How does hotel pricing influence guest satisfaction by the moderating influence of room occupancy?

Whether the product price increases customer satisfaction or rather decreases it has been actively debated for some time. A non-linear correlation between the hotel price and guest satisfaction, explored empirically in this paper, implies that the two phenomena are actually not inconsistent with one another At the low price level, room price and food and beverage (F&B) price leads to an increase in guest satisfaction whereas the high price level could have just the opposite effect The results suggests an inverse U shaped relationship between price level and guest satisfaction On the other hand, the room price guest satisfaction link could be affected by the moderating influence of room occupancy to be a U shaped function This paper reports results from a study on the influence of hotel pricing on guest satisfaction in the context of room products and F&B products in Taiwanese international tourist satisfaction It is found that the hotel pricing has a quadratic effect on guest satisfaction     

Exploring asymmetric effects of attribute performance on customer satisfaction in the hotel industry

Understanding the asymmetric effects of attribute performance (AP) on customer satisfaction (CS) is important for the managers in the hotel industry. Although several studies concerning this issue have been conducted, the varies of asymmetric effects across different market segments have not been revealed. To this end, this study aims to explore the asymmetric effects of AP on CS with respect to different market segments, including different types of hotels, different types of travelers and travelers from different regions. Four theories, i.e., expectation-disconfirmation paradigm, three-factor theory of CS, customer delight theory and prospect theory, are adopted to explain the formation of CS from the perspective of different market segments. The penalty–reward contrast analysis (PRCA) and asymmetric impact-performance analysis (AIPA) are used to analyze 1,547,869 user-generated ratings collected form TripAdvisor posted by the travelers from 140 countries concerning 9,596 hotels from 75 capital cities around the world. The results suggest that the asymmetric effects of AP on CS may vary across different market segments, including different types of hotels, different types of travelers and travelers from different regions. In addition, the priorities of hotel attributes for each type of hotel with respect to different types of travelers and travelers from different regions are also analyzed by AIPA. The obtained results will be valuable for researchers to conduct further studies and hotel managers to formulate improvement strategies.     

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.     

The Importance of Hotel Attributes in Contributing to Travelers' Satisfaction in the Hong Kong Hotel Industry

Abstract

This study surveyed 402 international travelers to explore their satisfaction levels towards service and facility quality in three Hong Kong hotel market segments, High-Tariff A, High-Tariff B and Medium Tariff. Six perception dimensions were extracted from 33 hotel attributes by a factor analysis. All six dimensions had a significant impact on the overall satisfaction of travelers with service quality and facilities in the three Hong Kong hotel market segments. Quality of Staff Performance was the most influential factor followed by Quality of Room Facilities, Value for Money, Variety and Efficient Services, Business Related Services, and Safety and Security respectively. It was found that travelers had the lowest satisfaction level towards the Medium-Tariff hotel segment. By identifying the most influential hotel dimension in influencing travelers' satisfaction levels, hoteliers will be in an advantageous position to formulate tactics to meet the changing needs and expectations of travelers. Implementing human resources training that emphasizes the fact that service quality is part of each employee's job should have a significant impact on guest re-purchase intention. The importance of value segmentation cannot be overlooked by hoteliers. Travelers will continue to expect hotels to provide more value-for-money services and facilities and they are expected to shift their purchasing decision to an economic value basis.     

Sustainable hotel practices and nationality: The impact on guest satisfaction and guest intention to return

The purpose of this study is to identify how sustainable hotel practices impact the satisfaction and intention to return of hotel guests from different nationalities. Surveys were completed by hotel guests in a popular tourist destination in Mexico. Multiple regression and multinomial logistic regression were applied to test the hypotheses. Results of this study supported the research hypotheses that indicate green practices overall do have a positive relationship on guests’ satisfaction levels and return intentions for Mexicans, Americans and other nationalities. Additionally, it was shown that the relative importance of green practices differs according to the nationality of the guest.     

