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Summary

The study conducted by Evangelos chrisrou(2011) explores online sales promotions in the
hospitality industry. The purpose of this study is to investigate the usage process of customers
who purchase hospitality services online, specifically focusing on sales promotions. The authors
aim to identify the potential influences of trait variables on this process and address the
limitations of previous research in this area.

The study formulates eight research questions to explore various aspects of the relationship
between sales promotions and customer behavior. These questions cover topics such as the
influence of assessments of sales promotion benefits and information search on customer
preferences, the impact of preferences on buying intention and volume, the influence of market
mavens and variety seeking, and the effects of busyness and brand loyalty. The study population
consists of inhabitants of a major city in Greece. A representative sample was obtained by
restricting data collection to specific census tracts in the city and its surrounding area. The
hypothesized model was tested using Structural Equation Modeling (SEM).

Results and discussions highlight that customers actively search for information on the Internet,
seeking extra point offers and assessing promotion benefits. Variety-seeking has a positive
impact on the affective component, but no significant path was found for extra point affect.

Future studies are suggested to include both survey-based measures and online sales data to
better measure customer responses to sales promotion deals. Additionally, the study did not
directly examine the impacts of online sales promotions on observable hotel customer reactions
discussed in previous literature. Overall, this study provides insights into the deal usage process
of customers purchasing hospitality services online and highlights the potential influences of trait
variables on this process. It also suggests directions for future research in this area.

Study purpose

The aim of this study is to identify the deal usage process of the customers of hospitality services bought
over the internet and to investigate the potential influences of trait variables on this process.

The authors also intend to adress the limitations of prevoius research in this area and provide insights
for future studies.

Litrature reviewed

- In its litrature review the authors observed that sales and promotions may be catagorized as either
price-related or non price promotion.the litratures described that the most exploited price related sales
promotion tools are "extra points in a loyality program" and "price disounts" .

- The litratures also describe that different promotional responses from customers are often explained
by sensitivity to alternative tools of sales promotions. Therefore in this study the autors used two
promotional techniques to generate diverse customer responses which are extra points and price
discounts.

- In addition the litratures establish that purchase acceleration was due to price discounts; sales
promotiins were found to be mostly related with larger quantities bought than with more often
purchasing activities. Overall itvhas been idnentified in previous surveys that an increase in purchase
volume was observed due to sales promotions and this stands in the case of hospitality products as well.

Methodology

This study used 8 research quetions

H1: assesments of sales promotions benefits for hospitality products sold online positively 8nfluence the
fondness of extra points, price discounts and sales promotion deals.

H2: information search for online sales promotions of hospirality products positively 8nfluence the
fondness of extra points, price discounts and sales promotion deals.

H3: fondness of extra points, price discounts and sales promotion deals in general have a positive effect
on the buying intention of the online promoted hospitality product.

H4: fondness of extra points, price discounts and sales promotion deals in general have a positive effect
on intention for larger buying volumes.

H5: market mavens positively influence online information search for sales promotions of hospitality
priducts, and assesments of sales promotion benefits.

H6: variety seeking has a positive impact on fondness of extra points, price discounts and sales
promotion deals in general.

H7: Busyness negativly influences buying intentions of online promoted hospitality products though
extra points, buying intentions of online promoted hospitality products through and intentions for larger
volume of purchases.

H8: Brand loyality has negative impact on online promoted hospitality products though extra points,
buying intentions of online promoted hospitality products through and intentions for larger volume of
purchases, fondness of coupons, fondness of price discounts and fondness for sales promotion deals in
general.

H9: financial wellness has a negative impact on online promoted hospitality products though extra
points, buying intentions of online promoted hospitality products through and intentions for larger
volume of purchases.

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The population surveyed was inhabitants of a major city in Greece. To obtain a representative sample,
particular data collection was restricted to a certain number of census tracts located in the city and its
surrounding area. The hypothesized model was tested by using the Structural Equation Modelling (SEM)
procedure.

The questionnaires were delivered to the sample door to door and a prepaid self-addressed envelope
was given to potential respondents in order to ensure an acceptable return rate.

900 questionnaires were distributed and 287 usable ones were returned

The data were collected for two types of sales promotions (extra points/miles and price discounts) as
well as for sales promotion deals in general.

All variables were grouped into three subgroups: cognitive, affective, and conative.

Results and discustions

-Regarding the cognitive–affective–conative process, customers actively look for information on the
Internet, seeking extra point offers and making promotions benefits assessments.

-In general, the variety-seeking element tends to have a positive impact on the affective component;
nevertheless, the no significant path for extra point affect appears to support the finding that searching
the Internet for variety in hotel promotions has no effect on fondness for extra points contrarily to price
discounts.

-A cognitive–affective–conative multidimensional model was hypothesized to incorporate all elements


of how and why hotel customers utilize sales promotions offered over the Internet.

Future studies may include both survey-based measures with online sales data that would be more
accurate in measuring the response to hotels’ sales promotions deals.

Furthermore, the initial aims of the present article did not include any direct examination of the impacts
of online sales promotions on observable hotel customer reactions discussed in past sales promotion
literature.

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