Effect of Service Quality and Brand Image on Repurchase Intention through Word of Mouth at Budget Hotels Airy Rooms

Abstract

The study done aimed to analyze the factors that could affect repurchase intention. The study aimed to measure the effect of service quality, brand image, and word of mouth on repurchase intention. Furthermore, the study was also to measure the most dominant factors in affecting repurchase intention, both direct and indirect effects. Semarang City was chosen as a representative place because it had the lowest room occupancy level among the provincial capitals in Java Island. The result of analysis shows that service quality, brand image, and word of mouth affected repurchase intention, both directly and indirectly. The most directly affecting variable was the word-of-mouth variable, while the variable that had indirect effect through the word-of-mouth variable was brand image. The contribution of all variables studied in affecting repurchase intention was 93.7 percent, it means that there were other factors affecting repurchase intention beyond the variables studied.