The Antecedents of Customer Satisfaction and Dissatisfaction Toward Various Types of Hotels PDF

International Journal of Hospitality Management 55 (2016) 5769
Contents lists available at ScienceDirect
International Journal of Hospitality Management

journal homepage: www.elsevier.com/locate/ijhosman
The antecedents of customer satisfaction and dissatisfaction toward

various types of hotels: A text mining approach
Xun Xu a, , Yibai Li b
a
Department of Management, Operations, and Marketing, College of Business Administration, California State University, Stanislaus, One University Circle,
Turlock, CA 95382, United States
b
Operations and Information Management Department, Kania School of Management, University of Scranton, Scranton, PA 18510, United States
a r t i c l e
i n f o
Article history:
Received 28 October 2015
Received in revised form 4 February 2016
Accepted 11 March 2016
Keywords:
Customer satisfaction
Customer dissatisfaction
Antecedents
Hotel type
Online reviews
Text mining
a b s t r a c t
Customers online reviews play an important role in generating electronic word of mouth; these reviews
serve as an online communication tool that highly inuences consumers demand for hotels. Using latent
semantic analysis, which is a text mining approach, we analyze online customer reviews of hotels. We
nd that the determinants that create either customer satisfaction or dissatisfaction toward hotels are
different and are specic to particular types of hotels, including full-service hotels, limited-service hotels,
suite hotels with food and beverage, and suite hotels without food and beverage. Our study provides a
clue for hoteliers to enhance customer satisfaction and alleviate customer dissatisfaction by improving
service and satisfying the customers needs for the different types of hotels the hoteliers own.
2016 Elsevier Ltd. All rights reserved.
1. Introduction
Online booking and reviewing are becoming more popular for
customers with the rapid development of information technology.
Customers often post reviews, recommendations, or opinions on
websites after staying in a hotel. These reviews act as electronic
word of mouth, which can be dened as all the informal communication directed at customers through Internet-based technology
that is related to the usage or characteristics of special products and
services or their providers (Litvin et al., 2008). Compared with traditional word of mouth, electronic word of mouth has a wider reach
and creates faster interactions; therefore, it has a much greater
effect on inuencing demand (Cantallops and Salvi, 2014).
Positive reviews show customers satisfaction with their experience while negative reviews express dissatisfaction. These written
reviews describe customers experience staying in the hotel and
show their opinions toward the hotel and their corresponding
staying experience. Written reviews are more informative, and
therefore reect customer satisfaction or dissatisfaction in a more
detailed manner than customer ratings, which are usually the numbers evaluated by customers with the range from 1 to 10 toward
some specic aspect of the hotel services or overall staying expe-
Corresponding author.
E-mail addresses: xxu@csustan.edu (X. Xu), yibai.li@scranton.edu (Y. Li).
http://dx.doi.org/10.1016/j.ijhm.2016.03.003
0278-4319/ 2016 Elsevier Ltd. All rights reserved.
rience. Identifying the type and importance of factors that lead to

customer satisfaction and dissatisfaction in written reviews is the
rst step for hoteliers utilizing electronic word of mouth to generate more demand and improve their nancial performance (Sparks
and Browning, 2011). However, research comparing the type of
determinants that create customer satisfaction and dissatisfaction
and ranking their importance in leading customer satisfaction or
dissatisfaction is rare.
Another phenomenon that may need to be given more attention is that opening a certain type of hotel, such as a full-service
hotel, limited-service hotel, suite hotel with food and beverage, or
a suite hotel without food and beverage is an essential strategy that
inuences a hotels production, service operations, facilities, and
target market segments (Kim et al., 2013b). Different types of hotels
have different core products and services (Tanford et al., 2012). Customers rank the importance of each service dimension differently
because they have varying perceptions, expectations, and preferences for each type of hotel. However, little research explores the
moderating effect of hotel type on customers perception (Kim et al.,
2013b).
The objective of this study is to nd out and compare the determinants of customer satisfaction and dissatisfaction toward various
types of hotels. Our comparisons are based on three perspectives.
First, because the absence of some key aspects of hotel service
causes customer dissatisfaction, they are necessary for satisfaction
to occur but not sufcient in themselves to cause markedly higher
58
X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769
levels of satisfaction (Gu and Ryan, 2008); therefore, we want to

compare the determinants of customer satisfaction and dissatisfaction for each type of hotel. Hence, the rst research question is
the following: For each type of hotel, are the types of determinants
that create customer satisfaction and dissatisfaction the same? Second, once the determinants are identied, we want to compare
their importance in leading to customer satisfaction or dissatisfaction. Therefore, the second research question is this: For each type
of hotel, which determinant plays the most important role with
regards to customer satisfaction or dissatisfaction? Third, we want
to compare both the type and the importance ranking of the determinants of customer satisfaction or dissatisfaction toward various
types of hotels. Therefore, the third research question is: Are the
type and importance ranking of the factors that lead to customer
satisfaction or dissatisfaction toward various types of hotels the
same?
The main contributions of our study lie in the fact that this is one
of the rst papers to identify and compare both the type and importance ranking of the determinants of customer satisfaction and
dissatisfaction among hotel types. In our study, we will use latent
semantic analysis (LSA), a text mining technique, to explore the
determinants of customer satisfaction and dissatisfaction toward
hotels. LSA provides a more objective approach for analysis of the
contexts of reviews because of its mathematical characteristics.
The rest of our paper is organized as follows: Section Two
reviews the related literature; Section Three develops the hypothesis; Section Four introduces our research method; Section Five
analyzes the data and summarizes the results; Section Six engages
in related discussions based on data analytics results; Section Seven
discusses the theoretical and managerial implications; and Section
Eight provides conclusions and future extensions.
2. Literature review
2.1. Customer satisfaction toward hotels
Customer satisfaction can be dened as an evaluation based
on a comparison between customers experiences and their initial
expectations (Aurier and Evrard, 1998). The customer satisfaction
index is one effective way to measure customer satisfaction in
the hotel context (Deng et al., 2013). Customer satisfaction plays
an important role in enhancing a hotels demand, which leads to
improved nancial performance (Sun and Kim, 2013) and higher
efciency (Assaf and Magnini, 2012).
Many key factors lead to customer satisfaction. Gu and Ryan
(2008) found seven elements that positively inuence customers
overall satisfaction: bed comfort, cleanliness of bathroom facilities,
size of room and condition of facilities, location and accessibility,
quality of food and drink, ancillary service, and staff performance.
Similarly, Ren et al. (2016) summarized the sources of customer
satisfaction into four dimensions: tangible and sensorial experience, staff performance, aesthetic perception, and location. Besides
the core attributes and services offered by hotels, some incidental
actions can also lead to customer satisfaction, including corporate
social responsibility practices (Lee and Heo, 2009) and sustainable
practices (Xu and Gursoy, 2015a), which shows that the operating
strategy of a hotel is doing good to do well (Garay and Font, 2012).
2.2. Customer dissatisfaction toward hotels
Fewer studies discuss customer dissatisfaction toward hotels
compared with satisfaction. However, a discussion about factors
leading to customer dissatisfaction is important because they are
different than those that lead to customer satisfaction (Gu and Ryan,
2008). Among the few studies that examine dissatisfaction, insecu-
rity (Choi and Chu, 2001), unmet expectations, and service quality
(Su, 2004) are some of the factors leading to customer dissatisfaction.
Dissatisfaction with tourist services may be inuenced by the
emotions of anger and regret (Snchez-Garca and Currs-Prez,
2011), and may lead to negative consequences, such as complaint
behavior and negative electronic word-of-mouth communication
(Cheng et al., 2005). Besides, unsatised customers tend to leave
their current hotel for another hotel, and they tend to voice their
dissatisfaction to release tension, obtain sympathy from others,
and receive restitution (Szymanski and Henard, 2001). Retaining
customers and encouraging them to return is essential to a hotels
performance because the cost of retaining customers is only onefth that of searching for new customers (Hart et al., 1990). Thus,
identifying the source of customer dissatisfaction is the rst step to
alleviating it. The next step is to implement service recovery strategies that will improve services and customer loyalty (Craighead
et al., 2004).
2.3. Electronic word of mouth toward hotels

