Assessing advertising in a hierarchical decision model

Sangwon Park, Juan L. Nicolau, Daniel R. Fesenmaier

Research output: Journal article publicationJournal articleAcademic researchpeer-review

30 Citations (Scopus)


Many destination marketing organizations in the United States and elsewhere are facing budget retrenchment for tourism marketing, especially for advertising. This study evaluates a three-stage model using Random Coefficient Logit (RCL) approach which controls for correlations between different non-independent alternatives and considers heterogeneity within individual's responses to advertising. The results of this study indicate that the proposed RCL model results in a significantly better fit as compared to traditional logit models, and indicates that tourism advertising significantly influences tourist decisions with several variables (age, income, distance and Internet access) moderating these decisions differently depending on decision stage and product type. These findings suggest that this approach provides a better foundation for assessing, and in turn, designing more effective advertising campaigns.
Original languageEnglish
Pages (from-to)260-282
Number of pages23
JournalAnnals of Tourism Research
Issue number1
Publication statusPublished - 1 Jan 2013
Externally publishedYes


  • Hierarchical tourist decision making
  • Random coefficient logit (RCL) model
  • Tourism advertising

ASJC Scopus subject areas

  • Development
  • Tourism, Leisure and Hospitality Management

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