Market accessibility and hotel prices in the Caribbean: The moderating effect of quality-signaling factors

The purpose of the paper is to investigate the influence of market accessibility on hotel prices and how this influence is moderated by various quality-signaling factors, such as online user ratings, “thumbs up” (recommendation) percentage, hotel class, and chain affiliation. Using a randomized sample of hotels in the Caribbean islands, we employ a three-level mixed-effect linear regression model to investigate the plausible relationship between market accessibility and hotel prices. After controlling for unobserved island-level and hotel-level characteristics, the model indicates that in most periods, low market accessibility (high flight costs) leads to lower hotel prices, and this influence is mitigated by well-established positive reputations as represented by the quality-signaling factors. Our findings imply that hotels should work to increase their reputations to help buffer the impacts of inaccessibility. In an effort to increase market accessibility, one course of action is to reduce airport landing taxes and fees.     

Hotel Guest Satisfaction and Brand Performance

ABSTRACT

The value and significance of guest satisfaction, brand management, and franchising in the hotel industry have been well documented and researched as independent topics. While previous research has suggested that franchising has an overall negative effect on hotel quality, it has rarely investigated the important links between hotel brand performance and guest satisfaction, and the role of brand franchising strategy in the relationship between hotel brand performance and guest satisfaction. This study examines the relationships among guest satisfaction, revenue performance and growth, and franchising strategy at the hotel brand level. Results indicate that guest satisfaction is a key to brand growth, while the positive effect of guest satisfaction on brand revenue performance is moderated by the extent of franchising within each brand.     

Understanding homophily of service failure within the hotel guest cycle: Applying NLP-aspect-based sentiment analysis to the hospitality industry

Online complaints have become increasingly influential on the purchasing behavior of customers in recent years. In an effort analyze large quantities of textual complaints and detail the various aspects of them, Aspect-Based Sentiment Analysis was looked to as an ideal framework to take on the task. This study set out to synthesize specific service failure items and categorize them into the groupings related to the hotel guest cycle and the corresponding operations, then compare the patterns of expression used by Asian and Non-Asian guests as the related their hotel experiences. A total of 390,236 online complaint terms posted about 353 hotels in the UK by hotel guests from 63 nations were manually derived from TripAdvisor for analysis. With consideration given to the homophily theory, we posited that Asian and non-Asian guests would exhibit similarities and differences with respect to the service failures they encountered when presented with various items of service. The results confirmed this as Asian guests were shown to encounter more service failures with respect to the engineering segment of operations (e.g. hotel room equipment issues), while non-Asian guests encountered more service failures on the housekeeping end of operations (e.g. toilets, public areas, cleanliness, and bedding). By organizing the failures according the four stages of the guest cycle, it was observed that approximately 80% of the service failures occurred during the occupancy period. This study contributes to the existing literature on hotel guest satisfaction both with respect to the methodology it uses and the new findings it presents on differences in perceptions of service failures members among different cultures.     

Extending the scope of hotel client reactions to employee injustice: Hotel employer reviews on the Internet

Third-party literature is concerned about the way others perceive what happens in organizations. When dealing with the perceived justice of the employer-employee relationship, it has mainly adopted an on-site approach. The scarce research focusing on the consequences of perceived justice for client variables in hotels has shown that it can impact client loyalty. In this study, we adopt an on-line view, and we analyze how the comments posted by hotel employees on the Internet about their work conditions influence guest perceptions. This topic is relevant because it is well known that clients’ perceptions influence client satisfaction, WOM and revisit intentions. Through an experiment based on real hotel employer reviews, results confirm that these comments have an impact on the organizational image dimension of service quality, hotel clients’ satisfaction, WOM, and revisit intentions. Thus, as occurs with client eWOM, hotel managers should be aware of these comments and manage them appropriately.     

An Assessment of Key Hotel Guest Contact Personnel in Handling Guest Complaints

Abstract

The quality of a guest's hotel experience is frequently dependent on the consistency with which hotel standards of service are applied. Where the existing systems break down, guests will complain. This should be viewed as an opportunity for the hotel's management. However, some hotel direct guest contact personnel may view guest complaints as causes for panic rather than opportunities for improving the hotel operation. Guests whose complaints were resolved satisfactorily were willing to return back to the hotel. Proficiency in handling their complaints results in greater guest satisfaction and loyalty. The application of the research will be on Hotel Assistant Managers/Guest Relations Agents to investigate whether they are applying the necessary steps and techniques to solve guests' complaints related either to tangible or intangible products in hotels. Results indicate that Hotel Assistant Managers and Guest Relations Agents could improve their effectiveness in handling guests' complaints. Assistant Managers were found in this study to be better at handling complaints than Guest Relations Agents.     