Word of mouth can be dened as volitional post-purchase communication by customers (Dickinger and Basu, 1994). When this
communication takes the form of online reviews, recommendations, and opinions, these are referred to as electronic word of
mouth (eWOM) (Cantallops and Salvi, 2014). With the increased
popularity of online booking, online customer reviews and the corresponding effect of eWOM are greatly inuential in generating
demand for a hotel due to the number of Internet users (Kim et al.,
2009) and the frequent interaction (Cantallops and Salvi, 2014).
Positive online reviews show customer satisfaction with the
hotels (Xie et al., 2014). These positive reviews generate quality eWOM and serve to increase online bookings for the hotels
(Torres et al., 2015) by enhancing the hotels reputation (Ye et al.,
2009) and customers trust of the hotel (Kim et al., 2009). Negative
eWOM discourage a customer from booking a room at a particular
hotel (Zhang et al., 2010). Thus, exploring customers perceptions
through online reviews and utilizing eWOM is essential for hoteliers to attract customers (Wen, 2009) and enhance their hotels
nancial performance (Sun and Kim, 2013).
3. Hypothesis development
According to the expectation-disconrmation model, which
describes individual cognitive processes, customer satisfaction and
dissatisfaction are measured based on the comparison of their
expectations with the actual perceptions of the service performed.
When the services meet or exceed their expectations, customers
are satised; otherwise, customers are dissatised (Oliver, 1980).
During the customers booking process, the absence of certain
factors can generate dissatisfaction, but their presence alone is
insufcient to create higher levels of satisfaction because these
factors are expected and do not have the ability to generate high
levels of satisfaction (Saleh and Ryan, 1992). Based on the preceding
discussion, this study proposes the following proposition:
Hypothesis 1. For each type of hotel, the determinants of customer satisfaction and dissatisfaction toward the specic type of
hotel are different.
The importance of each determinant in directing customer
satisfaction and dissatisfaction may be different. Multi-attribute
theory emphasizes the evaluation distinctions of attributes for their
importance in deciding customer satisfaction (Aijzen, 1991). The

model is as follows:
Ao =
n
Bi ai
(1)
i=1
where Ao is the attitude, Bi is the strength of belief i in attribute o,

ai is the evaluation of the degree of expressed satisfaction i with
attribute o, and n is the number of beliefs (Aijzen and Fishbein,
1980). In this way, overall satisfaction is presented by the function
of aggregated importance attributed to an item (i.e., a product or
a service) and the evaluation of said item. The model can accommodate differing levels of importance attributed to hotel features
that lead to customer satisfaction and dissatisfaction (Gu and Ryan,
2008). Although various factors inuence customers perceptions
and behaviors about staying at hotels, the extent of their inuence differs from person to person (Heo and Hyun, 2015). The core
attributes, service, and products offered by hotels have a higher
inuence on customers perception in comparison to incidentals
(Xiang et al., 2015). Based on the preceding discussion, this study
advances the following propositions:
Hypothesis 2. a: For each type of hotel, the determinants of customer satisfaction toward this specic type of hotel are not equally
important.
Hypothesis 2. b: For each type of hotel, the determinants of customer dissatisfaction toward this specic type of hotel are not
equally important.
We dene the type of hotels in our study according to the annual
hotel industry report Trends: In the Hotel Industry USA Edition
2015, which is published by PKF Hospitality Research (2015). We
explore four types of hotels in our study. A full-service hotel provides a wide variety of facilities and amenities, including food and
beverage outlets, meeting rooms, and recreational amenities. A
limited-service hotel refers to a hotel that provides only some of
the full-service hotels facilities and amenities. For example, it does
not offer a restaurant, lounge, or banquet services, but it provides
a complimentary breakfast. A suite hotel with food and beverage
refers to a hotel in which all rooms have separate sleeping and living
areas while also providing a restaurant, a lounge, and/or banquet
services. This is different from a suite hotel without food and beverage, which does not offer a restaurant, a lounge, or banquet services,
but may offer complimentary food and beverages (PKF Hospitality
Research, 2015).
Hotel type is an important strategic consideration that inuences the hotels services, operations, facilities, and target market
segments (Kim et al., 2013b). For example, compared to limitedservice hotels, full-service hotels offer more services, have smaller
ratios of employees to customers, and provide a wider range of
interactions (Chathoth, 2007). Thus, the operations strategy is
decided by the hotel type (Kim et al., 2013b) and inuences a hotels
nancial performance, which is measured in sales growth, productivity, and protability (Chand and Katou, 2007).
Different hotel types have varying core products and services
as their central focus (Tanford et al., 2012). For example, information technology and service management are among the most
important operating strategies for full-service hotels (Chathoth,
2007). Compared with other hotel types, full-service hotels have
the strongest brand recognition as well as the strongest desire to
achieve high growth (Luciani, 1999). Thus, full-service hotels make
more investments in facilities and services management (Chathoth,
2007). Limited-service hotels mainly focus on xing costs and
reducing operating costs to control their budget (Peng et al., 2015).
The core attributes of limited-service hotels include guest rooms
and facilities, amenities, showers, and housekeeping services (Peng
et al., 2015). Luxury hotels, such as suite hotels, pay more attention
59
to completing ongoing improvements to attract more customers

(Patiar and Mia, 2009) as well as implementing signicant actions
aimed at long-term development (Huang et al., 2015).
Customers have different perceptions, expectations, and preferences regarding particular hotel types, and all these inuence their
satisfaction and dissatisfaction (Qiu et al., 2015). Full-service hotel
guests are more emotionally attached to their preferred brand and
are likely to join the hotels reward program (Tanford et al., 2012).
Limited-service hotel guests care more about price and have less
particular brand loyalty (Tanford et al., 2012). Customers expect
more personalized services in luxury suite hotels (Patiar and Mia,
2009); compared with limited-service hotels, customers attitudes
about suite hotels are more inuenced by the hotels experiential and symbolic value rather than its functional value (Chen and
Peng, 2014). For example, luxury hotel customers believe that good
restaurants and bars are necessary features for suite hotels providing food and beverage (Danziger et al., 2006). These amenities are
highly valued by luxury suite hotel customers who use them frequently (Kim et al., 2013b). Luxury suite hotel customers expect
high-quality in-room amenities such as personal care items, electronic devices, and mini-bar items, and many guests are willing
to pay a premium for these amenities (Heo and Hyun, 2015). Customers rank the importance of each service dimension differently
in various types of hospitality companies. Based on the preceding
discussion, this study proposes the following propositions:
Hypothesis 3. a: The type and importance ranking of the determinants of customer satisfaction are different in different types of
hotel.
Hypothesis 3. b: The type and importance ranking of the determinants of customer dissatisfaction are different in different types
of hotels.
4. Methodology
4.1. Data collection
The data for this study was collected from the third-party hotel
booking website www.booking.com, which is the worlds largest
third-party hotel booking website. Only travelers who have stayed
in the hotels listed on www.booking.com can post reviews on the
site. Therefore, the sites reviews are more authentic. Travelers are
asked to post their positive and negative reviews separately. The
positive reviews indicate the customers satisfaction while the negative reviews indicate their dissatisfaction. We collected reviews
from 580 hotels in the 100 largest U.S. cities according to the most
recent US Census Bureau population estimate (US Census Bureau,
2015). The sample selection methodology is based on Xiang et al.s
(2015) study. The 580 hotels in the sample include the four aforementioned hotel types: full-service hotels (25.9%), limited-service
hotels (37.9%), suite hotels with food and beverage (17.2%), and
suite hotels without food and beverage (19.0%). For each hotel, we
generated 10 random numbers as indices and collected the customer reviews that corresponded with those indices. We ignored
the samples because the positive reviews, the negative reviews, or
both were missing and left blank. Thus, we obtained 3480 efcient
customer review samples with both of the positive and negative
reviews.
4.2. Research method
Customer reviews are textual data. Traditional approaches to
research include qualitative methods such as grounded theory
and content analysis. These methods require researchers to read
through all the text as well as interpret and code it subjectively.
Given our sample contains 3480 reviews, traditional qualitative
60
methods are not a viable option because it is very difcult and

