first time and repeat visitors to langkawi island malaysia

Peer-reviewed under responsibility of Universiti Tenaga Nasional doi: 10.1016/S2212-56711600076-9 ScienceDirect 7th International Economics & Business Management Conference, 5th & 6th O

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Procedia Economics and Finance 35 ( 2016 ) 622 – 631

( http://creativecommons.org/licenses/by-nc-nd/4.0/ ).

Peer-reviewed under responsibility of Universiti Tenaga Nasional

doi: 10.1016/S2212-5671(16)00076-9

ScienceDirect

7th International Economics & Business Management Conference, 5th & 6th October 2015 First-time and Repeat Visitors to Langkawi Island, Malaysia

a Faculty of Business Management, Universiti Teknologi MARA, Melaka, Malaysia

b Faculty of Business Management, Universiti Teknologi MARA, Perak, Malaysia

c Academy of Language Studies, Universiti Teknologi MARA, Perak, Malaysia

Abstract

Popular holiday destinations are usually visited by both first-time and repeat visitors When its number of repeat visitors is high, the destination can be considered as being attractive and having a high value of destination image This paper analyzes the composition and travel behavior of first-time and repeat visitors to Langkawi Island, Malaysia Using non-probability sampling technique, a target sample of 500 was chosen Questionnaires were distributed to visitors on the main island of Langkawi Four hundred and eighty-two completed data were analyzed using descriptive analysis Of the 482 respondents, 187 (38.8%) were first-time visitors and the remaining 295 (61.2%) were repeat visitors The results indicate that there are significant differences and similarities between first-time and repeat visitors in their demographic characteristics and trip behaviors First-time visitors stayed on the island for a shorter period of time compared to repeaters Their primary purpose of travelling to the island was for leisure Both segments of visitors preferred to stay at hotels or rent houses or rooms Although the first-time and repeat visitors said they were satisfied with their visits, they complained about some of the facilities and services deemed as sub-standard However, repeat visitors were found to be significantly more loyal compared to the first-timers The results reveal that both visitor groups are equally important for the long-term sustainability of the destination Thus, destination managers must strive to achieve a collective balance between both categories of travellers

Keywords: First-time visitors; Repeat visitors; Langkawi Island; Malaysia

* Corresponding author Tel.: 019-5668808; fax:05-3743610

E-mail address: nka980@perak.uitm.edu.my

( http://creativecommons.org/licenses/by-nc-nd/4.0/ ).

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1 Introduction

1.1 Background of the study

Langkawi Island is a cluster of 99 islands situated in the northern state of Kedah, on the west coast of the Peninsula of Malaysia It is within commutable distance by ferry to Perlis and mainland Kedah and by plane to Kuala Lumpur Since 1984, the Malaysian government has been actively developing and promoting Langkawi as a premier island resort equipped with modern infrastructure and facilities Subsequently, on January 1, 1987, Langkawi was designated as a duty-free port to serve as an important catalyst to spur the socio-economic development of the island and transform its economic base from a mainly agricultural community With its natural attributes and diverse habitats including rainforests, mangrove wetlands and coral reefs, Langkawi has the potential

to offer ecotourism to nature lovers At the same time, it is fast expanding as one of South-East Asia’s premier meeting and exhibition destinations as a result of investments by both public and private sectors The biennial Langkawi International Maritime and Aerospace Exhibition (LIMA), which was first held in 1991, continues to attract government officials, trade delegations and visitors from all parts of the world The Langkawi Development Authority (2014) reported an increasing number of tourists over the last decade, and in 2012 alone, the island welcomed a total of 3.06 million domestic and international tourists Although some of those tourists were first-timers, a sizeable number were repeat visitors For the Asian and domestic visitors, duty-free shopping is an added attraction, but to the Westerners, the charm of the island lies with its natural beauty

