The role of user-generated reviews is exploding. Nearly 1 of 5 travelers say they read online guest reviews of hotels before booking, and about 1 in 10 travelers will write a review after their stay. The percentage of travelers who read reviews prior to booking a hotel has remained stable for the past year, but the number of persons who are writing reviews about their hotel stay is rising.

Who writes hotel reviews?

Based on the results from the latest Market Metrix Hospitality Index™, people who write reviews after their stay are happier with their experience compared to guests who did not post a review. And this difference extended to guest loyalty. Guests who wrote a review after their stay were 20% more likely to recommend the hotel and 40% more likely to return, compared to guests who did not write a review. Guests who write reviews tend to be older; guests who read reviews tend to be younger. More leisure guests write reviews of their stay compared to business travelers.

Luxury guests (12.7%) and Timeshare guests (14.3%) were more likely to write reviews. Casino guests were least likely (7.2%) to post a review of their hotel experience. Among all hotels, Affinia Hotels had the largest percentage of guests (35.8%) who posted reviews about their stay.

Traveling Overseas?

When traveling domestically, 20% of North Americans will read user reviews before booking a hotel. That number jumps when North Americans travel overseas. When going to Europe, 33% of travelers will look to user reviews for assistance in finding the right hotel. The biggest jump occurs for travelers to Mexico and Latin America where nearly half of travelers will read online hotel reviews prior to making their reservations. Persons travelling to the Mideast are most likely to write a review (26%) while persons traveling within the US are least likely (8%) to share their experience online.

Online reviews improve guest-hotel “fit”

The escalating recession has made us more frugal and careful about spending our limited dollars. Online hotel reviews allow us to be more careful. As a result, more people than ever before are reading hotel reviews before booking their rooms. Perhaps due to this vetting process, guests are better matched with hotels. This is confirmed with higher loyalty scores. Guests who read reviews prior to booking are happier with their stay, more likely to recommend the hotel after their stay and are more likely to return in the future. While hotels are no doubt redoubling their service efforts to hold on to their remaining guests, guests who read reviews are better informed about their hotel choices.

The growing demand by consumers for hotel reviews is significant. With an increasing number of user-generated reviews and people reading and acting on them, the impact of guest satisfaction and dissatisfaction is multiplied and has a quicker economic impact. Market Metrix research has demonstrated that beyond the additional revenue that repeat customers provide, their word-of mouth communications translate into significant profits for the hotel.

As a result, more managers are focusing on the guest experience and engaging guests on their experience before the guest speaks to the world. Many hotels now monitor the buzz on their hotel and respond on the website (if permitted) or directly to the guest.

Hoteliers need to engage every guest on their experience before they speak to the world. Beyond providing great service, hotels need to listen better. And even more importantly, respond to guest feedback instantly.

Consider asking the guest about his experience even before he leaves the property. If, even after you have engaged a guest with negative feedback, he posts negative feedback on a site, respond appropriately either on the blog or site if its conventions permit. If responding on the site is not an option, respond politely to the guest directly and attempt to resolve his problem or provide an appropriate compensation or promise for future visit.

Source: Market Metrix