Abstract:
The main purpose of this research is to investigate the relationship between perceived service quality and destination loyalty through investigating mediation effect of tourist satisfaction in Sri Lanka as a tourism destination. A survey was used to collect the data from a sample of 300 international tourists who visited coastal region tourism destinations in Sri Lanka during September 2016. The individuals were selected to the sample by using convenience sampling method and Structural Equation Model (SEM) was used to test the hypothesized relationships of the research model. The results of SEM revealed that perceived service quality and tourist satisfaction have a positively significant effect on destination loyalty and, that perceived service quality has a positively significant effect on tourist satisfaction. Further, results show that tourist satisfaction mediates the relationship between perceived service quality and destination loyalty. Also, model fit indices show high validity of the model in explaining the relationship among variables. This study provides valuable theoretical and managerial implications to academicians and practitioners in tourism industry. The paper highlights the strategic importance of an integrated model of service quality, tourist satisfaction and destination loyalty required by tourism industry practitioners in Sri Lanka to promote Sri Lanka as a tourism destination.