The Determinants of Value Equity and Their Influence on Customer Event Venue Satisfaction: A Case of Eldoret Town, Kenya

Over the years, there has been a shift in the marketing concept from product-centred thinking to customer-centred thinking. The efforts to retain customers while offering them new products and more attractive service conditions, not always stands up, because customer loyalty has not always been identified as a customer value to organization. Hosting events has increasingly become part of hotels operations in Eldoret town. The driving force behind these actions is the perception that event customers have higher revenue per customer compared to other types of customers. In fact, there is little disagreement that event customers represent significant revenue sources. This paper is an outcome of a study on the influence of value equity on customer event venue satisfaction in the hospitality sector conducted in Eldoret town, which is one of the most fast growing towns in Kenya and a prominent tourist hub. The study adopted a descriptive survey design and specifically focused on the determinants of value equity for event customers in the hospitality service sector. The study found out that most of the respondents were satisfied with the overall quality of intangible services (efficiency of staff, event venue convenience, space/function in the event venue, ambient conditions and finally signs, symbols and artefacts in the event venue) in the event venues (x = 90.49) and this affected their satisfaction with the event venues ( (x = 20.58). There was a positive correlation coefficient between service quality in the event venue and customer event venue satisfaction (r=0.770). The analysis also revealed that most of the respondents were satisfied with the convenience of the event venues (x = 15.49) and this affected their satisfaction with the event venues ( (x = 20.58). There was a positive correlation coefficient between convenience of the event venue and customer event venue satisfaction (r=0.563). The study concluded that service quality and event venue convenience are strong drivers to customer satisfaction with the event venues. However, the author recommends that the success of hospitality industry is based on proper understanding of the factors that play a key role in improving value equity while attracting new customers and retaining the existing ones. Therefore, stakeholders in the hospitality sector should work towards improving service delivery to customers. Additionally, employees who involve in providing customer service need to be given proper quality management training programs. Through this training program, the staff may increase their understanding about the concept and importance of practicing quality customer service and moral values. As a result, it may lead to improved service quality.