Year 2020, Volume 8 , Issue 1, Pages 177 - 202 2020-06-10

Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection

Olena CIFTCI [1] , Katerina BEREZINA [2] , Muhittin CAVUSOGLU [3] , Cihan COBANOGLU [4]


Traditionally, price has been one of the main revenue management levers that allow hotels to sell the right product to the right customer at the right time. Recent research in the area of electronic word-of-mouth has found that travelers’ online reviews may also be an influential factor affecting other customers’ booking decisions. However, it is challenging to determine the value of online reviews for customer decision making and to compare this value to hotel room prices. Therefore, the main goal of this study is to investigate which factors (room rate, online reviews’ rating score, or the number of reviews by other travelers) are more important for customers’ booking decisions and the optimal combination of these factors for booking a hotel. Conjoint analysis was applied to measure the relative importance of the aforementioned factors for travelers’ booking decisions. The results revealed that the overall online rating was the most influential factor with regard to customer decision making about booking a hotel. In addition, the following combination of factors was discovered to be optimal for attracting customer reservations: more than 107 reviews with an average rating of at least 3.3 (on a 5-point scale), and a price level of $130 or below.

revenue management, conjoint analysis, user generated content, review valence, review volume, eWOM
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Primary Language en
Subjects Hospitality Leisure Sport and Tourism
Journal Section Research Article
Authors

Orcid: 0000-0003-2867-5897
Author: Olena CIFTCI (Primary Author)
Institution: The University of Mississippi
Country: United States


Orcid: 0000-0002-1309-9930
Author: Katerina BEREZINA
Institution: The University of Mississippi
Country: United States


Orcid: 0000-0003-2272-1004
Author: Muhittin CAVUSOGLU
Institution: Northern Arizona University
Country: United States


Orcid: 0000-0001-9556-6223
Author: Cihan COBANOGLU
Institution: University of South Florida
Country: United States


Dates

Application Date : February 17, 2019
Acceptance Date : May 18, 2020
Publication Date : June 10, 2020

Bibtex @research article { ahtr528150, journal = {Advances in Hospitality and Tourism Research (AHTR)}, issn = {2147-9100}, eissn = {2148-7316}, address = {Akdeniz University, Tourism Faculty Dumlupınar Boulevard Post Code: 07058 Campus ANTALYA, TURKEY}, publisher = {Akdeniz University}, year = {2020}, volume = {8}, pages = {177 - 202}, doi = {10.30519/ahtr.528150}, title = {Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection}, key = {cite}, author = {Cıftcı, Olena and Berezına, Katerina and Cavusoglu, Muhittin and Cobanoglu, Cihan} }
APA Cıftcı, O , Berezına, K , Cavusoglu, M , Cobanoglu, C . (2020). Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection . Advances in Hospitality and Tourism Research (AHTR) , 8 (1) , 177-202 . DOI: 10.30519/ahtr.528150
MLA Cıftcı, O , Berezına, K , Cavusoglu, M , Cobanoglu, C . "Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection" . Advances in Hospitality and Tourism Research (AHTR) 8 (2020 ): 177-202 <https://dergipark.org.tr/en/pub/ahtr/issue/54821/528150>
Chicago Cıftcı, O , Berezına, K , Cavusoglu, M , Cobanoglu, C . "Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection". Advances in Hospitality and Tourism Research (AHTR) 8 (2020 ): 177-202
RIS TY - JOUR T1 - Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection AU - Olena Cıftcı , Katerina Berezına , Muhittin Cavusoglu , Cihan Cobanoglu Y1 - 2020 PY - 2020 N1 - doi: 10.30519/ahtr.528150 DO - 10.30519/ahtr.528150 T2 - Advances in Hospitality and Tourism Research (AHTR) JF - Journal JO - JOR SP - 177 EP - 202 VL - 8 IS - 1 SN - 2147-9100-2148-7316 M3 - doi: 10.30519/ahtr.528150 UR - https://doi.org/10.30519/ahtr.528150 Y2 - 2020 ER -
EndNote %0 Advances in Hospitality and Tourism Research (AHTR) Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection %A Olena Cıftcı , Katerina Berezına , Muhittin Cavusoglu , Cihan Cobanoglu %T Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection %D 2020 %J Advances in Hospitality and Tourism Research (AHTR) %P 2147-9100-2148-7316 %V 8 %N 1 %R doi: 10.30519/ahtr.528150 %U 10.30519/ahtr.528150
ISNAD Cıftcı, Olena , Berezına, Katerina , Cavusoglu, Muhittin , Cobanoglu, Cihan . "Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection". Advances in Hospitality and Tourism Research (AHTR) 8 / 1 (June 2020): 177-202 . https://doi.org/10.30519/ahtr.528150
AMA Cıftcı O , Berezına K , Cavusoglu M , Cobanoglu C . Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection. Advances in Hospitality and Tourism Research (AHTR). 2020; 8(1): 177-202.
Vancouver Cıftcı O , Berezına K , Cavusoglu M , Cobanoglu C . Winning the Battle: The Importance of Price and Online Reviews for Hotel Selection. Advances in Hospitality and Tourism Research (AHTR). 2020; 8(1): 177-202.