MJTHR - Volume 14 - Issue 1 - Pages 113-129

Download as pdf or txt
Download as pdf or txt
You are on page 1of 17

Minia Journal of Tourism and Hospitality Research Vol. (14), No.

(1), December 2022

Contents lists available at EKB

Minia Journal of Tourism and Hospitality Research

Journal homepage: https://mjthr.journals.ekb.eg/

The Mediating Role of Marketing Effectiveness in the Relationship


between Artificial Intelligence and Destination Competitiveness

Mohamed Ezzat a, Eman Farahat b ,

Bassam Samir AL-Romeedy c


a
Associate Professor, Faculty of Tourism and Hotels, Minia University
b
Assistant lecturer, the Higher Institution of Tourism and Hotels King Marriot
c
Associate Professor, Faculty of Tourism and Hotels, University of Sadat City

Keywords Abstract
Artificial Intelligence (AI) technologies have been
Artificial intelligence classified into four categories since their inception:
Marketing effectiveness information presentation and knowledge-based
Destination systems, Machine Learning (ML), problem-
Competitiveness solving, and distributed artificial intelligence.
Nowadays, artificial intelligence (AI) has emerged
as one of the most important technologies for
assisting the tourism industry in increasing
competitiveness and achieving excellence in a
changing and volatile labor market; AI can also
achieve a competitive advantage by transforming
the traditional seller into a buyer's market. The
prime objective of this research is to illustrate the
mediating role of marketing effectiveness in the
relationship between artificial intelligence and
tourism destination competitiveness. Questionnaires
were distributed electronically and hard copy to
employees in tourism and hospitality institutions
such as airports, airlines, governmental tourism
authorities and private tourism authorities by the
researcher. 944 questionnaires were found usable
for analysis. The results indicated that artificial
intelligence affects positively both marketing
effectiveness and tourism destination
competitiveness. As well, the results highlighted
that Marketing effectiveness mediates the
relationship between artificial intelligence and
tourism destination competitiveness

Printed ISSN 2357-0652 Online ISSN 2735-4741

- 113 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

1. Introduction

In travel and tourism, artificial intelligence (AI) is utilized to make the entire
travel experience more convenient and enriching. The travel industry is
utilizing the benefits of artificial intelligence (AI) technology to predict
travel preferences and create personalized travel solutions tailored to
consumer demands. Increase client service and simplify in-trip and post-trip
needs management the travel business relies on on-demand 24-hour support
to deliver assistance in real-time. Travelers may be planning a vacation or
experiencing problems while on the road and needing immediate and
relevant assistance at any time of day or night. Using AI-powered chatbots
and assistants for live assistance is an excellent approach to save time and
money while increasing efficiency (Ivanov, and Webster.2020).
The study aims to A) explore the impact of artificial intelligence (AI) on
marketing effectiveness, B) evaluate the effect of AI on destination
competitiveness, C) assess the impact of marketing effectiveness on
destination competitiveness and, D) investigate the role of marketing
effectiveness in the relationship between artificial intelligence and tourism
destination competitiveness).

Literature Review and hypothesis development:


The researcher will present AI tools such as forecasting, virtual reality,
augmented reality, and chatbots which play an important role in traveler
making decisions. AI can also help travelers make decisions as a driver that
might potentially improve the tourism experience by offering more
personalized products and services to fit each visitor's unique needs and
preferences.

The relationship between artificial intelligence and marketing


effectiveness:
Artificial intelligence marketing makes automated decisions based on data
collecting, data analysis, and further observations of audience or economic
trends that may affect marketing activities. AI is frequently utilized in
marketing initiatives where speed is critical. Data and customer profiles are
used by AI tools such as virtual reality, augmented reality, chatbots, and
forecasting to learn how to best communicate with customers, then serve them
tailored messages at the right time without intervention from marketing team
members, ensuring maximum efficiency (Kandil, 2016; Samuely, 2016).
Many modern marketers employ AI to supplement marketing teams or to
execute more tactical jobs that require fewer human nuances. a strategy that
uses historical and contextual data to forecast the future based on current
trends It is utilized in all industries and businesses to make judgments that
require predicting what will happen (Yu and Schwartz, 2006). Forecasting can
be used in the tourism industry to better understand tourist demand. (Buhalis
and Amaranggana, 2014). To develop marketing strategies, for financial
management and human resource allocation (Claveria et al. 2015), to detect
restaurant frauds (Stalidis et al. 2015), and to assist facility management and
maintenance needs (Buhalis and Leung 2018). However, the use of AI must be
handled carefully, since the results of AI methods have been mixed. On the
one hand, Yu and Schwartz (2006) discovered that complicated models do not

- 114 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

outperform basic, traditional models. Claveria and Torra (2014) reported more
promising results, however, the degree of preprocessing drastically influenced
the quality of the neural network predicting outputs. Several research, on the
other hand, has demonstrated that AI approaches have higher prediction
accuracy.

