Budget Hotels Research Articles

The Mediating Effect of Brand Trust on Yhe Relationship between Corporate Social Responsibility and Hotel Customer Satisfaction

This study explores the impact mechanism of corporate social responsibility (CSR) on hotel customer satisfaction, paying particular attention to the mediating role of brand trust in this process. Based on stakeholder theory and signaling theory, we propose that corporate social responsibility not only directly affects customer satisfaction, but also indirectly affects satisfaction by enhancing customer trust in the hotel brand. We surveyed 732 guests at multiple hotels and analyzed the data using structural equation modeling. The results support our theoretical model and reveal that (1) a hotel's corporate social responsibility practices have a significant positive impact on customer satisfaction; (2) brand trust partially mediates the relationship between corporate social responsibility and customer satisfaction. relationship; (3) hotel type (luxury hotel vs. budget hotel) moderates the impact of corporate social responsibility on brand trust, and this relationship is more obvious in luxury hotels. This study enriches the literature on the impact mechanism of corporate social responsibility, reveals the key role of brand trust in hotel corporate social responsibility practices, and provides a new perspective for hotel managers to improve the effectiveness of corporate social responsibility.

Research on Recruitment Management Innovation of Chinese Budget Hotel Chain Enterprises under the Big Data Environment

Abstract: This study delves into the transformative impacts of big data on recruitment management within China's economy hotel chains, emphasizing the urgency and relevance of this research theme in light of the swift digitization witnessed in the hospitality sector. By scrutinizing the current scenario of China's economy hotel industry, the paper underscores the infusion of big data to enhance recruitment processes, thereby addressing prevalent challenges such as inefficiencies and skill mismatches. A thorough analysis reveals that the prevailing recruitment framework within economy hotel chains fails to adequately align with evolving market dynamics and technological progressions. Consequently, innovative strategies leveraging big data analytics and artificial intelligence are proposed to refine recruitment practices, aiming for heightened precision in talent acquisition and process optimization. The research concludes by highlighting the substantial business value and societal ramifications associated with the adoption of big data in recruitment, emphasizing enhancements in operational efficiency, competitive positioning, and contributions to the broader economic landscape of China's hospitality industry.

Determining Consumer Preferences In Choosing Low Budget Accommodation Services In Medan City With Choice-Based Conjoint (CBC) Analysis

The hotel accommodation service industry in Medan City has witnessed significant growth following the pandemic, driven by increased business and tourism activities. With over 200 hotels in the city, there is a notable presence of middle-class hotels offering affordable prices. This study aims to determine consumer preferences in choosing low-budget accommodation services using Choice-Based Conjoint (CBC) analysis. The CBC method presents consumers with a series of menus featuring different hotel attributes, such as location, facilities, and price, to identify which attributes most influence their preferences. A sample of 40 respondents was analyzed to identify key factors influencing their hotel choices. The results revealed that consumers prioritize hotels located outside the central city area, with free internet service, basic room amenities, availability of a café or lounge, breakfast services, and non-smoking rooms. The study found that breakfast service is the most important attribute, followed by the availability of non-smoking rooms. These insights can help low budget hotel or managers in Medan City to modify their services to better meet consumer demands and improve market positioning.

