Consumer Perceptions and Willingness to Pay for Luxury Tourism in Pakistan's Northern Regions

Abstract

This study aimed to investigate the dynamics of Luxury Tourism in the Northern Areas of Pakistan. The selected tourist destinations were PC Bhurban, Luxus Hunza, and PC Malam Jabba. A questionnaire adapted from the previous studies was administered to the on-site tourists to reveal their perceptions, preferences, and behaviours concerning luxury tourism experiences. A sample size of 375 tourists was drawn via simple random sampling. Each participant was asked to complete a 25-item questionnaire. The researcher used SMART PLS 4.0 software to analyse the data using SEM with Partial Least Squares analysis. This research was conducted to find the relationship between self-congruity, destination brand quality, brand identification and factors associated with tourist satisfaction, and willingness to pay a premium price. By considering elements of previous studies and using sophisticated statistical tools, the current research contributed to the improvement of marketing policies and destination management policies of luxury tourism in Pakistan.