Role of components of destination competitiveness in the relationship between customer-based brand equity and destination loyalty

Previous research suggests that an increase in customer-based brand equity (CBBE) can lead to greater competitiveness of the brand by influencing consumer behaviour through the greater possibility of brand selection, increased brand loyalty, reduced price sensitivity, and a willingness to pay more for the brand. However, there are also studies that suggest that certain destination competitiveness attributes can be the antecedents of a destination's CBBE. This study argues that the construct of destination competitiveness can be classified into the components of: (1) functional attributes being the antecedent of CBBE and (2) abstract attributes that are actually influenced by CBBE. A Delphi survey was conducted to assist in the classification of competitiveness attributes into the component of either functional or abstract attributes. Subsequent tests using structural equation modeling and bootstrapping confirm the mediating effect of CBBE in the relationship between the functional and abstract attributes, and its indirect effect on destination loyalty.