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CHAPTER 1

Concepts of Tourism Hospitality,


Tourism, and Leisure Services

Contents
2 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

1.1. INTRODUCTION
Tourism is described as spending time away from home in pursuit of
pleasure, relaxation, and enjoyment while using commercial organizations’
services. Tourism, despite having beginnings in Classical antiquity, is thus a
result of modern social institutions that arose in Western Europe during the
17th century.
The utilization of the “beaten path,” dependence on existing systems of
sustenance, and as befits a pleasure-seeker, isolation from hardship, hazard,
and shame separate tourism from discovery. Tourism, on the other hand,
connects with other interests, processes, and pursuits, such as pilgrimage. As
a result, prominent categories such as “business tourism,” “sports tourism,”
and “medical tourism” (foreign travel for medical treatment) have emerged
(Kadampully, 2013).
International travel was one of the most important economic activities on
the globe at the turn of the century, having ramifications from the Arctic to
the Antarctic. As a result, examining the history of tourism is both intriguing
and necessary. Travel has a long history before the term “tourist” was used
towards the end of the 18th century. Both “heritage tourism” (intended to
honor and appreciate historically significant sites) and beach resorts have
their origins in the Ancient Greek and Roman traditions of organized travel
with supporting infrastructure, sightseeing, and an emphasis on essential
destinations and experiences. The Seven Wonders of the World were visited
by tourists from Greece and Rome (Theobald, 2012).
Pilgrimages embracing Eastern cultures may have shared historical
beginnings. Its religious goals mix with predefined itineraries, economic
hospitality, and a wide range of participant interests in inquiry, adventure,
and recreation. Pilgrims began visiting the oldest Buddhist monuments more
than 2,000 years ago, but it is hard to say when the monks’ improved living
conditions gave way to those of modern visitors. The pilgrimage to Mecca
has a long history.
Given the number of fatalities on the desert journey, even in the 21st
century, the hajj’s standing as a tourist attraction is dubious. Regardless of
pilgrimage links to the place as a holy well or sacred spring, the thermal
spa as a tourist destination is not intrinsically a European notion, despite
its English name, which stems from Spa, an early resort in what is now
Belgium. In the sixth century, the first Japanese onsen (hot springs) served
bathers. Tourism has always been an international phenomenon (Theobald,
2012).
Concepts of Tourism Hospitality, Tourism, and Leisure Services 3

Modern tourism arose in the Western industrial and postindustrial worlds.


Modern tourism is a mix of more economically planned and business-
oriented activities. The 16th century set the framework for the aristocratic
grand tour of cultural sites in France, Germany, and, most famously, Italy,
which included Ancient Rome tourism. During lulls in European warfare
in the second half of the 18th century, it expanded its geographic reach to
encompass Alpine regions, allowing it to thrive fast. Tourism is the second
casualty of conflict, notwithstanding later pilgrimages to cemeteries,
battlefields, and, by the late 20th century, concentration camps (historically,
the truth is the first victim of battle). The grand tour’s exclusivity diminished
as the middle class joined the landowning and political elites in wanting to
offer their sons access to this rite of passage. By the early 19th century, the
emergence of primers, art and souvenir industries, fine-tuned transportation
and accommodation networks, and guidebooks and primers made it simpler
to gain cultural capital (the accumulation of information, experience, and
polish necessary to interact in a polite society) (Kadampully, 2013) (Figure
1.1).

Figure 1.1. Beach vacations, which have a long history, contributed signifi-
cantly to the post-World War II tourist boom.

Source: Houston (1995); Scientific Figure on ResearchGate. https://www.re-


searchgate.net/figure/Beaches-are-Americas-leading-tourist-destination-and-
the-worlds-most-popular-travel_fig3_291470385.
Beach vacations, which were created in England in the 18th century,
are still popular today due to medicinal adaptations of well-known
seashore traditions. They played on the advantageous visual and cultural
connections of coastal locations for Western nations by appealing to the
informality, habits, and conventions of maritime civilization. Later beach
resorts occasionally contained gambling casinos in addition to the social
and entertainment structures of well-known healing resorts. Coast vacations
arose from the widespread usage of the coast for relaxation, health, and
religious ceremonies, but they were regulated and encouraged by the British.
4 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Beach resorts developed in the United States in the late 18th and early 19th
centuries then spread to Europe, the Mediterranean, Oceania, South Africa,
and Latin America before reaching Asia.
Beach vacation habitats, laws, behaviors, and clothes evolved across
cultures as sunlight and leisure replaced treatment and tradition. Conflicts
emerged in beach resorts about access, usage, and excess and ethical values.
Beaches have the potential to be exciting liminal border zones where social
conventions can be breached. Beaches have become carnival-like situations
where the world has been temporarily flipped upside down, even outside of
Rio de Janeiro. Coastal resorts may be dangerous and challenging at times.
Beginning in the 18th century, when day-trippers from industrial cities were
obliged to desist from rowdy, raucous conduct and renounce nudism, these
locations may have been hotbeds of class struggle. Beaches were an excellent
setting for settling economic, ethnic, “racial,” and religious difficulties when
government-sponsored beach resort projects began to displace rural farming
communities in Mexico in the 1970s. Apartheid-era South African authorities
separated the beaches, while the Islamic world observed its ablution rites
away from the most popular beaches (Theobald, 2012).
The beach is one of many unique areas that attract travelers and maintain
the tourism sector; yet the history of the beach shows many wider issues
about culture, diffusion, evolution, and conflict. History has also been used
in tourism, as culturally interested and photographically oriented visitors
flock to historical locations. Indigenous people can occasionally make
money by promoting their traditions, and industrial archaeology is starting to
make money as historically significant hotels, transit hubs, and even tourist
sites become popular holiday destinations. Authenticity is one of the many
problematic and compromised characteristics that tourism uses to promote
the intangible items that it appropriates. Tourism already had a substantial
economic, environmental, demographic, and cultural effect at the start of the
20th century; presently, this influence is predicted to rise exponentially. As
the number of publications addressing this monumental undertaking grows,
so will historical viewpoints.
Leisure tourism, or travel for pleasure, leisure, or recreation, is a popular
type of travel. Shopping, dining out, touring, and attending cultural events
are all part of it. Although leisure tourism may take various forms, it is
mostly linked with vacations and holidays that allow individuals to escape
the rigors of everyday life and explore new places. Despite the COVID-19
epidemic’s influence on travel, leisure travel remains a popular alternative
Concepts of Tourism Hospitality, Tourism, and Leisure Services 5

for individuals looking to unwind and discover the world. There are
countless examples of leisure tourism places and activities accessible across
the world, ranging from viewing historic buildings in Paris to relaxing on
Bali’s beaches (Kadampully, 2013).
Leisure travel is defined as travel that is not for business or job purposes.
It is a type of vacation that includes visiting new locations, participating in
leisure activities, and relaxing. Leisure travel allows people to encounter
different cultures, surroundings, and experiences, whether they travel alone
or with family and friends. Leisure travel may bring a range of benefits
for the traveler, such as the ability to learn about various cultures, meet
new people, and have memorable experiences. It may also give a sense of
adventure, challenge, and thrill that is difficult to achieve in everyday life.
Furthermore, by giving a break from the daily grind, leisure travel has been
shown to lower stress and promote mental health. The ecology and rural
communities may suffer significantly because of recreational tourism. Using
eco-friendly transportation, reducing trash, and supporting local businesses
are just a few examples of responsible tourist behaviors that may help offset
negative consequences and encourage sustainable tourism (Theobald, 2012).
Money is an important consideration in leisure travel. Traveling
for enjoyment can be costly, depending on the area, activities, and
accommodations chosen. It is feasible to travel for enjoyment without going
overboard with proper preparation, budgeting, and research. The plethora of
websites and apps that provide discounts and deals on travel-related services,
hotels, and activities has made it much easier to arrange an economical and
enjoyable holiday (Figure 1.2).

Figure 1.2. Travel cost demand function and consumer surplus.

Source: Bigirwa, Msese, Rwakalaza, & Bilame (2021); Scientific Figure on Re-
searchGate. https://www.researchgate.net/figure/Travel-cost-demand-function-
and-consumer-surplus_fig1_353405664.
6 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Recreational tourism includes anything from beaches to educational


tours. Leisure tourism is meant to provide people with chances for recreation,
relaxation, and personal development. People travel for recreation to get
away from their everyday lives, to see new locations, and to participate in
activities that appeal to or interest them. There are many different types of
leisure tourism, but they all strive to give people a break from their everyday
routines as well as the opportunity to have fun and create memories that
will last a lifetime. As the tourism sector evolves and adapts, we should
expect new leisure tourism categories to develop as well as current ones
to gain significance. Finally, leisure travel affects both the tourist business
and the lives of individuals who travel for pleasure. It promotes economic
prosperity, cultural participation, and personal growth. Leisure tourism has
something for everyone, whether they want a relaxing seaside holiday, an
exciting hike through the woods, or an instructive visit to a historic place
(Kadampully, 2013).

1.2. TECHNOLOGY AND THE DEMOCRATIZATION


OF INTERNATIONAL TOURISM
Tourism’s growth, democratization, and eventual globalization were aided
by the advancement of transportation. Travel increased in terms of comfort,
speed, and expense beginning in the middle of the 19th century, thanks in
part to the introduction of the steamship and the train, which needed fewer
overnight lodgings and intermediate breaks. Above all, these advancements
enabled accurate time planning, which was critical for those who had to
follow the clocks, if not the calendars, laws of order. As the worldwide
steam empire developed in the late 19th century, gaps in these transportation
networks’ accessibility were gradually filled. The railways sponsored day
trips to the city, the shore, and the countryside that were less than 24 hours
long but clearly “tourism”-related. They also promoted both foreign and
domestic tourism. Although present tourist flows were maintained, visitor
tensions and conflicts between classes and cultures increased as grand tour
locations became more accessible. Steam navigation and railroads provided
tourist sites ranging from Lapland to New Zealand at the end of the 19th
century. The first national tourist bureau was created in 1901.
International travel corporations were pioneers in avoiding the obstacles
involved with tourist itineraries before governments started to consider
tourism as an economic import and a political weapon after World War II.
Concepts of Tourism Hospitality, Tourism, and Leisure Services 7

The most well-known of these enterprises was Thomas Cook & Son, whose
activities stretched from Europe to the Middle East in the late 19th century.
Other companies, such as British tour operators Frame’s and Henry Gaze
& Sons, have gone unnoticed by modern observers, in part because they
did not keep operating records. Shipping corporations boosted international
travel in the later part of the 19th century. Before World War I, pleasure
cruises were a distinct travel experience from the Norwegian fjords to the
Caribbean, and transatlantic firms fought for middle-class tourists in the
1920s and 1930s. Between the two World Wars, wealthy Americans flew
and sailed to a variety of Caribbean and Latin American sites (Kadampully,
2013) (Figure 1.3).

