Abstract
This study empirically investigates the effects of online consumer reviews on hotel accommodation performance in an e-commerce context. Online consumer reviews include two types: online consumer satisfaction and electronic word-of-mouth (eWOM). eWOM was also regarded as the proxy of consumer loyalty. Hotel-level online consumer reviews from three well-known online travel agencies (i.e., Agoda.com, Expedia.com, and Trip.com) and financial data from 88 hotels were combined and analyzed using the Hayes’ PROCESS Macro. Based on the service-profit chain (SPC) framework, the two forms of online consumer reviews, satisfaction, and eWOM, were hypothesized to have positive effects on performance. The hypothetic effects were assessed in terms of the concurrent model and three lagged models. The results indicate that satisfaction has a positive effect on eWOM. However, to our great surprise, the two forms of online consumer reviews did not directly affect hotel accommodation performance across the concurrent model and the three lagged models. Additionally, online consumer satisfaction did not influence hotel accommodation performance via eWOM. The results have several important theoretical and practical implications for online consumer relationship management in the hospitality and tourism industry. The results of this study can further clarify the relationships among online consumer satisfaction and eWOM (customer loyalty), and performance.
Highlights
Firms work to understand how to earn the continued patronage of their consumers in order to compete successfully and operate sustainably [1]
Based on the service-profit-chain (SPC) framework, the current study examined the relationships among satisfaction, electronic word-of-mouth (eWOM), and hotel room revenues
Hypothesis 1 examined the relationships between satisfaction and eWOM
Summary
Firms work to understand how to earn the continued patronage of their consumers in order to compete successfully and operate sustainably [1]. Consumer satisfaction occurs when a product/service meets the consumer’s needs and expectations. A satisfied consumer is more likely to repurchase the product/service in similar, future shopping situations [9]. The repurchase intention or behavior is regarded as consumer loyalty, which correlates positively with firm performance [10,11,12]. Consumer loyalty refers to a consumer’s loyal attitude and behavior toward a specific service firm [13]. Prior studies often use the repurchase intention or behavior of consumers
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