Customer Satisfaction,Training and TQM

Abstract

Managers within the hospitality industry make frequent reference to TQM principles. The extent to which these principles are applied effectively within the human resource management area of hospitality however remains under-researched. By applying TQM principles, this paper focusses on the relationship between customer service and training drawing upon comparative data from Western and Thai hotels. The paper also examines the perceptions of staff towards of hotels' guest-orientation and the provision of quality guest services. The researchers found that guest assessments of the performance of hotel frontline staff depend on their services function (e.g., front-office, housekeeping). The service quality skills needed by frontline staff were also found to differ in the case of Western and Thai hotels. Such differences merit proper consideration on the part of managers within the major hotel chains. The various findings may assist hospitality managers to determine appropriate strategies for the enhancement of guest services particularly in cross-cultural settings.     

Evaluating hotel animation programs at Mediterranean sun-and-sea resorts: An impact-asymmetry analysis

This study explores the determinants of tourist satisfaction and dissatisfaction with recreational services typically offered by sun-and-sea resorts, using the case of a large Croatian chain of hotels and resorts in the coastal region. The sample consisted of 994 guests drawn from the guest database. The analysis encompassed three types of animation programs: (i) sports activities; (ii) evening entertainment; and (iii) entertainment programs for children. Impact-asymmetry analysis was used to quantify potentials of particular service attributes to generate satisfaction and dissatisfaction, and to determine key-drivers according to the three-factor theory of customer satisfaction. The key-driver analysis was paired with qualitative data (guest comments on reasons for dissatisfaction) to provide valuable guidance for the hotel management in achieving higher levels of guest satisfaction within this segment of resort services. The results indicate several significant asymmetries in the formation of overall guest satisfaction, as well as differences according to the type of accommodation and selected demographic characteristics of tourists.     

Understanding service attributes of robot hotels: A sentiment analysis of customer online reviews

Robots and artificial intelligence are essential to the future of the hospitality industry, and they are receiving increasing interest from hotel managers and researchers. However, the adoption of robotic services in hotel operations is a challenging task owing to the current level of technology and lack of understanding on the relationship between various aspects of robotic services and customer satisfaction. Moreover, no prior study has examined the service attributes of robots in hotels. To fill these gaps, this study analyzes customers’ sentiments on major hotels employing robotic services expressed through online reviews. A list of robot quality and operational area attributes is first constructed, through which underperforming robot service areas are identified. Sentiments on robotic services have a positive correlation with hotel service satisfaction, which plays an important role in determining the overall satisfaction of customers. The analysis and findings are valuable to researchers and managers for future research and adoption of robotic services in hotels.     

Satisfaction and positive emotions: A comparison of the influence of hotel guests’ beliefs and attitudes on their satisfaction and emotions

This research provides a comparative study of two comprehensive servicescape models to explore the underlying influence of various hotel elements on guests’ satisfaction with, and emotional responses to, their hotel stays. Based on the theory of reasoned action (TRA) and the theory of planned behavior (TPB), this research sought to identify the differences in guests’ beliefs and attitudes about the elements of hotels’ public areas, rooms, ambiance, social, and green practices in determining their satisfaction and emotions. Two structural models were developed illustrating the theorized interrelationships between identified constructs. Data collected through an online survey from 310 guests stayed in upscale hotels with four-star ratings were used for the analysis. Results from two structural models revealed that the model with attitudes is a better predictor of guest satisfaction and emotions than the model with beliefs. Further, emotionally attached guests engage more in WOM than did satisfied guests. Hotel managers need to offer experiences that consist of elements that matter to customers since customers’ attitude towards various service elements determine their satisfaction and emotional attachment with hotels. Additionally, in order to get brand promoters through WOM recommendations, hotels need to focus on emotionally attached customers than satisfied customers.     