maybe impossible for researchers to maintain a consistent coding schema for all 3480 reviews due to information overload.
Thus, for this paper, we used text mining, which refers to the
process of extracting useful, meaningful, and nontrivial information from unstructured text to overcome information overload
(Netzer et al., 2012). In this study, we used LSA, a well-accepted
text mining technique. LSA is an algebraic-statistical method that
can detect the underlying topical structure of a document corpus
and extract the hidden semantic structures of words and sentences
(Evangelopoulos, 2011). Using LSA to examine reviews and conduct summaries is more objective than other approaches due to its
mathematical nature.
This studys use of LSA involved three steps that follow the wellestablished text mining procedures discussed in prior studies (e.g.,
Li and Joshi, 2012). For each type of the hotel, positive reviews
were consolidated in one spreadsheet, and negative reviews were
consolidated in another spreadsheet. These data were loaded into
RapidMiner Studio, a leading data mining tool, and processed using
the following steps.
The rst step was preprocessing and term reduction. Each
spreadsheet was converted into a document object in RapidMiner
Studio and was sequentially assigned a unique document ID before
it was analyzed. The documents then went through a series of preprocessing procedures. The rst procedure was to transform all
of the letters in these documents into lowercase. After this was
completed, the documents were tokenized with non-letter separators. Following the tokenization, the stop words (including trivial
words such as and, the, is, are, a, and an,) in the identied word list were removed because these words do not provide
meaningful information in reviews, and their presence unnecessarily increases the dimensionality of the term frequency matrix.
Next, all tokens that were less than two letters (e.g., s, x) were
removed because they did not contain meaningful information.
After the removal of the stop words and tokens, the next procedure was to eliminate any words or tokens that only appear in one
document because they did not indicate any particular theme. In
the sixth procedure, term-stemming techniques were applied to a
word list. Term-stemming identied the words root and regarded
all words with the same root as one token. This combined variants
of the same word and decreased the dimensionality. The last procedure was to apply an n-gram algorithm to identify repeated phrases
(e.g., friendly staff, good location, or poor Wi-Fi) in the documents.
These term reduction procedures eventually resulted in a word list
that consisted of more than 600 tokens in the positive reviews data
set and more than 1100 tokens in the negative reviews data set for
each hotel type.
The second step is Term Frequency Matrix Transformation.
After the rst step, all documents are converted into the term frequency by the document matrix. Each cell of the matrix records
the occurrence frequency for a particular token in a specic
document. We transformed the values in the matrix using a
term frequencyinverse document frequency (TF-IDF) weighting
method (Husbands et al., 2001). This approach puts more weight
on rare terms and discounts the weight of common terms so that
the uniqueness, rather than the commonality, of each document
emerges in the results (Sidorova et al., 2008).
The third step was singular value decomposition, which was
applied to convert the TF-IDF weighted term matrix into the production of three matrices: the term-by-factor matrix, singular value
matrix (square roots of eigenvalues), and the document-by-factor
matrix. The term-by-factor matrix showed the term loadings on a
particular latent factor. The document-by-factor matrix presented
the document loadings to a particular latent factor. The singular
values (square roots of eigenvalues) represented the importance of
a particular factor.
The interpretation of LSA results is similar to the interpretation of factor analysis (Evangelopoulos, 2011). In this study, we
associated each factor with its high-loading terms and documents
to assist in factor interpretation. For each solution, we created a
Table containing all high-loading terms and documents sorted by
absolute loadings. Then, the factors were labeled by examining the
terms and documents related to a particular factor, interpreting the
underlying area, and determining an appropriate label. Thus, all of
these terms and documents were interpreted and the factors were
labeled with practical meaning according to their corresponding
high-loading terms.
5. Results
5.1. Factors leading to customer satisfaction and dissatisfaction
toward each specic type of hotel
We present an LSA based on positive and negative reviews for
customer satisfaction and dissatisfaction toward each hotel type in
order to gure out the inuential factors that determine positive
reviews (customer satisfaction) and negative reviews (customer
dissatisfaction) for specic types of hotels. Tables 14 exhibit the
top factors identied in the LSA, each of which represents an aspect
of positive and negative reviews. In each table, each factors significance is indicated by the singular value. Noticing that each factor
contains 6001500 terms, we selected the top ten terms as the
high-loading terms for demonstration purposes. The LSA results
indicate that these top factors cover over 95% of all the unique terms
and reviews, which means that these factors represent all aspects of
customers positive and negative reviews toward each hotel type.
5.2. Summary of determinants of customer satisfaction toward
various types of hotels
The determinants of customer satisfaction toward various hotel
types were generally the same: location, staff performance, and
room quality, all of which were among the customer satisfaction
factors discussed in Gu and Ryan (2008)Gu and Ryans (2008) study.
However, the importance ranking of each customer satisfaction factor toward various hotel types was different. Besides, there was
an additional customer satisfaction determinant toward each hotel
type: Good restaurant for full-service hotels; good value for both
of the limited-service hotels and suite hotels with food and beverage; and good complimentary breakfast for suite hotels without
food and beverage. The customer satisfaction factors for each type
of hotel are summarized in Table 5.
5.3. Summary of determinants of customer dissatisfaction toward
various types of hotels
The determinants of customer dissatisfaction toward the four
hotel types were different. Generally speaking, these factors
included Wi-Fi, facilities, parking, bathroom, noise, swimming pool,
and room cleanliness. In addition to there being more dissatisfaction factors compared with satisfaction factors, dissatisfaction
determinants were more specic and more diverse among the various hotel types, as Table 6 shows.
6. Discussion
6.1. Different determinants of customer satisfaction and
dissatisfaction toward hotels
Our results supported hypothesis 1. For each type of hotel, the
determinants of customer satisfaction and dissatisfaction were dif-
61
Table 1
Determinants of Customer Satisfaction and Dissatisfaction towards Full-Service Hotels.
Factors
Singular Values
High-Loading Terms
Determinants of Customer Satisfaction

Good location and view
Factor 1
Interpretations (Labels)
2.555
Factor 2
Friendly staff
2.512
Factor 3
Nice and clean room
2.049
Factor 4
Good restaurant
2.041
locat , great locat, view, nice hotel, excel, conveni locat, easi access, locat good,
walk distance, view great
friendli staff, friendli staff excel, staff excel, staff great, staff good, staff nice,
friendli help staff, excel staff, staff nice help, front desk
room nice, bed comfort, clean room, i like, size, nice clean, bedroom, room com,
room com clean, room awesom
restaur great, restuar bar, dinner, fantast, good food, bar, nice restaur, planti,
restur nice, cafe
Determinants of Customer Dissatisfaction

Factor 1
Wi
2.245
Factor 2
Factor 3
Unfriendly and unhelpful staff

Facility
2.145
1.979
Factor 4
Factor 5
Parking
Bathroom
1.937
1.776
wi, free wi, wi room, expens, wi low, signal, wi connect, internet, slow,
problem
staff, desk, front desk, call, unfriendly, twice, i ask, avail, rude, unhelp, front desk staff,
evel, lobbi, elev work, hotel old, wait elev, maintain, busi center, facil, hall way,
indoor pool
expens, expens park, park expens, charg, overpr, dai park, bag, luggag, valet park, long
shower, hot water, tub, water shower, towel, tub shower, water pressur,
drain take shower, bathroom, toilet
Table 2
Determinants of Customer Satisfaction and Dissatisfaction towards Limited-Service Hotels.
Factors
Singular Values
High-Loading Terms

Good location
Factor 1
3.489
Factor 2
Friendly and helpful staff
2.863
Factor 3
Good value
2.677
Factor 4
Nice room
2.518
locat good, good locat, hotel locat, locat good park, perfect locat, perfect, locat good i,
walk, conveni locat, great locat
front desk staff, smile, extrem help, attend staff, staff help friendli, person, help staff,
friendli nice, staff excel
valu, good valu, monei, great valu, price, value excel, rate cheap, worth monei,
money valu, decent valu
com, bed com, accomod, nice room, clean com, love room, com room,
room great, bed good, room comfort clean

