Development of the Technological Facilities in Hospitality Industries for Consumer Satisfaction
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Literature Review: Development of the Technological Facilities in Hospitality Industries for Consumer Satisfaction
Technology is the use and implementation of technological advances in the development of products and services to improve human existence as a whole in the hotel sector. Technology has been commonly used at two levels, both operational and managerial. The American Hotel and Lodging Association survey showed that hoteliers with more than 10 years of experience had improved guest satisfaction with technology adoption (82.4%), improved employee productivity (79.9 %) and increased revenue production (71.%) with technology adoption in their system (Baka, 2016). Satisfied customer is associated with customer loyalty or client satisfaction. Satisfaction refers to a post – consumption measurement of product quality based on prior expectations. Customer is pleased when the post-purchase assessment shows a higher level of service than the anticipated quality of service. This condition is the target of all hoteliers. Heo and Hyun (2015) indicated that satisfied customer had a direct effect on consumer loyalty (Heo and Hyun, 2015). Several studies have examined the relationship between quality of service, satisfaction and customer loyalty.
There is a debate in the literature on the relationship between quality of service, customer satisfaction and consumer loyalty (Cetin and Walls, 2016). Even if the quality of the service is good and the customer is satisfied, this would not automatically mean that the customer returns. There may be various explanations as to why a customer does not return to a property where he or she offered good quality service and was pleased with it. One explanation might be that a customer doesn’t want to go back to the same place, but wants to try something new. Moreover, the probability is that the customer is able to try something different even though the customer returns to the same hotel; and eventually, the customer may be swayed by a decent deal provided in another luxury hotel. Conversely, it has been found that service quality has a significant and direct impact on customer satisfaction and that the relationship between customer satisfaction and loyalty is also very relevant (Tavitiyaman et al., 2020). In view of the study purpose, this research focuses on the satisfaction of hotel guests with technological facilities, as the following section presents its analysis of innovations introduced in hotels and studies focusing on guest satisfaction.
2.2 Hotels Upscale
Housing is typically categorized into six categories: hotels and resorts, high-rise, high-rise, mid-size, mid-size and economy. “Upscale hotels are often classified as part of the luxury hotel market” because “luxury is a truly subjective measure, and no particular criterion can determine whether or not a hotel is luxury.” For the purpose of this analysis, a luxury resort is described as a hotel that provides outstanding services and is rated as four to five stars. Studies on categorization of guest-oriented technologies have shown that four categories focus on value perception and output satisfaction.
The very first category, including direct-in / out, remote-controlled TV, as well as in-room high-speed Internet access, was all ranked high on both sides (performance and productivity). The second category, which earned high-performance yet low-performance scores, included wireless connectivity, alarms, accessible power outlets as well as on-line accommodation capabilities. This category involved individuals who, in choosing a hotel, considered these developments to be essential, yet assumed that the output would be poor during the stay. Third party, classified low-level technology in hotel selection but reported high-performance ratings while in-house. The three innovations included online TV, fee-per-view movies, and in-room private computer systems. Poor ratings for both technical significance and efficiency were recorded in the fourth category. Implementations in this category included video streaming facilities, wireless network to hotel websites, convention center facilities and projector television.
2.3 Technology in Luxurious Hotels
The technology implementation of the hotel sector began in the early 1970s and has been growing rapidly since then. As a general concept, the larger and more complex the hotel facilities (overnight amenities, food and beverage outlets, spa services, leisure facilities, etc.) are, the greater the dependence on technology. In luxury hotels, technology is employed on two levels: operational and strategic level as well as in-room customer service. Customer-oriented technical innovations are usually implemented to improve client satisfaction and also the efficiency and productivity of hotel workers (Brochado et al., 2016). In-room technology facilities equipped to provide a more comfortable and secure atmosphere can include mini-bars, occupancy sensors and safes, alarm clocks, personal computers, home entertainment, air conditioning systems, fire alarms and surveillance systems, among others. Many hotel industry analysts stress the value of in-room technology as the traveling public continues to be more technologically advanced.
Recent related studies have shown that in-room innovations are being used to have more meaningful guest experience. Coupled with advanced front office automation technology and sometimes assisted by a technology driver, hotels are experiencing increased overall customer satisfaction (Chiang et al., 2019). In the light of the scholarly debate on the impact of technology on luxury hotel comfort and the introduction of different technology utilities in hotels, the first objective of the study is to assess the level of customer satisfaction of different customer-oriented technology facilities.
2.4 Technology facilities for customer satisfaction
Product quality, based on needs and preferences, is perceived as crucial to the satisfaction of consumers. Many studies have studied the essence of luxury hotel pleasure. (Bilgihan et al., 2016) concluded that the satisfaction of hotel guests is a key component of long-term success. Nobar and Rostamzadeh (2018) referred to the effect of hotel image on customer loyalty and related satisfaction in terms of congeniality, quality, personal hygiene and cost (Nobar and Rostamzadeh, 2018). Furthermore, (Chung and Chung, 2018) assumed that the work place model focused on the premise that staff and services were the most important contributors to the performance of visitors.
The position and growing adoption of hotel technology has always been the central focus of a number of industry research activities. In addition to some incongruous observations, the results of the study support the growing role of technology in the selection of resources. In a survey of luxury Korean hotels, for example, customer-related technology applications (e.g. call tracking, door appliances, power systems, living room entertainment, in-room sales and data technology) have been identified as having no significant impact on customer satisfaction. A parallel study, conducted in Thailand, produced significant variations as scholars recognized the dominant effect of technology facilities (e.g. tv, mini-bar, mobile service, etc.) on customer satisfaction, regardless of socio-demographic characteristics. Chaffey (2019) argued that the concept of key components (e.g. efficiency, responsiveness, consistency and empathy) involved in conferences and/or surpassing customer requirements is a core feature of hotel digital technology (Chaffey, 2019). Cornell University Center for Hospitality Research recently conducted research on hotel guest service perceptions of technology. The analysis included a web-based Technology Readiness Index (TRI) tool (Guttentag, 2016). Researchers tried to distinguish those who supported technology (i.e. higher TRI score) from those who seemed insensitive or uninspired (Sermeus, 2016). Descriptive response characteristics entailed: young, highly skilled, wealthy, likely to be regular travelers, and able to pay higher hotel prices. The research focused on the IT integration of a web-based hotel reservation engine, self-check-out system, as well as in-room Internet access. The study indicated that not all hoteliers support technological advancement in the same way. However, hotel organizations tend to have more tools available to track customer experience due to a major strong focus on perceptions and customer loyalty when choosing a hotel.
2.5 Target technologies
2.5.1 Guest Empowerment Technologies (GET)
GET is a self-service application explicitly developed to allow hotel customers more individual influence regarding their accommodation even without direct involvement of hotel staff. Examples of GET include in-room sign-out systems, reception check-in and check-out canteen, in-room entertainment systems, smartphone apps, online booking technologies, and many others. Studies have shown that GET intends to improve customer experience more easily while focusing on production costs and promoting hotel services. Installation of inspection booths, for instance, reduced the amount of work needed for booking operations, which means that workers could have time available for extra responsibilities in order to maximize their standard of customer service and thus significantly improve satisfaction and loyalty. However, a similar study reveal…
Development of the Technological Facilities in Hospitality Industries for Consumer Satisfaction