McKercher and Wong (2004) and Lau and McKercher (2004) classify travellers to holiday destinations as either first-time or repeat visitors The former represents new visitors who are discovering a destination (Lau and Kercher, 2004), while the latter are those groups of tourists who are familiar with the destination and are satisfied with their previous experiences there Many holiday destinations rely heavily on repeat visitations (Anwar and Sohail, 2004; Fallon and Schofield, 2004), and while Langkawi has been able to attract multiple-repeat visitors, research on their characteristics and trip behaviours as well as those of the first-timers has escaped attention of local tourism studies Hence, the dearth of exploratory research in this aspect has created the opportunity for this study to provide insights into the differences and similarities of first-time and repeat travellers with regard to visitation of tourist destinations

in Langkawi

2 Literature review

2.1 Tourists record and repeat visitors

With the intense competition in the tourism industry, most countries in the world maintain records of the number

of tourists that arrive every year, as well as their citizens’ departures and arrivals, through custom controls at airports and harbours These statistical data are indeed very useful for the analyses of the growth pattern in the tourism industry What is lacking, however, is the accurate profiling of the repeat visitors of specific destinations

Numerous studies have found a high proportion of repeaters among visitors of holiday destinations A related study by Gyte and Phelps (1989) reported that the ratio of repeat visitors and first-time visitors was 55 per cent and

45 per cent respectively Kozak (2000, 2001, 2002) found that about 71 per cent of the tourists in his studies had previously visited Mallorca in Spain at least one Kruger, Saayman and Ellis (2010) also reported that 77 per cent of the visitors to the Klein Karoo National Art Festival in South Africa were actually returning visitors Meanwhile, Mat Som, Marzuki, Yousefi, and AbuKhalifeh (2012) revealed that 42.9 per cent of their respondents had visited Sabah, Malaysia for the second time

Accurate identification of the link between customer satisfaction and loyalty has proven to be a great challenge for many researchers Some visitors tend to repeat a destination when they feel satisfied with the attributes during their first visit (Kozak, 2000, 2001) Yet, some satisfied tourists may not return because they prefer to discover other places in their next holiday (Gitelson and Crompton, 1984), or they may defect to other offerings which are competitively priced Also, the less satisfied tourists may return to the same destination and eventually become repeat visitors

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2.2 First-time versus repeat visitors

Information concerning tourists’ status as first-time or repeat visitors can be useful in market segmentation (Formica and Uysal, 1998), signalling destination familiarity (Tideswell and Faulkner, 1999), and determining a destination’s position in its life cycle (Oppermann, 1998; Priestly and Mundet, 1998)

Gitelson and Crompton (1984), who pioneered the research on first-time and repeat visitors, posit the view that first-time and repeat visitors have different motivations, leading to different intended activity sets The results of subsequent tourism research on first-time and repeat visitation (Oppermann, 1997; Kozak, 2000, 2001, 2002; Kruger

et al., 2010; Mat Som et al., 2012) confirm that repeat visitors are more likely than first-timers to choose the same destination for their future holiday

The most notable differences between first-time and repeat visitors include factors such as socio-demographics, behaviour characteristics, destination perceptions, satisfaction, image and travel motivations (Oppermann, 1998; Lau and McKercher, 2004; McKercker and Wong, 2004; Li, Cheng, Kim, and Petrick, 2008; Kruger et al., 2010) Several studies have specifically identified a few demographic differences that distinguish first-time and repeat visitors When socio-demographics were analyzed, significant differences were found between first-time and repeat visitors based on age, spending patterns, length of stay and nationality (Li et al., 2008; McKercher and Wong, 2004; Gitelson and Crompton, 1984)

Gitelson and Crompton (1984) note that first-time visitors are more likely to be younger, single and not visiting friends or relatives than the repeaters Moreover, the non-repeaters are more likely to be seeking variety and new cultural experiences Repeat visitors, on the other hand, seek relaxation and tend to be older According to Opperman (1996), repeat visitors are much more concentrated in fewer locations, as compared to first-time visitors who prefer to visit more locations and attractions within the destination area In general, first-time visitors seem to

be much more active during their visit, exploring more places and sites In his 1997 research conducted on international repeat and first-time visitors to New Zealand, Opperman discovered that the length of stay and the purchasing behaviour of the two groups of visitors exhibited different patterns: the first-time visitors stayed for shorter periods and spent more than their repeat counterparts Consistent findings were also observed by Wang (2004) and Lau and KcKerchers (2004) However, contradictory findings regarding length of stay were reported by

Li et al (2008) who conclude that first-timers are most likely to stay for longer periods and travel greater distances, while repeaters are more likely to take weekend trips, visiting friends and relatives

