The main objective of this study was to evaluate the relationships amongst service encounter quality, customer expectations, perceived value and satisfaction of hotel guests. The specific objectives were to explain the statistically significant link between service encounter quality and customer satisfaction; the moderating effect of customer expectations on the relationship between service encounter quality and customer satisfaction. The study also sought to establish the mediating outcome of customers’ perceived value on service encounter quality and customer satisfaction. The last objective study sought to establish the joint effect of service encounter quality, customer expectations and perceived value on customer satisfaction. Service encounter quality, customer expectations and perceived value were used to develop an integrated model to widen the scope of customer satisfaction. The study was anchored on the expectancy disconfirmation theory and supported by the value percept theory, service encounter needs theory and the three factor theory of customer satisfaction. This study was guided by the positivist philosophy and literature from previous related studies was used to develop a conceptual model and hypotheses which were tested using statistical techniques. The study adopted a descriptive cross sectional research design. Sampling was done using systematic random technique and a sample of 376 hotel guests was used in the study. A pilot study was conducted and reliability of the research tool was tested using Cronbach alpha test, validity tests were also carried out to check whether the tools measure what they were intended to. Four parametric tests; multi-collinearity, normality, heteroscedasticity and linearity of data were done to check the appropriateness and accuracy of the data. Data analysis was done using descriptive statistics, factor analysis, correlations and regression. Results showed that the influence of service encounter quality on customer satisfaction was partially mediated by perceived value and moderated by customer expectations. Both influences were positive and statistically significant. Further, service encounter quality had a statistically positive significant impact on customer satisfaction. The joint influence of service encounter quality, customer expectations and perceived value on customer satisfaction was statistically significant. Customers expect that a service is performed right without errors the very first time, therefore, the hotel management must ensure their staff are competent and that other facilities that enhance guests experience like neatness, timely service, modern fixtures meet guest expectations. The study recommends that policy makers and management of hotels in Kenya should improve on service encounter quality and actively pay attention to guests’ expectations. The study has made contribution to the theory of consumer behavior by integrating service encounter quality to customer expectations and perceived value. Since consumer behavior is a dynamic area in marketing, continuous research is needed to address pertinent issues. Future research can also be directed at other hotels with lower star ratings as well as the unclassified hotels.

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