Figure 1.3. Tourist destination management issues analysis and policies.

Source: Du Plessis, Saayman, & Merwe (2017); Scientific Figure on Research-


Gate. https://www.researchgate.net/figure/Complexity-of-destination-manage-
ment_fig1_315613384.
Tourism expanded significantly throughout the second half of the 20th
century as air travel became less limited and independent of “flag carriers”
(national airlines). Airborne package excursions to mild seaside locales
encouraged a massive annual migration from northern Europe to the
Mediterranean.
This migratory pattern then expanded to encompass an increasing
number of long-distance destinations, such as Asian markets in the Pacific
and eventually drew post-communist Russians and eastern Europeans
to the Mediterranean. Transportation volumes climbed equally from the
United States to the Caribbean and Mexico. Each of these advancements
8 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

grew out of prior rail, road, and maritime transportation patterns. Motor
coach (bus) travel to the Mediterranean was first established in the 1930s
and soon after World War II. Working-class families from Northern Europe
did not begin taking beach and sun holidays in the Mediterranean until the
late 1970s; the phrase “mass tourism,” which is widely used to characterize
these phenomena, is misleading. Travelers could enjoy their holidays in a
variety of ways because the destination resorts differed widely in history,
culture, architecture, and tourist demographics. Because of the arrival of
low-cost airlines, particularly EasyJet and Ryanair in Europe, a greater
range of locations became accessible beginning in the 1990s. Some of these
locations, such as Prague and Riga, were in the former Soviet Union and drew
weekend and short-break European tourists who formed their itineraries in
partnership with local service providers, made feasible by special airline
offers. Negotiation between hosts and guests has become necessary as
international tourism has become more global (Kadampully, 2013).

1.3. DAY-TRIPPERS AND DOMESTIC TOURISM


Despite being seen as less noteworthy and dramatic than international
travel trends, domestic tourism has risen in importance over time. Since
the 1920s, “snowbirds” from northern and Midwestern states have traveled
larger distances within the United States than many European visitors do
overseas, helping to propel Florida’s rise as an American tourism destination.
Domestic demand and local travel were major drivers in the early phases of
tourist marketing in the United Kingdom.
The late 18th and early 19th centuries saw the “discovery of Britain” and
the introduction of the Lake District and Scottish Highlands as vacation
destinations for the upper and middle classes. The railways, particularly in
the final quarter of the 19th century, served to make the seashore accessible to
day-trippers and working-class tourists. By 1914, Blackpool in Lancashire,
the world’s first working-class beach resort, had 4 million summer tourists.
By this time, Coney Island in Brooklyn, New York, had more tourists,
however, the majority were day trippers who took the train from and returned
to other New York City areas on the same day. Domestic tourism, which is
statistically less evident, is generally supplied by regional, local, and family-
owned enterprises. Despite attempts by the World Tourism Organization to
measure global tourism, domestic travel remains far more common in terms
of numbers than foreign travel across the world, particularly in Asia (Figure
1.4).
Concepts of Tourism Hospitality, Tourism, and Leisure Services 9

Figure 1.4. Components of the tourism industry.

Source: Mabaleka (2020); Scientific Figure on ResearchGate. https://www.


researchgate.net/figure/Components-of-the-tourism-industry-Technofunc-nd_
fig4_344042803.

1.4. TYPES OF LEISURE TOURISM

1.4.1. Adventure Tourism


Exploring an uncommon, distant, secluded, or impoverished place is required
for adventure travel. The person engages in a rigorous activity regularly and
spends the bulk of his or her time outside.
Adventurers expect varied levels of risk, thrill, and tranquility, as well
as self-testing. They seek personal challenges while going to isolated and
exotic locations all over the world. Adventure travel is popular among those
under the age of 35. Adventure tourism becomes more thrilling when people
are allowed to leave their comfort zones. This might be due to culture shock
or engagement in risky (actual or imagined) or harmful behaviors. Adventure
tourism is a fresh idea. Despite the lack of a defined definition, adventure
tourism has grown in popularity among tourists. Although adventure
tourism has qualities with ecotourism, active tourism, and adventure travel,
the majority of observers regard it as a subset of the tourist sector.
People have journeyed in search of food and other requirements for
existence since the beginning of time. Humans have used exploration to
go on risky trips for millennia. People used to travel to learn more about
themselves, new places, and even other nations. Commercial adventure
10 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

travel, on the other hand, is a relatively new phenomenon in which passengers


pay a guide for technical assistance, equipment, and environmental and
cultural historical training (Kadampully, 2013).
Adventurers in the mid-19th century began to push the frontiers of
mountain climbing and river rafting with the first ascents of the Matterhorn
in 1865 and the Colorado River in 1869. Two important institutes were
formed shortly after. The Explorers Club and the National Geographic
Society are the two organizations. These organizations are ardent supporters
of adventure travel. Several first ascents and descents around the middle of
the 1950s drew international notice and motivated many others to begin on
their expeditions.
The international media lauded Sir Edmund Hillary and Tenzing
Norgay’s climb of Mount Everest, Maurice Herzog’s ascent of Annapurna
in 1950, and other exploits. This was the beginning of modern expedition
travel. Today, adventure tourism is a thriving, dynamic sector where new
sorts of possible experiences are launched regularly.
One of the most popular adventure tourism activities is extreme sports.
Extreme activities such as bungee jumping and hang gliding are examples
of extreme sports. Although these expeditions are difficult for the faint of
heart, individuals who accept the danger can enjoy a unique adrenaline rush
as well as consider rewards.
For individuals who prefer a slower pace, there are more adventure
travel possibilities. Backpacking, camping, and hiking are three of the
most popular outdoor activities for getting out and about in nature. These
activities, like pitching a tent in a distant wilderness location or trekking
dangerous mountain paths, allow individuals to escape the hustle and bustle
of everyday life and immerse themselves in nature’s splendor.
Not everyone appreciates taking risks when traveling. Some people
enjoy more traditional kinds of leisure travel, such as day visits to the city or
beach holidays. You, on the other hand, relish a challenge and are not hesitant
to venture outside of your comfort zone. As a result, adventure travel may
be a transformational and enlightening experience. In other words, whether
you want to bungee jump from a bridge, walk through the woods, or simply
take a stroll through a new city, there is an adventure tourism choice for you.
Why not try something out of the ordinary? There is no way to prepare for
the incredible events and memories that await you!
Adventure tourism has grown in popularity in recent years, taking
visitors to previously unknown sites on every continent. This allows a new
Concepts of Tourism Hospitality, Tourism, and Leisure Services 11

location to promote itself as truly unique, attracting tourists looking for one-
of-a-kind experiences. Adventure travel is divided into two types: rigorous
adventure and relaxed adventure (Kadampully, 2013) (Figure 1.5).

Figure 1.5. E-Tourism.

Source: Siricharoen (2008); Scientific Figure on ResearchGate. https://www.re-


searchgate.net/figure/The-e-tourism-ontologies-explanation_fig2_221254884.
Complex jobs need a significant time investment as well as specific
knowledge. Hiking, carving, mountain, rock, and ice climbing are a few
examples of difficult tourist activities.
Extreme adventure sports may be risky. These activities need advanced
abilities and the support of an experienced guide. Many visitors die while
mountain trekking and digging. Surprisingly, one death happens every two
ascents of K2, the world’s second-highest summit.
Soft adventures involve minimal effort and pose little real danger. Most
of these activities are supervised by qualified facilitators. Kayaking, hiking,
backcountry camping, and backpacking are examples of soft tourism. Soft
adventures are activities that provide little risk. These activities are overseen
by qualified facilitators. A popular type of adventure travel is soft adventure
travel. Soft adventure travel accounts for 25% of the tourism in Europe and
North America.
12 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