So far, the findings of studies comparing the amount of money spent by the two categories of travellers are inconclusive, although a few researchers have suggested that repeat visitors tend to spend more than first-timers (Oppermann, 2000; Wang, 2004) To explain this behaviour, the researchers relate it to the overall value for money spent and satisfaction received from the trip (Kozak and Rimmington, 2000; Baker and Crompton, 2000) Despite their tendency to spend more, the repeaters also look for lower prices and are more price sensitive as compared to the first-timers (Li et al., 2008; Petrick, 2004) Other researchers have observed that first-time visitors actually spend significantly more than repeaters (Oppermann, 1997; Tang and Turco, 2001; Petrick, 2004; Alegre and Juaneda, 2006; Li et al., 2008)

2.3 Trip behaviours of the visitors

Besides Kozak and Rimmington (2000), Gitelson and Crompton (1984) also contended that first-time visitors are less satisfied than repeat visitors In terms of loyalty, a few researchers (Juaneda, 1996; Petrick and Backman, 2002; Sommez and Graefe, 1998; Mohr, Backman, Gahan and Backman, 1993) claim that repeat visitors express greater intention to revisit the destination or festival in the future

3 Methodology

The descriptive cross sectional design was used to investigate the composition and travel behaviour of first-time and repeat visitors to Langkawi Island, Malaysia The respondents were individuals from different socioeconomic and cultural backgrounds who were visiting the island between March and May of 2013

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3.1 Sampling Method

In 2012, it was estimated that about 3.06 million tourists visited Langkawi Island The targeted sample size for this study was determined based on the 2012 target population As suggested by Roscoe (1975), a sample of more than 30 and less than 500 is sufficient for most research Thus, 500 survey questionnaires were distributed to the island visitors at various tourist spots such as the ferry terminal, airport and Cenang Beach This sample size is consistent with similar research conducted in other countries For instance, Chanin (2011) used 251 international tourists in Thailand, Chen and Chen (2010) surveyed 477 tourists in Tainan, Taiwan, Hui et al (2007) investigated

424 tourists in Singapore, while Joppe, Martin, and Waalen (2001) surveyed 359 tourists in Toronto Since the visitors were rather preoccupied with their holiday activities, convenience sampling was employed to select the respondents for this study

3.2 Measurement and scaling

Nominal, ordinal and interval scales were used to collect data from the respondents Demographic variables were measured using nominal and ordinal scales Trip characteristics were measured using closed-ended forced choice and multi-choice answers, while trip behaviours were measured using the 5-point Likert scale ranging from Strongly Disagree (1) to Strongly Agree (5)

Tourist satisfaction was measured using nine items modified from Dmitrovic et al (2009), Oliver (1980), Taylor and Baker (1994), Grace and O’Cass (2005) and Wu et al (2008) In tourism research, tourists’ positive experiences, intention to revisit the same destination, and positive word of mouth effects on friends and/or relatives have been recognised as adequate measures for destination loyalty assessment (Bigne et al., 2001; Yoon and Uysal, 2005; Chi and Qu, 2008) Thus, the concept of loyalty in the present study includes both behaviours: revisit intention and willingness to recommend the destination to others Tourist loyalty was measured using nine items adapted from previous research (Yoon and Uysal, 2005; Chi and Qu, 2008; Prayag and Ryan, 2012) Tourist complaint was measured using three items borrowed from Xia et al (2009) and Sadeh et al (2012)

4 Research findings and discussion

4.1 Respondents Demographic Characteristics

The complete demographic profile of the respondents is presented in Table 1 Out of the 482 respondents, 187 (38.8%) were first-time visitors and the remaining 295(61.2%) were repeat visitors Since the number of repeat visitors far exceeded that of first-time visitors, the results imply that Langkawi is able to attract repeat tourists who are satisfied with their previous trips and are motivated enough to revisit the island This finding supports those of two previous studies – for one particular theme park in Texas, the figure for repeat visitation was 70% from one year

to the next, and a study on Australian visitors to New Zealand by Oppermann (1997) found that 54.1% were repeat visitors The high percentage of repeat visitors can be considered as a testament of Langkawi’s strength as a tourist destination Therefore, continuous improvements should be carried out to further enhance the destination image of the island Tourist operators should segment the visitors into two groups and offer products and services according

to the preferences of each segment

Overall, the sample comprised more females than males; however, the difference was negligible for the first time visitors (2.7%) but bigger for the repeat visitors (11.8%) This could be because female visitors are more drawn to the island’s duty-free shopping attractions compared to the male travellers

