Hotel guest satisfaction levels are plateauing - JD Power

A quality management guru once said: "Customer loyalty often only means the lack of an alternative, and a recent JD Power Hotel Guest Satisfaction Index Study* indicates that for many hotels, guests are at the point where they want 'something new'.


The Index - now in its 20th year - indicates perks such as free wifi, free breakfasts and premium bed linen may no longer be enough to keep guests coming back. It measures overall guest satisfaction across eight hotel segments: Luxury; upper upscale; upscale; upper midscale; midscale; economy/budget; upper extended stay and extended stay.


Seven key measures are examined in each segment to determine overall satisfaction: Reservation; check-in/check-out; guest room; food & beverage; hotel services; hotel facilities and cost & fees. Satisfaction is calculated on a 1,000-point scale.


In past years, strong improvements in 'cost & fees' played a key role in improving satisfaction overall, but this year it has improved by only 1 point.


“Customers now are asking ‘What have you done for me lately?’” said Rick Garlick, global travel and hospitality practice lead at JD Power.

Interestingly, while satisfaction in most segments remained flat, the luxury segment has improved by 12 points overall, much of it attributed to a 20-point improvement in cost & fees, with the segment able to show guests they are receiving additional value.


The study also showed that while satisfaction is higher among members of hotel rewards programs than among non-members, younger guests are less likely to be members than older guests.


Only 39 per cent of Gen Y guests belong to a rewards program, compared with 56 per cent of Gen X and 66 per cent of Boomer guests. In every generational group, customer satisfaction is significantly higher among guests who are rewards program members.
Key findings of the study include:


• Only three per cent of guests use on line or mobile check-in, but check-in/check-out satisfaction is higher for those guests compared to those who used any other method.


• The three most important amenities cited by guests are free wifi, breakfast and parking. Luxurious bedding and linens, the fourth most-important amenity is becoming increasingly important, but only 37 per cent of guests said this was offered in their room.


• Overall satisfaction was 40 points higher among those guests who posted comments to social media.


* The 2016 North America Hotel Guest Satisfaction Index Study is based on responses gathered between June 2015 and May 2016 from more than 63,000 guests in Canada and the United States who stayed at a hotel in North America between May 2015 and May 2016.
On the web: http://www.jdpower.com/resource/jd-power-north-america-hotel-guest-satisfaction-index-study

Hotel guest satisfaction levels are plateauing - JD Power

A quality management guru once said: "Customer loyalty often only means the lack of an alternative, and a recent JD Power Hotel Guest Satisfaction Index Study* indicates that for many hotels, guests are at the point where they want 'something new'.


The Index - now in its 20th year - indicates perks such as free wifi, free breakfasts and premium bed linen may no longer be enough to keep guests coming back. It measures overall guest satisfaction across eight hotel segments: Luxury; upper upscale; upscale; upper midscale; midscale; economy/budget; upper extended stay and extended stay.


Seven key measures are examined in each segment to determine overall satisfaction: Reservation; check-in/check-out; guest room; food & beverage; hotel services; hotel facilities and cost & fees. Satisfaction is calculated on a 1,000-point scale.


In past years, strong improvements in 'cost & fees' played a key role in improving satisfaction overall, but this year it has improved by only 1 point.


“Customers now are asking ‘What have you done for me lately?’” said Rick Garlick, global travel and hospitality practice lead at JD Power.

Interestingly, while satisfaction in most segments remained flat, the luxury segment has improved by 12 points overall, much of it attributed to a 20-point improvement in cost & fees, with the segment able to show guests they are receiving additional value.


The study also showed that while satisfaction is higher among members of hotel rewards programs than among non-members, younger guests are less likely to be members than older guests.


Only 39 per cent of Gen Y guests belong to a rewards program, compared with 56 per cent of Gen X and 66 per cent of Boomer guests. In every generational group, customer satisfaction is significantly higher among guests who are rewards program members.
Key findings of the study include:


• Only three per cent of guests use on line or mobile check-in, but check-in/check-out satisfaction is higher for those guests compared to those who used any other method.


• The three most important amenities cited by guests are free wifi, breakfast and parking. Luxurious bedding and linens, the fourth most-important amenity is becoming increasingly important, but only 37 per cent of guests said this was offered in their room.


• Overall satisfaction was 40 points higher among those guests who posted comments to social media.


* The 2016 North America Hotel Guest Satisfaction Index Study is based on responses gathered between June 2015 and May 2016 from more than 63,000 guests in Canada and the United States who stayed at a hotel in North America between May 2015 and May 2016.
On the web: http://www.jdpower.com/resource/jd-power-north-america-hotel-guest-satisfaction-index-study