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Growth in Mobile Usage for Hotel Stays Presents Opportunity, Challenge for Hoteliers, J.D. Power Finds

A mobile phone screen - Unsplash

Mobile apps are becoming as central to the hotel guest experience as soft pillows

Mobile apps are becoming as central to the hotel guest experience as soft pillows, extra towels and a competitive price.

According to the J.D. Power 2017 North America Hotel Guest Satisfaction Index Study,SM released yesterday, incorporating mobile apps and functionality into a hotel stay is associated with higher guest satisfaction. Integrating this technology also makes guests more willing to share their positive hotel experiences on social media.

The risk for hotels is that greater use of mobile devices for booking means some guests might secure a room with an online travel agency (OTA), which is associated with lower satisfaction. The industry is currently emphasizing direct booking, where a hotel guest rents a room directly through the hotel rather than another way. Pushing for more guests to become rewards members will likely enhance this effort.  While OTAs remain popular among many guests, there are some disadvantages to their use, such as the need to deal with a third party if problems arise with a reservation. 

“As mobile usage becomes increasingly ubiquitous for guests, the challenge for hotels becomes twofold: First, they must persuade guests to book directly with them, and second, they must encourage easy utilization of this technology,” said Rick Garlick, practice lead, travel and hospitality at J.D. Power. “By forging direct relationships, hotels can become guardians of the guest experience, but at the center of these relationships is an establishment’s mobile strategy.”

The study, now in its 21st year, measures overall guest satisfaction across eight hotel segments: luxury; upper upscale; upscale; upper midscale; midscale; economy; upper extended stay; and extended stay. Seven key factors are examined in each segment to determine overall satisfaction: reservation; check-in/check-out; guest room; food & beverage; hotel services; hotel facilities; and cost & fees. Satisfaction is calculated on a 1,000-point scale.

Following are key findings of the 2017 study:

Hotel Segment Rankings

“While The Ritz-Carlton and JW Marriott rank highest in the luxury segment, both of these Marriott-affiliated brands appeal to different types of customers,” Garlick said. “It’s important to remember that this study measures guest satisfaction among a hotel brand’s own customers and doesn’t directly compare hotel brands to one another. Often, the type of guest becomes an important element in determining satisfaction rankings.”

The following hotel brands rank highest in guest satisfaction in their respective segments:

The 2017 North America Hotel Guest Satisfaction Index Study is based on responses gathered between June 2016 and May 2017 from more than 63,000 guests in Canada and the United States who stayed at a hotel in North America between May 2016 and May 2017.

For more information about the 2017 North America Hotel Guest Satisfaction Index Study, visit http://www.jdpower.com/resource/jd-power-north-america-hotel-guest-satisfaction-index-study.

 

J.D. Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable J.D. Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, J.D. Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe.

Posted by on July 13, 2017.

Categories: Technology

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