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Travel Internet Marketing White Paper SeriesThe HSMAI Travel Internet Marketing Special Interest Group is pleased to present a ten-part series of white papers, as part of its mission to increase members' awareness and understanding of emerging issues, opportunities and trends; and, TIG Global is proud to sponsor the reports as part of its commitment to helping travel professionals drive revenue and profit online by making smart, strategic marketing decisions.
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How Hotel Guests Perceive the Fairness of Differential Room Pricing
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When customers perceived hotel revenue management practices to be fair, they are more likely to be satisfied with the hotel and are more likely to return to that hotel in the future. In this survey of 815 people, we examined the effects of three factors on the respondents' assessment of the fairness of hotel rate policies. Those three factors were familiarity with the practice, provision of information about the practice, and the brand class of the hotel. Of those three, we found that familiarity with a pricing practice was far and away the most important factor affecting perceived fairness. The implication is that revenue managers should focus their efforts on increasing guests' familiarity with their pricing practices. (PDF Document)