1.4.2. Cultural Tourism


As defined by the UNWTO General Assembly at its 22nd session in 2017,
cultural tourism is a form of travel in which the primary objectives of
the visitor are to learn about, investigate, experience, and consume the
destination’s tangible and intangible cultural attractions/products. These
attractions/products are associated with a vast array of material, intellectual,
spiritual, and emotional social characteristics, such as literature, music, the
creative industries, living cultures with their traditions, values, and beliefs,
arts and architecture, history and cultural heritage, culinary heritage, etc.
The UNWTO assists its members in enhancing their frameworks for the
creation of cultural tourism products, strategies, and policies. In addition,
it provides recommendations for the tourism industry regarding the
development of governance norms and structures that benefit all stakeholders
while promoting and preserving cultural characteristics (Kadampully, 2013).
One of the most thrilling aspects of cultural travel is the opportunity to
explore rural areas. Whether visiting museums in Paris, ancient locations in
Greece, or Japanese festivals, cultural tourism offers numerous opportunities
for learning and personal development. Cultural tourism may not require
travel to distant places. There are numerous opportunities to learn about
other cultures in your immediate area, including museums and art galleries,
cultural activities, and ethnic restaurants. Those with an interest in culture
can gain new perspectives on the world through cultural tourism. Cultural
tourism, as opposed to merely visiting tourist destinations, enables you to
interact with people, learn about diverse cultures, and acquire a greater
appreciation for the remarkable diversity of our planet. Everyone can
appreciate cultural travel, regardless of their interest in history, art, or simply
experiencing something new. Why not leave your comfort zone and explore
the diverse cultural landscapes of our planet? Who knows what amazing
encounters and adventures await you on your journey?
China’s economy has expanded considerably since the turn of the
century, and tourism has evolved into a sector that supports the service
sector. Tourism is considered an industry because it not only provides
amusement for the public but also employs a large number of individuals.
Tourism is a significant industry that employs many individuals. It is one of
the industrial sectors that contributes to the economic growth of numerous
nations. Municipal and national administrations devote substantial (human
and monetary) resources to fostering the expansion of this industry. The
icing on the cake is the expansion and development of the red tourism
Concepts of Tourism Hospitality, Tourism, and Leisure Services 13

project, which has been driven to new heights to meet the specific needs and
interests of contemporary tourists. We are increasing ecological recreation
and red tourism, in general, to provide inhabitants with a wider selection of
vacation and leisure options. Red tourism intends to enhance historically
significant areas following socialist party objectives. It was also intended to
benefit the country’s minor businesses and tourism sector. Recent increases
in foot traffic to historical sites can be attributed to the Red Tourism initiative.
Rural economic development is aided by red tourism resources and top-
tier rural resources in identifying new growth regions, generating interest
in agriculture, and increasing revenue. At the same time, both indigenous
and red revolutionary cultures experienced rapid growth. This is a crucial
juncture in the decline of a particular type of visitor. However, the projects
are far from completion, and some disciplines associated with resource
integration, such as tourist integration and tourism integration, are still in
their infancy and have significant room for growth.
Combining their abundant green resources with their natural red tourist
resources, several red districts in China are actively developing agricultural
observation tourism programs with a red theme culture. However, these
efforts are far from complete, and there is still ample room for growth in
numerous resource integration-related areas, such as resource integration,
tourism product integration, and marketing integration. We employ a unique
model to effectively incorporate development strategies and local green
resources to construct a leisure agricultural tourism project suitable for
“red belts and green” regions. By doing so, we may be able to increase the
number of leisure agricultural topics, diversify tourism activities that are
already too similar, and create new industrial markets. In addition, it has the
potential to enhance the entire leisure agriculture and rural tourism business
chain in the red region, as well as to develop a competitive tourism industry
model and increase the economic benefits of the local tourism sector. Agro-
tourism, a novel approach to agriculture, successfully incorporates the local
economy, cultural elements, and natural environment. In addition, it may
provide many travelers from across the nation with the opportunity to learn
about the amazing traditions and personality of the Chinese people while
soaking in and relaxing in natural pastoral beauty. All of this occurs in a
historically and culturally diverse setting (Kadampully, 2013).
As China’s economy grows, new leisure and travel concepts, categories,
and volumes of tourists emerge. All these measures are taken to satisfy the
increasing material and spiritual needs of contemporary society. Another
popular mode of transportation is “living life, feeling life, and chasing
14 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

the spirit.” Leisure agricultural tourism is a form of travel that enables


individuals to increase their spiritual awareness while also having fun,
relaxing from work-related stresses, and recharging their depleted physical
and mental energy. This study project reveals a unique convergence of
outstanding red historical and cultural qualities, red cultural spirit, and
leisure agricultural tourism in red areas. By encouraging the fusion of
leisure and cultivation, the proposed method analyzes performance through
data mining. By incorporating spiritual realization, the proposed method
significantly outperforms the existing system.
We combine immaterial spiritual culture with physical material carriers
to achieve mutual resource support and develop an agriculture tourism model
with regional characteristics of the red region. This permits the theoretical
and practical expansion of agricultural tourism for recreational purposes
in the red zone. Additionally, we assist recreational agricultural parks in
the Red region in discovering, preserving, and transmitting the Red’s
historical and cultural treasures by utilizing the region’s superior material,
spiritual, and cultural resources. In addition, we advocate for the expansion
of rural tourism services, the promotion of rural economic growth, income
increases, and the development of a stronger economic foundation for the
establishment of new rural districts.
Even as domestic leisure agriculture and rural tourism continue to
expand at a rapid rate, emphasis is being placed on the development of
leisure agricultural aspects to prevent the formation of repetitive leisure
tourism projects. However, as the agricultural tourism industry has evolved,
the generic form has become the norm, significantly enhancing the sector’s
capacity to maintain its distinctive advantages and sustain long-term
development.
The greater the visibility of a person’s personality traits, the greater their
ability to meet the psychological requirements of visitors for curiosity and
pursuing diversity. This is consistent with how the tourism industry is presently
evolving, delivering content, and growing. To flourish through creativity
and awe, the tourism industry must promote its unique characteristics and
identity. Due to the similarity between the natural environment and tourism
resources in rural areas, historical and cultural tourism resources are more
distinguishable than natural tourism resources in the development of leisure
agriculture, especially those that reflect distinctive local folk customs and
red historical cultural tourism resources. The comprehensive development
of red brands with local characteristics and local green resources is a crucial
Concepts of Tourism Hospitality, Tourism, and Leisure Services 15

strategy for leisure agricultural tourism and rural tourism in China’s rapidly
expanding large-scale red tourism industry to maintain competitiveness in
related tourism industries (Kadampully, 2013).
France has developed vineyards, viticulture seminars, and novel “farm
tourism” and “green vacation” activities. In addition to savoring the superior
grapes and wine, visitors can observe the entire winemaking process,
transport their own wine home, and experience rural life by purchasing wine
differently than they would in the city. The annual economic benefits to
French farmers from the establishment of this new eco-friendly leisure and
vacation tourism business could reach 70 billion francs or a quarter of the
industry’s annual profits. Tourist farms, citizen farms, and rural museums are
the three types of recreational agriculture practiced in Germany. In the 1960s,
vacation farms emerged, primarily as homestays for travelers interested in
the agricultural lifestyle. Citizen parks utilize real estate in the city’s urban
or suburban districts to develop and disseminate small-area allocations.
Moreover, by renting out spaces, residents can experience leisure activities
and a rural way of life by permitting garden-shaped planting operations.
This type of agricultural labor has been associated with both European and
American leisure agriculture. Recreational agriculture in New Zealand seeks
to maximize the country’s vast grazing resources by establishing pastures
with livestock and animal husbandry themes for visitors and recreational
activities, as well as by conducting other events such as garden excursions
and floral displays. Guests frequently stay at the ranch to experience a rural
vacation and learn about ranch life.
The stunning rural landscape of Australia is used to aid in the organization
of excursion visits so that tourists can observe rural residents and agricultural
infrastructure. The tour operators offer a variety of itineraries, including
cattle pasture, farming, animal husbandry, and extensive agricultural
sightseeing, and they complement each excursion with the appropriate
scenic characteristics and tourism. If you want to live a beautiful and natural
existence, you should reside in a farmhouse, eat locally grown produce, and
labor on various farms. In Italy, a nation with a flourishing tourism industry,
“green tourism” is plausible. Tourism has become one of the country’s most
important economic sectors, with the national tourist agency attracting
visitors from Europe, Asia, and other regions by emphasizing the country’s
distinct natural features and rich cultural heritage. The Japanese domestic
tourism industry is referred to as “tourist agriculture” in Asia. Tourism and
agriculture have been bolstered by a variety of ingenious measures conceived
by Japanese policymakers. To attract both domestic and international tourists
16 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

to Japan, they utilized some farms in various locations to offer a variety of


service models with distinct concepts and a rural atmosphere rich in Eastern
philosophies. In addition, they make it simpler for tourists to participate in
traditional Japanese agricultural production activities, such as harvesting,
net fishing, nursing cows and other animals, grazing, and other agricultural
leisure tourism activities.

1.4.3. Ecotourism
The encouragement of domestic and international travel to natural sites such
as forests, seas, and mountains is known as ecotourism. National parks and
other protected areas are popular tourist attractions in developing or Global
South nations such as South and Southeast Asia, Central and South America,
and Africa.
This chapter looks at how leisure and labor have evolved as ways for
residents and Eco tourists to experience the “Great Outdoors.” We contend
that people’s perceptions of ecotourism as a job and a kind of entertainment
reflect power imbalances that are colonial, ethnic, and gendered. We use
case studies for each nation that are based on a substantial field study in
Indonesia and India (Kadampully, 2013).
Ecotourism, defined as tourism that focuses on experiencing natural
environments and partaking in activities such as visiting national parks and
viewing animals, is growing in popularity among both domestic and foreign
travelers. Ecotourism is commonly connected with travel to ostensibly
undeveloped or Global South nations, where indigenous people or locals
host tourists for a living and guests participate in cultural experiences in the
“Great” Outdoors.
Ecotourism is any type of tourism that includes interaction with the
natural environment. Ecotourism has been advocated to economically assist
indigenous and/or residents while also maintaining the natural environment.
Despite the perception that ecotourism benefits underdeveloped countries
financially, there may be major negatives. Waste management, plastics and
sewage, cultural misunderstandings, inappropriate wildlife interactions,
increased human impact on soil, forests, and waterways, and a lack of tourist
preparation for cultural and natural world engagement are just a few of the
issues that can arise in ecotourism communities, whether they are new or
established.
We investigate how ecotourism is seen as both a leisure activity and
a source of income, considering socioeconomic class, caste, gender,
Concepts of Tourism Hospitality, Tourism, and Leisure Services 17

