Customer Satisfaction in a Social Media World

A Research Proposal on the Impact of Social Media Review Sites on Hotel Customer Satisfaction

By Richard Lewis - 620022101

BEM3010 Assignment 1 (Individual Research Proposal)

CONTENTS

1.

ABSTRACT3

2.

TOPIC IMPORTANCE..3

3.

CONCEPTUAL BACKGROUND..3

4.

RESEARCH QUESTION..4
4.1 Objectives..4

5.

METHODOLOGY.4
5.1 Research Design.4
5.2 Appropriateness of Design.4
5.3 Research Setting and Participants..5
5.4 Research Plan, Data Collection5
5.5 Data Collection Method Validation.6
5.6 Questionnaire6
5.7 Possible Complications..6

6.

CONCLUSIONS..7
6.1 Research Justification7
6.2 Adding to Knowledge7
6.3 Significance of Research to Practice and Policy7
6.4 Informing Marketing Practice.8
6.5 Reflection on Sustainability and Theory of Marketing Concept8

7.

REFERENCES...9

8.

APPENDICES 1,2,3,4.(11,12,13,14)

BEM3010 Assignment 1 (Individual Research Proposal)

1. ABSTRACT
Customer satisfaction (CS) in the UK is declining (UKCSI, 2014). This qualitative, interpretive research
aims to gain insights into this phenomenon by investigating commercial review site CS ratings and
comments of hotel guests online reviews. The research also attempts to gain insights into how these
sites affect expectations. This research does not attempt to establish causal links between review site
affects on guests expectations and the fall in customer satisfaction.

2. TOPIC IMPORTANCE
Tourism contributes 10.5% of UK GDP (WTTC, 2013). Revenues from hotels are an important
contributor to this figure. Better informed consumers are more demanding and selective; when they
are dissatisfied they are likely to express it through social media (UKCSI, 2014). Hotel guests are able
to communicate both positively and negatively through a plethora of social media review sites, and a
fall in their CS would negatively affect hotel occupancy, adversely affect hotels ROIs and consequently
UKs GDP.

3. CONCEPTUAL BACKGROUND
Research suggests that CS is the gap between a consumers expectation and their perceived
experience (Anderson et al, 2004). Expectations are vague and very difficult to investigate (MelianGonzalez et al, 2013) and research has tended to focus on CS experience and its effect on ROI/
stakeholder value (Anderson et al, 2004), on loyalty (Olsen and Johnson, 2003), on the primacy of
customer service and CS (Hodgson, D., 2002; Coulter and Ligas, 2000).
Consumers use of customer satisfaction reviews sites in the hospitality industry has also been
extensively researched but mainly focuses on investigating drivers of experience of satisfaction or
dissatisfaction, on the impact of negative reviews, on its effect on ROI, on insights from reviews to
improve service and customer loyalty and on how reviews can inform marketing strategy (Xiang and
Gretsel, 2010; Davidow and Lee, 1998).
Melian-Gonzalez et als (2013) quantitative research claims to show that higher numbers of reviews
help balance hotel customer satisfaction ratings, suggesting that changes in expectation and less
surprises might explain the results.
BEM3010 Assignment 1 (Individual Research Proposal)

4. RESEARCH QUESTION
How have driver/attributes of CS changed in hotel review customer service ratings, and pursuant to
this, can any insights be gained into the influence of prior reading of consumer reviews on guest
expectations?
4.1 Objectives:
1. To determine hotel chains overall review site customer ratings and compare 2013 and 2014
ratings.
2. To determine review writers opinions of satisfaction or dissatisfaction of hotels in which they
stayed.
3. To identify and categorise which attributes are implicated in these ratings changes.
4. To determine the importance of each driver by simple tallying.
5. To use the findings of this qualitative research as a basis for investigating hotel guests
memories of their prior expectations and eventual satisfaction of the hotels in which they
stayed.

5. METHODOLOGY
5.1 Research Design
The research adopts a qualitative, interpretative, inductive design with a subjective quantitative
element.
5.2 Appropriateness of Design
CS is a complex human construct with many variables and qualitative research is concerned with
developing explanations of social phenomena such as this (Holliday, A., 2007). It is concerned with
finding the answers to questions like Why has UK Customer Satisfaction Index (UKCSI) fallen?.
The questionnaire serves to gain insights into the relationship between reviews and CS and help
generalisability by suggesting future statistically verifiable surveys of higher numbers of review
writers.