Noise
Factor 1
Smoking and polluted air
Factor 2
3.098
2.344
Factor 3
Wi
2.296
Factor 4
Factor 5
Old facility
Hallway machine problem
2.151
2.142
lot nois, street nois, Nois, loud, noisi, street, hear, lobbi, hard sleep, neighbor
smell smoke, cigarette smoke, cigarett, non smoke room, air, room smell smoke,
ask non smoke, room smell, terrible, smoke alarm,
wi poor, wi low, poor wi, connect, wi , internet, internet connect, low speed,
slow wi, signal
facil, bit old, facil old, evel, hallway, furnitur, outdate, dcor, lobbi hall, bad updat
machin, ic machin, vend machin, vend, hallwai, soda, x, machine difcult work, coin,
hard nd
Table 3
Determinants of Customer Satisfaction and Dissatisfaction towards Suite Hotels with Food and Beverage.
Factors
Singular Values
High-Loading Terms

Good location
Factor 1
3.070
Factor 2
Friendly staff
2.979
Factor 3
Nice room
2.765
Factor 4
Good value
2.306
locat good, great locat, walk, walk distanc, locat great, conveni, area, locat good easi,
conveni locat, locat nice
staff friendli, friendli help, staff friendli help, help staff, friendli help, excel staff,
waitress, great staff friendli, help i, polit staff
room clean, good room, clean big, spaciou, clean room, big room, good size,
comfort i, i love room, hotel room
price, reason, good price, price great, reason price, afford, price good, great price,
expect price, price room

Dirty room
Factor 1
2.524
Factor 2
Factor 3
Factor 4
Restaurant
Parking
Swimming pool
2.159
2.132
2.101
Factor 5
Air-condition
2.038
ferent. Comparatively, the determinants of customer satisfaction,

which include location and accessibility, staff performance, and
room quality, were more general and related to core hotel services.
Table 5 shows that having a good location was the most inuential determinant of customer satisfaction for all hotel types except
dirti, oor, carpet, room dirti, bathroom dirti, carpet dirti, toilet dirti, towel, toilet,
request
restaur, food, food restaur, smell, sugar, cereal, menu, dine, drink, buffet
valet park, park lot, lot, wait hour, charg, car, limit, block, car valet, park fee
pool area, pool hot, swim, swim pool, repair, pool close, pool area, work pool,
pool dirti, oor wet
air condition, ac, air, air condit, noisi air condit, sleep, sound, ac difcult work, hot,
temperature
suite hotels without food and beverage. Location and accessibility are important in generating customer satisfaction because they
help customers nd the hotel easily, provide a good view of the
surroundings, and save time for customers seeking to visit nearby
places of interest (Sim et al., 2006). In addition, a hotels ideal
62
Table 4
Determinants of Customer Satisfaction and Dissatisfaction towards Suite Hotels without Food and Beverage.
Factors
Singular Values
High-Loading Terms

Nice room
Factor 1
3.272
Factor 2
Friendly staff
2.996
Factor 3
Good complimentary breakfast
2.582
Factor 4
Good location
2.530
bed comfort, room clean, comfort room, quiet, clean room, nice room, spaciou, I like,
room great, size
friendli staff, staff nice, friendli help, front desk, staff friendli help, front desk staff,
staff good, staff nice, help staff, nice staff, staff great, love friendli staff,
breakfast good, breakfast, free breakfast, nice breakfast, fresh breakfast, fruit, food,
continent, continent breakfast, egg, breakfast cleanli, price breakfast, potato, decent,
decent breakfast
conveni locat, locat great, park, conveni, view, walk, free shuttl, distanc, locat nice,
minutes

Factor 1
Smoking and polluted air
2.351
Factor 2
Factor 3
Factor 4
Noise
Shower
Wi
2.301
2.260
2.248
Factor 5
In-room facility
2.193
smoke, smoke room, smell smoke, non smoke, room smell, i smell smoke,
smell smoke room, cigarett, smoke free, smell room
nois, loud, air condition, road, lot, hard sleep, road nois, noisi, trafc, hallwai nois
hot, water, tub, hot tub, hot water, lack, water shower, water pressur, shower, leak
wi, connect, slow, signal, low, problem, internet connect, wi access, wi terribl,
connect room,
microwav, microwav room, refriger, refriger room, fridg microwav, tv, hair dryer,
reger work, lamp bed, coffe maker
Table 5
Determinant Factors of Customer Satisfaction towards Each Type of Hotels.
Factors
Location
Staff
Room
Additional Factor
(Importance
Ranking)
Reections
excellent location, convenient

accessibility, good view
friendly, helpful, polite
comfortable, clean, spacious
good restaurant, good value, good
complimentary breakfast
Ranking
Full-Service
Hotels
LimitedService
Hotels
Suite Hotels
with Food and
Beverage
Suite Hotels
without Food
and Beverage
2
3
Good
restaurant (4)
2
4
Good value (3)
2
3
Good value (4)
2
1
Good
complimentary
breakfast (3)
Table 6
Determinant Factors of Customer Dissatisfaction towards Each Type of Hotels.
Factors
Wi
Staff
Facility
Parking
Bathroom
Noise
Smoking and in-room polluted
air
Hallway machine problem
Restaurant
Swimming pool
Air-condition
Dirty room
Reections
Ranking
Full-Service
Hotels
LimitedService
Hotels
Suite Hotels
with Food and
Beverage
Suite Hotels
without Food
and Beverage
low signal, slow speed, connection issue

unhelpful, unfriendly, rude
old facility, slow elevator, business center,
in-room facility
expensive, long waiting, full parking lots
shower, water pressure, toilet, towel
street noise, hotel noise, hard sleeping
smelly, cigarette, polluted air
1
2
3
3
N/A
4
N/A
N/A
N/A
4
N/A
5
4
5
N/A
N/A
N/A
N/A
1
2
3
N/A
N/A
N/A
N/A
3
2
1
vender machine, difcult working

food, drink, menu
dirty, need repair
noisy,
difcult working
dirty oor,
dirty room
N/A
N/A
N/A
N/A
5
N/A
N/A
N/A
N/A
2
4
5
N/A
N/A
N/A
N/A
N/A
N/A
N/A
location is always associated with larger accommodation demand

(Lockyer, 2005), higher revenue per room (Sainaghi, 2011), better
performance (Chung and Kalnins, 2001), and lower failure rates
(Baum and Mezias, 1992).
Staff performance was the second-most inuential determinant
of customer satisfaction. Customers care a lot about staff performance because there is a strong positive relationship between
customer satisfaction and employee performance in industries,
such as the hospitality industry, where the frequency of customer
and employee interaction is relatively high (Kassinis and Soteriou,
2003). Friendly and helpful staff performance generates customer

satisfaction.
In addition, room quality is always an inuential determinant
of customer satisfaction. The room itself is the core hotel service.
Because customers spend most of their time in their rooms during
their hotel stays, nice, clean, spacious, and comfortable rooms can
enhance customer satisfaction.
There is one extra determinant of customer satisfaction for each
hotel type. Customers of limited-service hotels and suite hotels
with food and beverage customers are satised with the good value
they offer. Customers of full-service hotels are satised with good