Virtual reality and Augmented reality


Related technologies have significant promise as promotional tools for
encouraging in-person tourism trips (Fauzi and Gozali, 2015). VR is
particularly appealing to the tourist industry as a means of communicating
intangible travel experiences to a larger audience. The tourism industry has
long relied on the use of visual imagery to interact with and influence
consumers while advertising locations (Aziz and Zainol, 2011), However, as
consumers become less receptive to traditional visual communication media
such as brochures, TV ads, and even websites as key sources of information
(Fransen et al., 2015). Advertisements that elicit positive attitudes are more
likely to impact purchase intentions and are regarded as more effective overall.
Although VR adoption is still in its early stages, it is thriving as an increasing
number of businesses and organizations incorporate VR features into their
marketing. Many travel promoters have already used virtual reality (VR)
technologies to provide a preview of hotel buildings, cruise ships, and travel
experiences. Samueley (2016). However, there is a significant lack of
empirical research on the use of this technology for businesses, as well as
destinations more broadly conducted a qualitative analysis of destinations
operating in (Second Life) it is the largest user-created open platform virtual
world, to provide users seeking travel information a uniquely personal
experience (Mascho and Singh, 2014). The authors investigated the
relationships between Second Life platform usage and real-world visitation.
Although the Second Life platform creates a virtual world and has been
demonstrated to correlate with real-world behavior, it does not provide a
sensory immersion experience. VR has the potential to significantly alter
passengers' expectations and perceptions of a destination by establishing
connections and expectations prior to purchase and consumption. (Rizzo,
2016). Hence, the authors purpose the following hypothesis:
H1: Artificial intelligence affects positively marketing effectiveness.

AI and destination competitiveness:


AR and VR, which use artificial intelligence, are becoming the new
advertising and marketing tools. They had been utilized by numerous brands
to attract customers and increase client loyalty. The tourism industry has long
relied on the use of visual images when promoting places in order to
communicate with and influence consumers. (Aziz and Zainol, 2011), Users of
smartphones and tablet computers can utilize (AR) to point their built-in
cameras at whatever object they desire, which makes a 3D movie ( Linaza et
al, 2012). This object could be a print advertisement or even a coffee cup from
a popular coffee shop. In other words, augmented reality enables businesses to
merge the digital and physical worlds. This extraordinary feature is especially
enticing to younger tech enthusiasts who are hesitant to use standard
advertising strategies (Craig, 2013).
So, the authors purpose the following hypothesis:

- 115 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

H2: Artificial intelligence affects positively tourism destination


competitiveness.
The relation between marketing effectiveness and destination
competitiveness:
The requirement for destination branding is more important than ever because
today's destinations provide excellent destination qualities like aodging and
attractions, high-quality services and amenities, and nearly every place claims
to have a distinct culture and legacy (Morgan and Pritchard, 2005). To remain
competitive in today's tourism industry, destinations must invest in branding.
As multiple writers have stressed, destinations must go through various
technical phases, i.e. aspects of the destination branding process, in order to
build a powerful destination brand. (Anholt, 2007 ETC/UNWTO, 2009; Kotler
and Keller, 2012; Paliaga, 2007).
Identifying potential target groups is the first stage in the destination branding
process. Destinations must identify the target audiences to whom they will
communicate the defined brand. Destinations' relevant target groups are
distinct visitor groupings. Knowing who their major target groups are, venues
should develop a brand that will have the most impact on tourists' perceptions
of the destination. The competition analysis is the second step in the branding
process. The primary goal of a competition study should be to discover the
strengths and drawbacks of other competing destinations (Kotler and Keller,
2012). The third step in the destination branding process is a SWOT analysis.
It should identify and prioritize the main markets' strengths, weaknesses,
opportunities, and risks for destinations (ETC/UNWTO, 2007). The next
element of the strategic message is based on the points of differentiation
presented above for the destination. The last and most important component is
destination brand communication. The destination brand should be
communicated to all target groups through various promotional initiatives
(Kotler and Keller, 2012). The influence of a destination brand on the target
audience is determined by innovative marketing execution. (ETC/UNWTO,
2007; Kotler and Keller, 2012). Therefore, the authors suggest the following
hypotheses:
H3: Marketing effectiveness affects positively tourism destination
competitiveness
H4: Marketing effectiveness mediates the relationship between artificial
intelligence and tourism destination competitiveness.

