Pricing in a social world: The influence of non-price information on hotel choice

Noone, Breffni M.; McGuire, Kelly A.

doi:10.1057/rpm.2013.13

Cited by 45 publications

(77 citation statements)

References 45 publications

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“…By increasing the number of online review platforms, results are more accurate as different platforms are able to capture diverse groups of hotel guests (Kim et al, 2015a) and even the same customers are generally looking for multiple cues before making a purchase (Noone and McGuire, 2013).…”

Section: Discussionmentioning

confidence: 99%

The influence of e-word-of-mouth on hotel occupancy rate

Viglia¹,

Minazzi

Buhalis

2016

IJCHM

269

192

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Purpose -Online reviews have become increasingly important for customer decisionmaking. The hotel industry represents a noticeable case. Consumer reviews posted on websites such as Bookings.com, TripAdvisor, and Venere.com play a critical role in consumers' choice of a hotel. For this reason a number of recent studies analyses different aspects of online reviews. The purpose of this paper is to investigate their effects in terms of hotel occupancy rates.Design/methodology/approach -The paper measures through regression analysis the impact of three dimensions of consumer reviews (i.e. review score, review variance and review volume) on the occupancy rates of 346 hotels located in Rome, isolating a number of other factors that might also affect demand.Findings -Review score is the dimension with the highest impact. The results suggest that, after controlling for other variables, a one-point increase in the review score is associated to an increase in the occupancy rate by 7.5 percentage points. Regardless the review score, the number of reviews has a positive effect, but with decreasing returns, implying that the higher the number of reviews, the lower the beneficial effect in terms of occupancy rates is.Practical implications -The findings quantify the strong association of online reviews to occupancy rates suggesting the use of appropriate reputational management systems to increase hotel occupancy and therefore performance.2 Originality/Value -A major contribution of this paper is its comprehensiveness in analysing the relation between online consumer reviews and occupancy across a heterogeneous sample of hotels.

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Section: Discussionmentioning

confidence: 99%

The influence of e-word-of-mouth on hotel occupancy rate

Viglia¹,

Minazzi

Buhalis

2016

IJCHM

269

192

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“…El Revenue Management implica una política de precios variables, lo que supone ofrecer diferentes precios a clientes por un mismo servicio y al mismo tiempo, basados en las características de la demanda con el objetivo de maximizar la ocupación en períodos de baja demanda y de maximizar el precio medio cuando la demanda es alta (Noone & McGuire, 2013).…”

Section: Tabla 1 El Impacto Del Precio En El Resultado De Las Empresasunclassified

“…Es en esta última variable en donde el UGC influye de manera más notoria, puesto que el carácter público de dicha información junto con la transparencia de precios provocada por Internet hace que cada hotel tenga toda la información necesaria para diferenciarse de su competencia en base al precio y a sus atributos. En un estudio posterior, Noone et al (2013) estudia la influencia que tienen la política de precios variables derivada del Revenue Management y el UGC (User Generated Content) en la decisión de compra del cliente. Su investigación concluye con dos resultados principales.…”

Section: Fuente De Informaciónunclassified

“…Según Noone et al, (2013) los hoteles deben prestar atención a más factores que al solo precio en relación con sus competidores. Una estrategia de precios efectiva debe incluir también el posicionamiento en cuanto a opiniones dentro del competitive set, aunque ello no significa necesariamente que un buen posicionamiento debe conllevar una subida de precios, puesto que en esta decisión influyen otros muchos factores: patrones de demanda, propuesta de valor, posición competitiva, etc.…”

Section: Fuente De Informaciónunclassified

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La reputación online y su impacto en la política de precios de los hoteles

Diana-Jens

Ruibal

2015

turismo

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RESUMENEn este trabajo se demuestra que una buena reputación online, entendiendo por ello la primera posición de un determinado destino según el índice de popularidad de Tripadvisor, permite a los hoteles que ostentan dicho posicionamiento ofrecer precios de venta más altos que los de sus competidores. En concreto, un establecimiento situado en la primera posición de un destino, aparte de tener mayor visibilidad y por lo tanto posibilidades de compra por parte del consumidor, establece de media sus precios un 22,26% más altos que los precios de su set de competidores para un mismo tipo de producto.Palabras clave: Reputación online; social media; revenue management; Tripadvisor; precios. Online reputation and its impact on hotel pricing strategies ABSTRACTIn this study it is proven that a good online reputation, understood as the first position in a geographical area following the Tripadvisor's Popularity Index, allows hotels holding this first position to offer higher prices than the ones offered by their competitors. Specifically, an hotel holding the first position, apart from having more visibility and therefore more choices of being booked by the consumer, offers its rates an average of 22,26% higher than the rates offered by the competitive set for the same type of product.

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“…Moreover, the penetration of the Internet as a channel for communication and marketing has had a great influence on the homogenization of local prices due to the ease with which offers may be compared. This, coupled with the large volume of information available online regarding hotels, may favour the consumer in guiding their decision according to specific features and independently of price (Noone and McGuire 2013).…”

Section: The Importance Of a System Of Hotel Classification Based On mentioning

confidence: 99%

A proposal for a new system of classification for hotels based on information taken from a multi-sponsor loyalty program

Santana¹,

Lara²,

Lara³

2017

cuadernosgestion

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This work aims to provide an innovative classification of hotels based on guests´ assessments of the attributes that influence the choice of a particular hotel. To this end, information provided by a multi-sponsor loyalty program will be used due to the large number of hotel chains associated with these kinds of programs and their ability to collect and process information from their users more effectively than conventional research procedures. In this paper, we have conducted an exploratory qualitative study using six focus groups each with a sample of 60 people and a self-administered questionnaire applied to a sample of 73,698 users of a loyalty program who have redeemed points at a hotel. This proposal for a new system of classification highlights the disparity between supply and demand in the way hospitality services are promoted in the Spanish market, as well as hotel classification to be optimised according to those features that really make an offer stand out from the perspective of the customer. This contribution will allow types of establishment in each of the new categories proposed in this paper to be precisely matched to customer profiles. In addition to providing an instrument through which the client can identify establishments more in line with their preferences.

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Pricing in a social world: The influence of non-price information on hotel choice

Cited by 45 publications

References 45 publications

The influence of e-word-of-mouth on hotel occupancy rate

The influence of e-word-of-mouth on hotel occupancy rate

La reputación online y su impacto en la política de precios de los hoteles

A proposal for a new system of classification for hotels based on information taken from a multi-sponsor loyalty program

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