language, racial identity, and ethnicity. Three places are investigated as case
studies to better understand how Indian and Indonesian visitors seek out
unconventional “Great Outdoors” experiences. First, the landlocked state
of Sikkim in northeastern India aggressively promotes ecotourism through
Siliguri, its gateway city in West Bengal, which shares borders with China,
Nepal, and Bhutan. Ecotourism in Sikkim has risen dramatically since 2002,
accounting for more than 7.7% of the state’s GDP and employment of more
than seven out of 10 locals.
Recent studies, however, show that the local populace has yet to enjoy
significant or long-term economic advantages from this development.
Despite the state’s efforts to encourage ecotourism that emphasizes
traditional village homestays that assist indigenous and local inhabitants, it
is estimated that 61% of Sikkim’s tourist sector staff come from outside the
region. As a result, traditional norms and habits in rural Sikkim are fading,
and the local economy is suffering. This economic and cultural loss is the
result of neoliberal flaws in ecotourism (Kadampully, 2013).
To supplement more conventional types of tourism in other locations, a
local group on the Indonesian island of Bali created a micro-tourism effort
in West Bali National Park. Because these communities have a roughly
equal population of Hindus and Muslims, selling ecotourism as a cultural
experience also highlights religion and other lifestyle possibilities. The
National Park Service and a local non-governmental group both endorsed
this idea. Despite ethnic and national stratification, we identified substantial
gendered behaviors and class disparities in the communities, which we refer
to as gendered/classed economies.
The third and last example is Kalimantan’s national parks, which are
located on the Indonesian side of Borneo Island. These parks—Gunung
Palung, Tanjung Puting, Kutai, and Kayan Mentarang—have drawn only a
tiny number of people due to a lack of infrastructure and restricted access,
but they may have a big influence.
Because of the predominance of orangutan tourism, some of these parks
get some local and international visitors; nonetheless, difficulties with trash
management and improper animal interaction must be addressed. This is
an example of how the allure of indigenous people and their activities has
exoticized civilizations and woodlands. Tourism has helped Indonesian
communities, but the same issues that plagued our India case study—money
leakage, trash management, and environmental effect—continue (Figure
1.6).
18 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Figure 1.6. The relationship between the travel, tourism, and hospitality indus-
tries.

Source: Bratec (2009); Scientific Figure on ResearchGate. https://www.re-


searchgate.net/figure/The-relationship-between-the-travel-tourism-and-hospi-
tality-industries_fig5_321010723.
These studies show how racialization, colonialism, and gender
relations exacerbate the labor/leisure divide in ecotourism settings. This
study examines the racial, socioeconomic, and gender dimensions of
labor concerning privileged forms of leisure. Examining the intersections
of ecotourism, globalization, neoliberalism, and regional governance, we
demonstrate how cultural and religious appropriation, cultural reproduction,
and neoliberal conservation debates are rewriting Indigenous and local ways
of life. Our case studies are based on extensive field research conducted
in India’s Kalimantan, Bali, and Sikkim. Our field research is based on
anthropological and observational methods, as well as interviews, community
mapping, informal conversations, and participation in ecotourism initiatives
as advisors or participants. Because our strategy differed based on the case
study, we will discuss our specific tactics in greater detail as we progress
through each scenario. Before discussing the relationship between leisure
and labor in ecotourism operations, we examine the literature on de/
coloniality to determine how we define and frame the “Great” Outdoors
from a colonial/racial perspective. The majority of decoloniality literature
is either theoretical, investigates settler colonialism, or focuses on Central
and South America. We anticipate that our case studies will shed additional
light on what decolonizing behavior and cognition may entail (Kadampully,
2013). Finally, we argue that, although locals viewed ecotourism as a
potential source of revenue and a means to encourage cultural engagement,
Concepts of Tourism Hospitality, Tourism, and Leisure Services 19

it contains discriminatory, nationalistic, and classed perspectives and


experiences. Even though we recognize that these recommendations are
risky and operate within the neoliberal, international economic frameworks
of capitalism, we believe that local community projects, such as the ones
we present here, have the best chance of generating substantial funds and
genuine relationships. Urgently required are a well-developed ecotourism
strategy, stronger industry relations, enhanced services (from homestays
to transportation), a decrease in waste and imported goods/foods, and an
awareness of gendered work. Ecotourism remains rooted in the colonial,
racialized gaze, and experience, where the Westerner/Global Northerner/
privileged tourist can demand attention and hospitality in ways that
perpetually subjugate Indigenous and other local communities. Although
our criticism is unlikely to deter similar efforts, we recommend that scholars,
visitors, and communities consider the repercussions of such actions.
Assume you care profoundly about the environment and wish to have a
positive effect on the world. Then ecotourism may be the best option for your
next leisurely excursion. This subcategory of tourism focuses on sustainable
and ethical travel, as well as the preservation of local populations and
natural habitats. The environmental impact of your trip is one of the most
essential factors to consider when it comes to ecotourism. This includes
selecting eco-friendly lodgings and activities like motorcycling or walking,
participating in animal conservation programs, and residing at hotels that
utilize renewable energy (Kadampully, 2013).
The impact of your visit on the local community is an essential additional
factor to consider. By selecting excursions and activities conducted by
local guides and patronizing local businesses, ecotourism can benefit local
economies and foster cultural exchange. Above all, ecotourism is about
having joy and experiencing the splendors of nature, not just being ethical
and environmentally conscious. Whether you wish to wander through
undisturbed forests, scuba dive on coral reefs, or observe animals in their
natural habitat, there are several amazing ecotourism activities available.
Assume you care deeply about the environment and want to make a difference
in the world while having joy and traveling to new locations. Therefore,
ecotourism might be the best option for you. As the tourism industry grows
and evolves, numerous job and career opportunities are becoming available
in the ecotourism industry, making it a fantastic option for those who wish
to make a difference while pursuing their passions.
20 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

1.4.4. Beach Tourism


The term “seaside tourism” refers to a type of leisure travel that focuses
on visiting coastal locations and appreciating the seaside environment. This
type of tourism attracts visitors of all ages, from families with small children
to lone travelers looking for leisure and pleasure. Beach holiday alternatives
abound, ranging from crowded beaches in famous tourist spots to calm,
beautiful beaches in distant places. Some of the most popular beach holiday
locations are the Caribbean, Hawaii, the Maldives, and the Mediterranean.
Swimming, sunbathing, beach volleyball, surfing, and water sports such as
jet skiing, parasailing, and snorkeling are popular beach tourism activities.
A range of facilities is available in many coastal sites, including beachfront
hotels and resorts, restaurants, pubs, and cafés. A beach trip may help you
refresh and escape the strains of everyday life by allowing you to spend time
in the sun and sand. It has a wide range of activities, from relaxing ones like
tanning to more exhilarating ones like water sports and beach games. Beach
tourism is a type of holiday that everyone who loves the water, and the beach
atmosphere should try (Kadampully, 2013).
Beach tourism is the single most important contributor to the global
expansion of the tourist sector. During the months of tranquil sunlight
and pleasant climate, millions of people travel to the world’s most-known
beaches each year. Beach tourism capitalizes on the visual and ecological
benefits of the beach. It also encompasses the use of natural resources such
as land and water. Swimming, paddling, sailing, and other water sports make
use of water. Land use activities include the construction of various types of
lodging, such as hotels, cottages, villas, camping grounds, trailer parts, etc.,
recreational areas, such as play areas, club activities, amusement parks, etc.,
car and bus parking areas, entertainment, and shopping access, and roads
and transportation networks. Other activities might include visiting tourist
places along the beach.
People must be in good physical condition to sunbathe, bathe, swim,
and engage in other water-based activities at the beach and offshore water
resources. To provide for safe entry and retreat from the waves, the coastline
should gently slope towards the ocean. Aside from swimming and bathing,
the water must be clean, tepid, and free of significant backflow for safe
water sports activities. The beach must be spacious enough to accommodate
a significant number of people without getting congested. The beach should
have enough smooth, visually pleasing sand that is free of rocks, corals,
and other debris. The resort should have a beautiful natural environment,
Concepts of Tourism Hospitality, Tourism, and Leisure Services 21

an emphasis on the outdoors, and a morally sound mindset. Because the


resort should be appealing, it may be in the countryside rather than in a busy
and inappropriate leisure and relaxation urban area. It should express the
distinct ambiance and personality that set it apart from other visitor sites,
particularly those catering to leisure travelers. The beach resort’s climate
should allow guests to enjoy the beach and outdoor leisure amenities
throughout the bulk of the year. A resort region should have plenty of sunny
days, pleasant temperatures, low humidity, and consistent airflow. For many
tourists, the beach resort should be conveniently accessible by air and other
forms of transportation. The resort should be connected to the airport, large
population areas, and other tourist attractions by a picturesque road. The
resort should have continuous access to drinkable water, power, a working
electrical system, drainage, and sewerage. The resort location must have
enough room for future growth. It is critical to have a stable supply of energy
and to safeguard electrical equipment’s metal surfaces against corrosion
caused by airborne salt. A resort must have an adequate number of highly
trained lifeguards on duty as well as a high degree of surveillance. When
the beachfront cannot be secured, beach resorts must have suitable security
measures in place for intermittent guests.
The objective of health and wellness tourism is to enhance one’s physical,
mental, and emotional health through a variety of activities and services. It
involves visiting establishments.