Research Methodology
Questionnaire design:
A questionnaire was created to collect statistical data about the respondents'
attributes, artificial intelligence, marketing efficacy, and competitiveness. The
questionnaire utilized in this study was divided into four sections. Part A of
the questionnaire was concerned with the respondents' demographic and
functional information. Four items were included in the questions:
respondents' gender, age, degree of education, and workplace. Part B acquired
information concerning artificial intelligence (AI) applications based on 20
items developed based on this section was split into four dimensions. The first
dimension is forecasting (6 items) adopted from Claveria (2015). A sample
item was " Forecasting can estimate arrivals tourist’s numbers". The second

- 116 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

dimension is Chatbots (CH) (7 items) which were developed by Gidumal


(2020). A sample item was "Chatbots save customers time". While the third
dimension is Virtual reality (VR) (5 items) which was prepared through
Samuely (2016). A sample item was " VR is able to capture tourism
destination in such a memorable and immersive way". The fourth dimension is
Augmented reality (AR) (2 items) which was adopted from Linaza et al
(2012). A sample item was “AR has the ability to place the user at the heart of
the scene and makes it easier for them to imagine themselves at the location”
Part C gathered information concerning marketing effectiveness
(MK) based on eight items developed by Stalidisa et al (2015). A sample item
was “AI applications can be used perfectly in the tourism industry”.
part D acquired information about Competitiveness (CM) based
on 13 items that developed from Stalidisa et al (2015). A sample item was
“AI helps users to spend their vacation in a specific destination”

Sample size and data collection:


The sample size of the population was determined for a given population to
become representative and ensure that results can be generalized to the whole
population.
Questionnaires were distributed electronically and copied to employees in
tourism and hospitality institutions such as airports, airlines, and governmental
tourism authorities (Ministry of Tourism and Antiques and The Egyptian
Tourism Authority). private tourism authorities (Beach Tours, Misr Travilco,
Memphis Tours, and online traveling companies) by the researcher. Each
questionnaire was attached to a covering letter indicating the purpose of the
study and the importance of the participant’s involvement. The covering letter
also confirmed the confidentiality and anonymity of data collection and that it
is used for research purposes. To preserve anonymity, no name lists and ID
numbers were required and no names or personal addresses were asked for.
They were given clear instructions on how to answer the questionnaire and to
confirm that all questions were answered within two months October and
November (2021). After the agreed time period, the researcher collected
questionnaires. There were online questionnaires were distributed, while 944
were collected.

Statistical tests:
To analyze the study data and test hypotheses, the researcher used statistical
programs, namely SPSS V. 24 and AMOS V.24. The following statistical tests
were used:

Exploratory factor analysis (EFA) and Confirmatory Factor Analysis


(CFA): to test the reliability and validity.
Frequencies, percentages, means and standard deviation: to describe the
characteristics of the sample, and to determine the responses of the sample
members towards all the axes of the study tool.
Model fit indicators: to determine the extent to which the proposed study
model matches the sample data.

- 117 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

Path analysis: to determine the direct effect of the independent variable on the
dependent variable, and the indirect effect of the independent variable on the
dependent variable through the mediating variable.
BOOTSTRAP method: to determine whether the mediating variable has a
role in the relationship between the independent variable and the dependent
variable.
There are conditions for conducting a path analysis using BOOTSTRAP to test
the role of the mediating variable in the relationship between the independent
variable and the dependent variable, and they are as follows (Al-Romeedy,
2019):
• If the indirect relationship between the independent variable and the
dependent variable is significant, there is a mediating role for the
mediator variable.
• If the indirect relationship between the independent variable and the
dependent variable is insignificant, there is no mediating role for the
mediator variable.
• If the direct relationship between the independent variable and the
dependent variable is significant, there is a partial mediating role for
the mediator variable.
• If the direct relationship between the independent variable and the
dependent variable is insignificant, there is a full mediating role for the
mediator variable.
Data Analysis and Findings
Demographic and other work-related information
Sample characteristics include four major items in this study. Table (1)
indicates the results obtained after analyzing demographic variables. The
frequency and percentage for each variable is listed according to the survey
categories in the table.
Table (1) Demographic and work information
Demographic and work information Freq. %
Gender Male 451 59.5%
Female 307 40.5%
Age Less than 20 years old - -
20 – 39 years 385 50.8%
40 – 59 years 332 43.8%
60 years and above 41 5.4%
level of Less than bachelor 93 12.3%
education Bachelor 580 76.5%
Master 34 4.5%
PhD 23 3%
Other 28 3.7%
Workplace Travel agency 116 15.3%
Hotel 252 33.2%
Airport 84 11.1%
Airlines 93 12.3%
Governmental tourism 95 12.5%
authorities
Private tourism authorities 74 9.8%
Other 44 5.8%

