Influence of Technology and ICT Policies on Hotel Guest Satisfaction in the Hotel Industry: A Case of 4 and 5 Star Rated Hotels in Nairobi City

Abstract

The adoption of ICT in the hospitality industry is important in the development of business, minimizing costs and the generation of revenue as well as to reach more customers. Across the world, the use of technology and information and communication technologies (ICT) in the hospitality industry has significantly impacted the way hotels operate and the way they provide services to their guests. In the wake of turbulence in the hospitality industry especially as a result of the Covid-19 pandemic that reduced disposable income as well as crippling travel and tourism around the planet, hotels need to lower their operation costs, find ways of increasing their revenue as well as enhancing guest satisfaction. The study sought to establish the effect of technology and ICT policies on 4 and 5 star hotels in Nairobi City County. Specifically, the study sought to establish the effects of property management systems on guest satisfaction in 4 and 5 star hotels in Nairobi Kenya; to examine the effect of online booking platforms on guest satisfaction in 4 and 5 star hotels in Nairobi Kenya; to determine the effect of in-room technology on guest satisfaction in 4 and 5 star hotels in Nairobi Kenya and to establish the effect of customer relationship management systems on guest satisfaction in 4 and 5 star hotels in Nairobi Kenya. The study was guided by the Technology Acceptance Model (TAM) and the Resource Based View Theory. The target population was 4583 staff from 24 four and five star hotels in Nairobi. Stratified random sampling was used to choose a sample size of 368 employees. The data was collected using structured questionnaires for the employees. The questionnaires were administered through google online questionnaire. Regression analysis was conducted to establish the relationship between the variables. The results were presented in graphs and tables. The study used a multiple regression model to show the relationship between the study variables. The findings revealed an R squared coefficient of 0.643 and adjusted R squared of 0.618 at 95% significance level, implying that the technology and ICT policies adopted in the study (Property Management Systems, Online booking platforms, In-Room Technology, Customer Relationship Management Systems) jointly explained 64.3 percent of the variation in guest satisfaction in four and five star hotels in Nairobi City County. The study also found that property management systems had a positive and significant effect on guest satisfaction in four and five star hotels in Nairobi City County (β =.357, p=.013<.05); online booking platforms had a positive and significant effect on guest satisfaction in four and five star hotels in Nairobi City County (β =.427, p=.005<.05); in-room technology had a positive and significant effect on guest satisfaction in four and five star hotels in Nairobi City County (β =.322, p=.003>.05) and finally the study found that customer relationship management systems as an aspect of technology and ICT policies had a positive and significant effect on guest satisfaction in four and five star hotels in Nairobi City County(β =.383, p=.000<.05). The study concluded that technology and ICT policies had a positive and significant effect on guest satisfaction in four and five star hotels in Nairobi City County. The study thus recommended that four and five star hotels in Nairobi City County should consider adopting technology and ICT policies such as Property Management Systems, Online booking platforms, In-Room Technology, Customer Relationship Management Systems and others as ways of enhancing guest satisfaction. Keywords: Technology, Guest Satisfaction, ICT Policies