The number of Malay visitors exceeded those of other ethnic groups The percentage of repeat visitors among the Malay and Chinese was more compared to the first-time visitors The reverse was true for the Indians, whereby the percentage of repeat visitors was lower than the first-timers Similarly, the percentage of foreigners who were visiting for the first time was higher compared to the repeat visitors The findings indicate that various measures should be taken to draw more Chinese and Indians to the island Both the pull (external forces) and push factors (internal forces) such as relaxation, family togetherness, safety and fun must be blended correctly to attract these group segments

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About 92 per cent of the first-time visitors fell within the age of 39 years and below In contrast, only 70.8 per cent of repeat visitors were in the same age category About 29.1 per cent of the repeat visitors were aged between

40 - 69 years but for the first-timers it was only 8.6 per cent With regards to marital status, both first-time and repeat visitors comprised more singles than the married counterparts However, the percentage of single first-time visitors was higher (51.9%) compared to single repeat visitors (49.8%)

When comparisons were made based on education levels, not much difference was seen between the first-time and repeat visitors Those with secondary, diploma and bachelor degree qualifications made up 90.9 percent of the first-time visitors and 88.1 percent of repeat visitors The percentage of repeat visitors possessing a master’s degree qualification (10.5%) was higher than the first-timers (7.0%) This implies that those with a higher level of education were willing to visit Langkawi repeatedly Moreover, it can be inferred that this group of visitors has more spending power and are thus able to afford multiple trips to a preferred destination As such, this can be considered

as an opportunity to further develop the island and attract more high income visitors

Table1 Demographic Profiles of Respondents (n=482)

Variables First-time visitors Repeat visitors

No % No %

Total Visitors

187 38.8 295 61.2 Gender Male

Female

91

96 48.6 51.3

130

165

44.1 55.9 Ethnicity Malay

Chinese Indian Others Non-Malaysian

108

10

3

10

46

57.8 5.3 7.0 5.3 24.6

232

25

19

9

10

78.6 8.5 6.4 3.1 3.4 Age 20 years or less

21-29 30-39 40-49

50-59 60-69

70 years and above

45

84

43

10

5

1

0

23.0 44.9 24.1 5.4 2.7 0.5 0.0

47

98

64

57

24

5

0

15.9 33.2 21.7 19.3 8.1 1.7 0.0 Marital status Single

Married Divorced Widowed Separated

97

89

1

0

51.9 47.6 0.5 0.0 0.0

147

139

5

1

3

49.8 47.2 1.7 0.3 1.0 Education Primary level

Secondary level Diploma level Bachelor level Master level PhD level

2

50

63

57

13

2

1.0 26.7 33.7 30.5 7.0 1.1

1

82

90

88

31

3

0.4 27.8 30.5 29.8 10.5 1.0

4.2.1 Number of visits within 5 years

Many of the repeat visitors had visited Langkawi more than once within the last five years About 34.9 percent were visiting Langkawi for the second time, 15.6 percent for the third time and 22.7 percent had been to the island five times or more In short, more than 80% of the visitors had revisited Langkawi within the last 5 years, and for about 50% of them, the visit was their third, fourth, fifth or more Based on this information, the researchers

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conclude that most visitors may not be able to see the many attractive destinations on the island within a short stay

As such, tourist managers and operators should provide suggestions or schedule on trip destinations to the repeat visitors so that they can fully maximize their travel time

Table 2 Frequency of Visit (n=482)

First-time Visitors Repeat Visitors

No Percent No Percent 1x

2x

3x

4x

5x and more

187 100 58

103

46

21

67

19.7 34.9 15.6 7.12 22.7

First-time and repeat visitors travel to a particular destination for different purposes While the majority of the first-time visitors were travelling to Langkawi for a holiday (80.7%), a few of them were on their honeymoon (11.8%) and attending meeting or training (8.02%) For the repeat visitors, about 68.5% were spending their holiday

in Langkawi, followed by attending meetings, training, etc (19.7%), and visiting friends and relatives (8.47%) Since a large proportion of the travellers visit or revisit Langkawi for leisure, more efforts should be initiated to increase the number of attractive destinations so that visitors can have more choices to explore and experience This could increase their satisfaction level and in turn encourage them to revisit Langkawi again in the future

Table 3 Purpose of Trip (n=482)

No Percent No Percent Holiday

Visiting friends and relatives

Business

Honeymoon

Others (e.g meeting, training, etc.)

