Understanding relationship quality in hospitality services : A study based on text analytics and partial least squares

Abstract

Purpose – The purpose of this paper is to analyze the occurrence of terms to identify the relevant topics and then to investigate the area (based on topics) of hospitality services that is highly associated with relationship quality. This research represents an opportunity to fill the gap in the current literature, and clarify the understanding of guests’ affective states by evaluating all aspects of their relationship with a hotel. Design/methodology/approach – This research focuses on natural opinions upon which machine-learning algorithms can be executed: text summarization, sentiment analysis and latent Dirichlet allocation (LDA). Our data set contains 47,172 reviews of 33 hotels located in Las Vegas, and registered with Yelp. A component- based structural equation modeling (partial least squares (PLS)) is applied, with a dual – exploratory and predictive – purpose. Findings – To maintain a truly loyal relationship and to achieve competitive success, hospitality managers must take into account both tangible and intangible features when allocating their marketing efforts to satisfaction-, trust- and commitment-based cues. On the other hand, the application of the PLS predict algorithm demonstrates the predictive performance (out-of-sample prediction) of our model that supports its ability to predict new and accurate values for individual cases when further samples are added. Originality/value – LDA and PLS produce relevant informative summaries of corpora, and confirm and address more specifically the results of the previous literature concerning relationship quality. Our results are more reliable and accurate (providing insights not indicated in guests’ ratings into how hotels can improve their services) than prior statistical results based on limited sample data and on numerical satisfaction ratings alone.