Promotion Drives Hotel Guest Loyalty More Than Online Reviews, Indonesian Study Finds

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FORMOSA NEWS - Bekasi - A recent study by Yanti Nirmala of Universitas Asa Indonesia reveals that hotel promotions play a far greater role in encouraging guests to return than online reviews or digital word-of-mouth. The research, published in 2026 in the Jurnal Ekonomi dan Bisnis Digital (MINISTAL), examined guest behavior at Ibis Styles Bekasi and offers new insight into how hotels can build long-term customer loyalty in Indonesia’s competitive hospitality sector.

The findings are especially relevant as hotels increasingly rely on online ratings and social media exposure to attract customers. While digital reviews remain influential, the study shows that tangible promotions and customer satisfaction have a stronger and more direct impact on repeat bookings.

Understanding Guest Behavior in the Digital Hotel Market

The hospitality industry has undergone major changes over the past decade. Travelers now rely heavily on online platforms such as Google Reviews, travel apps, and social media when choosing accommodation. At the same time, hotels compete aggressively through discounts, loyalty programs, and special offers.

Against this backdrop, Yanti Nirmala conducted a quantitative study to understand which factors truly influence guests to return to the same hotel. The research focused on three main variables: electronic word of mouth (e-WOM), promotional activities, and customer satisfaction, and how these factors affect repurchase intention.

The study was carried out in 2025 and involved 120 guests who had stayed at Ibis Styles Bekasi more than once. Data were collected through structured questionnaires and analyzed using Partial Least Squares–Structural Equation Modeling (PLS-SEM), a method commonly used in business and behavioral research.

Key Findings: Promotion Matters More Than Reviews

The results show a clear pattern: promotion has a stronger influence on customer satisfaction and repeat visits than online reviews.

Key findings include:

  • Promotional offers significantly increase customer satisfaction. Discounts, bundled services, and special packages make guests feel they receive better value.
  • Promotions directly encourage repeat stays. Guests are more likely to return when they perceive real financial or service benefits.
  • Electronic word of mouth does not significantly affect customer satisfaction. Online reviews alone are not enough to shape how guests feel after their stay.
  • E-WOM still influences repurchase intention indirectly. Reviews help shape expectations but do not guarantee satisfaction.
  • Customer satisfaction strongly determines loyalty. Satisfied guests are far more likely to book again.

The study also found that customer satisfaction mediates the relationship between promotion and repurchase intention, meaning promotions work best when they lead to a genuinely positive guest experience.

Why Online Reviews Are Not Enough

The findings challenge the common assumption that positive online reviews automatically translate into loyal customers. According to Yanti Nirmala, reviews often create expectations that do not always match reality.

“Online reviews can attract guests, but satisfaction comes from real service quality and perceived value,” she explained in her analysis. “When expectations formed by reviews are not met, customers may feel disappointed even if the service is objectively good.”

This explains why e-WOM did not show a strong effect on satisfaction in the study. Guests tend to trust their personal experience more than online opinions once they have stayed at a hotel.

Implications for the Hotel Industry

The study offers clear guidance for hotel managers and hospitality businesses:

  1. Focus on meaningful promotions. Discounts, loyalty programs, and value-added packages have a direct impact on guest satisfaction.
  2. Do not rely solely on online reviews. Reviews attract attention, but service quality retains customers.
  3. Improve on-site experience. Cleanliness, staff hospitality, and service consistency matter more than digital reputation alone.
  4. Use e-WOM strategically. Reviews should support marketing efforts, not replace service improvement.
  5. Prioritize customer satisfaction as a long-term strategy. Satisfied guests are more likely to return and recommend the hotel organically.

These findings are particularly useful for hotels in urban and business areas, where competition is intense and customer loyalty is difficult to maintain.

Academic Contribution and Practical Value

From an academic perspective, the study contributes to hospitality and marketing research by clarifying the different roles of promotion and electronic word of mouth. It shows that promotion influences behavior more directly, while e-WOM plays a supporting role.

For practitioners, the research provides actionable insight. Hotels can allocate marketing budgets more effectively by investing in service quality and promotional strategies rather than relying solely on digital visibility.

Author Profile

Yanti Nirmala, S.E., M.M.
Lecturer in Management and Marketing
Universitas Asa Indonesia
Field of expertise: Marketing Management, Consumer Behavior, Service Marketing

Source

Article Title: Electronic Word of Mouth and Promotion in Driving Repurchase Intention through Customer Satisfaction in the Hospitality Industry
Author: Yanti Nirmala
Journal: Jurnal Ekonomi dan Bisnis Digital (MINISTAL)
Volume: 5, Issue 1
Year: 2026
Publisher: Formosa Publisher

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