The Impact of the Sharing Economy on Traditional Hospitality Models

Purpose: The general objective of the study was to examine the impact of the sharing economy on traditional hospitality models. Methodology: The study adopted a desktop research methodology. Desk research refers to secondary data or that which can be collected without fieldwork. Desk research is basically involved in collecting data from existing resources hence it is often considered a low cost technique as compared to field research, as the main cost is involved in executive’s time, telephone charges and directories. Thus, the study relied on already published studies, reports and statistics. This secondary data was easily accessed through the online journals and library. Findings: The findings reveal that there exists a contextual and methodological gap relating to the sharing economy on traditional hospitality models. Preliminary empirical review revealed that the sharing economy, exemplified by platforms like Airbnb, significantly disrupted traditional hospitality models, particularly affecting mid-tier and budget hotels with declines in revenue and occupancy. Luxury hotels, however, maintained resilience through brand reputation and superior services. It highlighted the importance of adaptive regulatory frameworks to ensure fair competition and consumer protection. The study recommended that traditional hotels innovate by embracing digital transformation and enhancing personalized experiences. These insights were deemed crucial for industry stakeholders to navigate the evolving hospitality landscape influenced by the sharing economy. Unique Contribution to Theory, Practice and Policy: The Disruptive Innovation Theory, Resource-Based View (RBV) Theory and Institutional Theory may be used to anchor future studies on sharing economy on traditional hospitality models. The study recommended several key actions for theory, practice, and policy to address the impact of the sharing economy on traditional hospitality models. Theoretically, it suggested expanding Disruptive Innovation and Institutional Theories to better understand market dynamics and regulatory influences. Practically, it advised traditional hotels to leverage their unique strengths, embrace digital transformation, form strategic partnerships, and innovate their service offerings to remain competitive. For policymakers, the study emphasized the need for adaptive regulatory frameworks to ensure fair competition and consumer protection. It also highlighted the importance of consumer education on the benefits and risks of different accommodation options. Future research directions included long-term impact studies, regional comparisons, and investigations into socio-cultural effects. Keywords: Sharing Economy, Traditional Hospitality Models, Disruptive Innovation Theory, Institutional Theory, Airbnb, Hotel Industry

Metaphorical effects of advertising in different types of hotels: evidence from eye-tracking

PurposeThis study aims to explore the attraction, influence and persuasive effect of advertising (with or without metaphor) across different types of hotels (luxury vs. budget hotels).Design/methodology/approachTwo independent variables – namely, the hotel category (luxury versus budget) and the use of rhetorical figures (text with metaphors versus text without metaphors) – serve as the basis for the investigation. The research design is a 2 × 2 within-subjects construct based on eye-tracking methodology complemented by questionnaire-based data collection. Participants were engaged with hotel advertisements under four specific conditions, each reflecting a distinct combination of the two independent variables.FindingsThe findings reveal the augmented attention-grabbing prowess of advertisements that use metaphors compared to those that do not. Furthermore, the study findings reveal that the hotel category significantly influences the efficacy of advertising; advertisements promoting luxury hotels were found to stimulate superior impression recall, garner higher customer affinity and prompt a more potent intention to patronize the hotel. Finally, the study shows that neither congruent nor incongruent pairings of visual (budget or luxury hotel) and verbal elements (with or without metaphor) yield additional advertising benefits.Practical implicationsThis research addresses the limited empirical guidance available for hotel operators at various levels regarding the design of advertisements incorporating rhetorical devices. It highlights the potential benefits of using figurative rhetoric, especially metaphors, in advertising for both budget and luxury hotels. The study reveals a notable correlation between hotel category, particularly luxury offerings, and customer attention, retention, preference and intention to visit. Furthermore, it encourages hotel operators, regardless of their hotel’s ranking, to incorporate metaphorical language into their advertising designs, underscoring the need for strategic integration in overall advertisement planning.Originality/valueUsing high-resolution online eye-tracking technology, this study innovatively examines the influence of hotel category and rhetorical devices on the effectiveness and attention-grabbing potential of advertisements. Through this approach, the study seeks to offer valuable managerial and advertising insights for those involved in hotel marketing.

Factors affecting organizational citizenship behavior of budget hotel employees in Indonesia: Examining the mediating role of work engagement and affective commitment

