Abstract
The hotel market has become extremely competitive over the past years. Hotels try to differentiate themselves through their services and facilities. To make the best choice when searching for accommodation, guests increasingly use rating systems of booking sites. Using an ordered logit model (OLM), we identify, in our study, a sample that comprises of 635 hotels from Romania. These are the hotel facilities that significantly influence customer review scores (as an expression of customer satisfaction) on booking.com, the most widespread rating system. We also identify whether their impact on intervals of satisfaction levels vary. Some explanatory variables invalidate the Brant test for proportional odds assumption. Thus, for the final estimates, we use a generalized ordered logit model (GOLOGIT). The results show that food-related facilities, restaurants, and complimentary breakfasts, are very significant for customer ratings. Relevant hotel common facilities are the pool and parking spaces, while for the room—the flat-screen TV. It is interesting to note the negative influence of pets, which seem to disturb other tourists. In the sustainability category, only facilities for disabled people and electric vehicle charging stations are relevant.
Highlights
IntroductionWith the rapid increase of internet usage in the world, the travel industry was one of the first (and most successful) industries to take advantage of utilizing the internet as a sales channel (online gross travel bookings revenue worldwide from 2011 to 2017 was about 67%) [1]
With the rapid increase of internet usage in the world, the travel industry was one of the first industries to take advantage of utilizing the internet as a sales channel [1]
Customer satisfaction monitoring and use, to improve activity, is considered a sustainable management practice by the Global Sustainable Tourism Council (GSTC) [4]; it is essential for the long-term success of hotel businesses
Summary
With the rapid increase of internet usage in the world, the travel industry was one of the first (and most successful) industries to take advantage of utilizing the internet as a sales channel (online gross travel bookings revenue worldwide from 2011 to 2017 was about 67%) [1]. It is a resource to understand the requirements, opinions, and experience perceptions of their guests, the information can, be used to improve the quality of their services. It is a tool for hotels to increase their financial performances and long-term sustainability, as positive reviews are associated with increased online bookings. In this respect, eWOM (expressed through online customer ratings and reviews) is an expression of customer satisfaction. Customer satisfaction monitoring and use, to improve activity, is considered a sustainable management practice by the Global Sustainable Tourism Council (GSTC) [4]; it is essential for the long-term success of hotel businesses
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