in-hotel restaurants, and customers of suite hotels without food
and beverage are satised with the continental breakfast.
In contrast, the determinants of customer dissatisfaction are
more specic. Environmental issues, such as slow Wi-Fi, smoking
and polluted air issues, poor-quality restaurant, and noise, posed
one major issue. Another determinant was facility problems, which
includes old furniture, dirty bathrooms, malfunctioning vending
machines, noisy swimming pools, and broken in-room fridges and
microwaves. Customers also complained about behavioral issues,
such as unfriendly and unhelpful staff, and operational issues, such
as long waiting times for the full parking lots. All of these issues
led to customer dissatisfaction. These factors are some of the key
aspects of hotel facilities and service, and thus their absence causes
dissatisfaction; however, while their presence is necessary, these
aspects are not sufcient in themselves to create a high level of
satisfaction (Gu and Ryan, 2008). Another thing our research found
was that for each hotel type, the number of dissatisfaction factors
was greater than or equal to the number of satisfaction factors. This
shows that the sources of dissatisfaction for customers are more
varied compared to the sources of satisfaction.
6.2. Unequally important determinants of customer satisfaction
and dissatisfaction
Our results supported hypotheses 2a and 2b. For each hotel type,
determinants of customer satisfaction and dissatisfaction were not
equally important, as shown by the different singular values of each
review matrix in Tables 14. We saw that the higher the singular
values were, the more important the factor was in inuencing customer satisfaction or dissatisfaction. Most of the previous research
only focuses on identifying these factors, yet comparisons of each
factors importance is missing. Therefore, by referring to the singular values, our study lls that gap.
6.3. Different types and importance ranking of determinants of
customer satisfaction toward each type of hotel
Our results partially support hypothesis 3a. For the determinants of customer satisfaction, we found that for each hotel type,
the types of customer satisfaction determinants were, generally,
the same: location and accessibility, staff performance, and room
quality. These three aspects align with the most signicant determinants of customer satisfaction in Gu and Ryan (2008)Gu and Ryans
(2008) study. However, their rankings are different for each type
of hotel. In addition, there is an additional customer satisfaction
factor for each hotel type.
Unlike customers staying in the other three hotel types, a comfortable room was the most important factor for customers staying
in a suite hotel without food and beverage. A good complimentary
breakfast was an additional customer satisfaction source. A possible interpretation is that customers staying this type of hotel would
use the kitchen and living room more often than other customers,
and the room and its amenities show the hotels luxuriousness (Heo
and Hyun, 2015). Staying in luxury suites provides more experiential and symbolic value for customers, enhancing their attitudes
and satisfaction (Chen and Peng, 2014). The room is considered
to be the core product for a suite hotel without food and beverage,
which highly inuences customer satisfaction and their willingness
to pay a premium for the hotel room (Heo and Hyun, 2015). Compared with customers staying in full-service hotels and suite hotels
with food and beverage, customers at suite hotels without food
and beverage have fewer breakfast options. Thus, a good complimentary breakfast provides added value for these customers, which
generates customer satisfaction.
63
Location is the most important determinant of satisfaction for

customers staying at full-service hotels, limited-service hotels, and
suite hotels with food and beverage. According to the text mining
results, there were three sources of customer satisfaction regarding
hotel locations. The rst source was having a convenient location,
which measured easy accessibility to the hotel. Customers were
more satised if the hotel was located near a public transportation hub such as an airport. A free shuttle bus offered by some
hotels enhanced customer satisfaction and amplied the advantage of the hotels location. Second, customer satisfaction came
from the walking distance from the hotel to attractions. By being
close to attractions, customers can save time on commuting. Third,
customer satisfaction with the location was improved by the hotel
having good views. Some hotels have rooms that overlook parks or
mountains, among other things, and having these views enhances
customers delight with the hotel, which thus increases customer
satisfaction (Torres et al., 2014).
There is an additional customer satisfaction factor for each hotel
type. Customers at full-service hotels expect good restaurants. The
high-quality food, service, and atmosphere provided by full-service
restaurants make customers happy, enhancing their satisfaction
(Tsaur et al., 2015). Also, most full-service hotels emphasize the
healthful aspects of their restaurants menu, which also increases
the customers satisfaction with the dinner value (Kim et al., 2013a).
Limited-service hotel customers care more about good value, which
is shown in the room rate. These data are supported by previous studies (e.g., Brotherton, 2004; Nash et al., 2006) that showed
value is one of the most important criteria for limited-service hotel
customers when selecting their hotel. Customers staying in limitedservice hotels tend to be price sensitive (Ren et al., 2016). Therefore,
good value is considered to be one of the most important attributes
for attracting customers (Nash et al., 2006). However, getting a good
value is also a determinant of satisfaction for customers staying in
suite hotels with food and beverage. One of the possible interpretations that measures good value for customers staying in this type
of hotel incorporates the affordable price for the room as well as
the food and beverage. The combination of affordable room price
and food and beverage amplies the effect of good value, leading
to an increase in customer satisfaction (Chen et al., 2015).
Lastly, staff performance seemed to be among the most inuential factors in determining customer satisfaction because customers
place staff performance as the second-most important determinant
of their satisfaction. This shows the signicance of the relationship between customer satisfaction and employee performance in
the highly interactive hospitality industry (Kassinis and Soteriou,
2003). Staff members play an important role in booking, checking guests in and out, maintenance services, food services, and
so on. Efcient communication between the staff and customers
can strengthen the customers relationship with the hotels (Wang,
2012). The staffs friendly, polite attitude, which can be positively inuenced by the staffs job satisfaction, can also enhance
customers feelings (Jung and Yoon, 2013). Lastly, the staffs helpfulness can improve the hotels efciency, which can improve
customer satisfaction (Assaf and Magnini, 2012). The staff plays
an important role in alleviating customer dissatisfaction or even
generating customer satisfaction when service operations failures
happen (Anderson et al., 2009); therefore, staff members are very
inuential with regards to customer satisfaction.
6.4. Different types and importance ranking of determinants of
customer dissatisfaction toward each type of hotel
Our results supported hypothesis 3b. For the determinants of
customer dissatisfaction, we found that for each type of hotel,
both the types and the rankings were different. For each type of
hotel, there were more customer dissatisfaction factors compared
64
with customer satisfaction, which showed customer dissatisfaction

came from more specic sources than did customer satisfaction.
Wi-Fi is the largest determinant of customer dissatisfaction for
full-service hotel customers. The negative attributes of slow speed,
low signal, difcult connection, and additional charges led to customer dissatisfaction. One of the reasons that full-service hotel
customers care so much about Wi-Fi compared to customers staying in other types of hotels is because most business travelers stay in
full-service hotels, and they have different determinants compared
to leisure travelers (Yavas and Babakus, 2005). Bad Wi-Fi affects
their normal business work and communication, which deeply dissatises them. Wi-Fi was also listed as one of the determinants of
customer dissatisfaction for customers staying in limited-service
hotels and suite hotels without food and beverage, which showed
the importance of Wi-Fi and how the lack of satisfactory Wi-Fi
generates customer dissatisfaction.
In addition, unhelpful and unfriendly staff members, old
facilities, parking issues, and bathroom issues all led to the dissatisfaction of customers staying in full-service hotels. Staff-based
dissatisfaction may come from the fact that full-service hotels have
the highest customer-to-staff ratio among these four types of hotels
(Mohammed et al., 2014), and therefore there may be inadequate
levels of staff sufcient to satisfy customers needs. The old facilities issue includes general issues such as slow elevators and poorly
designed business centers as well as in-room issues such as old
furniture, lack of or difculty working microwave, fridge, coffee
maker, and so on. The facility issues cause inconvenience for customers, thus leading to dissatisfaction for many hotel customers.
The parking issue arises possibly because full-service hotels usually have the most hotel rooms and guests, and, thus, their relatively
full parking lots and longer waits for valet parking led to customer
impatience and anxiety, increasing their dissatisfaction. The bathroom issue, a combination of facility and operations issues that may
arise from dirty showers, toilets, or towels, also inuences customer
perception. Thus, upgraded bathroom facilities and efcient daily
operations and housekeeping are among the most efcient ways to
alleviate customer dissatisfaction.
Noise is the most inuential factors leading to customer dissatisfaction in limited-service hotels. The noise may come from the
highway, hotel hallways, swimming pool, or in-room air conditioner. While a quiet room can increase customer satisfaction (Ren
et al., 2016), noise causes customer dissatisfaction because it makes
it difcult for customers to sleep. Our studys ndings are consistent
with previous studies that found that noise levels inuence customers perception of limited-service hotels (Clemes et al., 2011).
Quietness is one of the most important factors for customers choosing limited-service hotels because it is the core value of the guest
room, which is the primary focus of limited-service hotels (Clemes
et al., 2011).
Smoking issues, Wi-Fi, facilities, and vending machine problems
also led to dissatisfaction among limited-service hotel customers.
Most of these issues come from the budget issues of the limitedservice hotels (Peng et al., 2015), which want to minimize their total
costs by reducing expenditures on facility investment and operations (Fiorentino, 1995). Thus, customers staying in budget hotels
tend to be dissatised with hotel management when the hotels are
too concerned with cost (Peng et al., 2015).
A dirty room raised the most dissatisfaction with customers
staying in suite hotels with food and beverage. Although food and
beverage are among the most important core products that this
type of hotel offers, they are mostly accommodation-led, which
means that the main reason for customers to visit and return to the
hotel is the guest room (Powell and Watson, 2006). Thus, clean and
comfortable rooms signicantly increased customer satisfaction
while dirty rooms led to customer dissatisfaction (Kandampully
and Suhartanto, 2003). This effect was amplied in suite hotels,
where suites have luxury attributes that signicantly inuenced

