Journal of Contemporary Issues in Business and Government

Abstract

In contemporary service marketing strategy, more attention has been given to the very concept
of the 7ps marketing mix as a package and are believed to be crucial tools to bring about
Customer satisfaction and loyalty thereby maximize company’s performance. Having this into
account, the study mainly aims at examining the impact of marketing mix and customer
satisfaction on customer loyalty of hotel industry in Ethiopia. The study used 387 participants
who were staying in some selected 3star hotels during the time of data collection andrandomly
approached using self-administered questionnaire. Structural equation model, specifically
exploratory and confirmatory factor analyses were used to analyze the data. To this end, findings
of the study showed that marketing mix and customer satisfaction has positive significant effect
on customer loyalty. The study gives a clue to hospitality marketers that better engagement on
marketing mix and customer satisfaction are best ways to ensure sustainable customer loyalty.