The Use of Consumer-Generated Feedback in the Hotel Industry: Current Practices and Their Effects on Quality

Edwin Torres, University of Central Florida
Howard Adler
Carl Behnke
Li Miao
Xinran Lehto

Abstract

Consumer-generated feedback is hard to ignore these days. Word-of-mouth has expanded beyond a customer’s immediate friends and family; with the help of technology it reaches thousands of current and prospective guests. In light of this, scholars and practitioners are exploring the subject of consumer-generated feedback. Today, most of the research regarding this subject focuses on the use of consumer-generated feedback to make purchase decisions. In contrast, the present study explores the use of such information for the purposes of improving hotel operations. This article examines the amount of value placed on consumer-generated feedback, the relative importance placed on positive and negative feedback, and its effects on perceived quality. Furthermore, this study inquires as to the specific uses given to consumer-generated feedback in the hotel industry. It is the researchers’ contention that valuing feedback has positive effects on perceived quality. The findings conclude that hotels can use consumer-generated feedback to take actions such as modifying training programs and operating procedures, as well as identifying patterns of complaint and praise.