Choice of attractions, expenditure and satisfaction of international tourists to Kenya

Keywords: tour packaging, preference, choice, expenditure, satisfaction, tourist characteristics, trip attributes, structural equation modelling, LISREL, Kenya In this thesis, we examine the impact of tour packaging on preference, expenditure and satisfaction among the international tourists visiting Kenya for holidays. The declining average per capita earnings from tourism, for instance from US $544 in 1990 to US$ 307 in 2000, necessitated the need to examine the preferences and expenditure levels of tourists. Choices of attractions visited were reputedly influenced by preferences and in turn these choices determine the expenditure patterns and levels. The reduction in the length of stay (for instance from 13.3 days in 1996 to 8.4 days in 2001) motivated the necessity to assess the satisfaction of tourists. With increased competition from other destinations in a region, tourists are likely to allocate a smaller proportion of their holiday-durations to those destinations where they have low expectations in terms of holiday experiences. Policies encouraging mass (packaged travel) and alternative forms (independent travel) of tourism have been adopted interchangeably or jointly over the last few decades. The levels of earnings appear to be related to the policy options pursued during given periods, whereby mass travel is associated with low earnings per tourist while alternative forms of travel result in higher earnings. Neighbouring countries of Tanzania and Uganda have consistently pursued the alternative forms of tourism and consequently their earnings from tourism have shown trends contrary to those of Kenya . While the receipts per tourist arrivals were falling in the case of Kenya , those for Uganda were rising from US $145 in 1990 to US $803 in 2000 and US $909 in 1995 to US$1610 in 2000 for Tanzania . Given this scenario, we argue that the form of travel adopted affects preferences and hence choices of attractions visited and facilities utilized, expenditure and satisfaction levels of tourists. This study was undertaken within the conceptual framework of consumer behaviour whereby choice, expenditure and satisfaction theories with respect to tourists were adopted. These theories were used to identify the determinants of preferences, expenditure and satisfaction, and to determine their measurements and structural relationships. Various personal and trip attributes were considered. A linear structural relationship (LISREL) approach was applied in order to estimate the structural equation systems by using its maximum likelihood estimator. This approach checks for simultaneity bias in the model and simultaneously estimates the latent and observable variables in the measurement and structural models. Using data from 1,566 tourists who had completed their holidays in Kenya , we found that various forms of travel based on packaging do not significantly affect the preferences, expenditure levels and satisfaction of tourists. However, tourists' characteristics and their trip attributes have significant effects on these variables. Advanced age, higher socio-economic status, larger group size and shorter length of stay are associated with higher preference for wildlife viewing. Advanced age, longer length of stay, lower socio-economic status and smaller group size leads to higher preference for beach tourism. Gender and income were found to be insignificant in influencing preferences for wildlife and beach tourism. Higher socio-economic status and larger group size enhances preference for cultural tourism. Age, gender, income, and length of stay were insignificant in the case of cultural tourism. Higher socio-economic status, less advanced age, male, larger group size and shorter length of stay result in higher expenditure per tourist per day. In addition, higher preferences for wildlife-viewing and cultural tourism result in higher levels of expenditure. Beach tourism and income did not significantly influence expenditure. Tourist satisfaction is positively associated with the importance of attractions to tourists and the value put on facilities utilized in the tourism industry. Concerns by tourists before and during travel have converse effects. The only tourist characteristics and trip variables that influence satisfaction were gender, group size and income. Female tourists reported greater satisfaction than their male counterparts. Higher levels of satisfaction were also reported among tourists travelling in large groups and those with high incomes. Age, socio-economic status and length of stay were found to be insignificant in influencing satisfaction. In order to enhance the average daily level of expenditure by tourists, wildlife-viewing and cultural tourism need to be promoted. Therefore, the wildlife-beach tourism combination should be discouraged. Wildlife-viewing can be encouraged by attracting tourists advanced in age, with higher socioeconomic status, and travelling in larger groups and staying for shorter periods. Cultural tourism may be augmented by opting for and attracting tourists with higher socio-economic status and travelling in large groups. Generally, big spending tourists may be identified by considering those with higher socio-economic status, in upper age bracket, male, and travelling in large groups as well as staying for shorter periods. Contrary to theory, tourists travelling in large groups spend more per person per day possibly due to peer influence. Tourist satisfaction can be guaranteed by offering attractions that score highly in importance to individual tourists and augmenting the value of facilities utilized while on holiday. Concerns by tourist prior and during travel also need to be addressed. Quality of facilities and attractions does not directly influence satisfaction. However, value for money, determined by quality, directly affects satisfaction.