BEM3010 Assignment 1 (Individual Research Proposal)

5.3 Research Setting and Participants

1. Ethnographical netnography will be undertaken. Review sites Booking.com and TripAdvisor
will be used to research historical and recent opinions of review writers (guests) of hotel chain
hotels.
2. Questionnaire: Recent hotel guests who are prior-to-stay readers and after-stay writers of
reviews.
5.4 Research Plan, Data Collection
Researching backwards (Wells, 1993) produced the following plan:
I.

From the two sites overall CS ratings are recorded from 100 recent (9/2014-11/2014) reviews
and 100 archived (9/2013-11/2013) reviews of mid-range city centre hotel-chain hotels.

II. Informal dialogue with hotel reviewers through social media is undertaken prior to research.
III. Pre-research interpretative analysis and thematic attribute categorisation is carried out on 20
reviews to determine categories of attributes. The 2 sites own categories and academic
categories are considered. Different rating measurements are rationalised into percentages.
The researchers categorisation decisions are validated by another researcher.
IV. Interpretative analysis data (attributes, emergent themes and comments on expectations) and
rating data are recorded (Appendix 1). Critical incidents (Coulter & Ligas, 2000) are discarded if
not relevant to research objectives. The location attribute is not included as it is not variable.
Parameters are adapted as research progresses.
V.

Results of data collection and its analysis are presented graphically (Appendix 2;3).

VI. After screening hotels and guests, informed consent is obtained from hotels and participants,
Likert scale questionnaires (Appendix 4) are emailed to recent hotel guests who are both
readers and writers of reviews and reviewers with expectation comments are prioritised.
VII. Data results will be presented in tabular and stacked Likert graphs (Appendix 5), identifying
patterns of guests opinions on drivers of satisfiers and dissatisfiers.
VIII. Confirmation checks with respondents are done.

BEM3010 Assignment 1 (Individual Research Proposal)

5.5 Data Collection Method Validation

The nature of participants use of review sites means that real world and real time open-ended
interviews and observations of Phenomenology and Ethnography are not possible. Netnography
was developed for investigating patterns of behaviour in online cultures (Kozinets, 2011).
Commercial site reviews provide a rich vein of data for researching CS, but they do not elicit the
thick description of open-ended interviews (Holliday, A., 2007). As well as being a
stranger (Holliday, A., 2007) and hidden observer (Kozinets, 2006), this researchers immersion in
and deeper understanding of the culture through online dialogue with reviewers means that
interpretation is carried out with more cultural awareness avoiding the research being merely a
coding exercise (Kozinets, 2006).
Reviews on the sites are archived so comparisons can be made of CS over time. They are written
soon after staying so there is less time for the memory to gloss over negatives or exaggerate
positives (Melin-Gonzlez et al, 2013). It also allows a way of comparing CS opinions and attribute
dimensions over a period of time.
The two sites are top in search engine listings and provide sufficient numbers of reviews.
Investigating reviews from different review sites gives a richer variety of opinions. Some review
writers may specifically mention expectations being exceeded or not being met. Reviews are
anonymous, gender, sex, age, race details are not given which helps in avoiding researcher
assumptions about the reviewers (Denzin, 2001).
Review site reviews are considered anonymous so consent will not be sought, however Kozinets
(2011) warns that modern search engines have the potential to identify the participants. Reviews
are not elicited by the researcher, but are elicited by hotels and review site marketing encourages
the review writing behaviour.
5.6 Questionnaire
(Appendix 4)
5.7 Possible Complications
Despite analysis validation by a second researcher, the researchers beliefs and values (self) may
mean that some assumptions about meanings are made during thematic analysis (Denzin, 2001).

BEM3010 Assignment 1 (Individual Research Proposal)

The review sites have also made assumptions about which CS attributes are important, other
attributes may not emerge - if they do they will be significant.
Trust issues regarding review sites is debated, but consumers in huge numbers trust them
(Kozinets, 2011). Hotels may not allow access to reviewers, but screened reviewers can be
approached through social media.

