LINKING EXPERIENTIAL VALUE TO LOYALTY IN SMARTPHONE INDUSTRY

Abstract

The smartphone industry has grown tremendously in the past years across the world, especially in Asia. The competition between smartphone brand players has been intense and involving sophisticated marketing techniques. Despite of the widespread practice of experiential marketing to market smartphones, little research has been undertaken to investigate whether this practice generate experiential value in the perception of smartphone customers. If the value is evident, the question remains whether it leads to satisfaction and loyalty of smartphone brand. This study tries to investigate whether the practice of experiential marketing drives experiential value, and whether experiential value has a direct effect to loyalty or indirectly through satisfaction. The methodology involved a survey investigating 255 responses from smartphone device user in Indonesian market. The result provides useful findings for marketers as well as supporting the direct and indirect relationship between experiential value and loyalty. The suggestion highlight feel experience as one of the driver factors of experience. Limitation and future research suggestions are explained.