Effect of Service Performance on Consumer Loyalty in North Cyprus Hotel Sector

In the context of major contributions into tourism development, four- and five-star hotels play vital role in the economy of Northern Cyprus. Based on previous studies related to service performance, RESERVE scale developed and proposed to the readers. The main objective of this study is to find out what are the effects of service performance on the loyalty of the consumers in North Cyprus hotel industry. This research also attempts to find out the mediating role of the consumer satisfaction between the consumer loyalty and service performance. The data was collected using self-administrated survey from 240 hotel guests who have stayed in four- and five-star hotels in Northern Cyprus. The findings revealed that there is significant positive correlation between the consumer loyalty and service performance. Although, the main results also demonstrated that consumer satisfaction does not act as a mediator between the consumer loyalty and service performance. Also, managerial and theoretical implications become available on the basis of the study findings in the thesis. In addition, information related to limitations and recommendations of the study for future research is shown in the last chapter of the thesis.