The hotel sector spurred by the ever-growing tourism industry is expanding rapidly and has to do with the increase in the number of entrepreneurs offering tourism oriented services as part of their efforts to diversify their business. Apart from the f...
The hotel sector spurred by the ever-growing tourism industry is expanding rapidly and has to do with the increase in the number of entrepreneurs offering tourism oriented services as part of their efforts to diversify their business. Apart from the five-star hotels offering specialized service to the upper-class consumers, we now face the issue of bringing in economy hotels offering high-quality service at an affordable price as the hotel customers' demands tend to vary. Therefore those budget hotels must take measures to cater to the changing consumer needs and realize where they are now to overcome their worsening management patterns. They need to create differentiated marketing strategies and conduct more research on how to survive in the competitive market. Moreover, they must understand the fundamental factors that will influence the consumers' decisions to accomplish a successful customer management. Based on this need for more research, this study intends to look closely into the factors that foreign tourists possess when they choose economy hotels. It also aims to study the relationship among their reactions, the level of their satisfaction, and their behavioral intentions. Through this relationship, this study intends to identify and suggest some managerial implications to improve their service rendered at these economy hotels using some differentiated marketing strategies. First, this paper, through more academic research, aims to identify the factors that affect the consumers' decisions. Second, it intends to measure the factors that foreign tourists display when they choose economy hotels. It also aims to study the relationship among their reactions, the level of their satisfaction, and their behavioral intentions. Third, through an empirical analysis, it suggests some alternative solutions to the quality improvement in the service of economy hotels. Fourth, it provides insight into some sales-boosting marketing strategies. The empirical study was conducted for the foreign tourists who chose to use those budget hotels. The survey was done when they were checking out. Based on the results, the consumers' decisive factors displayed a close and positive relationship with front desk service, food and beverage service, other hotel facilities, and the overall service. However, the relationship between the decisive factors and their negative reactions had to do with the hotel front service and other hotel facilities. Hotel customers' positive and negative emotional variables are respectively proportional and inversely proportional to the customer satisfaction. Their positive emotional variable is proportional to their behavioral intentions, however their negative emotional variable does not show any relationship with their behavioral intentions. In addition, the customer satisfaction shows a positive relationship with their behavioral intentions. As the managerial implications shown through the research, the study identifies the decisive factors according to the each hotel department and introduced an emotional parameter to examine the relationship between the factors and the behavioral intentions. The implications towards the economy hotel management includes the following: First, it requires a heightened customer service training for the hotel employees in order to cater to the ever-changing customer demands. As pat of the differentiated service, they need to hire and train the employees who can communicate properly with the foreign tourists. Second, the economy hotels should have more facilities with differentiated service programs that can attract the business oriented customers in their 30's and 40's Third, a management strategy should include the factors such as accessibility and transportation, their brand awareness, food and beverage service, and etc. to make the customers feel satisfied. Thus, they should create a series of positive images through a hotel chain strategy. Apart from the customers' sentiment as a parameter introduced in this study, a follow-up research on this issue should cover an additional parameter that can help control the customers' sentiment. And a close examination should be made on the employees in the front line of the service. Dear respondents! It would be much appreciated if you could spare your valuable time to answer each question on the questionnaire below. The questionnaire has been made up in order to promote the service quality of mid-low-priced business hotels. Through this research, I attempt to grasp the choice attributes of a business hotel, and thus to analyze the impact of the attributes on the tourist’s perceived emotions and behavior intentions. I promise to you that I will never use the result on any purpose other than academic research itself. Thank you and may Heaven protect you!