- 118 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

• Regarding the gender of respondents; More than half of the sample


are male by 451 (59.5%), and there are 307 females by 40.5%.
• When looking at the age of the respondents; 385 (50.8%) of the
respondents are (20 to 39 years), followed by who are (40 -59 years)
by 332 (43.8%), and finally who are (60 years and above) by 41
(5.4%).
• As for the level of education; More than two thirds of the sample hold
a bachelor's degree, with 580 respondents (76.5%), 93 respondents
with a level of education less than a bachelor's degree (12.3%), then 34
respondents with a master's degree (4.5%), then 28 respondents with
other educational qualifications (3.7%). ), and finally, PhD holders
with 23 respondents (3%).
• Regarding the workplace of respondents; 252 respondents are
working in hotels (33.2%), followed by who are working in travel
agencies by 116 respondents (15.3%), then who are working in
governmental tourism authorities by 95 respondents (12.5%), then who
are working in airlines by 93 respondents (12.3%), followed by who
working in airports by 84 respondents (11.1%), then who are working
in private tourism authorities by 74 respondents (9.8%), and finally
who are working in other workplaces by 44 respondents (5.8%).

Exploratory factor analysis (EFA)


- The Kaiser-Meyer-Olkin KMO test and the Bartelett test for each variable.
The exploratory factor analysis was carried out using Principal Components
Analysis - PCA, and the orthogonal rotation of the dimensions was carried out
using the Varimax Rotation method, assuming the independence of the
extracted factors. The Kaiser-Meyer-Olkin KMO test and the Bartlett test were
performed
to test the suitability and adequacy of the sample for exploratory factor
analysis. The value of the KMO test should exceed 0.60, while the Bartlett test
should be statistically significant less than 0.05 (Shrestha, 2021). The results
in table (2) demonstrate that the percentage of KMO scale is 0.730, which is
higher than 0.60. The Bartlett test has a significance level of 0.000, which is
less than 0.05. This confirms that the sample is suitable for factor analysis.

Table (2) KMO test and the Bartelett test


KMO .730
Bartelett test APPROX. Chi 42887.925
Square
Df 1035
Sig. .000

Reliability Test
A high Cronbach's Alpha value reflects the reliability of scale and indicates
cohesiveness among scale items. According to Ursachi et al. (2015), a high
Cronbach's Alpha is an indirect indicator of convergent validity. However, on
the contrary, the validity needed to be confirmed by CFA.

- 119 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

Table (3) highlights values of Cronbach's Alpha for all constructs. On the
basis of the data presented in the table, there is sufficient evidence to suggest
that the reliability of the constructs was acceptable given that the Cronbach's
Alpha value is < .60.

Table (3) Reliability levels of instrument – Cronbach's Alpha


Variables Cronbach's Alpha No. of items
Forecasting (FC) .735 6
Chatbots (CH) .851 7
Virtual reality (VR) .887 5
Augmented reality (AR) .714 2
Artificial intelligence (AI) .927 20

Marketing effectiveness (MK) .766 8

Competitiveness (CM) .807 13

Validity Test
The next step in the analysis was to test the validity, which is reported in detail
in the following sections. Constructs validity, including both convergent and
discriminant validity, was assessed by using average variance extracted
(AVE). The following section discusses constructs validity.
Test of Convergent validity
The first test is the composite reliability of each measure. This was assessed
using Nunnally's (1978) guideline for assessing reliability coefficients.
Followed, the second test is average variance extracted (AVE) by each
construct, which indicates the amount of variance in the item explained by the
item explained by the construct relative to the amount attributed to
measurement error (Shaffer & DeGeest, 2016). The Fornell and Larcker
criterion, which confirmed that the AVE should be < .50, was used to assess
the AVE for all constructs.
Some of the measures used for convergent validity include the reliability if
each items, AVE, and composite reliability. The following tables reveal that
all the indicators were statistically significant for the proposed constructs,
thereby providing strong evidence for convergent validity (Hair et al., 2021).
For more details, the composite reliability values for artificial intelligence
(.901), marketing effectiveness (.878), and competitiveness (.844). These
values of composite reliability exceeded the desired threshold of .70 in
accordance with Fornell and Larcker's (1981) proposal.
Also the following tables clarify that AVE values for artificial intelligence
(.754), marketing effectiveness (.703), and competitiveness (.689), which
exceeded the suggested value (0.50). So, the model seems to possess adequate
convergent validity.
In details, table (4) clarifies that composite reliability for all items exceeded
the desired threshold of .70. additionally, this table shows that AVE for
artificial intelligence instrument exceeded the suggested value (0.50). As well,
this table indicates that the factor loading for all items of artificial intelligence
instruments are greater than (.50).

- 120 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

Table (4) Construct validity of artificial intelligence instrument


Constructs Factor loading Composite reliability AVE
FC1 .856 .901 .754
FC2 .810
FC3 .897
FC4 .792
FC5 .866
FC6 .907
CH1 .852
CH2 .871
CH3 .861
CH4 .830
CH5 .799
CH6 .756
CH7 .913
VR1 .831
VR2 .751
VR3 .745
VR4 .793
VR5 .856
AR1 .810
AR2 .777

Table (5) indicates that composite reliability for all items exceeded the desired
threshold of .70. Further, this table shows that AVE for marketing
effectiveness instrument exceeded the suggested value (0.50). Also, this table
concludes that the factor loading for all items of marketing effectiveness
instrument are greater than (.50).

