Winning Potential Customers through Online Complaint Management: A Case of Malaysian Hospitality Industry

Today’s travel planners are increasingly depending on online travel reviews to facilitate their decisions on travel decisions on travel arrangement including hotel booking. In relation to this, hotel managers must carefully handle negative reviews i.e. online complaints which can impact potential cu...

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Main Author: Liew, Fionn Yin Foong
Format: Thesis
Language:English
Published: 2014
Subjects:
Online Access:http://eprints.intimal.edu.my/815/
http://eprints.intimal.edu.my/815/1/144.pdf
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author Liew, Fionn Yin Foong
author_facet Liew, Fionn Yin Foong
author_sort Liew, Fionn Yin Foong
building INTI Institutional Repository
collection Online Access
description Today’s travel planners are increasingly depending on online travel reviews to facilitate their decisions on travel decisions on travel arrangement including hotel booking. In relation to this, hotel managers must carefully handle negative reviews i.e. online complaints which can impact potential customers who observe the complaint handling process on social media. This research aims to identify effective approaches of online complaint management that can serve as marketing tools which attract potential customers. To be specific, present research examines the relationship between online complaint response strategies (responsiveness, courtesy and compensation), trust and behavioral commitments (positive WOM or word of mouth and booking intention) of potential customers in the context of Malaysian hospitality industry. This research adopts a 2 (responsiveness: high/low) x 2 (courtesy: high/low) x 2 (compensation: high/low) experimental design to compare findings between nine groups of respondents (eight experimental groups and one control group). 323 respondents were exposed to one of the nine hypothetical scenarios that manipulated different combinations of levels of the response strategies in an online survey which then measured their ratings on trust, positive WOM and booking intention. Outcomes of this experimental study implies that high level of courtesy and compensation induced greater trust which lead to greater positive WOM of potential customers. These findings suggest hotel managers to put effort in online complaint management by ensuring courteous responses and providing compensation when necessary to attract potential customers.
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spelling intimal-8152017-06-08T05:36:51Z http://eprints.intimal.edu.my/815/ Winning Potential Customers through Online Complaint Management: A Case of Malaysian Hospitality Industry Liew, Fionn Yin Foong HD28 Management. Industrial Management Today’s travel planners are increasingly depending on online travel reviews to facilitate their decisions on travel decisions on travel arrangement including hotel booking. In relation to this, hotel managers must carefully handle negative reviews i.e. online complaints which can impact potential customers who observe the complaint handling process on social media. This research aims to identify effective approaches of online complaint management that can serve as marketing tools which attract potential customers. To be specific, present research examines the relationship between online complaint response strategies (responsiveness, courtesy and compensation), trust and behavioral commitments (positive WOM or word of mouth and booking intention) of potential customers in the context of Malaysian hospitality industry. This research adopts a 2 (responsiveness: high/low) x 2 (courtesy: high/low) x 2 (compensation: high/low) experimental design to compare findings between nine groups of respondents (eight experimental groups and one control group). 323 respondents were exposed to one of the nine hypothetical scenarios that manipulated different combinations of levels of the response strategies in an online survey which then measured their ratings on trust, positive WOM and booking intention. Outcomes of this experimental study implies that high level of courtesy and compensation induced greater trust which lead to greater positive WOM of potential customers. These findings suggest hotel managers to put effort in online complaint management by ensuring courteous responses and providing compensation when necessary to attract potential customers. 2014 Thesis NonPeerReviewed text en http://eprints.intimal.edu.my/815/1/144.pdf Liew, Fionn Yin Foong (2014) Winning Potential Customers through Online Complaint Management: A Case of Malaysian Hospitality Industry. Masters thesis, INTI International University.
spellingShingle HD28 Management. Industrial Management
Liew, Fionn Yin Foong
Winning Potential Customers through Online Complaint Management: A Case of Malaysian Hospitality Industry
title Winning Potential Customers through Online Complaint Management: A Case of Malaysian Hospitality Industry
title_full Winning Potential Customers through Online Complaint Management: A Case of Malaysian Hospitality Industry
title_fullStr Winning Potential Customers through Online Complaint Management: A Case of Malaysian Hospitality Industry
title_full_unstemmed Winning Potential Customers through Online Complaint Management: A Case of Malaysian Hospitality Industry
title_short Winning Potential Customers through Online Complaint Management: A Case of Malaysian Hospitality Industry
title_sort winning potential customers through online complaint management: a case of malaysian hospitality industry
topic HD28 Management. Industrial Management
url http://eprints.intimal.edu.my/815/
http://eprints.intimal.edu.my/815/1/144.pdf