Organizational citizenship behavior pertains to the voluntary actions undertaken by individuals inside an organization to enhance its overall efficacy, especially in the absence of express acknowledgment from the formal incentive system. This study aims to investigate the role of work engagement and affective commitment in mediating the effect of perceived organizational support on organizational citizenship behavior. This quantitative design uses survey methodologies by sending questionnaires to frontline staff in budget hotels in Medan, Indonesia. The sample includes 225 frontline employees with at least a year of experience working in budget hotels in Medan, Indonesia. Data were collected through a Likert scale questionnaire and analyzed using SEM-PLS processed with SmartPLS 4.0 software. The findings suggest a significant relationship between perceived organizational support, work engagement, affective commitment, and organizational citizenship behavior (p < 0.05). In addition, the influence of perceived organizational support on work engagement and affective commitment is noteworthy (p < 0.05). Organizational citizenship behavior is affected by perceived organizational support through work engagement (p < 0.05) and affective commitment (p < 0.05). The results have significant ramifications for organizations. Organizations should establish frameworks that foster employee engagement and dedication. In addition, organizations should actively promote and incentivize employees to dedicate their time, exertion, and innovative thoughts for the betterment of their colleagues and the organization.

A Strategic model for service-oriented enterprises based on online reviews: the research of budget hotel chains in China

A Strategic model for service-oriented enterprises based on online reviews: the research of budget hotel chains in China

THE INFLUENCE OF INTRINSIC FACTORS, EXTRINSIC FACTORS, CUSTOMER ATTITUDES AND CUSTOMER EXPECTATIONS TOWARD INTENTION TO STAY AT BUDGET HOTEL

This study investigates the multifaceted influences shaping customer intention to stay at budget hotels, considering a comprehensive framework that encompasses intrinsic and extrinsic factors, as well as customer attitudes and expectations. As the budget hotel sector continues to grow in Malaysia, understanding the drivers behind customer decisions to stay in these establishments becomes crucial for both practitioners and researchers. The intrinsic factors measure service quality, safety and security that prompt customers to opt for budget accommodation. Extrinsic factors encompass external influences such as economic consideration such as price and rates that related aspects that impact customers' decisions. Customer attitudes, reflecting their overall perception and feelings towards budget hotels, are examined for their role in shaping intention to stay. Furthermore, this study delves into customer expectations, investigating how anticipated service quality, affordability, and other factors contribute to the decision-making process. By adopting a holistic approach, the research aims to provide valuable insights into the interplay between these factors and their collective impact on the intention to stay at budget hotels. A structure questionnaire was utilised to collect the data using quantitative method with 165 respondents. The online questionnaire was utilised for this survey and the instrument was evaluated using a five-point Likert scale on a questionnaire. Data for this study was obtained via a questionnaire and data was accessible using SPSS for the interpretation of independent and dependent variables. The finding showed four independent variables (intrinsic, extrinsic, attitude and customer expectation) positively correlated with dependent variable. The hypotheses are tested using reliability and correlation.

Compete or Avoid? Assessing Brand Competition Strategies with Spatial Colocation Analysis

Spatial competition considerations are important in hotel location selection. This study proposes and demonstrates a method of colocation network analysis to quantify the potential encroaching effect of spatial inter- and intra-competition between units of business brands that seek expansion. The environmental context of the study is a network of the top five budget hotel brands in the Beijing hotel market. The results reveal that brands implement different strategies in their hotel placement, which are subject to different levels of the encroaching effect. However, the method is applicable in a variety of hospitality settings, specifically in those that involve the development strategies of chain brands. The simulation capability of the method can assist hospitality brands in assessing the outcomes of a proposed development and, thus, aid hoteliers in the spatial allocation of new units with the least adverse effects on their existing business networks.

The Effect of Service Quality, Price and Complaint Handling on Customer Satisfaction of ibis budget Daan Mogot hotel

This study aimed to analyze the effect of service quality, price and handling of complaints on consumer satisfaction Ibis Budget Hotel. The method used in this research is quantitative descriptive with population in this study is consumer in ibis budget hotel. There are four variables studied in this research is Service Quality (X1), Price (X2) and Handling of Complaints as independent variables and Consumer Satisfaction (Y) as the related variables. The sample used in the study in 100 respondents. The data in this study using primary data by distributing questionnaires with multiple linear regression method that processed the use of SPSS 17.0 software. the results of research based on multiple linear regression analysis showed that the Service Quality (X1), Price (X2) and Handling of Complaints positive and significant impact on the consumer Satisfaction (Y).

