A Conceptual Framework on Reconceptualizing Customer Share of Wallet (SOW): As a Perspective of Dynamic Process in the Hospitality Consumption Context

The consumer decision journey is a complex and situation-dependent process. In highly competitive markets with diverse brands in the hospitality industry, it is important to understand how customers’ wallets are allocated to a particular brand among a set of competing brands. A review of the literature indicates that customers generally follow a previous purchasing experience and its evaluation (e.g., satisfaction, preference) but may change their former decisions at the purchasing moment through the dynamic process. This study builds upon the concept of brand categorization to understand complex choice behavior and the customer’s share of wallet. This study proposes a conceptual framework incorporating several recent theoretical developments in consumer research to better understand customers’ purchasing behavior in the hospitality industry. As such, it provides guidelines for designing a more effective marketing and communication strategy for hospitality entities

Sustainable Growth of Social Tourism: A Growth Mixture Modeling Approach Using Heterogeneous Travel Frequency Trajectories

As travel activity has gained attention as one of the essential ways of understanding the sustainable growth of social tourism, a growing number of research projects have been conducted to elucidate the relationship between residents’ travel quantity (frequency) and quality (experience) in both macro and micro perspectives. Yet, very little research has highlighted that travel opportunities are not equally available to residents, especially a longitudinal perspective. The current study classified domestic travelers into four distinct classes using four years of longitudinal data from 5054 Korean residents. Latent growth curve modeling (LGCM) and growth mixture modeling (GMM) were employed to find out (1) the optimal number of classes, (2) the longitudinal travel frequency trajectory of each class, and (3) the distinctive demographic and travel characteristics of the four classes. This study provides some practical implications for policymakers when optimizing available resources for sustainable travel opportunities to relevant target sub-populations. Furthermore, detailed step-by-step analytic tutorials are also introduced for the extended application of longitudinal latent variable analysis in the tourism and hospitality fields, providing additional insights for relevant stakeholders

Differential Effects of the Valence and Volume of Online Reviews on Customer Share of Visits: The Case of US Casual Dining Restaurant Brands

Online customer reviews increasingly influence customer purchase decisions. Indeed, many customers have highlighted the significance of online reviews as an influential source of information. This study reports an investigation of the differential effects of online reviews, such as valence and volume, on the customer share of visits. Our findings suggest that valence (i.e., star rating) had more effect, giving a higher average check size to restaurants on the share of visits, while number reviews (volume) did not drive the share of visits to restaurants regardless of the average check size. Therefore, the ideal for casual dining restaurant brands would be to manage highly positive ratings to retain their customers

A Conceptual Framework on Reconceptualizing Customer Share of Wallet (SOW): As a Perspective of Dynamic Process in the Hospitality Consumption Context

The consumer decision journey is a complex and situation-dependent process. In highly competitive markets with diverse brands in the hospitality industry, it is important to understand how customers’ wallets are allocated to a particular brand among a set of competing brands. A review of the literature indicates that customers generally follow a previous purchasing experience and its evaluation (e.g., satisfaction, preference) but may change their former decisions at the purchasing moment through the dynamic process. This study builds upon the concept of brand categorization to understand complex choice behavior and the customer’s share of wallet. This study proposes a conceptual framework incorporating several recent theoretical developments in consumer research to better understand customers’ purchasing behavior in the hospitality industry. As such, it provides guidelines for designing a more effective marketing and communication strategy for hospitality entities