A social media analysis of the contribution of destinations to client satisfaction with hotels

To what extent do the ratings of hotels in social media depend on the hotels themselves and to what extent do they depend on the destination of the hotel? That is, if we were able to place a hotel with the same characteristics and services at two different destinations, would both have the same rating or would they differ? By using multilevel regression analysis, we have quantified the extent to which differences in client satisfaction with hotels can be attributed to the destination in which the hotels are located. We have measured this through ratings provided through social media outlets. Data downloaded from TripAdvisor from a sample of 7173 hotels were used. After controlling for specific variables, an 11.38% of the variance could be attributed to the destination. Thus, both hotels and destination management organizations (DMOs) are involved in client satisfaction and must work jointly to secure it.     

Drivers of Customer–Brand Relationship Quality: A Case of Mainland Chinese Hotel Loyalty Program Members

Hotel chains should understand the effectiveness of the benefits offered by their programs and the influence of customer relationship management (CRM) initiatives of individual hotels because of the high operating costs of loyalty programs and the risk of creating an affinity to the rewards they offer rather than to the brand itself. This study determines the effect of the satisfaction of hotel loyalty program members on the benefits they receive, and the CRM efforts of individual hotels on the quality of their relationship with the brand. The sample was drawn from mainland Chinese customers because of the growing importance of the Chinese tourism market. Results reveal that program benefits have no significant effect on the quality of the relationship of the member with the hotel brand. The communication of the program to its members and the customer orientation of individual hotels are the key determinants of relationship quality.     

Who benefits more from trade shows: Independent,franchised or chain-owned/managed hotels?

Large-scale events are opportunities for hotels to generate revenue. The literature has attested positive effects of events on hotel performance. However, while large-demand events are associated with room rate increases, hotel operation types may play a critical role in this “event-hotel performance” relationship. Drawing on the resource-based view theory, the chain value model and the theory of strategic groups, we hypothesize that independent and franchised hotels outperform chain-owned/managed hotels when events are held. The empirical application on over 950,000 observations between 2014 and 2019 shows that while chain-owned/managed hotels generally outperform independent and franchised hotels, this situation reverses in the presence of events. This result extends the resource-based view theory and the value chain model by including the short/long-term and corporate/property paradigm in the hotel industry.     

Star rating and corporate affiliation: their influence on room price and performance of hotels in Israel

The purpose of this paper is to ascertain whether and how star rating and corporate affiliation, as signals of quality, influence pricing decisions of hotels in Israel in various geographical locations, each with its specific market characteristics and during two different periods in which the business environment suffers from a crisis due to the political circumstances in the Middle East. The data suggests that the star-rating system, which is traditionally used to rate hotels’ quality, is a still stable and consistent predictor of room prices. However, in light of the increased usage of brand names in the Israeli industry, it was found that the ability to charge and receive a premium for the hotel corporate affiliation or brand name is not consistent. The analysis presents the case in which a premium for brand name is eroded by the influence of the crisis, by the level of corporate intensity in the region, and also by the relative strength of consumers in the different geographical locations.     

Becoming an ambidextrous hotel: The role of customer orientation

Because competitive pressure in the hotel industry continues to increase, hotels have to develop service innovation (i.e., exploration) and service improvement (i.e., exploitation) capacities to become ambidextrous for continually creating customer value. In this study, a theory of the effect of customer orientation on service innovation and service improvement, which facilitates service quality and results in better market performance, was developed and investigated. By analyzing the data provided by senior executives and department managers from 126 hotels in Taiwan, both service innovation and service improvement were revealed to partially mediate the relationship between customer orientation and market performance. The results imply that customer orientation affects the market performance of a hotel through the development of service capabilities, and that customer orientation can transform a hotel into an ambidextrous hotel by concurrently developing service innovation and service improvement capacities.     

Generic dimensionality of hospitality in the hotel industry: A host–guest relationship perspective

The main objectives of this study are to identify the generic facets of hospitality for hotel services irrespective of their star rating, as well as to determine the impact of generic dimensionality on guest satisfaction. The responses of 305 local and foreign hotel guests in a questionnaire survey were analysed using a Structural Equation Modelling technique. The generic facets of hotel hospitality were identified as personalisation, comfort, and warm welcoming. Of the three, only personalisation and warm welcoming contributed significantly to predicting guest satisfaction. This study is aimed at adding to the body of related literature by sharing new insights on how the generic dimensionality of hospitality in its entirety differs from that of upscale hotel hospitality.