1.4.5. Health and Wellness Tourism


That provides distinctive programs and services to assist clients in achieving
their health and wellness objectives. Spa treatments, yoga, and meditation
classes, fitness activities, healthy eating, and alternative medical procedures
such as acupuncture and herbal therapy are among the most popular health
and wellness tourism activities. Health and wellness travel destinations can
vary from common vacation locations with a variety of wellness-oriented
activities and services to specialized wellness centers and retreats. In
recent years, health and wellness travel has grown in prominence as more
individuals prioritize their health and well-being. This form of travel offers
numerous advantages, including reduced tension, enhanced physical health,
and a greater sense of vitality and excitement. Both local communities and
individual travelers can benefit from health and wellness tourism. It has
the potential to increase tourism and create jobs in the wellness industry,
thereby bolstering local economies. Overall, health and wellness tourism are
an excellent option for those who wish to prioritize their health and wellness
22 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

while also enjoying the advantages of leisure travel. In the sphere of health
and wellness tourism, there is something for everyone due to the vast array
of available activities and services.
The ever-expanding topic of health and wellness tourism is being studied
in novel ways by the modern tourism industry. This book analyzes the
motivations of this diverse group of travelers, the products being developed
to meet their requirements, and the implications for the management of
these developments. Spas, medical wellness, life counseling, meditation,
festivals, pilgrimages, and yoga retreats are among the many industrial
components and new and emerging trends highlighted in an assortment of
international case studies. In addition, the authors investigate operational
and management challenges within the context of health and wellness
tourism, as well as marketing and promotional strategies.
It is not enough for many of us to pursue pleasure in our daily lives; we
also seek it when we travel. Although “wellness” and “well-being” are often
used interchangeably and are related, it is essential to observe that they have
very different connotations. Wellness, according to research, is a component
of well-being and refers to a healthy lifestyle that extends beyond acute
illness, whereas the Centers for Disease Control and Prevention (CDC) and
Gallup define well-being in a broader life context—feelings of contentment
and satisfaction, as well as positive function in career, social, financial,
physical, and psychological frameworks—which are essential for individual
and societal health. Wellness tourism can be utilized in a variety of ways to
enhance overall health (Kadampully, 2013).
Some individuals may need to travel specifically for wellness-related
activities, such as a yoga retreat in the highlands. Others may need to
incorporate healthful behaviors and activities into their daily travels. You
could take your family to a hot spring on your annual vacation, or you could
attend a resort for a massage between sessions at a business conference.
Others may find that immersion-based wellness travel, such as a pilgrimage,
intensive yoga instruction, a visit to a humanistic integrative education
facility (such as the non-profit Esalen Institute), a silent vipassana meditation
retreat, or an indigenous plant medicine retreat, can deepen a spiritual, self-
discovery, or purposeful path.
The relationship between travel, tourism, and health is well-established.
Early forms of tourism were indeed motivated by concerns about well-
being, wellness, and health, and it has been known for a long time that
these concerns persist in regions and destinations that emphasize providing
Concepts of Tourism Hospitality, Tourism, and Leisure Services 23

perceived health benefits. This chapter explores the societal and individual
motivations for travel within the context of contemporary health and wellness
beliefs. While some people travel for evident health benefits, others travel
for recreation and retreat, which results in a greater sense of well-being.
If tourism has the potential to enhance certain health indicators, its role in
promoting health and well-being should be acknowledged for the sake of
achieving exceptional health and well-being (Kadampully, 2013).
CHAPTER 2

Unique Characteristics of
Tourism, Hospitality, and
Leisure Services

Contents
26 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

2.1. INTRODUCTION
The hospitality and tourist business, which includes a wide range of sub-
industries such as transportation, event organizing, theme parks, and cruise
lines, is one of the fastest growing sectors of the economy. The tourist and
hospitality industries are now worth billions of dollars due to rising demand
and the amount of money that people are ready to spend. This industry’s
growth may also be attributed to an increase in worldwide communication
and leisure time, both of which have contributed to its expansion. To ensure
the success of the product category, it is critical to have a good grasp of the
nature of the product being marketed. Because there are so many moving
parts in the hospitality and tourism industries, it is more important than
ever to remove the confusion around the hybrid nature of tourist goods,
particularly those that share features with services. To be successful in
tourism marketing, which is the application of marketing management
principles and practices to the tourism and hospitality industries, a solid
understanding of the distinguishing characteristics of tourism and hospitality
products that distinguish them from other types of tangible goods is required
(Moufakkir, 2015).
The marketing department of the tourism and hospitality industry strives
to develop and promote services and goods that appeal to a wide range of
potential customers. It is difficult to promote the tourism and hospitality
industry since it includes so many diverse sectors (such as hotels and
transportation services) as well as stakeholders. The whole marketing process
in the tourist and hospitality industries is complicated by the fact that not
only does the nature of the tourism product vary, but so do the tourists’ wants
and preferences. Because the number of international travelers is currently
in the billions and is expected to skyrocket in the next years, the travel
and tourism industry offers a plethora of intriguing and possibly lucrative
opportunities. Despite the country’s enormous economic potential, many
Indian hotels and other hospitality firms consistently lose money. According
to additional research, many hospitality and tourism businesses have not
sufficiently promoted their respective tourist locations. Marketing is usually
perceived as a task or an added load by these organizations; nevertheless, it
would be good for them to recognize early on that marketing is a solution.
The steps taken by an international tourism organization to identify its
target market, engage with that market to learn its needs and preferences in
terms of likes and dislikes on a global scale, and then create, test, and refine
a tourism product in order to meet the demands of those customers and,
ultimately, meet the enterprise’s financial goals can be defined as “tourism
Unique Characteristics of Tourism, Hospitality, and Leisure Services 27

marketing.” The American Marketing Association originated the phrase


“tourism marketing” (AMA). Another definition of tourist marketing is the
national, international, or global collaboration of tourism organizations to
suit the requirements and interests of individual travelers with the purpose
of developing the tourism industry. It is expected that the tourist industry
will generate more cash. To put it simply, tourism marketing is the practice
of promoting a certain place as a tourist destination via the use of various
marketing strategies (Moufakkir, 2015).

2.2. CHARACTERISTICS THAT DISTINGUISH THE


HOSPITALITY BUSINESS DISTINCT FROM OTHERS
The items sold in the tourism business are intangible, much like the products
sold in any other service industry. The attributes of tourist products, on the
other hand, are a combination of product and service features. The quality
of the things sold at tourist shops is somewhere between solid and ethereal.
It is the responsibility of each tourist and hospitality management to make
the tourism product more tangible to increase their capacity to use the
marketing mix’s tools and tactics to the services they supply their clients.
Intangible tourist items are those that cannot be physically transported,
presented, or inspected prior to purchase. This simply means that, unlike
actual items, tourist trinkets are generated from people’s memories and are
thus one-of-a-kind by nature. Because the great majority of things offered
in tourist stores are intangible, the buyer may not know what to expect until
the service is given. It is very feasible that the fact that the tourist product
is intangible is the lone factor that prompts clients to seek out more detailed
information about the product in a timely manner. Intangible experiences
include a peaceful stay in a woodland hotel, a week of enjoyment on a
cruise, a pleasant and safe flight with helpful and cheerful flight attendants,
being accompanied through the Amazon jungle by a kind, courteous, and
competent guide, and so on. As a result, the tourist and hotel industries have
become mostly unimportant. Tourist-oriented businesses offer one-of-a-
kind items and services that cannot be reproduced or resold. Even if they
try their hardest, tourists will never be able to capture the true essence of
the moment in their images or films. Consequently, a customer will have a
one-of-a-kind viewpoint on tourism following a memorable visit (Li, 2018).
“Perishability” is a concept that is commonly used in debates concerning
the acquisition and selling of services when referring to the inadequacy of
maintaining and recovering the service for future usage. Services, unlike
28 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

physical objects, cannot be kept, returned, or resold once they have been used.
When a consumer receives a service product, that client is no longer able
to use it. There are two elements that contribute to the scarcity of services.
Second, keep in mind that any services that are not used will be discarded
as waste. A movie theatre, for example, can only sell tickets for showings
that are still scheduled in the future. The performance is only permitted to
take place during the authorized time periods. If a seat in the audience stays
vacant after the performance has concluded, it is a squandered opportunity.
Second, once a client has used a service, it is no longer available for use by
other consumers. For example, a visitor who comes in this location by Indian
train will be unable to return because the Indian rail service is temporarily
halted.
Due to the high cost of making advance preparations, the hotel business
is required to sell perishable items at market value or in advance. The early
use of tourism services can assist in reducing trash output. Certain items,
such as theatre tickets, hotel rooms, and travel plans for both local and
international locations, cannot be manufactured in large quantities today and
sold tomorrow. If an aero plane has already taken off for its destination, the
seats on that flight are no longer available for purchase by new passengers.
Because of the inherent volatility of demand forecasts, the tourist and
hospitality businesses regularly overbook their available rooms (Moufakkir,
2015).
Variability: Depending on the people involved, the way in which services
are offered may vary substantially. As a result, the delivery of services and
their suppliers are inextricably linked. Humans oversee their creation and
spread. Because service quality varies from customer to customer, and
even from person to person, it cannot be standardized. Individual visitors’
or customers’ level of engagement in a service’s production, distribution,
and consumption system might vary, and this, along with a variety of other
aspects, can affect their overall experience with the service. The tourist
industry, like many other businesses, is responsible for the provision of a
wide range of services and goods.
Even if you visit the same restaurant twice, you may receive two
completely different dishes, even though they appear to be the same. It all
depends on the cook’s mood. A waiter or waitress with less expertise may
deliver meals with a different flavor and appearance. It may be difficult to
assess the qualities and advantages of many rational service commodities,
such as pricing. External factors such as weather, construction sites, other
Unique Characteristics of Tourism, Hospitality, and Leisure Services 29

clients, and so on can make it difficult to control how people perceive the
quality of a product or service. Because of this, standardizing the product
is challenging due to its high degree of unpredictability and variability (Li,
2018).
When comparing the process of buying and selling vacations to that
of dealing with other types of items, there are crucial contrasts to be
recognized. Buying this product is quite comparable to buying any other
service. Unlike the sale and purchase of a physical item, the buying and
sale of a tourism product does not result in a change in legal ownership of
the product. The bulk of hospitality and tourism-related services are also
developed, disseminated, and delivered all at the same time. This is the
distinguishing feature that distinguishes one tourism service from another.
A new refrigerator must be manufactured and transported before it can be
shown in the company’s showroom, retail store, or on the company’s online
e-commerce website. Once received, the refrigerator is used by the user to
keep perishable items in a cold and dry location, such as their own house.
Yet, a consumer cannot just book a stay at a hotel, ski resort, or cruise and
then sit back and relax. As a result, for clients to employ any hospitality-
related service, they must be physically present at the location where the
service is being given (Moufakkir, 2015).
Customer Involvement: The client’s engagement is critical to the
achievement of any service’s aims. At each level of the supply chain, from
the point of sale to the point of manufacture to the point of consumption,
the client is actively participating in the process. Everyone interested in
acquiring a haircut must make a physical appearance at the establishment.
Someone who wants to view the Eiffel Tower in person can do something
similar by asking a friend to book a flight and a hotel room for them, but
they must be there to take advantage of the service. Because the service
cannot be provided while the person is away, it is doubtful that they will
be able to utilize it while they are away. It Is Tough to Fake the Ownership
Feeling When you buy a car in the real world, you legally become the
owner of the vehicle. This simply proves that a true change of ownership
occurs in the kind of typical situations outlined above. The exact opposite
is true when using a service. The lack of ownership is usually regarded as
a disadvantage of services such as tourism and hospitality, and this may
be the driving reason behind this impression. The quality of this service is
equivalent to that of others, including those that are intangible, perishable,
and inseparable. In addition to these basic features, individuals in the tourist
and hospitality sectors must be highlighted.
30 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Investing in people: To deliver services to clients and retain a competitive


advantage in the market, every service provider must hire skilled personnel.
Because specialized labor is required, the tourism business is no different
than any other industry. As a result of this, human beings are an integral
component of the four Ps of tourism marketing. Customers’ interactions
with organizations who provide a service impact their perceptions of that
service. The level of a customer’s personal connections between learning
about a tourist product and utilizing the product is the single most critical
aspect determining the product’s quality (Li, 2018).

