The major purpose of place branding is to attract tourists and investors by enhancing the value proposition of a place through its unique regional identity. We undertake two studies to test the impact of regional identity on destination brand loyalty, and thereby on investment attractiveness. Study 1 involves identifying the dimensions of customer-based place brand equity (CBPBE) from a regional identity perspective. Data were collected from the state of West Bengal in India. Results of exploratory factor analysis show a four-dimensional structure of CBPBE consisting of brand salience, brand meaning, perceived quality, and brand attachment. Based on 290 responses collected from Thailand, we use these CBPBE dimensions in study 2 to develop and validate the psychometrically robust CBPBE-RI instrument. Finally, we test for the impact of CBPBE-RI dimensions on destination brand loyalty and investment attractiveness. The results have managerial and theoretical implications.
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