The Influence of TripAdvisor Consumer-Generated Travel Reviews on Hotel Performance

The Influence of TripAdvisor Consumer-Generated Travel
Reviews on Hotel Performance
Pasi Tuominen

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The Influence of TripAdvisor Consumer-Generated Travel
Reviews on Hotel Performance

Pasi Tuominen
University of Hertfordshire Business School
Presented at the 19th annual Frontiers in Service Conference

Many consumers consult online reviews before making (online) travel arrangements. Yet, little is known about the impact of these reviews on hotel performance, and therefore managing on-line reviews has been widely neglected by the hospitality industry. The basis of the study has been obtained from the existing literature combining the Xiang et al.’s (2008) model of online tourism domain and the Consideration Set Model created by Roberts & Lattin (1991). The consequences of user generated travel reviews and ratings are also largely undefined and unrehearsed within the hospitality industry and the author attempts to rectify this situation by reporting the insights obtained in an extensive exploratory investigation of 1752 reviews, and hotel performance data on 77 hotels in six different cities. The results show that there are correlations between hotel performance and the number of reviews given as well as with the ratings of the reviews. The paper gives suggestions for further research which could shed light on the possibilities for managing reviews and the level of service quality described in customer-generated reviews and ratings. Keywords

Online Review, Reputation, Hotel Performance, Tourism Domain, Hospitality


1. Introduction
With difficult market conditions surrounding the travel industry, increasing interest and loyalty among online prospects is integral to hotel suppliers' success. With consumers more likely to cross-shop and price check than ever before, the word of mouth, the on-line reviews, incentives and transparent benefits of the service will often be the deciding factor in the online travel purchase process. The growth of...

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