Importance of Customer Perceived Value in Restaurant Businesses: Influence of Brand Experience on Brand Strength and Electronic Word of Mouth

Abstract

The purpose of this paper is to empirically examine the relationship between brand experience, brand strength, and electronic word of mouth along with mediating role of perceived brand value. A total of 308 responses were generated, using an electronic questionnaire. The data was deductively analyzed using reliability, validity, confirmatory factor analysis (CFA), and structural equation modeling (SEM). The results of this study indicate that brand experiences positively influence brand strength and electronic word of mouth. Moreover, the results revealed the partial mediation of customer perceived value in the relationship of brand experience and brand strength and also in the relationship between brand experience and electronic word of mouth. This study explains how restaurants can create electronic word of mouth and increased brand strength through memorable experiences. This study provides insight beyond marketing mix elements, and ad theatrical elements which provide evidence for positive customer value perception increased brand strength, and widely generated word of mouth. The theatrical elements of serving food studied in this research have not been studied before in the context of Pakistani restaurants. Therefore, this study bridges the gap between previous studies.