2.3. CHARACTERISTICS THAT DISTINGUISH


TRAVEL AND TOURISM SERVICE PROVIDERS
In addition to the essential qualities that all forms of services share, there
are a few differentiating factors that set travel and tourism-related services
distinct from other sorts of services. The following characteristics have been
mentioned in particular.
Changes in supply and demand are two of the most important seasonal
factors affecting the functioning of many organizations. Being one of the
most cyclical businesses, tourism is especially sensitive to each of the four
different seasons. A range of factors, including but not limited to seasons,
politics, religion, socioeconomic conditions, and other one-of-a-kind
happenings, might influence demand for tourism-related goods and services.
Seasonality must be considered in tourism and hospitality strategies since
it may enhance employment during busy periods but lead to layoffs during
quiet seasons, contribute to idle expenditures in employees, transportation,
and office space, and even raise production costs. Seasonality is something
that must be considered. Because of the sector’s intrinsic nature, it
should come as no surprise that demand in the tourism industry fluctuates
significantly, particularly on an annual basis. Because of the high inter-year
seasonal demand volatility, many tourist-oriented enterprises may enjoy
occupancy rates of 90–100% during the peak season but just 30–50% during
the shoulder seasons. As a result of the ephemeral nature of the tourism
offering, demand swings of this scale pose a significant difficulty. As a
result, during years of low development, most tourism marketing directors
lay a greater emphasis on growing demand (Moufakkir, 2015).
The “tourist product” is the ultimate result of contributions provided
by a variety of businesses, including transportation, accommodation, and
food service. As a result, the success of the tourism business is directly
Unique Characteristics of Tourism, Hospitality, and Leisure Services 31

proportionate to the effectiveness with which these products and services


are integrated to satisfy travelers (Figure 2.1).

Figure 2.1. A tourist product is the combination of multiple distinct compo-


nents, none of which can be produced by a single company.

Source: Пидгирна & Filipchuk (2020); Scientific Figure on ResearchGate.


https://www.researchgate.net/figure/Components-of-tourism-infrastructure-
Source-compiled-on-the-basis-of-information-from_fig1_342847478.
The tourist and hospitality industries are still grappling with how to
strike a balance between their high fixed costs and relatively low variable
costs. This duality makes things tough for firms. As a result, businesses
that cater to visitors would need to work more to build demand for their
goods and services. Because of the high degree of competition, most of the
hospitality and tourist businesses operate on a razor-thin margin between
total costs and total revenues; even swings in average load factors can have
a disproportionately large impact on profit or loss.
The corporate sector’s reaction to the endeavor to reduce such
complexity. To get a competitive edge in the market, businesses in the
tourist and hospitality sectors must develop strategies that are unique to their
industry. These are some examples of innovative new marketing strategies
for the tourism and hospitality industries.
Tourism and hospitality products require a more comprehensive
marketing mix than the traditional “four Ps” due to their interdependence,
perishability, seasonality, and other factors. Most of the academic research
has concluded that the four Ps are the most important components of the
32 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

marketing mix. The marketing mix for a service must be unique from that
used for a product. The marketing mix in the hotel and tourist industry must
also incorporate critical components such as people, procedures, and factual
data (Moufakkir, 2015).
Because services are intangible, advertising usually uses emotional
appeals to persuade consumers to make a purchase decision. But, in terms
of attracting clients, the capacity to give a tourist and hospitality product
a unique personality by delivering exceptional services and integrating
marketing communication is considerably more significant than the product’s
unique traits itself, e.g., people who believe Hilton to be “America’s Business
Address” generally stay at Hilton-branded hotels (Li, 2018).
Consumers in the tourist and hospitality sectors are compelled to rely on
the recommendations of their friends, acquaintances, family members, and
coworkers due to the scarcity of opportunities to test out items or acquire
free samples. As a result, “word of mouth” advertising is the most successful
technique of promotion for tourist and hospitality firms. Word-of-mouth
marketing is heavily based on satisfied customers telling others about
their positive experiences. Furthermore, it acts as the foundation for any
marketing or promotional activity. The rise of web 2.0, the spread of social
media, and the appearance of websites that perform online evaluations have
all contributed to the phenomenon’s growing importance. Humans use the
written word to convey both happy and sad events to one another.
Because your company’s success is contingent on pleasing both
existing and new customers with solutions that are suited to their needs and
preferences, consistency in your marketing operations is more important
than ever. These items and services must be available on a regular basis and
manufactured in accordance with the market’s commonly accepted criteria.
Working in a highly competitive industry, consistency means maintaining or
improving the level of service delivered to customers. It is a well-known truth
that people make judgments about a company based on their experiences
with the products or services given by that firm. Maintaining consistency in
organizational performance is critical in the tourism and hospitality sectors
(Moufakkir, 2015).
The extensive network of ties that exists between the several businesses
that comprise the tourism and hospitality sectors may have an impact on
the marketing strategies employed by those businesses. At all phases of the
interaction, managers in the tourist and hospitality industries play a critical
role in the establishment and preservation of these linkages. The offered
Unique Characteristics of Tourism, Hospitality, and Leisure Services 33

services are of very high quality due to a network effect that incorporates all
the key components of the tourism ecosystem.
The hospitality, catering, and tourism industries are among the most
dynamic in the world, accounting for more than a third of global commerce
in services and thus being among the most significant. Between 1995
and 2008, the number of visitors from other countries increased by 4.3%.
The company has made considerable progress in recent years because of
globalization and the continually lowering relative prices of travel. There
were 25 million international visitors in 1950, 277 million in 1980, 438
million in 1990, 684 million in 2000, 922 million in 2007, and 922 million
in 2008. Since 1990, yearly growth in the number of foreign tourists has
averaged 4.3%, and the UNWTO predicts a similar pattern for the next two
decades, with annual growth of 4%. Surprisingly, during the last quarter-
century, the number of individuals travelling worldwide has increased by
roughly 1% faster than the global economy. Following a period of increase
in 2008, worldwide tourist sales fell by 5.7% in 2009, totaling $852 billion
in real terms (Li, 2018).
The United States of America accounted for barely 0.1% of the 2.4% rise
in North American immigration. Western Europe saw an average growth of
2.2%. Even though international travel is the fastest growing segment of
the tourism industry, OECD countries saw a major dip in tourist numbers in
the late 1990s. Yet, in 2008, OECD member countries accounted for 67%
of all travel-related profits and 57% of all international arrivals (Moufakkir,
2015).

2.3.1. The Number of International Visitors


Air travel has surpassed land travel in several nations due to the growth
of low-cost travel options. The reason for this is because low-cost aircraft
tickets are becoming more widely available.
According to the findings of the Air Plus 2009 Travel Management
Study, the number of people who flew for work on business trips decreased
by 17% in 2009. When compared to 2001, when business class accounted
for 43% of all business air travel, 2009 saw a significant decrease to 8%,
demonstrating that more individuals choose to fly in economy class.
The recent drop in business travel may be only temporary because of
the ongoing global economic crisis; however, it is also possible that this
trend will continue indefinitely as a result of the increasing use of alternative
communication channels such as information and communication technology
34 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

(ICT), media/phone conferences, and other facilities. It is probable that the


decision by certain airlines to discontinue first and business class, together
with the rise of the one-class, low-cost model for short and medium-distance
travel, signals a more fundamental shift in the industry. The concept’s purpose
is to give major airlines like Southwest and JetBlue serious competition (Li,
2018).
Small and medium-sized firms (SMEs) employ around 80% of the
workers in this sector, while multinational corporations (MNCs) employ
the remaining 20%. According to some estimates, Europe has roughly 2.5
million small and medium-sized businesses. This group accounts for at least
60% of all workers in the OECD, even though 99% of enterprises employ
fewer than 250 people. Only 43.4% of hotel chains in Spain have between
1 and 50 workers, which is much lower than the global average of 56.6%.
Large networks of more than 250 people are more likely to have an impact
on businesses in North America, emerging Asian markets, Australia, the
United Kingdom, and a few Nordic countries than on businesses in the rest
of Europe.
This is because these countries have a bigger total population. Large
businesses are typically influential in defining trends and generating
innovative new items. Hotels may be able to protect their revenue
stream from the swings caused by ownership by engaging into long-term
management contracts. Hotels may also attempt to boost brand recognition
and client loyalty by emphasizing the characteristics of their establishment
that distinguish it from comparable places.
Even though franchises and other similar agreements allow some legal
autonomy, they have a significant influence on many SMEs, notably in
terms of employee representation. Because of the extensive use of branding
in the hotel chain industry, it is simple to create uniform rating systems for
lodging places.
This breakthrough will benefit the hotel sector. Because of the state’s
dispersed nature, there is a broad variety of competency and efficiency
among its numerous areas. SMEs must rely only on the VCT system for
human resource development. In contrast, larger hotel chains may provide
in-house and on-the-job training for their employees. Hotel chains that have
implemented important HR management principles may find it challenging
to maintain a uniform approach to HR practices and industrial relations,
including communication across various locations, depending on the
organizational structure and scale. This problem is exacerbated when HR
Unique Characteristics of Tourism, Hospitality, and Leisure Services 35

