The role of experiential familiarity in shaping hotel-chain competitiveness

Abstract

Purpose This study aims to examine the role of experiential familiarity in determining the competitiveness of hotel chains. It does so by comparing the attribute-performance perceptions of guests who had and had not previously stayed at a property belonging to a specific hotel chain. It also examines how far such perceptions shape word-of-mouth and future purchase intentions. Design/methodology/approach Data were collected from 1,016 Finnish leisure tourists in 2021 using an online questionnaire, providing a representative sample of Finnish domestic leisure tourists. Findings The results indicate that the competitiveness of different hotel chains depends on a small number of key attributes. Differentiation between hotel chains can be seen from the results. Previous guests rate hotel chain attributes more highly than non-previous guests. Behavioral intentions do not differ between previous and non-previous guests, but how many times a person has stayed in the hotel chain significantly influences behavioral intentions. The results provide strategic levers that hotel chains can use to enhance their competitiveness. Practical implications Hotels should invest in attributes that have the biggest positive impact on customer behavior. These will be different for different hotel chains. By understanding these differences, it is possible to communicate relevant attributes to customers through marketing and develop hotel features that will drive revisit intention and word-of-mouth marketing. Originality/value This study found that while certain hotel attributes had a significant shaping effect on guests’ performance ratings, there were no decisive differences between those with or without experiential familiarity with the hotel chain.