Service quality and customer satisfaction : a HOLSERV analysis across star ratings

Abstract

Purpose: This dissertation explores the critical elements of service quality that impact customer satisfaction within the hotel industry, with a particular emphasis on the challenges associated with inconsistent service quality. Additionally, it discusses how these aspects differ across various hotel star ratings, providing valuable insights for enhancing customer satisfaction and sustaining a competitive edge. Study design/ methodology/ approach: This research adopts a quantitative methodology, collecting survey responses from 309 hotel guests. The survey is based on the HOLSERV scale, an adaption of the SERVQUAL model, to measure various service quality dimensions. Customer Satisfaction was evaluated using the Customer Satisfaction Index (CSI), providing quantitative benchmarks across different star ratings. Statistical Analyses were performed to examine how service quality dimensions influence customer satisfaction, providing insights across varying star ratings. Findings: The study reveals that higher-star-rated hotels excel in tangibles and empathy, which increases customer satisfaction. In contrast, lower-star-rated hotels focus on tangibles and responsiveness to meet guest expectations. Overall, service quality dimensions significantly impact customer satisfaction across all hotel ratings, with notable differences in their influence based on the hotel's star level. Theoretical and practical implication: This research enhances the comprehension of service quality within the hospitality sector by emphasising the importance of the HOLSERV scale in assessing customer satisfaction among different star ratings. The findings offer actionable insights for hotel managers, encouraging a focus on tangibles and empathy in higher-rated hotels, while enhancing tangibles and responsiveness in lower-rated hotels to boost customer satisfaction.