How a Hotel’s Online Reputation Impacts Its Revenue

Hotel guests are leaving reviews and ratings online about every aspect of their experience, from breakfast to beds to staff. They’re even going so far as to post videos and photos before checking out. And all that content is influencing fellow travellers.

When hoteliers understand why travellers rely on reviews and the importance of reputation management, as well as the impact reviews have on click-through rates (CTR), they’ll have a better perspective of how their reputation directly impacts their revenue.

Think like a traveller

Travellers not only go on a cyberspace quest to find a good deal on a hotel; they also read what previous guests had to say about a property that piques their interest. In fact, 90% of those polled in a recent survey indicated that ratings on a review site played an essential role in their booking decision. This highlights the fact that hoteliers need to encourage guests to leave reviews—and not just on one website.

Consider this: When a hotel has mixed reviews, travellers will check other sites online to see if they’re consistent with the experiences of previous guests. If no other reviews are available, they’ll look for a property that does have reviews on multiple sites. Why do they do this? It gives them a better understanding of the property and provides reassurance that their expectations will be met once they book.

Get results from reputation management

Travellers don’t just look at a hotel’s overall reputation; they examine guest ratings on particular aspects of a property, ranging from cleanliness to services to comfort.

In an Ipsos study, 45% of the individuals surveyed said that user-generated content, such as reviews—the good and the bad—plays a significant role in their hotel choice. And 68% of the respondents stated that they trust peer reviews.

So, what’s the best way to handle bad reviews?

This is where reputation management comes in: responding to negative reviews in a positive way and addressing issues that need attention. By doing so, it not only makes the guest feel that they’re being heard, but it also demonstrates to travellers that the hotel is guest-centric and takes a proactive approach to remedying what needs improvement.

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