Good but not so great: The impact of chain affiliation on guest satisfaction and guest satisfaction extremeness

Chain affiliation is widespread in the hotel industry. It has also attracted a lot of academic attention. While a large number of studies have examined whether affiliated hotels outperform independent hotels in terms of occupancy, ADR and RevPAR, research on the chain affiliation - guest satisfaction relationship is scarce. In this study, we explore the impact of chain affiliation on guest satisfaction and guest satisfaction extremeness, which is defined as the extent to which a hotel’s guest satisfaction deviates from the industry average. We also examine whether the relationships between chain affiliation, guest satisfaction and guest satisfaction extremeness are contingent on market segments. Using a large sample of 35.000 hotels, we find evidence that chain affiliation increases guest satisfaction, but decreases guest satisfaction extremeness. In addition, the positive chain affiliation - guest satisfaction relationship and the negative chain affiliation - guest satisfaction relationship are stronger in higher quality market segments. Taken together, our findings suggest that chain affiliation is a double-edged sword for hotels, particularly in higher quality market segments.     

From innovation to sustainability: Sustainability innovations of eco-friendly hotels in Taiwan

Sustainable innovation is a critical attribute in modern hotel management, as is widely recognized by experts and hotel managers alike. This paper develops and tests a new integrated theoretical model of associations among innovation diffusion, environmental marketing strategy, sustainability innovations, and the organizational environment. This research also considers the mediating effect of environmental marketing strategy and the moderating role of the organizational environment. The results of a study that included 367 managers of eco-friendly hotels in Taiwan provide support for this model across various dimensions of hotels’ sustainable innovation. The present study found relationships among innovation diffusion, environmental marketing strategy and sustainability innovations, and a mediating effect of environmental marketing strategy. The results also confirmed that the organizational environment moderates the relationship between innovation diffusion and environmental marketing strategy. That is, a supportive organizational environment will enhance the effect of innovation diffusion on environmental marketing strategy.     

Marketing strategies for hotels

The aims of this article are to investigate the application of hotel marketing strategies by independent vs group (chain) hotels and to investigate comparatively the performance — along a number of criteria — of these two types of hotel organisation.The study presents in detail the main stages in developing a hotel marketing strategy and a taxonomy of the 9 major strategies available for hotels, discussing their features, characteristics and when appropriate for application.Any meaningful analysis of hotel marketing should be based on the marketing strategies employed by the individual establishment and group/chain organisation. No doubt effective selling of hotels' products and services depends to a large extent on the marketing strategies selected. As the market for hotels' services is dynamic and accompanied by rapid changes in the environment due to uncertain economic conditions, increased competition, advancement in technology, and inflation, increased attention will be given by hotels in the future to the selection of an appropriate marketing strategy.     

Entrepreneurial Characteristics,Motives, and Business Challenges: Exploratory Study of Small- and Medium-Sized Hotel Businesses

ABSTRACT

The purpose of this study is to gather information about the determinants and characteristics of the owners/managers of small- and medium-sized hotels (SMSHs) and identify various issues in starting up and operating businesses in the United Arab Emirates. The results of this study reveal that the majority of the owners/managers of SMSHs in the United Arab Emirates are male, young and middle age, and relatively new to the tourism industry. The motivations for the business ventures of the entrepreneurs include wanting to be financially independent, become one’s own boss, involvement in family business and the opportunities of the hotel business. Among the key business challenges highlighted by the owners/managers of SMSHs are stiff competition in the hotel industry, increased operating costs, reduced demand, and lack of skilled employees. Several key strategies have been employed to face these challenges. These include offering competitive pricing, improving the marketing and channels of promotion, enhancing the quality of service and providing superior customer service.     

The implications of hotel employee attitudes for the development of quality tourism: the case of Cyprus

In an increasingly competitive market, the issue of quality has grown in significance for tourism businesses and destinations alike. This has been influenced by a number of factors, such as the expansion of consumer rights and the alleged emergence ‘new’, quality conscious tourists. In particular, it is the need to retain or increase competitive advantage that has underpinned the drive for quality in tourism—certainly, many destinations, especially those operating in the highly competitive summer-sun market, are now adopting quality tourism development strategies. However, little or no attention has been paid to the role of tourism industry employees, particularly those in hotels, in the success of quality management programmes. The purpose of this paper is to address this omission. Based upon a survey of hotel employees in Cyprus, it identifies a number of factors that may support or limit the drive towards quality service provision, with a variety of implications for the destination as a whole as well as individual hotels. In particular, hotel management should implement strategies based on reward systems, empowerment and reducing staff turnover, whilst there is an important co-ordination and guidance role to be played by the national tourism organisation.     

