Evaluating the Effect of Tourism Marketing Mix on Buying Holiday Homes in Cyprus

Abstract

Markets around the world, especially those for holiday home, become international. Holiday homes refer to the places that are used on holidays and leisure times and are usually located out of the users’ residence. In this regard, foreign tourists are considered as the main part of holiday home markets in different countries of the world including Cyprus. Given the fact that the Cyprus economy is dependent on tourism activities, it can be expected that a significant percentage of the investments on holiday homes are done by the foreign tourists visiting Cyprus. Literature review of the research suggests that marketing activities is one of the most important factors influencing tourists’ decisions. This study is also an attempt to evaluate the effect of marketing factors including tourism marketing mix on the decisions of tourists in buying holiday homes. In order to collect data, 101 questionnaires were distributed among the foreign tourists in different cities of Cyprus. For data analysis, structural equation model and Lisrel software were used. The results of the study showed that all elements of tourism marketing mix including product, price, promotion, place, physical environment, process and people have had a significant and positive impact on the tourists’ decisions to buy holiday home in Cyprus.