Price, ratings and reviews: How consumers process UGC and price when buying a hotel room
In order to compete effectively, hoteliers must understand how their online reputation compares to the competitive set, and specifically, how they are positioned relative to the competition in the sentiment of their reviews.
NB: This is a guest article by Kelly A McGuire, PhD, SAS Executive Director of Hospitality and Travel Global Practice, and Breffni M. Noone, PhD.
The advent of social media, and the popularity of consumer review sites, has changed the way that consumers buy hotel rooms.
The industry has moved from price transparency – when the OTAs made it easy to compare hotel room prices, to value transparency – where price and user generated content (UGC) is freely available at the point of purchase.