customer perceptions and attitudes (Chen and Peng, 2014).
Restaurants, parking, swimming pool, and air conditioning
are among the determinants leading to customer dissatisfaction
toward suite hotels with food and beverage. Being among this hotel
types core services, the restaurant offers food and beverages, thus
providing a symbolic and experiential value as well as a functional
value. These values are inuential for customer perceptions (Chen
and Peng, 2014). Thus, a lack of good and healthful food and drink
as well as a lack of considerate service raised customer dissatisfaction levels. Like customers staying in full-service hotels, full parking
lots, additional parking charges, and long valet parking waits led to
customer dissatisfaction. Swimming pool and air conditioning both
reect the facility and operations issues for suite hotels with food
and beverage; therefore, some customers expressed dissatisfaction
with the noise coming from the swimming pool or the air conditioner, along with the cleanliness and modernness of the swimming
pool and ease-of-use level with the air-condition.
Finally, smoking or polluted air is the most important determinant that led to dissatisfaction among customers staying in suite
hotels without food and beverage. Although the cigarette-smoking
rate in the United States has fallen from 42% in 196522% in 2002,
smoking is an issue that hospitality companies must continue to be
vigilant about (Chan et al., 2012). On one side, hospitality employees have a higher cigarette-smoking rate (37.19%) than the general
U.S. population, and that rate did not decline signicantly in the
last decades (Pizam, 2012). This phenomenon may be perceived by
customers. On the other hand, some customers may smoke in nonsmoking rooms, which pollutes the air and makes the room smell.
Additionally, customers staying in suite hotels without food and
beverage may spend more time in the room and use the kitchen for
cooking more often than customers in other hotels. Cooking may
be another source of polluted, smelly air. We noticed that smoking and polluted air were also listed as dissatisfaction sources for
customers staying in limited-service hotels. One additional reason
may come from the fact that some limited-service hotels such as
motels do not separate smoking and non-smoking rooms, which
leaves non-smoking customers dissatised.
Noise, dirty bathrooms, slow Wi-Fi, and old, decrepit facilities
also led to the dissatisfaction of customers staying in suite hotels
without food and beverage. Most of these issues come from inefciency, so upgrading facilities can be an effective way to alleviate
dissatisfaction among customers staying in suite hotels without
food and beverage.
7. Theoretical and practical implications

7.1. Theoretical implications
Customer Online reviews in the hospitality and tourism industry
have recently received increasing attention from both researchers
and practitioners (Schuckert et al., 2015). Our study is included
in one of the ve clusters of studies concerning online reviews
in the hospitality and tourism industry identied by Schuckert
et al. (2015) as opinion mining/sentiment analysis. The other four
clusters are online reviews and online buying, satisfaction and management, motivation, and the role of reviews.
Our study contributes to existing studies about customer satisfaction in the hospitality industry by using LSA to explore online
customer reviews of various types of hotels. Our ndings conrm
expectation-disconrmation models that determine customer satisfaction and dissatisfaction by comparing customers expectations
with their perceptions of the service performed (Oliver, 1980).
Compared to the actual quality of customers experiences in the
hospitality industry, their perception of quality is more important,
which can be shown from customers online reviews (Bradley et al.,

2015). Through online customer reviews of their hotel experiences,
we identied and compared both the type and importance of each
determinant in measuring customer satisfaction and dissatisfaction
toward various types of hotels. The comparison is based on three
perspectives.
First, we compared factors for customer satisfaction and dissatisfaction for each hotel type. By discovering the different types of
customer satisfaction and dissatisfaction determinants, our study
veries the different inuences that various hotel products and services have on customer perception. While a hotels positive core
attributes, products, and services including its location, staff, and
rooms generate customer satisfaction, the absence of some special aspects caused customer dissatisfaction. At the same time, the
presence of these same aspects is not sufcient in themselves to
cause markedly high satisfaction levels. Our study supports the
two-factor theory (Herzberg, 1964), which asserts that sources of
satisfaction come from motivator factors that dont lead to dissatisfaction when absent but create positive perception when provided
(Chowdhary and Prakash, 2005). The sources of dissatisfaction
come from hygiene factors that prevent dissatisfaction when provided but cannot create satisfaction (Berezina et al., 2015). In this
way, our study shows customer satisfaction and dissatisfaction can
coexist, and the antecedents of these two constructs are different
(Chen et al., 2014).
Second, for each type of hotel, we compared the importance of
determinants of customer satisfaction and dissatisfaction. While
customers care about many factors, the extent of the inuence of
certain hotel attributes, products, and services on customer perception is different. This supports the multi-attribute theory, which
emphasizes the different inuence of attributes on customer satisfaction (Aijzen, 1991). Our study nds that hotels core attributes,
products, and services such as hotel location, staff performance,
and room quality play a more important role in hotel customers
perceptions than auxiliary services.
Third, we compared factors that inuence customer satisfaction and dissatisfaction toward various types of hotels. Our study
shows determinants of customer satisfaction and dissatisfaction
toward various types of hotels varies among hotel types due to
differences in hotels investment and operating strategies, organizational behaviors, operating efciencies, and target markets. By
providing the types and importance in rank of the determinants
of customer satisfaction and dissatisfaction toward various hotel
types, our study provides a way to explore the pros and cons of
each type of hotels operating efciency and comprehensive performance from their customers perspectives. Our study found that
determinants of customer satisfaction and dissatisfaction include
both tangible aspects, such as room quality, and intangible aspects,
such as attitude and behavior of staff, which supports the existing
theory of service quality structure (Berezina et al., 2015).
In addition, our study is based on customer reviews instead of
customer ratings. Exploring online reviews provides researchers
with a new approach to studying customer satisfaction that provides truer reports of travelers experiences compared to other
methodologies, such as surveys and case studies, because of the
open structure of the reviews (Li et al., 2013a). Compared to customer ratings, customer reviews give more information about
the hotel experience and customer perception, providing a better
understanding of the sources of customer satisfaction and dissatisfaction. Online reviews are a valuable information resource for
both customers and service providers. Customers consider online
reviews, especially the concrete reviews (Li et al., 2013b), as one of
the most trustworthy information sources (Filieri, 2015) and utilize online reviews as tools for making purchase decisions. Service
providers can use online reviews to obtain real-time feedback from
customers (Robson et al., 2013) and create and modify market-
65
ing strategies (Lee and BradLow, 2011). This study collected data
from www.booking.com, an online third-party booking website.
Online reviews provide more up-to-date and detailed customer
concerns and have a stronger effect on word-of-mouth communication because they show communications between customers
and hotels and communications among customers. Both positive
and negative reviews inuence potential customers online booking behaviors because they inuence the online transaction stages
of both the information phase and the after-sales phase (Bauer et al.,
2006).
Specically, positive reviews have a signicant effect on hotels
online transaction volumes (Zhao et al., 2015), while negative
reviews adversely affect employees personal outcomes, professional outcomes, and hotels organizational outcomes (Bradley
et al., 2015). Negative reviews adversely affect hotel employees
personal outcomes, including subjective feelings of well-being, and
trigger emotions of anger and depression. Negative professional
outcomes include reduced employee job commitment, performance, and satisfaction. Negative organizational effects include
damage to a hotels brand and reduction in patronage (Bradley et al.,
2015). These factors all negatively inuence online hotel bookings
(Zhao et al., 2015). Thus, identifying the sources of customer satisfaction and dissatisfaction from online reviews and providing the
corresponding improvement actions are important steps for hotels
to take to improve their reputations, customer relationships, and
nancial performance (Cantallops and Salvi, 2014).
We used a text-mining technique, LSA, to explore the determinants of customer satisfaction and dissatisfaction toward hotels
through online customer reviews. Many previous studies use
qualitative methods to analyze the textual data, which has the
shortcoming of being subjective judgment-based (Lee et al., 2011).
Compared to an elementary summary, text-mining techniques provide a more objective approach to analyzing the content of reviews
due to their mathematical characteristics. As a quantitative textmining technique, LSA has recently obtained increased attention
from researchers (Visinescu and Evangelopoulos, 2014). LSA has
a strong strength of serving as both a theory and a method for
extracting and representing the meaning of human words (Kulkarni
et al., 2014). Textual data generated in an individual context, such
as an online review, is one of the main application domains of LSA
(Evangelopoulos et al., 2012). LSA provides an efcient approach
for analyzing large amounts of textual data and efciently solves
the information overloading issues. LSA can identify the factors
and their importance as well as the high-loading terms. The highloading terms support and explain the factors that serve as detailed
sources of customer satisfaction and dissatisfaction toward hotels
in our study, and can help hoteliers prioritize and then take the
corresponding improvement actions. LSA and other text-mining
approaches provide tools for researchers and give hoteliers a larger
picture as to how the customers voices form collectively (Berezina
et al., 2015). Hoteliers can also use text-mining approaches on a
regular basis to identify the determinants of customer satisfaction and dissatisfaction within a timeline. In this way, hoteliers
can determine the hotels performance and take corresponding
improvement actions dynamically (Berezina et al., 2015).
7.2. Managerial implications
Online reviews have eWOM effects that strongly affect the
tourism industry. Within the tourism industry, hotels are most
affected because positive eWOM generates more demand and
prot for hotels while negative eWOM decreases demand and
prot (Cantallops and Salvi, 2014). Identifying the determinants
of customer satisfaction and dissatisfaction could help hotel managers efciently utilize eWOM by implementing improvements to
the corresponding aspects of their services. To increase customer
66
demand by increasing satisfaction and alleviating dissatisfaction,

