1. INTRODUCTION Customer satisfaction is essentially hooked upon quality of service in hotel industry.

To be successful in market managers should focus on existing customers not only attract new customers because existing customers loyalty and satisfaction are also playing an important role to increase the positive image of the industry and tourist destination as well. Hence, satisfied customer might come back to hotel or suggest it to other tourists is significant to the success of the hospitality industry. (Gronoos, 1990; Anticipating and handling customers prospects and validating capability and duty to satisfy their needs and satisfaction are business philosophy which is apt to the creation of significance for customers. Service quality and customer satisfaction are very important factors for success of any business (Parasuraman et al., 1988). As per Valdani(2009): There is customers to serve thats why industries exist. To achieve bearable improvement one should give high quality service and that consequence in pleased customers. To accomplish customer satisfaction, its very vital to identify, anticipate and capability to satisfy customers needs. One who fulfil customer needs and understand them rapidly can make bigger profits than those who fail to satisfy and understand them (Barsky & Nash, 2003). The cost of retaining the existing customers is smaller than the cost of making or attracting new customers. So to be successful managers one should deliberate on retaining existing customers and applying new strategies of customer satisfaction and loyalty. This philosophy fit in to hotel industry the most (Shemwell et al, 1998). To provide and tolerate customer satisfaction is one of the major challenges for managers in the hotel industry in present situation. Customer wants for quality products and facility in the tourism industry has become gradually manifest to professionals (Lam & Zhang, 1999; Yen & Su, 2004). To express business objectives customer satisfaction is an initial point. Satisfied customer probably returns to the same hotel and hotel should provide improved service quality, thus resulting in customer loyalty with the hotel. So satisfaction comes to loyalty. Improvement in Quality of Service Customer satisfaction Customer loyalty

Companys Image

2. IMPORTANCE OF CUSTOMER SATISFACTION AND LOYALTY IN INTERNATIONAL TOURISM AND HOSPITALITY INDUSTRY: According to (Oliver, 1980; 1997) satisfaction is pre-purchase expectations. So fulfil of customers expectation by quality of service result in customer satisfaction. There is a connection between customer satisfaction and customers re-purchase behaviour. So retention of customer is customer loyalty. Sometime loyalty based on emotional attachment and deep-seated beliefs. Behaviour of loyal customers: Recommend your enterprise to friends, neighbours or colleagues. They trust on your enterprise. They generally forgive dips in customer service. They just stick with enterprise and are loyal and never influence by another enterprise. This type of satisfied and loyal customer generally becomes key influencer for future customer. Many tourist generally search for new locations but numerous studies shows that some portion of customers like to repeat holidays destination may come to same hotel if they satisfied by service

quality before. Its showing certain degree of loyalty as well (Kim et al., 2001). This study on tourists loyalty shows some major factors which may affect tour repetition to the same tourist place. Choosing another destination may have risk to mistake. Emotional attachment to some particular place. To explore the place better than the last time. To show the place to other people. Feeling of relaxation on that place. 2.1 Word of Mouth (WOM) publicity: Other thing which we can attach with satisfaction is Word of Mouth (WOM) publicity it means satisfied customer surely suggests other people about hotel and tourist place as well. So its no cost marketing of enterprise and is far better than advertising by hotel itself. Because satisfied customer generally suggest about hotel in his or her relationship and relationship have trust on each other may result in positive and superior effect than marketing or advertising by hotel itself. Although bad quality of service may result in negative WOM publicity and that is very dangerous for hotel industry. A research, steered by Cherubini (1997), illustrates that only 4% of unsatisfied customers complains about their dissatisfaction and explains the reason as well. Some customers doesnt officially complain to enterprise may produce negative WOM which can involve other thousand people. At present WOM can be amplified by internet as well (Dominici, 2009; Trusov et al. 2009). Many forums and many websites provides place to write about customer experience with product or service. Nowadays Facebook is also used for the same people sometime share about their experience with the product or service. To improve corporate image need loyal customers stock. To make loyal customer need long-term relationship with them. To make long term relationship need customer satisfaction and for customer satisfaction one should provide promotions and improvement in quality every time new surprises for customers and all. So again customer satisfaction is most important and initial point to build loyal customers.