151

3

4

22

15

80.7 1.6 2.14 11.8 8.02

202

25

20

12

58

68.5 8.47 6.78 4.06 19.7

Visitors generally stay in Langkawi between 1 to 5 days The majority of the first-time and repeat visitors stayed

in Langkawi for 3 or 4 days Among the first-time visitors, 47 (25.1%) stayed on the island from 1 to 2 days while for the repeat visitors, 47 (15.9%) of them stayed for five days or more About 250 (84.7%) repeat visitors stayed longer in Langkawi (3 days and more), whereas about 165 first-timers (88.2%) stayed in Langkawi between 1 to 4 days The main reasons cited for the longer stay of repeat visitors were: i) to visit many destinations; ii) to relax; iii)

to attend family gatherings

Table 4 Duration of Visit (n=482)

No Percent No Percent 1-2 days

3-4 days

5 days and more

47

118

22

25.1 63.1 11.8

45

203

47

15.3 68.8 15.9

4.2.4 Types of accommodation

The largest proportion of first-timers and repeaters stayed at hotels, while those who rented houses or rooms made up the second biggest group The behavior of these two groups of visitors was similar in this respect This is considered normal because most tourists visit or revisit Langkawi for relaxation and socialisation Moreover, the

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respondents who were staying at hotels or renting houses/rooms considered the lodging arrangements safer and more convenient In fact, for those visitors who were travelling alone, lodging at hotels was their first choice However, for those who were visiting with companions (e.g friends and relatives; teachers and students), the decision to rent houses/ rooms was made on economic grounds In relation to these findings, providing a sufficient number of affordable yet comfortable hotel rooms and houses/home stays should be the top priority of Langkawi’s future development

Table 5 Accommodation (n=482)

No Percent No Percent Hotel

Private (friends & relatives)

Rent a house/a room

Others

118

7

47

15

63.1 3.74 25.1 8.02

206

17

48

24

69.8 5.76 16.3 8.13

4.2.5 Trip sponsorship/expenditure

The majority of the first-time and repeat visitors used their own budgets to finance their trip expenditures This is consistent with the purpose of travelling – for holiday or leisure About 6 percent of the first-time visitors was sponsored by their employers, and 4 percent by friends and relatives For the repeaters, about 12 percent travelled with their employer/company sponsorship, while 8 percent was sponsored by the government The presence of a few private and public sector employees in Langkawi for official duties implies that the island is a popular venue for seminars, meetings and training

Table 6 Visit Sponsorship (n=482)

No Percent No Percent Personal

Club

Company/Employer

Government

Others (friends, relatives)

157

6

12

4

8

84.0 3.21 6.42 2.14 4.28

209

6

36

24

20

70.8 2.03 12.2 8.14 6.78

From Table 7, it can be seen that the first-time visitors obtained information about Langkawi from word of mouth (50.3%), tourist agents (16.6%) and the Visit Malaysia Campaign (16.0%) For the repeat visitors, the most important source of information was word of mouth (68.1%), followed by websites (35.9%) and the Visit Malaysia Campaign (26.8%) Since word of mouth is a very influential source of information for the two segments, satisfying visitors can be considered as extremely important because when tourists are pleased with their travel experience, they will actively spread word of mouth and convey positive information to others To put it simply, word of mouth proves to have a very powerful effect on the decision-making of potential visitors Another obvious advantage of using it as a promotion tool is that it can reduce the advertising budget since it does incur any cost at all

Table 7 Sources of Information (n=482)

