Purpose – Despite the growing demand for environmentally sustainable services, green hotels are often perceived as offering lower comfort while charging premium prices. This paradox raises questions about whether environmentally conscious customers genuinely develop strong loyalty toward green hotels and what factors drive such loyalty. This study addresses two main questions: (1) Do green customers demonstrate strong loyalty toward green hotel services? (2) Does customer satisfaction mediate the relationship between green hotel service attributes and customer loyalty? Design/methodology/approach – A quantitative research design was employed using survey data collected from 153 hotel guests in Yogyakarta, Indonesia, selected through random sampling. The proposed model was analyzed using Structural Equation Modeling Partial Least Squares (SEM-PLS), including assessments of construct validity and reliability. Finding/Results – The findings reveal that green customer loyalty is not directly formed but is significantly influenced through customer satisfaction as a mediating variable. Key green hotel service attributes such as eco-friendly facilities, environmental atmosphere, unique sustainable design, energy efficiency, employee environmental awareness, customer involvement in green initiatives, healthy food offerings, and reward systems positively affect satisfaction, which in turn enhances loyalty. Originality/Value – This study contributes to the sustainable hospitality literature by providing empirical evidence of the mediating role of satisfaction in shaping green customer loyalty. It also refines the conceptualization of green service quality by integrating both environmental attributes and experiential factors, offering a more comprehensive model applicable to emerging tourism destinations.
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