Can Price Promotions Improve Tourist Loyalty to Tour Operators?

This work sets forth two main objectives: First, to analyze the effect that promotions have on tourist loyalty to tour operators, and second, to analyze this effect according to the purchasing pattern of tourists. Therefore, an empirical study is performed, and the promotional effect is analyzed by applying structural equation models. The results indicate that the effect by promotions on tourist loyalty differs according to the purchasing pattern of the consumer. Price promotions do not erode the loyalty of first-time consumers, while for consumers who have already acquired trips with the same tour operator, it is more appropriate to design specific loyalty policies.