No Percent No Percent Website

Tourist agents

Visit Malaysia Campaign

By word of mouth

Social networking sites

53

31

30

94

24

2.83 16.6 16.0 50.3 12.8

106

62

79

201

20

35.9 2.10 26.8 68.1 6.78

4.3 Cross Tabulation

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Table 8 shows the results of cross tabulation between visitor groups and trip behaviours (satisfaction, loyalty and complaint) When visitor groups were cross tabulated with tourist satisfaction, no significant difference it was found between first-time and repeat visitors (p=0.317) Both groups indicated that they were highly satisfied with their trips

When loyalty was cross tabulated with the visitor groups, a significant difference was found between the two (p = 0.004) Compared to first-time visitors (43.4%), more repeat visitors (56.6%) showed high degree of loyalty towards the island Consistent with the previous research findings of Patrick and Backman (2002), Petrick et al (2001) and Juaneda (1996), repeat visitors have a greater intention to revisit the destination in the future To safeguard the visitors’ loyalty, all parties involved in the tourism industry should improve the island’s image and service quality –

by upgrading the level of cleanliness, diversifying the local food, improving the English language skills especially of the front liners in the service sectors and also of the local people, enhancing their communication with the non-local community, offering new activities that create thrills and excitement, and providing friendly services

Table 8 Cross Tabulation – Visitors Groups and Trip Behaviours

First-time Visitors (n=187)

Repeat Visitors (n=295) Satisfaction

Low High Chi Square Sig

86

101 0.046 0.317

122

173

Loyalty Low High Chi Square Sig

106

81 0.129

0.004

128

167

Complaint Low High Chi Square Sig

84

103 0.012 0.798

129

166

Analysis of complaint behaviour between first-time and repeat visitors yielded no significant difference Both groups of travellers had a notably high degree of complaint behaviour Even though they were generally satisfied with their visitation, they still complained whenever they were displeased with the services received, no matter how trivial it might seem to the service providers While a few acknowledged that they may demand refunds for their losses, some indicated that they would complain to third parties, or spread negative word of mouth to others As the consequences of such actions could be damaging to the long-term survival of the destination, actions should be taken to handle customer complaints promptly and effectively An excellent customer complaints management can bring about a positive relationship between complaint and loyalty, thus turning complaining customers into loyal ones

5 Conclusion and recommendations

Langkawi Island is a tourist destination that attracts both first-time and repeat visitors, although the number and percentage of the latter are higher The tourists are made up of locals as well as foreign nationals The two segments

of tourists may seem to share several similarities yet display different trip behaviours These characteristics and behaviours must be understood by those involved in the management of Malaysia’s tourism industry in order to sustain Langkawi’s status as a premier island destination in the country

Tourism managers need to make a clear distinction between the marketing strategies for first-time and repeat visitors They should pay attention to visitors’ specific preferences in order to attract them If tourism managers and

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operators focus only on repeat-visitors, they may misunderstand the movement of their market and allocate resources inefficiently Because first-time and repeat visitors are equally important, different programs should be implemented targeting these two potentially different market segments For the repeat visitors, discounts should be offered to them as a token of appreciation for their loyalty Discounts should also be given to group visitors irrespective of whether the visit is their first or otherwise When they are awarded with price cuts, visitors will feel appreciated and will be encouraged to bring companions for their future visits

Both satisfied and less satisfied tourists might revisit a destination Since satisfaction and revisit intention are influenced by the visitors’ perceived attractiveness, allocating sufficient budget to make Langkawi a more appealing tourist destination is a timely move in the right direction Continuous efforts should be carried out to offer more interesting locations and attractions within the destination area With more attractive and exciting destinations to visit, visitors will be persuaded to stay longer and spend more By doing so, visitors are helping the tour operators and the local community gain more income through employment and profits from their businesses The positive long-term effects of a thriving tourism industry are definitely hard to dispute Not only will those involved directly

in the tourism supply chain enjoy the increase in revenue, but the nation as a whole benefits economically as well The respondents of the present research comprised mostly of local tourists As such, the findings may have some limitations Therefore, a research specifically on international tourists should be conducted to capture meaningful data that can help enrich our understanding of the behaviour and preferences of this segment of visitors to Langkawi

Acknowledgment

This article is based on a research funded by the Langkawi Development Authority (LADA) under the LADA Grant 2012 The authors gratefully acknowledge the opportunity given by LADA to conduct an academic research

on the visitors to Langkawi Island

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