hotels should improve their products and services and implement
efcient online response management actions toward online customer reviews about customers concerns.
Our study shows that to enhance hotels products and services, hotel managers should pay much attention to improving
aspects of operational performance, such as staff performance and
room quality, because these generate greater customer satisfaction.
For future hotels, location and accessibility need to be considered
because they are important factors that lead to customer satisfaction. Although currently operating hotels cannot change their
locations, they can enhance accessibility to tourist destinations or
transportation centers by providing free shuttles, brochures, and
hand-drawn maps (Li et al., 2013a).
Hoteliers can also exploit the factors unique to their particular hotel type that increase customer satisfaction (Li et al.,
2013a). Performing well with respect to the particular aspects
deemed important per hotel type can attract more customers.
These improved services lead to customer satisfaction, enhancing
loyalty and willingness to pay a premium for hotel products and
services (Xu and Gursoy, 2015b), which, in turn, will help hotels
perform better nancially (Sun and Kim, 2013).
On the other hand, special service details cannot be ignored.
Although improving upon these areas may not directly lead to
customer satisfaction, the absence of these services may lead to
customer dissatisfaction. Such improvements can be in relationship to facilities, products, services, and behaviors, among other
things. Specically, the overall facility, such as the hotel buildings
dcor and layout, should be up to date. General building facilities,
including elevators, the business center, and the swimming pool,
should be renovated, and in-room amenities such as microwave,
refrigerator, air conditioner, and bathrooms should be improved
(Heo and Hyun, 2015). Hotel restaurants should provide more highquality, healthful food options (Kim et al., 2013a). Rooms should be
clean and well-maintained. Valet parking and parking lots should
be optimized to reduce customer wait time, and Wi-Fi should be
easy to access. These aspects improve service operations. Negative
behaviors, such as unhelpful and unfriendly staff, noisy in-hotel
activities, and smoking issues should be controlled to avoid service
failures, thereby alleviating customer dissatisfaction (Craighead
et al., 2004). Identifying sources of customer dissatisfaction and
improving the corresponding services provide hotels an opportunity to implement service recovery actions, thus turning angry,
complaining customers into loyal ones (Lapre, 2011). Preventing
customers from switching hotels is cost-effective because retaining an existing customer costs only one-fth of what it costs to
identify and obtain a new customer (Hart et al., 1990). Providing
a consistently high level of service to customers, especially to frequently returning customers, is also important. These efforts may
help remedy the occasional service failure; the hotel might receive
fewer negative public reviews since a customers excellent past
experiences with the service provider can lessen the impact of the
current stressor (Stephens and Gwinner, 1998) and reduce the customers motivation to post a negative review online (Bradley et al.,
2015).
Since the hotel experience is offered in the form of a bundle
of products and services, proper maintenance of hotel facilities
and amenities and well-dened operational procedures and implementations to improve service quality are benecial to customers
positive perceptions (Prasad et al., 2014). However, under limited resources and budgets, hotels may be not able to spend extra
resources on satisfaction improvement and dissatisfaction alleviation (Li et al., 2013a). In this way, the relative importance of
determinants inuencing customer satisfaction and dissatisfaction,
as found in our study, can generate the priority list of hotels actions.
In addition, understanding the prole, behavior, and needs of

online booking users is helpful for hoteliers in making decisions
about their marketing strategies and segmentation and customization practices (Sigala, 2004). Due to the nding that the types
and importance rankings of the determinants of customer satisfaction and dissatisfaction are different among various types of
hotels, hoteliers may use the market segmentation strategy to meet
the special requirements of customers for each hotel type. For
example, full-service hotels could generate more customer satisfaction by offering good food in the restaurant while limited-service
hotels could lower room rates and still meet the customer service
level necessary to attract more customers. At the same time, hoteliers should consider the specic customer dissatisfaction sources
among each hotel type. By identifying and comparing the types and
importance rankings of the determinants of customer satisfaction
and dissatisfaction among each type of hotel, our study helps the
corresponding hoteliers accurately target specic improvements
in hotel products and services. It is more essential for hotels with
weak brands to enhance customers hotel experiences to gain positive online reviews because positive online reviews have an even
more signicant effect on generating more demand and strengthen
the overall brand for hotels with weak brands (Ho-Dac et al., 2013).
Seeking efcient approaches to managing social interactions
among consumers, such as hotels guest service representatives
online response management of customer reviews to address customers concerns, is important for service providers (Gu and Ye,
2014; Weathers et al., 2015). Informative online reviews contain
both the customers actions, which show the reason(s) a particular
customer chose the product or service, and the customers reactions, which explain the reason(s) a customer loves the product or
service (Moore, 2015). Hoteliers should monitor customer reviews
intensively (Gu and Ye, 2014). Among all of the online reviews, the
highly voted reviews, which gained many customers opinions of
helpfulness, should receive more attention from hoteliers. Highly
voted reviews are more likely to be observed and identied in an
online review system and inuence potential customer purchase
decisions to a greater extent (Kuan et al., 2015).
Positive reviews demonstrate customers delight regarding their
hotel experience and satisfaction (Xiang et al., 2015). To amplify the
effect of positive reviews, providing more communication channels, such as a travel forum on the hotels own website or a
third partys website, is one efcient approach (Zhang and Watts,
2008). These interactive websites provide a stage for communication between customers and hoteliers (Herrero et al., 2015). Also,
interactive websites can utilize the positive eWOM by motivating
more customers to post positive reviews since customers are more
willing to contribute online reviews to products and services with
an already high number of positive online reviews (Dellarocas et al.,
2010).
Negative reviews show customer dissatisfaction and emotions
such as anxiety and anger (Yin et al., 2014). To reduce the number
of negative reviews and alleviate of the negative effect of negative
reviews on customer demand, hoteliers can implement a variety
of strategies. These include preventative strategies such as minimizing service and product failures; protective strategies such as
encouraging private, rather than public, negative responses; positive strategies such as encouraging and strategically deploying
positive reviews; and palliative strategies such as explaining the
reasons of service failure (Bradley et al., 2015). In addition to hotel
booking websites, social media sites such as TripAdvisor are becoming another platform on which hotel customers can post online
reviews (Leung et al., 2013). The online management of reviews is
the rst step for hoteliers to understand the role of social media in
improving hotel performance (Gu and Ye, 2014). Online management response actions include explaining the reasons for a service
failure, committing to service improvement, and offering reason-
able compensation and encouragement to revisit to dissatised