Table (5) results summary for construct validity of marketing


effectiveness instrument
Constructs Factor loading Composite reliability AVE
MK1 .902 .878 .703
MK2 .841
MK3 .834
MK4 .900
MK5 .853
MK6 .792
MK7 .771
MK8 .835

Table (6) indicates that composite reliability for all items exceeded the desired
threshold of .70. Moreover, this table depicts that AVE for competitiveness of
Egyptian tourism destination instrument exceeded the suggested value (0.50). Too,
this table highlights that the factor loading for all items of competitiveness of
Egyptian tourism destination instrument are greater than (.50).

- 121 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

Table (6) results summary for construct validity of competitiveness of


Egyptian tourism destination instrument
Constructs Factor loading Composite reliability AVE
CM1 .742 .844 .689
CM2 .792
CM3 .897
CM4 .788
CM5 .752
CM6 .910
CM7 .739
CM8 .745
CM9 .853
CM10 .897
CM11 .804
CM12 .867
CV13 .872

Discriminant validity
Hair et al. (2016) and Al-Romeedy (2019) have clarified that the square sroots
of AVE should surpass the highest squared correlation with any other
construct. On the basis of table (7), it can be noted that the square root of AVE
for a given construct is greater than the absolute value of the standardization
correlation of the given construct with any other construct in the analysis
(AVE < correlations2).

Table (7) Discriminate Validity for all variables


FC CH VR AR AI MK CM
FC .868
CH .721 .829
VR .497 .421 .851
AR .588 .732 .569 .810
AI .669 .552 .585 .637 .829
MK .459 .597 .432 .556 .705 .838
CM .663 .710 .397 .697 .700 .696 .830
Bold and italic values indicate the square roots of AV
Confirmatory Factor Analysis
Confirmatory factor analysis was used for the three variables using the
maximum likelihood method (Maximum Likelihood - ML). The results
resulted in a good fit for the five variables. The following table shows the
value of the matching indicators for the five variables. It is noted from the
following table that the value of the good match indicators exceeds (0.95),
which indicates an acceptable good match.

- 122 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

Table (8) Confirmatory Factor Analysis


CFI GFI AGFI NFI NNFI IFI TLI RMSEA
FC .985 .977 .973 .983 .980 .974 .966 .015
CH .963 .958 .982 .966 .975 .958 .983 .028
VR .974 .983 .981 .964 .959 .988 .970 .018
AR .955 .977 .976 .978 .971 .959 .983 .009
AI .956 .968 .968 .958 .976 .954 .960 .034
MK .971 .958 .982 .963 .970 .956 .967 .041
CM .964 .968 .974 .959 .974 .983 .955 .019

Descriptive statistics

Table (9) Mean value and standard deviation (SD)


Artificial intelligence’s applications Mean SD T Sig. Rank
FC 3.7212 .78810 26.593 .000 3
CH 3.4868 .78358 17.104 .000 4
VR 3.9034 .74936 33.192 .000 2
AR 3.9063 .89091 28.008 .000 1
AI applications in tourism industry 3.7644 .67351 31.249 .000
Marketing effectiveness 3.8786 .73509 32.908 .000
Competitiveness of the Egyptian tourism 3.8909 .51948 47.217 .000
destination

The results of table No. (9) refer to the study sample’s responses to the
artificial intelligence’s applications in tourism industry statements. In general,
it appears from the results of the table that the total mean of the responses of
the respondents to artificial intelligence’s applications in tourism industry
amounted to (3.7644) with a standard deviation of (.67351), and based on the
standard used In this study and the responses of the sample, this mean
indicates that the evaluation of artificial intelligence’s applications in tourism
industry was high.
As well as, the table depict to the study sample’s responses to the marketing
effectiveness variable statements. In general, it appears from the results of the
table that the total mean of the responses of the respondents to marketing
effectiveness amounted to (3.8786) with a standard deviation of (.73509), and
based on the standard used In this study and the responses of the sample, this
mean indicates that the evaluation of marketing effectiveness was high.
The results also indicate to the study sample’s responses to the
competitiveness of the Egyptian tourism destination variable statements. In
general, it appears from the results of the table that the total mean of the
responses of the respondents to competitiveness of the Egyptian tourism
destination amounted to (3.8909) with a standard deviation of (.51948), and
based on the standard used In this study and the responses of the sample, this
mean shows that the evaluation of competitiveness of the Egyptian tourism
destination was high.
The table also shows the low dispersion in the responses of the study sample
about the three variables and its statements, which reflects the convergence of
the sample members' views on the importance of the three variables. The table
also indicates the convergence in the values of the mean, where it is noted
from the statistical significance values associated with the calculated (t) values

- 123 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

that there are no differences in the opinions of the study sample members
about the statements of this variable, as the statistical significance of all levels
was lower than the level of the significance (0.05).