Studi Komparasi Pengalaman Menginap Tamu pada Hotel Kabin Area Perkotaan dan Kawasan Wisata Kota Bandung

Cabin and low budget hotels are in great demand today, both in urban areas and in tourist areas. Although much in demand, until now there has been no research that measures how the experience of staying in urban areas and tourist areas compares. This study aims to analyze the guest's stay experience at the cabin hotel by comparing the two objects so that it can be used as an evaluation for the cabin hotel management to further improve service quality in providing a good stay experience. The approach used in this study is descriptive quantitative with cross-tabulation data analysis (Crosstab) assisted by SPSS version 25.0 software. By measuring the stay experience based on customer experience indicators consisting of sensor experience, emotional experience, and social experience. In cabin hotels, the results of research felt by tourists show that the experience of staying at cabin hotels in urban areas is more dominant in the sensor experience indicator, while in tourist area cabin hotels it is more dominant in the emotional experience indicator. For future researchers, the researcher suggests adding other variables and taking samples with a wider scope to maximize the quality of services provided for a better and memorable stay experience. And provide training to staff in terms of superior service such as improving interpersonal skills and being responsive to guest needs.

The Effects of Service Quality on Tourist Loyalty Towards Malaysian Budget Hotels

The hotel industry plays a vital role in tourism development by providing visitor accommodation facilities. This paper focuses on the effects of service quality on the budget hotel industry in Malaysia. Despite the increasing number of tourists opting for budget hotels in recent years, issues related to service quality have affected tourist satisfaction and loyalty, posing significant challenges for the budget hotel sector to maintain its business. The study analyzed the effects of service quality on tourist loyalty towards budget hotels and identified the most influential factor in service quality that affects tourist loyalty. A quantitative approach was employed in this study, and the findings indicate that the responsiveness quality dimension has the most significant effect on tourist loyalty. In contrast, assurance and reliability have no significant effects. Budget hotels must improve their service quality, specifically responsiveness, to enhance tourist loyalty and maintain their business in the highly competitive hotel industry.

RadheDham Ashram: Business Continuity Post Disruption

This case highlights the challenges faced by the Religious Tourism sector due to sudden disruptions caused by the COVID-19 pandemic. Although the disruptions affected every trade, the unorganized and budget hotels at various religious destinations in India faced an extended impact. The case is about RadheDham Ashram, an affordable stay offering a religious and spiritual experience at Vrindavan, Uttar Pradesh province of North India. Pandit Shiv Kumar Tripathi, the owner of RadheDham Ashram, was concerned about managing its probable receding operations amidst the disruption caused by the COVID-19 pandemic. RadheDham Ashram was a popular destination to stay in because of its affordability and proximity to the famous Sri Krishna Temple. However, things had changed with the COVID-19 pandemic and predicted lockdowns. As a result, the temples were supposed to close, and the influx of tourists at Ashrams would reduce consequently, as pilgrims would avoid the crowded destinations. Tripathi was worried about the occupancy of the Ashram. His concerns ranged from matching the Ashram service capacity with the uncertain demand to managing yield by adopting strategies such as differential pricing, capacity planning or overbooking when the tourist footfall was uncertain. Due to low customer influx and high demand variability, it was a tough time for Tripathi. He had to select the best possible alternative to bridge the gap between service capacity and demand. The selected alternative must ascertain sufficient yield to RadheDham Ashram along with retention of its goodwill and its loyal customers. All these thoughts made him anxious about the business continuity of his RadheDham Ashram in the upcoming days.

