Online review response strategy and its effects on competitive performance

Lui, Tsz-Wai; Bartosiak, Marcin; Piccoli, Gabriele; Sadhya, Vikram

doi:10.1016/j.tourman.2018.01.014

Cited by 92 publications

(63 citation statements)

References 48 publications

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“…In recent years, online review systems have evolved into IT-enabled customer service systems capable of communication and interaction [61]. Firms can collect consumer information and respond to comments [30]. Responding to online reviews is regarded as supporting customer relationships, reputation, and brand management [15,62].…”

Section: Managerial Responses To Online Reviewsmentioning

confidence: 99%

“…Responding to online reviews is regarded as supporting customer relationships, reputation, and brand management [15,62]. Managerial responses are publicly available online and can be accessed by potential consumers; thus, they can help review readers perceive a firm's customer orientation strategies [30].…”

Section: Managerial Responses To Online Reviewsmentioning

confidence: 99%

“…Managerial responses significantly impact a firm's performance, especially when addressing negative reviews [30]. Unfortunately, no universal response principle exists, and firms must employ various strategies to respond to negative reviews.…”

Section: Response Strategiesmentioning

confidence: 99%

“…The effectiveness of a response can be evaluated based on quantitative and qualitative aspects [41]. The cumulative percentage of managerial responses has a positive effect on a firm's competitive performance [30]. Similarly, response frequency, which is the number of responses initiated by a hotel within a particular period, also positively affects the volume and average valence of reviews, helpfulness votes, and popularity rankings [27].…”

Section: Response Measurementmentioning

confidence: 99%

“…Moreover, managerial responses not only increase future satisfaction of the complaining consumers [28] but also moderate the influence of hotel ratings and volume of eWOM on the later consumers' purchase decision [29]. The quantity (cumulative percentage of managerial response) and quality (response strategies) aspects of managerial response have a significant relationship with hotels' competitive performance [30]. Specifically for negative reviews, the source of the response (the general manager or guest service agent), the voice of the responder (professional or conversational human voice), and the speed of the response (fast, moderate, or slow) will lead to different consumer inferences about hotels' customer concern and trustfulness which may, in turn, influence their purchase intention [12].…”

Section: Introductionmentioning

confidence: 99%

See 4 more Smart Citations

Identifying the Types and Impact of Service Provider’s Responses to Online Negative Reviews in the Sharing Economy: Evidence from B&Bs in China

Liu

Nian

et al. 2020

Sustainability

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Online consumer complaints are closely related to business reputation and elicit managers' persistent efforts. However, service providers in the sharing economy (SE) lack the skills to communicate with consumers because most are informal or nonprofessional property owners. This research aims to examine the relationship between service providers' responses and prospective consumers' perceived helpfulness in the SE by using bed and breakfasts (B&B) as the sample. Response length and voice are adopted to measure the content quality of B&B's response to an online complaint. Three types of voices (defensive, formalistic, and accommodative) are identified by analyzing service providers' responses to negative reviews, among which the accommodative voice with empathic statements is the most effective. An inverted-U curve relationship between response length and helpfulness votes is verified based on cognitive load theory. Moreover, interactive effects between response length, review length, and images are also examined. This study suggests the investigation of online reviews from comprehensive perspectives, as well as the adoption of personalized strategies by SE practitioners to respond to consumer complaints.

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