Satisfaction, value and intention to return in hotels

Abstract

Purpose – This research investigates employee and guest satisfaction, guests’ perceptions of value and their intention to return. Considered are: hotel workers’ job satisfaction, how job satisfaction impacts on guests’ satisfaction with the service experience and with the physical attributes of the hotel, and finally how these variables affect perceived value and intention to return. Design/methodology/approach – Structural equation modeling is used to analyze data from a large global hotel chain. Findings – Guest satisfaction with service and the physical attributes of the hotel differentially impact guest outcomes of intention to return and perceptions of value. Key findings include guest satisfaction with the physical attributes of a hotel are significantly more strongly linked to guests’ intention to return than are satisfaction with service received. Staff job satisfaction is significantly linked to guests being more satisfied with the service experience and their return intentions. Of all the factors directly contributing to guests’ return intentions, guest satisfaction with the physical attributes of the hotel was largest in impact. In contrast guest satisfaction with service is linked to guests’ perceptions of value, while satisfaction with the physical aspects is not significant. Guests’ perceptions of value do not impact intention to return. Research limitations/ implications – The research was conducted within one global hotel chain, which while possibly a limitation may also be considered a control for organizational variables. However, its single organizational nature does not diminish the importance of the findings. Practical implications – Hotel managers need to consider the importance of the physical attributes of properties in what has been largely a services dominated debate. What guests value may not lead to repeat business. Originality/value - Providing excellent customer service may not be the main motivation for return business. Also, holistic measures of guest satisfaction may not accurately measure what guests’ value. Perceived value is not a significant predictor of intention to return.