6. CONCLUSIONS
6.1 Research Justification
CSs potential to negatively impact occupancy levels and thus hotels revenues, employment levels,
destination spending and UK GDP make this an important topic for research. Customers
expectations of service are rising. When customers are dissatisfied they are increasingly likely to
express or escalate it through social media (UKCSI, 2014).
Melin-Gonzlez et al (2013) point out that improvements in facilities and customer service are
costly ways of raising CS. CS expectations research investigates ways hotels can better manage
guest expectations thus raising CS. Customer service is still an important contributor to CS however,
and poor service should not be ignored (Melin-Gonzlez et al, 2013).
6.2 Adding to Knowledge
Expectations generated by online reviews and WOM are little understood, this research will
demonstrate that there is value in understanding it, that cross-discipline qualitative and
quantitative research is needed to provide new models for expectation and experience concepts of
CS.
6.3 Informing Marketing Practice
In economic downturns strategic focus swings from using customer service to keep customers to
aggressive marketing campaigns to grow market share (UKCSI, 2014). There is an alternative.
Managing review site relationships and guests expectations can improve CS ratings and increase
occupancy levels and revenue (Melin-Gonzlez et al, 2013). The practices of viral marketing, social
media marketing and value creation through relationship marketing can be adapted (Grnroos,
2004).

BEM3010 Assignment 1 (Individual Research Proposal)

Hotel advertising and communications through these channels can be more subtly nuanced so that
expectations are realistic while at the same time highlighting intangible (and less costly)
experiences. Responding to dissatisfied guest reviews is also debated (Park and Allen, 2013) this
research will help in that decision.
6.4 Significance of Research to Practice and Policy
CS review ratings are not the same as UKCS Index, but this research will provide insights into the
relationship between review sites, expectations, experience and CS, and thus it is significant. UK
government policy makers may start commissioning UKCEI!
While not generalisable, the results may encourage research institutes to use data mining
technology to produce statistically verifiable answers to questions about the expectationexperience-customer satisfaction relationship particularly in view of reviewers increasing awareness
of the concept of expectation. The research may also discover significant emergent drivers of
satisfaction.
6.5 Reflection on Sustainability and Theory of Marketing Concept
Marketing concepts and models of CS are evolving to embrace global communication of consumers
through social media sites. New models and better measures of the pre-purchase expectation
construct are needed (Huang and Dubinksy, 2013).
CS ratings on commercial review sites are important influencers of business sustainability.
Sustainability in global e-commerce depends on how well a hotel understands, co-creates and
interconnects with the online cultures of its guests, especially with regard to review sites where
increasing numbers of consumers go to make decisions about which hotel to choose. Will review
sites replace the need for marketing? Probably not, but marketing must adapt and marketing
concepts of customer satisfaction must evolve, review sites are changing consumer behaviour. That
review site CS ratings (probably) affect expectations and perception of experience already is and will
be an increasingly important ingredient in sustainability of the UK hospitality industry and GDP.

BEM3010 Assignment 1 (Individual Research Proposal)

7. REFERENCES:

Anderson et al (2004) Customer satisfaction and Shareholder value. Journal of Marketing, Vol. 68, No.
4 (Oct., 2004), pp. 172-185.
Coulter and Ligas (2000) The Long Good-Bye: The Dissolution of Customer- Service Provider
Relationships. Psychology & Marketing. John Wiley & Sons, Inc. Vol. 17(8):669695 (August 2000)
Davidow, M., and J. Leigh. (1998) The effects of organizational complaint responses on consumer
satisfaction, word of mouth activity and repurchase intentions. Journal of Satisfaction, Dissatisfaction
and Complaining Behavior.
Denzin (2001) The seventh moment: Qualitative inquiry and the practices of a more radical consumer
research. Journal of Consumer Research; Sep 2001; 28, 2; ABI/INFORM Global pg. 324
Grnroos (2004) "The relationship marketing process: communication, interaction, dialogue, value",
Journal of Business & Industrial Marketing, Vol. 19 Iss 2 pp. 99 - 113
Hodgson, D. (2002), Know your customer, Management Decision, Vol. 40, pp. 318-28.
Holliday, A. (2007) Doing and Writing Qualitative Research (Second Edition). London: Sage
Publications, xiv+200 pages, ISBN 978 1 4129 1130 6
Huang, W. and Dubinsky, A. (2014), Measuring customer pre-purchase satisfaction in a retail
setting, Services Industries Journal, Vol. 34, pp. 212-29.
Kozinets, R. (2006) Netnography and tribal advertising. Journal of Advertising Research, Sept.,
279-88.
Kozinets, R. (2011) Netnography 2.0. Handbook of Qualitative Research Methods [Online] Accessed
from: http://vle.exeter.ac.uk/course/view.php?id=2196
Melin-Gonzlez et al (2013) Online Customer Reviews of Hotels: As Participation Increases, Better
Evaluation Is Obtained. Cornell Hospitality Quarterly, first published on March 29, 2013
Olsen, L. and Johnson, M. (2003), Service equity, satisfaction, and loyalty, Journal of Service
Research, Vol. 5, pp. 184-95.
Park S., Allen J. P. (2013). Responding to online reviews: Problem solving and engagement in hotels.
Cornell Hospitality Quarterly, 54, 64-73.
BEM3010 Assignment 1 (Individual Research Proposal)