Effect of Internal Marketing on Hotels: Empirical Evidence for Internal Customers

Internal marketing is a concept where firms apply marketing tools to attract and retain the best employees that will later affect business performance in monetary and nonmonetary terms. This article deals with the effect of internal marketing in hotels on their performance, based upon data obtained from India. Researchers identified the constructs of internal marketing: interfunctional coordination and integration, job satisfaction, job security, empowerment, employee motivation, vision of the organization, quality of service, employee development, strategic reward, and senior leadership. Researchers analyzed the effects of these processes on interactive marketing and thereby business performance. This study seeks to help organizations design their own internal marketing plan by outlining the important elements necessary to improve the business performance of hotels.     

How do hotels adapt their pricing strategies to macroeconomic factors?

The hospitality industry is naturally highly sensitive to subtle changes in the external environment, and its performance is affected by various external factors. Therefore, hoteliers should carefully monitor the various macroeconomic indicators affecting the market, when making important strategic management decisions. In particular, hotels’ pricing decisions are important because they play a crucial role in the determination of hotel revenue and in the process of profit maximization. In this paper we classify hotels by business model (i.e., chain management, franchise and independent) and analyze how these different types of hotels in Switzerland adapt their pricing strategies to macroeconomic factors (i.e., exchange rate, room supply and market demand). We find that hotels adopting different business models react differently to the same macro shock. Implications of our findings and future research directions are discussed.     

Extra-Role Customer Service: The Roles of Leader–Member Exchange (LMX), Affective Commitment,and Psychological Empowerment

ABSTRACT

Based on the social exchange and job characteristic theories, this study advances a moderated-mediation model that tries to explain the social-psychological processes connecting the leader–member exchange (LMX) and extra-role customer service, and examined it by collecting data from employees and managers employed in tourist hotels operating in Uttarakhand, India. A hierarchical regression analysis determined that LMX was positively related to extra-role customer service where affective commitment mediated this relationship. Further, an analysis of a moderated-mediation path revealed that psychological empowerment strengthened the direct influences of LMX on affective commitment and its indirect influence on extra-role customer service. Based on these findings, important theoretical and managerial implications are discussed.     

Hotel Innovation Through Property Renovation

ABSTRACT

There is little doubt that renovation is a costly, ongoing and an essential requirement for hotels to stay competitive in the market. At any one time almost every hotel has recently been renovated, is under renovation, or is waiting for renovation. An examination of the literature uncovers that product innovation and property renovation are inseparable in the hotel industry. This is due to the fact that various levels of innovation can be attained through renovation. Therefore, it is the intention of this paper to concentrate on the process of property renovation in the hospitality industry and its role as a strategic marketing tool for product innovation. This is undertaken through presenting an analysis of a survey of hotel general managers in Egypt.     

Guest satisfaction in independent and affiliated to chain hotels

In the hotel sector, two basic organisational forms can be distinguished, independent and chain-affiliated, which reflects in the entities' management processes and in the dimensions of the hotel service. Guest satisfaction is the determinant of and the secret to success in the hotel industry, nevertheless the comparison of customer satisfaction of both operational models is scarce. The main goal of this work is to determine whether those differences exist, considering the geographical scope and size of the chain in linked hotels. Customer satisfaction was analysed in 404 four and five-star hotels, measured through the hotel ratings from online travel agent Booking.com, in two tourism destinations in Spain using the Rasch Measurement Theory. Results obtained indicate that the superiority in customer satisfaction of one of these management forms shows for specific dimensions of the service provided.     

Tiers or Tears?