customers. These actions increase the future satisfaction of dissatised customers (Gu and Ye, 2014; Xie et al., 2014). Therefore, prompt
and full responses to online customers who express low satisfaction are helpful for implementing service recovery actions to retain
dissatised customers (Gu and Ye, 2014). However, current practice shows that most hotels havent implemented efcient online
management and related service recovery actions; only one in ve
e-complaints, which include negative reviews, received a response
from hotel companies (Lee and Hu, 2004). Hoteliers should recognize that by utilizing online management, they will be better able
to enhance customer satisfaction and handle complaints. Positive
online reviews and customer ratings will generate positive eWOM
benetting a hotels nancial performance.
Tracking, monitoring, and managing customers perceptions
toward their hotel experiences can allow hotels to obtain timely
feedback from their guests and identify hotels strengths and weaknesses (Prasad et al., 2014). In addition to public methods, such
as online reviews (Barreda and Bilgihan, 2013), hoteliers can also
collect customer experiences through private means, such as by
using a hotels online quality management system, to send emails
to hotel guests asking for opinions and evaluations (Prasad et al.,
2014). Using electronic guest comment cards allows hoteliers to
collect customer feedback on additional evaluation criteria such as
perceived value, revisit intention, and recommendation intention
(Prasad et al., 2014). Technology-based approaches, such as Internet marketing, play an important role in a hotels success in light
of rapid technology developments (Lee and Hu, 2004).
8. Conclusions and future extensions

8.1. Conclusions
Through an LSA of online customer reviews toward hotels, our
study identied and compared the determinants of satisfaction and
dissatisfaction toward full-service hotels, limited-service hotels,
suite hotels with food and beverage, and suite hotels without food
and beverage. The following are our main conclusions.
Regarding our rst research question, we found that for each
type of hotel, the determinants of customer satisfaction and dissatisfaction were different. Comparatively, the determinants of
customer satisfaction were more general and showed the core of
hotel services. These determinants included location and accessibility, staff performance, and room quality. On the other hand,
the determinants of customer dissatisfaction were more specic,
including various facility, operations, and behavior issues. Facility
problems included hotel age, slow elevators, poorly designed business centers, poorly maintained swimming pools, and low-quality
restaurants. In-room issues included a lack of or broken appliances,
faulty air conditioners, and unsatisfactory bathrooms. Operations
problems included dirty rooms, full parking lots, long valet waits,
smoking and polluted air, and noise issues. Behavior issues included
rude and unhelpful staff members. All of these issues cause customer dissatisfaction. Furthermore, we found that for each type of
hotel, the number of customer dissatisfaction factors was greater
than the number of customer satisfaction factors, which showed
that the sources of dissatisfaction were greater than the sources of
satisfaction for customers staying in each type of hotel.
Regarding our second research question, we found that for each
hotel type, determinants of customer satisfaction and dissatisfaction were not equally important. Rankings of the importance of
each factor that led to customer satisfaction or dissatisfaction were
given according to the singular values in Tables 14.
Regarding our third research question, we found that although
the types of determinants of customer satisfaction were almost the
67
same for each hotel type, the ranking of importance of these determinants were different. Location was the most inuential factor
in determining customer satisfaction toward full-service hotels,
limited-service hotels, and suite hotels with food and beverage.
Room quality played the most inuential role in customer satisfaction toward suite hotels without food and beverage. Then,
we identied an additional determinant of customer satisfaction
toward each type of hotel. Good value was imperative for customers of both limited-service hotels and suite hotels with food and
beverage. A good restaurant was important for full-service hotel
customers, and a good complimentary breakfast was necessary for
customers of suite hotels without food and beverage.
For the determinants of customer dissatisfaction, we found both
the types and the rankings were different among different types
of hotels. Among the 12 factors identied as determinants of dissatisfaction, slow and/or weak Wi-Fi created the largest amount
of dissatisfaction among customers of full-service hotels. Noise
was the most inuential factor leading to dissatisfaction among
customers staying in limited-service hotels. A dirty room was
the biggest reason for dissatisfaction among customers of suite
hotels with food and beverage, whereas smoking and polluted air
caused the largest amount of dissatisfaction for customers staying
in suite hotels without food and beverage. Other determinants of
dissatisfaction included unhelpful staff, old facilities, poor parking,
unsanitary bathrooms, low-quality restaurants, and poorly maintained swimming pools.
8.2. Future extensions
Future studies could extend our study in the following ways.
First, our study compares the determinants of customer satisfaction and dissatisfaction from the perspective of different types of
hotels. Future studies can compare the determinants of customer
satisfaction and dissatisfaction from the perspective of customer
demographics. For example, future studies can explore whether
customers age, gender, or travel purpose (leisure vs. business) can
inuence their satisfaction and dissatisfaction toward hotels. Second, the impact of eWOM among various customer demographic
groups and types of hotel may be identied. For example, which
customer demographic group or type of hotel is most inuenced
by positive eWOM, and which customer demographic group or
hotel type is most inuenced by negative eWOM? Will the hoteliers online responses and communication inuence the eWOM?
Lastly, although improving the corresponding aspects of hotel services could enhance customer satisfaction and alleviate customer
dissatisfaction, thereby generating more demand, the cost of service efforts cannot be ignored. From the perspective of operations
management, the optimal service efforts should be based on the
trade-off between their benets and costs. Thus, theoretical modeling may be an efcient method for deciding the optimal service
efforts that will maximize a hotels prots.
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International Journal of Hospitality Management 55 (2016) 5769

Contents lists available at ScienceDirect

International Journal of Hospitality Management

The antecedents of customer satisfaction and dissatisfaction toward

rience. Identifying the type and importance of factors that lead to

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

levels of satisfaction (Gu and Ryan, 2008); therefore, we want to

2.3. Electronic word of mouth toward hotels

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

importance in deciding customer satisfaction (Aijzen, 1991). The

where Ao is the attitude, Bi is the strength of belief i in attribute o,

to completing ongoing improvements to attract more customers

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

methods are not a viable option because it is very difcult and

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

Determinants of Customer Satisfaction

Nice and clean room

Determinants of Customer Dissatisfaction

Unfriendly and unhelpful staff

Determinants of Customer Satisfaction

Friendly and helpful staff

Determinants of Customer Dissatisfaction

Determinants of Customer Satisfaction

Determinants of Customer Dissatisfaction

ferent. Comparatively, the determinants of customer satisfaction,

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

Determinants of Customer Satisfaction

Good complimentary breakfast

Determinants of Customer Dissatisfaction

excellent location, convenient

low signal, slow speed, connection issue

vender machine, difcult working

location is always associated with larger accommodation demand

2003). Friendly and helpful staff performance generates customer

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

they offer. Customers of full-service hotels are satised with good

Location is the most important determinant of satisfaction for

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

with customer satisfaction, which showed customer dissatisfaction

where suites have luxury attributes that signicantly inuenced

7. Theoretical and practical implications

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

which can be shown from customers online reviews (Bradley et al.,

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

demand by increasing satisfaction and alleviating dissatisfaction,

In addition, understanding the prole, behavior, and needs of

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

able compensation and encouragement to revisit to dissatised

8. Conclusions and future extensions

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

Bauer, H.H., Falk, T., Hammerschmidt, M., 2006. eTransQual: a transaction

X. Xu, Y. Li / International Journal of Hospitality Management 55 (2016) 5769

US Census Bureau Population Division, 2015. Table 1: Annual Estimates of the

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