Augmented Experiences, Unwilling Payers: A Study on AR Role in Theme Park Strategy for the Digital Native
Published: 2025
Author(s) Name: Felita M. Salvacion, Gwi-Gon Kim |
Author(s) Affiliation: Department of Business Administration, Kumoh National Inst. of Tech., Gumi City, Republic of Korea.
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Abstract
This study empirically investigates the impact of Augmented Reality (AR) on student visitors within the theme park industry, utilizing the Stimulus-Organism-Response (S-O-R) framework. Data from 203 respondents, analyzed via Partial Least Squares Structural Equation Modeling (PLS-SEM), reveals that students are cautiously optimistic about AR. The research confirms that the external Stimulus of AR specifically its augmentation quality, interactivity, and ease of use have strong, significant effects on internal psychological states. High-quality, intuitive AR technology robustly influences the Organism, leading to heightened perceptions of usefulness, enjoyment and immersion. These positive internal states combine to foster a sense of overall perceived value, which is the key mediator driving the primary response of increased behavioral loyalty, including revisit and recommendation intentions. However, a critical strategic disconnect is identified: while this pathway to loyalty is clear, the link from perceived value to a willingness to pay a premium ticket price is weak and not supported. The study concludes that AR is a powerful tool for enhancing the guest experience and fostering long-term loyalty, but its success is fragile and entirely dependent on flawless execution. For theme park managers, the implication is to position AR as a value-adding feature bundled into standard admission to justify overall pricing, rather than attempting to monetize it directly as a premium add-on.
Keywords: Usefulness, Enjoyment, Ease of Use, Augmentation Quality, Willingness to Pay, Perceived Value
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