Budget Hotel Strategy In Increasing Occupancy (Hotel Pantai Paris Tigaras District. Simalungun)

This study concern to examine how to implement strategies to increase the occupancy of Budget Hotels around Pantai Paris, Simalungun Regency. The method used in this study was purposive sampling taken intentionally. The analysis tool used is SWOT Analysis which consists of IE Matrices, IFAS/EFAS, and SWOT/TOWS Matrices. From this research, it is known that the Pantai Paris Budget Hotel Simalungun Regency is currently in quadrant I IFAS 1,665 EFAS 1,020, the strategy that needs to be done is the S – O (Strength – Opportunity) strategy, which is a strategy that takes advantage of the opportunities / strengths owned by the Budget Hotel. Alternative strategies are: Maintaining good relations with the local community, Brand positioning as a good hotel, Increasing cooperation with cuttings holders, Providing excellent service to guests, Analyzing room quality and prices for similar hotels, Utilizing technological advances, Rearrangement of every hotel facility from rooms to public facilities, Making training to employees (appearance, service), Rearranging every hotel facility from rooms to public facilities in the hotel needs to be done to maintain the quality of the hotel, Making training that refers to technological developments.

Communication Of The Crisis Of Hotel Ibis Budget Daan Mogot Jakarta In Facing The Covid-19 Pandemic

This study aims to understand the crisis response strategy that occurred at the Ibis Daan Mogot Hotel Jakarta in dealing with the Covid-19 pandemic. The research method used is case study research with a descriptive approach with qualitative data types. Researchers use a post-positivism paradigm because researchers want to build understanding regarding the crisis communication strategy of the Ibis Budget Daan Mogot Hotel Jakarta in dealing with the Covid-19 pandemic. The post-positivism paradigm trusts more in the process of verifying a finding of results using various methods so that researchers choose this paradigm. In this study the researcher is the key instrument, the data collection technique is carried out by triangulation or combination, the data analysis is inductive or qualitative, and the results of qualitative research emphasize meaning rather than generalization. In this study, Miles and Huberman's analytical techniques were used which consisted of data reduction, data presentation, and drawing conclusions. In this study the researchers explored the truth of the information through interviews with various parties. In addition, researchers also make observations, archives, and photographs, as well as observing news and websites. The crisis that occurred at the Ibis Budget Hotel Jakarta Daan Mogot Jakarta was a crisis caused by the Covid-19 pandemic so that the crisis that occurred could be categorized as a victim cluster type of crisis because it was caused by the Covid-19 pandemic. In the victim cluster, it means that the Ibis Budget Hotel Jakarta Daan Mogot Jakarta positions itself as a victim so that the attribution that the company is responsible for the crisis is very weak. This provides an advantage for the Ibis Budget Hotel Jakarta Daan Mogot Jakarta because the threat to reputation is relatively mild.

Experiential marketing in the budget hotel: do Gen Y and Gen Z change the game?

PurposeThis study aims to investigate if experiences can create satisfaction, loyalty and place attachment in the context of the budget hotel industry given growing proportion of Gen Y and Gen Z of budget travellers.Design/methodology/approachThis study uses structural equation modelling-partial least squares approach to validate the path model. A total of 168 samples in Indonesia were collected using online consumer survey.FindingsThe findings show positive and significant effects of experience on memories, perceived value, satisfaction, loyalty and place attachment among budget hotel travellers.Research limitations/implicationsSome studies have investigated the importance of experiences in budget hotels marketing. This study contributes to this discussion by presenting that multiple dimensions of experience (sensing, feeling, thinking, acting and connecting) are significant drivers of satisfaction, loyalty and place attachment among Gen Y and Gen Z majority budget travellers.Practical implicationsFrom the findings, the authors suggest budget hotels to provide physical service environment that can enhance the visitor experience while visiting the hotel related to services relating (e.g. cozy room), acting (e.g. instagrammable spots), thinking (e.g. game centre) and sensing experience (e.g. music that soothes the soul) and social interaction (guest-to-staff interaction) that can enhance feeling service (e.g. welcoming staff).Originality/valueGiven the growing proportion of Gen Y and Gen Z among budget travellers and growing occupation of budget hotels, it become more essential to understand how customers perceive the services of budget hotels. This study shows that today customers perceive not only cost but also experiences as important factors that determine their satisfaction, loyalty and attachment towards budget hotels.