ABSTRACT

The convention and meetings business worldwide has grown to become a significant economic, political, and social phenomenon. Convention centers aggressively compete for the right to become the destinations for conventions, which increasingly can be held anywhere in the world. More recently, first-tier convention centers have begun to use digital marketing by developing sites on the World Wide Web. However, very little research to date has focused on these convention center Web sites. This study examined the Web sites of 10 major convention centers in the U.S.-each with 500,000 square feet or more of exhibit space-in terms of technical, marketing, internal, and customer critical success factors (CSFs). It was concluded that these Web sites should be further developed and improved, particularly in their marketing and customer-related aspects. The Web sites were evaluated once in 2000 and again in 2001, and a slight improvement in performance was noted.     

Meeting consumer needs — the basis for successful marketing of nutrition in foodservice

In this paper the need to base the design and marketing of nutrition in the hospitality industry upon consumer segmentation of the market is discussed. Characteristics of existing programs are summarized as are the factors contributing to their success or failure. An understanding of how to market nutrition programs successfully in the hospitality industry is essential, as nearly all hotel chains and many independent and chain restaurants have developed nutrition promotions or will be implementing nutrition programs in the next two years.     

The determinants of hotels' marketing managers' green marketing behaviour

Little is known about the factors underlying the pro-environmental behaviour of marketing managers. This paper explores the determinants of green marketing practices in the Red Sea hotel sector in Egypt. The research model assesses green marketing practices against the personal and organisational values of the marketing managers, together with a range of organisational and demographic variables expected to influence hotels' environmental behaviour. From a valid sample of 89 marketing managers responsible for 194 hotels, it was found that organisational contextual variables, and in particular targeting Western tourists, being affiliated to an international hotel chain and the marketers' own demographics, including age, academic subject studied and gender, were the best predictors of more proactive green marketing. Personal environmental values did not explain the pro-environmental behaviour of marketers, and the organisational environmental values that had explained part of their ethical behaviour had resulted from voluntarism rather than utilitarian or conformance-based values. Government policies also appeared to be ineffective determinants. The implications for green marketing practices are also discussed.     

Managing green marketing: Hong Kong hotel managers’ perspective

In view of the serious environmental problems we are currently facing, taking action to protect our planet is becoming more persuasive and important. Along with various environmental initiatives, the concept of green marketing emerged in the late 1980s. Some hotels have taken various initiatives to position themselves as green hotels, including the use of eco-labels as a marketing ploy to attract customers. Nevertheless, some of the hotels that use these green marketing strategies have been accused of “green washing”. The main aim of this study is to investigate Hong Kong hotel manager perceptions of the relative importance of different green marketing strategies. Questionnaires containing 30 attributes were distributed to this effect. The findings reveal that hotel managers equally perceive “Hotel green marketing should begin with green product and service design”, “Hotels provide products and services that do no harm to human health” and “The Internet is an effective channel to market a hotel's green initiatives to customers directly” as the top green marketing ploys. Independent t-tests and one-way ANOVA were also used to examine significant differences in the way hotel managers with different professional backgrounds and individual demographic characteristics rate the importance of hotel-related green marketing strategies. The findings indicate that lower-grade hotels tend to adopt lean green marketing strategies, whereas hotels with larger sizes or formal environmental management systems are likely to adopt shaded or extreme green marketing strategies. The study also provides a number of insights to help hotel managers and especially marketers better understand the implementation and importance of different green marketing strategies, thereby allowing them to employ suitable measures to avoid the “green washing” designation and attract more green-conscious travellers.     

The future of the State-owned hotels in China: Stay or go?

Hotel sector was the first one to employ joint venture in China after its ‘Open Door Policy’ in 1978. In transition from production unit to business unit, the operating system of China's State-owned hotels (SOHs) has changed greatly. Though its hotel industry has become more open, many of the tourist hotels are still State-owned enterprises (SOEs) today, and they account for over half of the loss of all hotels in the country. This study aims to find out: first, critical issues causing those problems facing the SOHs; second, factors affecting the development of SOHs, and third, their future. Government ownership and its related problems, such as complicated ownership, bureaucratic structure and control, add difficulty to restructure SOHs. The future of the SOHs in China regarding whether to stay or to go very much depends on government policy and commitment on restructuring the industry which is vital to success and sustainability of SOHs in the socialist market economy environment.     

