Consumer engagement in the conditions of business digitization: A case study of the hotel industry in Ukraine

  • Received November 28, 2022;
    Accepted July 6, 2023;
    Published July 20, 2023
  • Author(s)
  • DOI
    http://dx.doi.org/10.21511/ppm.21(3).2023.09
  • Article Info
    Volume 21 2023, Issue #3, pp. 113-124
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This work is licensed under a Creative Commons Attribution 4.0 International License

Competition in the hotel industry makes it necessary to study innovative ways to preserve and increase customer base. Effective interaction with customers is evidence of hotels’ innovative activity determined by the active implementation of marketing concepts and the development of information technologies. Therefore, customer engagement involves digitalizing the “hotel-consumer” interaction process. This study aims to determine the components of digital customer engagement in the hotel industry using systematization, generalization, survey, and econometric models. The components of digital customer engagement include recognition, interest, communications, consumer experience, loyalty, and intentions of repatronage. Econometric models used the data of hotels in Kyiv (Ukraine) to prove the dependence of their income on the costs of digital consumer engagement. For financial indicators, the study surveyed hotel managers and stakeholders. The selected indicators have a significant influence on hotel income. In the case of a linear model (“Khreshchatyk” hotel), the parameters show how many units the effective feature will change when one-factor characteristic changes by one unit (assuming other factors are constant). In the case of power-law models (“Bratislava” and “Ukraine” hotels), the parameters are essentially elasticity coefficients that demonstrate the sensitivity of income changes to changes in factor characteristics. Accordingly, the coherence of implementation of all components in the digital engagement of hotel services’ consumers ensures an increase in service provision volume and hotel operations’ efficiency.

Acknowledgment
The paper shows the author’s results within the frameworks of the study, performed in 2021−2023 at Kyiv National University of Trade and Economics at the request of the Ministry of Education and Science of Ukraine, “Digital transformation of trade, economic and tourist systems in Ukraine” (state registration number 0121U112231) and “Forecasting the impact of the tourism system on the country’s economy” (state registration number 0122U001559).

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    • Figure 1. Digital engagement of hotel customers
    • Table 1. Output data for determining the dependence of net income with possible factors in selected hotels, 2016–2020
    • Table 2. Econometric models of the dependence of net income with possible factors in selected hotels, 2016–2020
    • Table 3. Calculation of deviations of the effective feature of selected hotels
    • Table 4. Graphs of real and forecast models for the dependence of the effective feature on factorial features for the selected hotels
    • Conceptualization
      Margaryta Boiko, Svitlana Bondar
    • Data curation
      Margaryta Boiko, Mariia Kulyk
    • Methodology
      Margaryta Boiko, Svitlana Bondar
    • Validation
      Margaryta Boiko
    • Writing – review & editing
      Margaryta Boiko, Mariia Kulyk, Svitlana Bondar, Liudmyla Romanchuk, Tetiana Lositska
    • Formal Analysis
      Mariia Kulyk, Liudmyla Romanchuk
    • Project administration
      Mariia Kulyk, Svitlana Bondar
    • Resources
      Mariia Kulyk, Liudmyla Romanchuk
    • Software
      Mariia Kulyk, Liudmyla Romanchuk
    • Writing – original draft
      Mariia Kulyk, Svitlana Bondar
    • Funding acquisition
      Liudmyla Romanchuk, Tetiana Lositska
    • Supervision
      Liudmyla Romanchuk, Tetiana Lositska
    • Visualization
      Liudmyla Romanchuk
    • Investigation
      Tetiana Lositska