Hotel revenue management and the Internet: The effect of price presentation strategies on customers’ willingness to book

A decision that is intrinsic to the application of hotel best available rate (BAR) pricing is how to present the BARs for individual nights within a multiple-night stay to prospective hotel guests. We discuss two alternative price presentation strategies, a blended and a nonblended rate approach, and examine their effect on customers’ willingness to pay in the context of Internet-based reservation requests. Study findings indicate that a nonblended rate presentation approach generates higher willingness to book ratings than a blended rate presentation approach. Furthermore, when it comes to nonblended rates, familiarity with BAR pricing moderates the effect of rate sequence on customers’ willingness to book.     

Influence of environmental stimuli on hotel customer emotional loyalty response: Testing the moderating effect of the big five personality factors

The aim of this research was to test the moderation effects of the Big Five Factors (BFF) of personality on hotel ambience-guests’ consumption emotions–loyalty relationship. This was an attempt to extend the Stimuli–Organism–Response (S–O–R) that has been widely used in consumer studies without integrating personality factors that may exert effects on the relationships. A self-administered questionnaire was distributed to hotel guests; 563 responses were used in data analysis. The results of the structural model affirm the effect of hotel ambience on guests’ consumption emotions, with those emotions having significant effects on loyalty. Among the personality factors, extraversion, openness to experience and agreeableness significantly moderated the relationships, with groups scoring high in traits having stronger relationships than those lower in traits. Overall, the study supports the extension of the S-O-R with the inclusion of personality. Theoretical and practical implications are discussed.