Award Date

5-1-2014

Degree Type

Dissertation

Degree Name

Doctor of Philosophy in Hospitality Administration

Department

Hotel Administration

First Committee Member

Mehmet Erdem

Second Committee Member

Thomas Maier

Third Committee Member

Carola Raab

Fourth Committee Member

Billy Bai

Fifth Committee Member

Anjala Krishen

Number of Pages

97

Abstract

The rapid development of technology has made the hotel booking process become easier and more convenient, but it has also made hotel revenue management practices become more complex. Researchers have noticed the issues caused by perceived fairness. Yet, only a few studies have examined the impact of the pricing strategies over perceived fairness. Furthermore, no previous research study has examined Best rate guarantee (BRG), rate disparity, and rate frame together and investigated the interaction effects among these strategies on perceived fairness.

This study aims to examine the potential effects of three revenue management pricing strategies (BRG, rate (dis)parity, and rate frame) on customers' perceived fairness.

A 2 × 2 × 2 factorial between-subject experimental design was used. Eight scenariobased surveys were employed to evaluate how potential hotel guests react to three different revenue management strategies. This study has both practical and theoretical contribution. Practicality, the outcome of this study can potentially offer a set of guidelines for hoteliers to follow in

terms of revenue management pricing strategies across multiple distribution channels, while providing revenue managers with empirically supported suggestions to increase hotel revenue. Theoretically, this study is one of the first attempts regarding perceived fairness of RM strategies examining both rate parity and BRG, which significantly contributes to the existing literature on revenue management.

Keywords

Hotel management; Marketing; Pricing; Revenue management

Disciplines

Business | Business Administration, Management, and Operations | Hospitality Administration and Management | Marketing

Language

English