E-Appraisals of Japanese Hotels and Their Effects on Ratings of Performance Indicators

Abstract

The trend of advertisement has been radically transformed due to fan emergence on the Internet. Consumers can not only get information from companies but also read comments and evaluations from other users. This research focuses on electronic word-of-mouth (eWOM). We took advantage of a sum of 16 Japanese hotels and analysed the connections between eWOM’s and the values of hotel’s assessments. On the result of this research, we have conducted text-mining for 6,953 English reviews: term frequency-invers (Tf-Idf) was likewise calculated for these text-minined outputs. After these mathematical methods, we have been able to draw several significant outcomes: one, close connections exist between the average score of hotel appraisals and accommodation prices; two, the values of Tf-Idf calculation has resulted ten words to be most significant; and, a principal component analysis over the same data has helped us to categorize the words in the hotel reviews into several groups. Then, the multiple regression analysis examines the relationships between the values and hotel appraisals by hotel grade, region and a season of the year. This paper’s findings suggest that would help prospective clients in choosing their accommodations while helping hotel management to improve their facility amenities and services.