Environmental proactivity of hotel operations: Antecedents and the moderating effect of ownership type

This study examines the relative importance of three influential factors (stakeholder pressure, economic opportunities, and top managers’ personal environmental concern) in shaping managerial attitudes toward adoption of green programs in the hotel industry. The results, based on a sample of 235 top managers of hotels affiliated with three U.S. state hotel associations, suggest that stakeholder pressure is the most dominant predictor of managerial attitudes toward adoption of green programs followed by economic benefits and top managers’ personal environmental concern. In addition, the relationship between managerial attitudes toward adoption of environmental programs and organizational environmental commitment is found to be moderated by the ownership style. The relationship is stronger for independent hotels than for chain-affiliated hotels, indicating a more significant role of managerial discretion in implementing environmental strategies at the independent hotel setting than the chain hotel setting.     

Analyzing Quality of Supply Chain Management in Hotels of Isfahan Using the Partial Least Squares (PLS)

ABSTRACT

Hotels, as one of the major tourism service providers, must offer high quality products to survive in this severely competitive environment so that they can preserve their competitive advantage dealing with other competitors. Therefore, considering the high importance of this subject, this study aims to analyze the quality of hotels supply chain in Isfahan- Iran. On this account, the literature of quality in supply chain is reviewed and seven factors affecting the supply chain are identified. Then research hypotheses are raised in accordance with the seven factors. Data was gathered using questionnaire and Partial Least Square was applied in order to analyze the data. The obtained results indicate that focus on customer, supply chain quality leadership, supply chain quality strategies, supply chain quality information and process approach results in an increase in supply chain quality; meanwhile, the two hypotheses regarding supplier quality management and human resources development of supply chain are rejected. The results of this article will be beneficial to hotels which want to increase the level of their service quality.     

Effectiveness of the hotel websites in Singapore: A perspective from Business‐to‐Business (B2B) organisations

Internet marketing in hotels allows potential users to learn about the hotels, to tour hotel facilities and to compare prices among other benefits without directly interacting with a hotel representative. For some users, Internet is the first and only channel consulted when booking hotel accommodations. In the present age, Internet is increasingly becoming both an opportunity and a challenge for hotel marketers. The opportunity lies in reaching users directly through Internet sites. The challenge is to get the guests’ attention long enough to tell the marketers’ story (Connolly, Olsen and Moore, 1998). It has always been controversial as to how effective Internet marketing can be. Both firms and researchers have indicated that the measuring of effectiveness of Internet marketing is a multidimensional question. This study sought to examine the effectiveness of business‐to‐business Internet marketing in the hotel industry in Singapore through analysing the differences between the travel agents expectations of service and hotels’ understanding of those expectations. A total of 66 hotel websites in Singapore were scanned to give the features analysis. On the basis of the perception scores of 112 inbound travel agents, the study identified the gaps between the users and the website provider (hotel industry).     

The impact of regulation and ownership structure on market orientation in the tourism industry in China

The nature of market orientation and its impact on business performance and other related outcomes have been extensively researched in a range of service contexts including tourism. In contrast, our understanding of the factors that influence market orientation is still limited. This paper reports on a study that contributes to our understanding of the determinants of market orientation within the tourism sector by focusing specifically on the role played by two strategically important variables, namely government regulation and ownership structure. The study analyses two national samples of hotels and travel services in the rapidly growing tourism industry in China. The hotel sector has been open to foreign investment for two decades and has a diversified ownership structure, whereas the travel services sector has been dominated by government owned firms and relatively closed to foreign investment. The results of the survey suggest that of the two new antecedents, only government regulation has a significant role to play in driving market orientation. Internally, access to appropriate managerial and marketing capabilities was identified as a significant predictor of the development of market orientation.     

Pushing forward high-performance work systems in the hotel industry: A procedural-justice climate to promote higher unit-level outcomes

In this study, we examine how the high-performance work system (HPWS) can be used to promote positive employee behavior leading to higher organizational service performance in the hotel industry. Specifically, we suggest that the collective organizational citizenship behavior (OCB) of employees links the HPWS to organizational service performance, and a stronger procedural-justice climate of a hotel strengthens the relationship between the HPWS and the collective OCB. Using multi-source data drawn from 5290 employees across 180 independent franchise hotels in North America and customer feedback on each surveyed hotel, we found that the collective OCB mediates the relationship between the HPWS and organizational service performance, and when hotels have a stronger procedural-justice climate, the mediating effect is more salient. The implications of these findings for tourism researchers and practitioners are discussed.