Abstract
Competition from emerging destinations forces established destinations to differentiate their offer and accommodate growing requests from tourists. Nowadays tourists not only search a destination that provides high quality services at affordable price but they search experiences that will enhance their wellbeing. Destination marketers are faced with a challenge on how to create and promote destination image that would transmit the capacity of the destination to contribute to visitors‘ wellbeing. In the present study we build a structural equation model that helps to relate satisfaction with stay at destination with quality of life enhancement of tourists. We test this model on a sample of visitors to Tasmania to conclude that the present model is a useful practical tool for practitioners willing to understand which aspects of the destination are important for vacationers in order to enhance their wellbeing on vacation.