management ideas are implemented on a broad scale. Hotels that have made
considerable investments in human resource management systems may face
difficulties (Li, 2018).
Over the last three years, each of the world’s top 10 hotel chains has
maintained a rating that puts them within the top 300 on the globe. There is a
general rising trend in the number of chain restaurants. The InterContinental
Hotels Group managed approximately 6,00,000 hotel rooms in 2009, and
the firm has stated that it plans to build an additional 2,50,000 hotel rooms
over the following five years. As a result of the sale of Microtel Inns &
Suites and Hawthorn Suites to Wyndham Hotel Group, Global Hyatt now
manages 500 more properties than it did previously. In 2008, Hilton added
almost 300 additional properties to its portfolio, making it the world’s fourth
largest hotel operator. The number of rooms under Accor’s management has
grown by 17% (Moufakkir, 2015).
Around 20 of the world’s most successful hotel groups expect to have a
total of 8,500 facilities and 1.1 million guest rooms by 2015. Year 2009 was
a better year than 2008, with a 3.1% rise in North American hotel rooms, a
2.2% increase in European hotel rooms, and a 1.9% increase in Asian and
Pacific hotel rooms. Despite the global economic downturn, this transpired.
The number of newly opened hotel rooms increased significantly in both
Latin America and the Middle East, with the former area adding 63,600
rooms and the latter region adding 52,700. Not only is the hotel business
growing and eager for additional franchisees to join them. At the very least,
the utilization of the franchise business model may be attributed to some of
the stratospheric development of the restaurant sector throughout the world,
particularly the rise of coffee shops and fast-food chains. Fast food restaurant
franchises, which began in the United States but are now present in nations
all over the world, have become the industry standard. Despite having fewer
outlets than McDonald’s, the Hard Rock Café, Nandi’s, Planet Hollywood,
and TGI Fridays all play an equally important part in the distribution of
foreign food. Restaurants selling fast food and other companies associated
with the sector supply similar meals all over the world. This is particularly
true in the United States of America. All of these procedures have been
reduced in order to decrease the amount of training required and allow
for the hiring of younger people on a part-time basis. Best practices in
organizational and interpersonal communication that go above and beyond
the call of duty are rare in businesses like this (Figure 2.2).
36 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Figure 2.2. The 10 largest hotel chains in 2016.

Source: Djurasevic & Kavaric (2018); Scientific Figure on ResearchGate.


https://www.researchgate.net/figure/The-10-largest-hotel-chains-in-2016_
tbl1_323526643.
The tourism industry is a vital component of the economy since it
employs a huge number of people. They encourage people of various ages,
genders, and nationalities to apply for positions since it is a great place to
work if you have a variety of skills and they want to recruit everyone. If you
have a varied set of abilities and competences, you might consider applying
for a position with this organization. It accounts for 30% of the overall
value of global service exports. For example, the introduction of a single
new function within the primary HCT industry is expected to result in the
development of three extra job opportunities (Moufakkir, 2015).

2.3.2. Employment Opportunities Have Grown in Lockstep


with the Global Economy’s Rising Interdependence
It is expected that the global economy of the industry would maintain over
235 million jobs worldwide in 2010, accounting for around 8% of all jobs.
According to United Nations World Tourism Organization predictions, the
worldwide tourism sector would employ 296 million people in 2019. It is
expected that the sector would provide an indirect contribution to GDP of
3.2% in 2010, while accounting for 9% of overall GDP. According to various
numbers, 9.2% of all investments are made.
Tourism is predicted to contribute 10% of the gross domestic product
(GDP) and 12% of the labor force. This statistic is used to estimate how
important tourist revenue is to the agriculture and industrial sectors. Among
the OECD countries, Denmark has the lowest contribution to GDP from
Unique Characteristics of Tourism, Hospitality, and Leisure Services 37

tourism at 1.9%, while Spain has the most at 10.7%. In Denmark, just 1.9%
of the population is considered jobless. Total employment rates in Denmark
and Spain range from less than 2% to more than 12.7% (Li, 2018).
The recent rise of the global tourist sector has been extremely beneficial
to many developing nations that are not members of the Organization for
Economic Cooperation and Development (OECD). This is true not just for
the market where the product was first offered, but also for the market where
it was eventually sold. The Pacific tourist industry is significantly vital to
the region’s economy. This industry employs more than 40% of Fiji’s entire
population and contributes considerably to the country’s GDP and foreign
exchange reserves. In 2005, a 1-million-dollar investment in Fiji enabled
the development of around 63 new jobs. Every million dollars spent in
Egypt benefits the hotel industry, which supports 18 direct and 12 indirect
employments (Moufakkir, 2015).
In the United States, the hotel and food service sectors employ around
12.5 million people. When it comes to employee relations, this industry
is defined by its diversity, complexity, connectivity, and fragmentation.
These are all industrial trademarks. Some people work in the industry in
more directly relevant roles, while others have tasks that are more distantly
related to the firm. These connections have far-reaching implications for
human resources development (HRD) across the corporation as well as the
many types of work organizations. As the number of reputable enterprises
operating in the informal sector grows, it is becoming increasingly difficult
to distinguish between the formal and informal sectors in this region.
Women and children from impoverished countries make up the great bulk of
individuals selling things on the streets of popular tourist destinations. You
may buy anything from meals to souvenirs to one-of-a-kind artisan crafts
at these kiosks. The average age of a male worker at this business is under
the age of 35, while the average age of a female worker is under the age of
25. Workers beyond the age of 35, on the other hand, are the norm in many
other industries. The manufacturing and industrial industry employs 43.4%
of the workforce in Spain. According to the United States Bureau of Labor
Statistics, the service industry employs a considerable number of young
people between the ages of 16 and 20. As a result of an ageing population in
places like as Europe, Japan, and North America, future reliance on an older
workforce and an increase in the number of migrant employees may have
an impact on working conditions, productivity, and customer impression of
a brand? As a result, people’s views about their work may vary in either a
favorable or bad manner (Moufakkir, 2015).
38 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

2.3.3. Circumstances in Which We Are Supposed to Do Our


Duties
Employees in the hospitality business are regularly obliged to work
irregular shift patterns, weekends, and even holidays due to fluctuations
in client demand. Employees with families, particularly women, who must
care for children, the elderly, and the house, report considerable levels
of stress because of these working conditions. This tension is especially
common among women. There is an increasing need for childcare services
among these professionals, which may be offered by public agencies or
non-profit groups. Businesses typically recruit workers on an as-needed,
temporary, transitory, seasonal, and part-time basis because of high levels
of subcontracting and outsourcing, as well as a high frequency of employee
turnover. Each varies greatly depending on the country under consideration.
Even though the proportion of people working part-time is increasing
across the European Union (EU), there is a significant disparity between
countries such as Portugal, where only 5% of workers are employed in
this capacity, and countries such as the United Kingdom, where 50% of
workers are employed in this capacity, and the Netherlands, where 68% are
employed in this capacity. Because beach resorts in Spain are seasonal, only
64% of the country’s workforce is continuously employed throughout the
year. Outsourcing and subcontracting are occupations undertaken by 4.6%
of the Spanish workforce. Individuals who have not completed their formal
education and do not want to work in a permanent position with benefits
should be informed about the various informal options accessible in the
business sector. It is necessary to enhance awareness of these alternatives.
This industry employs many immigrants as well as individuals who have
been in the nation for some time. Those who are considerably disadvantaged
in terms of socioeconomic situation and talents may be able to benefit from
the opportunities made available by tourism (Li, 2018).
Employing juveniles and women as employees are only two examples
of the questionable employment practices that are more common among
small enterprises that use illegal workforce. This is not a complete
list of questionable employment practices. In Fiji, where prostitution
and commercial sexual exploitation of minors are on the rise, the term
“informality” refers to the lack of social safety networks and protection
available in the nation (Moufakkir, 2015).
Women make up between 60% and 70% of the labor force, and a
substantial proportion of those women struggle to tailor the material on their
Unique Characteristics of Tourism, Hospitality, and Leisure Services 39

resumes to the specific criteria of the positions for which they are seeking.
Working in risky jobs exposes women to unpleasant working conditions,
discrimination, sexual harassment, and other types of harassment. They
face prejudice in both the academic and working environments, resulting in
frequent marginalization. Women in this field earn 25% less than males who
do the same job with the same degree of education and experience. In Spain,
women make $765.52 per month on average, which is 76.52% of what males
earn. Furthermore, employees under the age of 35 get 75.1% of the monthly
compensation earned by workers over the age of 35. A lot of nations have
passed legislation to protect women against sexual assault. For example,
the Portuguese office of the International Labor Organization (ILO) backed
the EQUAL campaign, which intended to promote gender equality in the
workplace, between 2005 and 2008. Working part-time or on a temporary
basis may be beneficial for women who are needed to work from home due
to the extra flexibility it provides. This is especially beneficial in countries
were working full-time hours to keep citizenship is not needed. When no
other opportunities present itself, a person who wishes to work full-time
may be forced to settle with working part-time because they have no other
choices (Li, 2018).
Ethnic and cultural minorities usually outnumber dominant groups in the
tourism industries of developed countries such as Australasia, Europe, and
North America. This is particularly true in Europe. This is especially true
in the European travel and leisure business. These formerly disadvantaged
people are now eligible to work in both the low-skilled and informal labor
markets. For example, racial and ethnic minorities face institutionalized
racism, which limits their opportunities for success in the tourist business.
The hotel business in Hawaii is a wonderful example of this, but countries
that rely heavily on temporary immigrant labor with low levels of education
or ability suffer similar challenges. Employees are frequently expected
to work insane amounts of overtime in organizations where last-minute
changes are widespread (Moufakkir, 2015).
Around 70% of Dutch hospitality school graduates who took part in the
poll left their employment within the first six years of graduation. In the
Netherlands, the vacancy rate for managerial jobs is only 25%, whereas the
turnover rate for frontline workers is 60%. Although there are exceptions,
worker turnover rates in rich economies are sometimes much higher than
in developing nations. However, this is not always the case. Employee
turnover is much lower in emerging economies, resulting in higher job
security. Because of the talent lost and the potential cost of retraining people,
40 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

attrition may have a significant influence on a company’s bottom line. On


the other hand, preparations such as recruiting, screening, orientation, and
training take place before anybody leaves. According to data gathered from
33 properties across the United States, the average cost of turnover for low-
complexity jobs was roughly $5,700, while the average cost of turnover for
high-complexity positions was more than $10,000. This data was obtained
by analyzing employee turnover rates.
The cost of recruiting and keeping employees, as well as a scarcity of
competent workers, are preventable outcomes that have a negative impact
on the tourist industry’s competitiveness, productivity, and service quality.
Furthermore, the occurrence of these occurrences has a detrimental influence
on these outcomes. As a result, finding and retaining good staff will become
increasingly difficult and costly. Employee morale and self-assurance rise
when they have favorable contacts with management, according to research.
It could help retain current employees while also promoting interest in
learning new skills. Establishing more equitable policies and practices for
hiring, training, and keeping staff is one technique for lowering employee
turnover in a corporation. To achieve this goal, you need priorities the three
factors listed in further sections (Li, 2018).