UKCSI (2014) Customer satisfaction. Institute of Customer Service [Online] Accessed from: http://
www.instituteofcustomerservice.com/1848-4125/Customer-satisfaction.html
Wells (1993) Discovery-oriented consumer research. Journal of Consumer Research; Mar 1993; 19, 4;
ABI/INFORM Global pg. 489
WTTC (2013) Travel & Tourism Economic Impact, 2014. UNITED KINGDOM. World Travel & Tourism
Council. [ONLINE] Accessed from http://www.wttc.org/focus/research-for-action/economic-impactanalysis/
Xiang Z., Gretzel U. (2010). Role of social media in online travel information search. Tourism
Management, 31, 179-188

BEM3010 Assignment 1 (Individual Research Proposal)

10

Number of
Mentions

Reviewer
Ref

Overall
Rating

Comment

Value

A. Example of Results Table booking.com - 2013, 2014

B. Example of Results Table TripAdvisor - 2013, 2014

Appendix 1

Comfort

Cleanliness

Facilities Service

Security Emergent
Theme

Attributes/Drivers
Emergent
Theme

Expectation

A.

84
2012

85

85

86

86

Presentation of Results (hypothetical):

Appendix 2

TripAdvisor & booking.com Average Customer Ratings %

2013

booking.com

Year

2014

TripAdvisor

2015

10

20

30

40

Value

A. Presentation of Results (hypothetical):

Appendix 3

Total Number of Mentions

Comfort

2013

Facilities

Atributes/Drivers

Cleanliness

2014

Service

Emergent Theme

Appendix 4
Questionnaire to Hotel Guest Recent Reviewers

1. What was your overall customer satisfaction of this hotel?

j Verysatisfied
k
l
m
n
j Satisfied
k
l
m
n
j Neutral
k
l
m
n

j Dissatisfied
k
l
m
n

j Verydissatisfied
k
l
m
n

2. Reading reviews on TripAdvisor/booking.com influenced my overall expectation and

thus my satisfaction about the hotel.
j Stronglyagree
k
l
m
n

j Agreesomewhat
k
l
m
n
j Neutral
k
l
m
n

j Disagree
k
l
m
n

j Stronglydisagree
k
l
m
n

Howdidlookingatthehotelsreviewspriortoyourstayaffectyourexpectationsandhowdiditaffectyoursatisfactionexperience? Thinking
aboutyourstaysinthehotelandwhetherreviewsitecommentsandratingsinfluencedyourexpectationsandconsequentcustomer
satisfaction,choosewhetheryouagreeordisagreewiththefollowingstatements:

3. TripAdvisor/booking.com raised my expectations, my experience was less than my

expectation and my customer satisfaction was negatively affected.
j Stronglyagree
k
l
m
n

j Agreesomewhat
k
l
m
n
j Neutral
k
l
m
n

j Disagree
k
l
m
n

j Stronglydisagree
k
l
m
n

4. TripAdvisor/booking.com DID NOTraise my expectations and the experience was as

expected, my customer satisfaction was not affected.
j Stronglyagree
k
l
m
n

j Agreesomwhat
k
l
m
n
j Neutral
k
l
m
n

j Disagree
k
l
m
n

j Stronglydisagree
k
l
m
n

Appendix 4
5. TripAdvisor/booking.com gave me low expectations and the experience exceeded
expectations and my customer satisfaction was positively affected.
j Stronglyagree
k
l
m
n

j Agreesomewhat
k
l
m
n
j Neutral
k
l
m
n

j Disagree
k
l
m
n

j Stronglydisagree
k
l
m
n

Ifthereviewsdidinfluenceyourexpectations,whatspecificallydidtheyinfluence? Ifyouhaveansweredagreeorstronglyagreetoany
questionsexcept4pleasegoontoquestion6:

6. The value of the hotel?

j Exceededexpectations
k
l
m
n
j Wasasexpected
k
l
m
n

j Waslessthanexpected
k
l
m
n

7. The Comfort of the hotel?

j "
k
l
m
n
j "
k
l
m
n
j "
k
l
m
n

Repeats through all attributes/drivers..

A. Example of results presentation (5 point Likert scale):

Appendix 5