Integrated Model of Value Equity in Spectator Sports

The current research was undertaken to propose a model of the components of customer equity in a spectator team sport setting and to identify and empirically test measures to assess one part of the model, namely: value equity. Value equity refers to the portion of a firm's customer equity derived from customers' perceived value or worth of that firm's product offerings. The measurement of customer perceived value is essential in assessing current services and for the development of further ones, because customer segments may have different motives to use services and thus perceive different value in them (Pura, 2005). This study, which is a first attempt to measure Value Equity within a spectator sport context, presents a conceptualization of Value Equity derived from a combination of the frameworks proposed by Sheth, Newman, and Gross (1991), Rust, Zeithaml, and Lemon (2000), and Sweeney and Soutar (2001), and includes six dimensions: 1) entertainment value; 2) social value; 3) service quality; 4) perceived price; 5) epistemic value; and 6) Satisfaction. A pilot study involving a sample (n = 254) of consumers at a NCAA Division I baseball game was conducted to provide an initial test of the items in the measurement scales to establish preliminary validity and reliability. Descriptive statistics, internal consistency reliability, and exploratory factor analysis were utilized in the data analysis. The first-order factor structure of Value Equity comprised of five dimensions, 16 first-order latent variables, and 75 indicator variables was tested in five separate exploratory factor analyses, one for each of the dimensions of Value Equity, to explain the variance in the observed variables in terms of underlying latent factors. The results of the pilot study indicated that the data fit the model reasonably well, though room for improvement remained. Modifications to the model resulted in a first-order model of Value Equity comprised of 16 dimensions and 75 items, which was tested in the next phase of the study. The main phase of the study was comprised of two separate data collections. The first data collection involved a convenience sample (n = 376) of spectators in attendance at a 'Double A' minor league baseball game. Based on the analysis of the results of the pilot study, a 16-factor model was tested using all 75 items, and internal tests and confirmatory factor analysis (CFA) were performed. The results indicated the 16-factor model of Value Equity in Spectator Sports Scale did not adequately fit the data. The 16-factor model with 75 indicators needed to be modified to provide the best fit to the data based on suggestions from the tests of model estimations and fit of the internal structure. Based on Bollen's (1989) criteria for model respecification, the model was modified accordingly. The modifications resulted in the testing of a 14-factor, 64-item model. The psychometric properties of the respecified measurement model were acceptable, as were the assessment of the global and internal fit indices. Given the favorable results, the researcher proceeded to a second data collection, which was used to validate the results of the respecified model. The second data collection of the main study comprised a sample (n = 285) of undergraduate and graduate students at a large Southeastern university. The analysis of the results of the second data collection served to confirm the revised model from the analysis of the results from the first data collection. Finally, a second order HCFA was conducted to test the relationship between the proposed higher order factors on the first order latent variables. While the results of the first-order CFA provided support for discrimination among the first-order factors, the results of the HCFA presented in this chapter indicate the predicted higher-model may not be appropriate for the current population from which the sample was drawn. The final chapter presents a discussion of the findings and reported results, as well as content discussing the implications and limitations of the current research project. Suggestions for future research are also provided.