Summary Paper: Role of Service Innovation in Enhancing Loyalty to Online Travel Agencies

Abstract

This paper explores the relationship between service innovation, customer engagement, and brand loyalty, particularly within the context of online travel agencies (OTAs) in Thailand written by Rasmidatta (2022). The study was based on a quantitative empirical approach using a survey of 478 respondents. Key findings are presented as follow:

1. Service Innovation: This positively influences customer engagement and brand loyalty. Innovations in service offerings trigger customer interest and engagement, leading to a stronger connection with the brand.

2. Customer Engagement: It is a critical factor in building brand loyalty. The study finds that engagement, including emotional, cognitive, and behavioral responses, has a more substantial impact on loyalty compared to traditional service evaluations like perceived value.

3. Perceived Value: This influences both customer engagement and brand loyalty. Customers who perceive a high value in services tend to engage more deeply and remain loyal.

The study emphasizes that service innovation and customer engagement are key drivers of brand loyalty in the competitive OTA market, offering practical insights for service providers to enhance customer relationships through innovation and engagement strategies.