Social Media Marketing and Customized Customer Relationship Management: The Implication For Marketing Performance of Budget Hotel Industry

Social Media Marketing and Customized Customer Relationship Management: The Implication For Marketing Performance of Budget Hotel Industry

Can we do it alone? The case of De Cyber hotel

Research methodology The interviews were conducted with the respondents (the founder and Manager of De Cyber Hotel). Other data were obtained through the websites of the relevant businesses. Case overview/synopsis Siti Alia and her friends established De Cyber Hotel in January 2019. It was incorporated as a Malaysian private limited company in Cyberjaya, Selangor. Siti Alia was appointed as the hotel manager and was responsible for managing the hotel’s day-to-day operations and financial matters. Being a new budget hotel, competing with other established hotels was quite difficult. De Cyber Hotel used brochures and word-of-mouth for its promotion activities and mainly depended on walk-in guests. Siti Alia knew she had to take immediate action to ensure the hotel’s survival and could no longer rely on walk-in guests. Hence, to increase the occupancy and revenue rate, on 27 March 2019, De Cyber Hotel management decided to accept an offer from ABC Digital Booking to implement a digital booking mechanism and form a partnership for at least a year. ABC Digital Booking provided an online system to enable the listing and booking of budget accommodations and partnered with hotels to provide similar guest experiences across countries. After working and collaborating for 10 months with ABC Digital Booking, Siti Alia had to decide whether De Cyber Hotel should continue its alliance with ABC Digital Booking. Hence, she had to think thoroughly and consider the advantages and disadvantages, as well as the impact of her decision on the business. Complexity academic level Undergraduate Integrated Case Studies, Seminar in Management, Risk Management and Corporate Governance, Management Accounting, Financial Accounting, Strategic Management. Postgraduate Organizational Behaviour, Management Accounting and Controls, Strategic Management Accounting, Marketing Management, Hospitality Strategic Management, Entrepreneurship Development.

Daily online review sentiment and hotel performance

PurposeThis paper aims to investigate the links between daily review sentiment and the hotel performance measures of occupancy rate (OR), average daily rate (ADR) and revenue per available room (RevPAR).Design/methodology/approachThe authors conducted review sentiment analyses in three moments (−1, −7 and −14 days) before arrival time using a data set of budget hotel performance and online reviews. The aim was to identify the effect of review sentiment in the budget hotel market on the three performance metrics.FindingsDaily sentiment positively affects ADR and negatively affects OR and RevPAR, but only up to a certain threshold, after which the trend reverses. Prices increase with the level of sentiment, and high prices lead to low OR and RevPAR only when the sentiment scores are low. When they are high, they are associated with low rates, which lead to high OR and RevPAR.Research limitations/implicationsDaily review sentiment can be viewed as a valuable “barometer” indicating a hotel’s daily operational effectiveness. Daily sentiment can thus allow hotel managers to adjust their dynamic pricing strategies more accurately.Originality/valueThis study identifies daily sentiment as an alternative predictor of hotel performance. In addition to the roles of valence and volume in the decision-making process, the authors found that daily review sentiment can be an “in-the-moment” factor with a high impact, encouraging consumers to complete their transactions. This study suggests that aggregated measures such as the total number of reviews and overall ratings of the hotel should not be the sole consideration in reputation management.

Smart system for controlling and monitoring electronic facilities in budget hotel rooms

The fundamental attribute of a budget hotel is the provision of essential services at a low cost due to reduced services and facilities. Several services at budget hotels that affect customer choice are related to limitation of accommodation and entertainment services which include the use of television, air conditioning, and other electrical devices. The purpose of this research is to develop a smart system that is used to control and monitor electronic facilities in budget hotel rooms. This system provides budget hotels with the ability to select the electronic facilities that guests want to use in their rooms according to their needs and budget. This system also provides a feature to monitor the use of electronic devices in each room via a web application. The system was developed by using microcontrollers, sensors, radio frequency identification (RFID) devices, a database server, and a web application. The developed system can perfectly provide the room electronic facilities requested by the guest. The system can also monitor the service hour and power consumed by the devices with an accuracy of 99.1% for the service hour and 99.4% for the power consumed.