Test of hypotheses
H1: Artificial intelligence affects positively marketing effectiveness
Table (10) reveals the outputs of multiple regression test of the effect of
artificial intelligence on marketing effectiveness.
Table (10) the effect of artificial intelligence on marketing effectiveness
Model Coefficients R F
2
(B) T Sig. R Sig.
(Constant) .802 8.456 .000 .786 303.597
FC .119 3.934 .000
CH .151 3.726 .000 .617 .000
VR .711 17.765 .000
AR .208 5.257 .000

The results in table (10) depict that the sig. value is less than (.05) which mean
there is a statistical significant correlation between artificial intelligence and
marketing effectiveness. Table also shows that the correlation between
artificial intelligence and marketing effectiveness was positive, where
correlation coefficient value is (.786). This means; the higher the level of
artificial intelligence, the higher the level of marking effectiveness. It also
indicates the reliability of model used in testing the effect of artificial
intelligence on marketing effectiveness. F value is (303.597) with sig. level
(0.001). This model indicates the percent of change on marketing effectiveness
in which explained through artificial intelligence. It also indicates that R
Square is (0.617) which means that the independent variable (artificial
intelligence) explain (61.7%) of change in the dependant variable (marketing
effectiveness). This result is in line with Gidumal (.2020) study which
indicated that AI has a positive impact on marketing effectiveness. Hence, H1
is supported.

H2: Artificial intelligence affects positively tourism destination


competitiveness
Table (11) reveals the outputs of multiple regression test of the effect of
artificial intelligence on competitiveness.

Table (11) The effect of artificial intelligence on competitiveness


Model Coefficients R F
2
(B) T Sig. R Sig.
(Constant) 2.155 27.446 .000 .689 170.070
FC .087 3.477 .001
CH .049 2.000 .046 .475 .000
VR .612 18.449 .000
AR .207 8.449 .000

The results in table (11) show that the sig. value is less than (.05) which means
there is a statistically significant correlation between artificial intelligence and
competitiveness. Table also indicates that the correlation between artificial

- 124 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

intelligence and competitiveness was positive, where the correlation


coefficient value is (.689). This means, The higher the level of artificial
intelligence, the higher the level of competitiveness. The table also indicates
the reliability of the model used in testing the effect of artificial intelligence on
competitiveness. F value is (170.070) with sig. level (0.001).
This model depicts the percent of change in competitiveness which is
explained through artificial intelligence. It also shows that R Square is (0.475)
which means that the independent variable (artificial intelligence) explains
(47.5 %) of the change in the dependent variable (competitiveness). This result
is in line with Fauzi and Gozali (2015) study which supported that AI affects
positively tourism destination competitiveness. So, H2 is supported.

H3: Marketing effectiveness affects positively tourism destination


competitiveness
Table (12) shows the outputs of a simple linear regression test of the effect of
marketing effectiveness on competitiveness.
Table (12) the effect of marketing effectiveness on competitiveness
Model Coefficients R F
(B) T Sig. R2 Sig.
(Constant) .738 301.947
1.869 27.283 .000
marketing .544 .000
effectiveness .521 30.032 .000

The results in table (12) display that the sig. value is less than (.05) which
means there is a statistically significant correlation between marketing
effectiveness and competitiveness. Table highlights that the correlation
between marketing effectiveness and competitiveness was positive, where the
correlation coefficient value is (.738). This means the higher the level of
marketing effectiveness, the higher the level of competitiveness. Additionally,
this table indicates the reliability of the model used in testing the effect of
marketing effectiveness on competitiveness. F value is (301.947) with sig.
level (0.001). This model indicates the percent of change on competitiveness
which is explained through marketing effectiveness. As well, it displays that R
Square is (0.544) which means that the independent variable (marketing
effectiveness) explains (54.4%) of the change in the dependant variable
(competitiveness). This result is in line with Anholt (2007) study which
supported that marketing effect on competitiveness. So, H3 is supported.

