Abstract
This study aims to establish a relationship between customer sentiments in online reviews and customer ratings for hotels. Customer sentiment refers to the emotions expressed by customers through the text reviews. These sentiments can be positive, negative or neutral. The study explores customer sentiments and expresses them in terms of customer sentiment polarity. Our results find consistency between customer ratings and actual customer feelings across hotels belonging to the two categories of premium and budget. Customer sentiment polarity explains significant variation in customer ratings across both the hotel categories. With regard to managerial implications, the study finds that, when compared with premium hotels, managers of budget hotels should improve their staff performance and hotel services. The present study is not exhaustive and other factors like customer review length and review title sentiment can be analyzed for their effects on customer ratings.
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