Funct. Affect. image
Act. loyalty loyalty image
Act. loyalty 0.76
Behav. loyalty 0.31 0.74
Funct. image 0.39 0.57 0.77
Affec. image 0.41 0.42 0.63 0.81
Table AIII.
Notes: The italic diagonal elements are the square root of the variance shared between the constructs and Validation of the
their measures. Off diagonal elements are the correlations among constructs measurement scales

About the authors

Patricia Martı́nez is currently a PhD Student at the Universidad de Cantabria (Spain). Her current
research interests include corporate social responsibility, corporate identity and image
and consumer behavior in the tourism industry. Her work has 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 also
regularly participates in international conferences and congresses. Patricia Martı́nez is the
corresponding author and can be contacted at: martinezrp@unican.es
Dr Andrea Pérez, PhD, is a Lecturer in Marketing at the Universidad de Cantabria (Spain).
Her current research interests include corporate social responsibility, corporate image and
identity and consumer behavior. Her papers have been published in international journals such
as European Journal of Marketing, Journal of Business Ethics, Service Business or the
International Journal of Bank Marketing.
Ignacio Rodrı́guez del Bosque, PhD, is a Professor of Marketing at the Universidad de
Cantabria (Spain). His areas of research include tourism, business communication, relationship
marketing and distribution channels. His papers have been published in several international
journals, such as Annals of Tourism Research, Tourism Management, Journal of Retailing and
Consumer Services, and Industrial Marketing Management.

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