H4: Marketing effectiveness mediates the relationship between artificial


intelligence and tourism destination competitiveness.
Table (13) indicates Model fit for path analysis from artificial intelligence to
competitiveness of destination through marketing effectiveness as a mediator

- 125 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

Table (13) Model fit for path analysis from artificial intelligence to
competitiveness of destination through marketing effectiveness as a
mediator
Indicators Value
χ /df
2
2.015
Comparative Fit Index – CFI .968
The Goodness of Fit Index – GFI .971
Normative Fit Index – NFI .954
Incremental Fit Index – IFI .958
Tuker – Lewis Index – TLI .960
Root Mean Square Error of Approximation – RMSEA .021

Table (13) shows the values of model fit indicators of the path analysis model
for the impact of artificial intelligence on competitiveness of destination
through marketing effectiveness as a mediator. Through the table, it is clear
that the value of chi-square is less than 5, reaching (2.015). The results show
that the value of the (CFI) is (0.968). Moreover, the results in the table indicate
that the value of the (GFI) is (0.971). Table also indicates that the value of the
(NFI) is (0.954). as well, it is clear that the value of the (IFI) is (0.958). The
(TLI) value is (0.960). Finally, the results in the table show that the (RMSEA)
value is (0.021). Through all the mentioned indicators, it becomes clear that
the proposed model fitted the sample data. Table (15) reveals the direct and
indirect effect of artificial intelligence on competitiveness of destination
through marketing effectiveness as a mediator.

Table (14) the direct and indirect effect of artificial intelligence on


competitiveness of destination through marketing effectiveness as a
mediator
Path Direct effect Indirect
effect
Value Sig. Value Sig.
Effect of artificial artificial intelligence ---< .731 .000 .522 .000
intelligence on marketing effectiveness
competitiveness of marketing effectiveness ---< .553 .000
destination through competitiveness
marketing Artificial intelligence ---< .430 .000
effectiveness as a competitiveness
mediator

Table (14) shows the results of the BOOTSTRAP path analysis using Amos
software. Based on the conditions for using this method, it is clear from the
table that marketing effectiveness plays a partial mediating role in the
relationship between artificial intelligence and competitiveness, due to the
following:
- The indirect relationship between the independent variable (artificial
intelligence) and the dependent variable (competitiveness) is significant,
and this means that there is a mediating factor for the mediating variable
(marketing effectiveness).
- The direct relationship between the independent variable (artificial
intelligence) and the dependent variable (competitiveness) is significant,

- 126 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

and this means that there is a partial mediation of the mediating variable
(marketing effectiveness).
The table also indicates the values of the direct effect between the
independent, mediate and dependent variables, as the value of the direct effect
of the artificial intelligence on the marketing effectiveness of is (0.731). The
value of the direct impact of marketing effectiveness on competitiveness is
(0.553). In addition, the value of the direct impact of the artificial intelligence
on the competitiveness is (0.430).
The indirect effect of the artificial intelligence on the competitiveness in the
presence of the marketing effectiveness as a mediating variable is (0.522),
which confirms the role that the marketing effectiveness plays a mediating role
(partial) in enhancing the effect of the artificial intelligence on the
competitiveness. Therefore, H4 is supported.

Results and Recommendations:


The study aims to discover the mediating role of marketing effectiveness in
the relationship between artificial intelligence and competitiveness. The study
reached a number of results related to the level of adoption by the travel and
tourism industry of artificial intelligence applications, the level of marketing
effectiveness and the extent of the competitiveness of the destination. The
results indicated that the tourism and travel industry apply some applications
of artificial intelligence in its various operations such as chatbots, virtual
reality, augmented reality and forecasting. The marketing policies of the travel
and tourism industry are suitably effective. The Egyptian tourist destination is
characterized by high competitive capabilities. Artificial intelligence affects
positively both marketing effectiveness and tourism destination
competitiveness. Marketing effectiveness affects positively tourism destination
competitiveness. Finally, Marketing effectiveness mediates the relationship
between artificial intelligence and tourism destination competitiveness.
To enrich the advantages of using the artificial intelligence applications in the
tourism and travel industry and its role in enhancing both marketing
effectiveness and the competitiveness of the destination the researchers
provide some recommendations; specialists should draw the attention of the
government to enable the artificial intelligence applications which referred to
in this research, in addition to providing the opportunity for other applications
such as robots, holograms and metaverse technology. Ministry of Tourism
and Antiques should strengthen using artificial intelligence tools which offer
digital experience. moreover, general authority for tourism promotion should
use augmented reality and virtual reality instead of old ways of promotion and
providing technical and financial support for the Egyptian tourism market to
be ready to use artificial intelligence technology. Additionally develop and
improve marketing policies for the travel and tourism industry in the Egyptian
tourist destination.

- 127 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

References
• Al-Romeedy, B. S. (2019). The role of job rotation in enhancing
employee performance in the Egyptian travel agents: the mediating
role of organizational behavior. Tourism Review, 74(4), 1003-1020.
• Anholt, S. (2007). Competitive Identity: The New Brand Management
for Nations, Cities and Regions. New York: Palgrave Macmillan.
• Aziz, A., and N.A. Zainol. (2011). “Destination image: an overview
and summary of selected research (1974-2008).” International Journal
of Leisure and Tourism Marketing, 2(1): 39-
• Buhalis D., Amaranggana A. (2014). Smart Tourism Destinations.
eTourism Lab, Bournemouth University, Bournemouth, UK.
• Buhalis D., Leung R.,(2018). Smart hospitality—Interconnectivity an
interoperability towards an ecosystem. International Journal of
Hospitality Management 71:41-50 DOI:10.1016/j.ijhm.2017.11.011
• Claveria, O. (2015). Tourism Demand Forecasting with Neural
Network Models: Different Ways of Treating Information.
• Claveria.O. Torra,S.,(2014). Forecasting tourism demand to Catalonia:
Neural networks vs. time series models. Economic Modelling, 2014,
vol. 36, issue C, 220-228
• Craig, A. B., (2013). Understanding augmented reality, concepts and
applications. 1st Edition, Imprint: Morgan Kaufmann, ISBN:
9780240824086
• ETC/UNWTO (2007). Handbook on Tourism Destination Branding.
Madrid: UNWTO.
• Fauzi, A. H., and A. A. Gozali. (2015). “Virtual Reality to Promote
Tourism in Indonesia.” Journal Sistem Komputer, 5(2): 47-50.
• Fransen, M. L., P. W. Verlegh, A. Kirmani, and E. G. Smit. (2015). “A
Typology of Consumer Strategies for Resisting Advertising, and a
Review of Mechanisms for Countering them.” International Journal of
Advertising, 34(1): 6-16.
• Fornell, C., & Larcker, D. F. (1981). Evaluating structural
equation models with unobservable variables and
measurement error. Journal of marketing research, 18(1),
39-50.
• Gidumal,J.(2020). Impact of Artificial Intelligence in Travel.
• Hair Jr., Hult, G., Ringle, C., & Sarstedt, M. (2021). A primer on
partial least squares structural equation modeling (PLS-SEM). Sage
publications.
• Hair, J. (.2016). Partial Least Squares Structural Equation Modeling
• Ivanov, S., & Webster, C. (2020) Robots in tourism: a research agenda
for tourism economics. Tourism Economics (forthcoming
• Kandil,H.(2016) Neural Network –Artificial intelligence - Future
Forecasting of Egypt Economic Growth.
• Kotler, P., & Keller, K. L. (2012). Marketing Management, 14th
edition. New Jersey: Pearson Education.
• Linaza, M., Marimon, D., Carrasco, P., Alvarez, R., Montesa, J.,
Aguilar, S. R., & Diez, G., (2012). Evaluation of mobile augmented
reality applications for tourism destinations. In: Fuchs, M., Ricci, F.,

- 128 -
Minia Journal of Tourism and Hospitality Research Vol. (14), No. (1), December 2022

and Cantoni, L. eds. Information and Communication Technologies in


Tourism 2012, SpringerVerlag/Wien.
• Mascho, E., and N. Singh. (2014). “Virtual Tourism: Use of ‘Second
Life’ for Destination Marketing.” Anatolia, 25(1): 140-143.
• Morgan, N. J., & Pritchard, A. (2005). Promoting niche tourism
destination brands: Case studies of New Zealand and Wales. Journal of
Promotion Management, 12(1), 17-33.
• Nunnally, J. C. (1978). Psychometric theory (2nd ed.). New York:
McGraw-Hill.
• Rizzo, C. (2016). “Carnival Hopes a Virtual Cruise will Convince You
to Book Your Next Vacation.” Mashable. Retrieved August 17, 2016,
from http://mashable.com/2016/04/28/carnival-cruise-360-degree-
video/#qcfQKUXKhiq7.
• Samuely, A. (2016). “Hilton Checks in Virtual Reality Push Via 360-
Degree Video Experience.” Mobile Marketer. Retrieved August 17,
2016, from
http://www.mobilemarketer.com/cms/news/video/22759.html
• Shaffer, J. A., DeGeest, D., & Li, A. (2016). Tackling the problem of
construct proliferation: A guide to assessing the discriminant validity
of conceptually related constructs. Organizational Research
Methods, 19(1), 80-110.
• Shrestha, N. (2021). Factor analysis as a tool for survey
analysis. American Journal of Applied Mathematics and
Statistics, 9(1), 4-11.
• Stalidisa,G. Karapistolisa ,D. Vafeiadis,A. (2015), Marketing decision
support using Artificial Intelligence and Knowledge Modeling:
application to tourist destination management, International
Conference on Strategic Innovative Marketing, IC-SIM 2014,
September 1-4, 2014, Madrid, Spain.
• Ursachi, G., Horodnic, I. A., & Zait, A. (2015). How reliable are
measurement scales? External factors with indirect influence on
reliability estimators. Procedia Economics and Finance, 20, 679-686.
• Yu, G. and Schwartz, Z. (2006) Forecasting Short Time-Series
Tourism Demand with Artificial Intelligence Models. Journal of Travel
Research, 45, 194-203.

- 129 -

You might also like