2.3.4. Communication Between Several Groups of People


When it comes to properly meeting their clients’ needs, successful firms rely
on open lines of communication between their senior management and their
employees. By promoting the formation of these connections, social discourse
helps to ensure that individuals may work in an ethical and productive
manner while also safeguarding their right to freedom of association,
physical protection, and respect. This helps to guarantee that employees can
operate ethically and productively. Work that is both effective and moral
cannot be accomplished in isolation. During their transition into their new
responsibilities, newly hired personnel with little to no prior experience in
the industry may benefit from social contact. This subject includes legislation
addressing shift workers, workplace safety and health, job categorization,
payment, and remuneration (including gratuities and service charges), skill
development, gender equality, youth employment, migrant labor, and child
labor. Employees in this industry are concerned that their employers are
not having enough open discussions about critical issues such as pay equity
and workplace diversity because of the sector’s low levels of management-
worker communication, worker representation, and union density. These
are only two instances of problems. The industry’s disorganized structure,
Unique Characteristics of Tourism, Hospitality, and Leisure Services 41

together with the huge number of young people and other employees whose
rights are uncertain and whose circumstances are constantly in flux, are
probable contributory factors. This industry also employs a high number
of vulnerable employees. Women’s collective bargaining strength is
decreased since they are underrepresented in labor organizations and hold
fewer positions of leadership. Workplace violence and workplace safety
are two examples of gender concerns that are commonly overlooked. The
prevalence of small and medium-sized enterprises (SMEs) in some regions,
the prevalence of temporary or seasonal employment, and job outsourcing
to other sectors are all factors that make it more difficult to organize workers
and build productive relationships between management and employees.
Outsourcing work to other industries is another element that contributes to
this challenge. As a result of these impediments, each of these goals has
become more difficult to achieve. The EU’s Regulation 94/45/EC, which is
responsible for the founding of the European Works Council, is an example
of a piece of legislation that attempts to foster regional social interaction.
Workers from MNCs with operations in the EU review and comment on
data provided by management during these council sessions. A corporation
must have at least 150 employees in at least two separate countries and at
least 1,000 employees inside the EU to be subject to the regulation. As of
April 2010, there were 15 EWCs, the majority of which served the hotel
business. Only a subset of the accessible EWCs is represented here: Accor,
Aramark, Auto Grill, Club Mediterranean, Compass Group, Elior, Hilton,
InterContinental, and LSG SkyChefs (Moufakkir, 2015).

2.3.5. An Increase in Wealth, a Decrease in the Proportion of


People Living in Poverty, and Foreign Direct Investment (FDI)
From Other Nations
Tourism and hospitality are two sectors that may be useful to individuals
all around the world. In 2007, the hotel business in developing countries
earned around 260 billion US dollars. In 2006, the HCT sector exported
more products and services to the 49 countries with the slowest economic
progress than any other industry. While tourism has a positive impact on
the economy and the labor market, it is not always successful in reducing
poverty. The significance of investments made by citizens in the tourist
sector and businesses directly related to it cannot be overstated. Residents in
the region who work in the food service, transportation, and retail industries
should be encouraged and offered job opportunities to help alleviate the
42 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

consequences of poverty. Even though some pilot programmers have been


established to bridge the gap between the tourist industry and poverty
reduction, considerable success in this sector is difficult to accomplish
without the broad support of an effective national plan. A rising number of
countries are prioritizing the growth of their tourism and travel companies
in their attempts to meet the millennium development goals (MDGs). The
tourist business places a high value on creating job possibilities for people
from a varied variety of racial and ethnic origins, which helps to alleviate
poverty. The share of foreign direct investment (FDI) in the tourism sector
is less than 1% among the top nations that are both tourist receivers and
hosts. As a result, the bulk of FDI in the tourist industry is concentrated
in developed economies. According to the United Nations, poor nations
account for one-third of all FDI in the tourist industry (Moufakkir, 2015).
A more business-friendly regulatory environment is required to boost
the net value of tourist host regions and to improve local product distribution
for the advantages of FDI to materialize fully. Major tourist sector events
such as the FIFA World Cup, European Football Championships, Olympic
Games, tennis, golf, and other sports, as well as film and music festivals
and international expos, may be helpful to infrastructure. Between 2002
and 2005, developing countries accounted for 21% of all global tourism-
related mergers and acquisitions and roughly 70% of all tourism-related
“greenfield investments.” As a result of these significant advancements,
airports will have the opportunity to grow and become more modern
in order to accommodate the growing number of passengers and cargo.
Other types of dual-nature infrastructure include transportation, ports,
water supply, electrical generation, healthcare network systems, and
communication networks. The rural tourism business stands to gain from
these improvements, which may also have an impact on the local nature.
To plan growth in a way that is consistent with national development goals
and to execute new legislation, an in-depth examination of the advantages
given by infrastructure that can support a range of applications is required.
The meetings, incentives, conferences, and exhibitions (MICE) business is
responsible for pouring millions of dollars into host countries’ economies
and tourist industries across the world (Li, 2018).
CHAPTER 3

Relationship Between Service


Quality, Customer Satisfaction,
and Value in Tourism, Hospitality,
and Leisure Services

Contents
44 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

3.1. INTRODUCTION
The relationship between service quality, customer satisfaction (CSAT),
and value in tourism, hospitality, and leisure (THL) services have been
recognized as being important factors that contribute to a top-quality
customer experience. Service quality can be defined as an ingredient of
CSAT and value. The relationship between service quality, CSAT, and value
in THL services is based on several factors including customer perception,
tourism products choice and tourist behavior. This relationship is established
based on the idea that higher levels of CSAT are associated with lower levels
of perceived price (Kassim, 2013) (Figure 3.1).

Figure 3.1. The dimensions of service quality as it relates to customer satisfac-


tion. As such these dimensions can be applied in the tourism and hospitality
sector to improve service delivery.

Source: Saghier (2015); https://www.semanticscholar.org/paper/Managing-


Service-Quality%3A-Dimensions-of-service-a-Saghier/0dbb62923c6c3698932
b253bbd40e4101b009456.
This relationship is further dynamic, changing over time and across
situations. It is important to recognize the role of service quality in CSAT
and value as it affects overall business performance. It is well known that
CSAT is an essential variable for the economic success of any medium or
large size enterprise. However, the relationship between CSAT and value for
a specific industry can vary significantly between markets. Service quality
is a concept that encompasses both the physical environment that surrounds
customers, who are experiencing a certain product or its associated process
and also the interaction between people during their interaction with the
service provider. The interaction may be voluntary or involuntary. Service
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 45

quality can be defined in terms of individual perceptions created by a series


of events emanating from those who provide the service (Kadampully,
2013).

3.2. EXPLORING THE LINK BETWEEN SERVICE


QUALITY AND CUSTOMER SATISFACTION (SQCS)
The nature of THL services makes these industries unique in their
importance to the global economy. Due to the changing demographics
of society and changing consumer needs, these industries are constantly
evolving. Understanding and exploring the link between service quality
and customer satisfaction (SQCS) in THL services can help businesses
innovate new business models with improved results. Understanding the
consumer’s perspective is especially important when studying how tourists
are influenced by their environment (Kassim, 2013) (Figure 3.2).

Figure 3.2. A strategic approach to customer satisfaction and quality services


in the hotel industry.

Source: Tileagă & Oprişan (2018); https://doi.org/10.1007/978-3-030-01878-


8_31.
In recent years there has been an increasing demand for services like
food and beverage, entertainment, retailing, and others that are at the heart
of our economy, but it can cause problems for consumers if these services
46 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

experience poor quality or customer dissatisfaction. Service quality has


been recognized as important by many scholars because of its direct effects
on CSAT. The tourist perspective is unique to THL services. It provides a
unique opportunity to enhance the business performance of these industries
through better understanding of customer needs and wants.
Tourism is a high-demand industry where the customer has the choice
to choose their preferred destination and time frame to travel. In this case,
service quality can be measured at an individual level through personal
preferences based on factors such as price, quality, and location, etc. However,
in hospitality and leisure services, there is no personal element involved in
determining their product quality. Instead, it depends greatly on CSAT within
the groups which make up their target audience. People who visit a resort
for leisure time or for work may expect a certain type of experience. This
experience can be divided into three components: perception/expectation,
service delivery and experience s (Kadampully, 2013).

3.2.1. Perception
THL services are unique in that they are all based on customer perceptions
of what is expected from them. The customer defines the value of their
experience by how satisfied they feel with the service provided, how happy
they were as a result (either enough for them to recommend it or be willing
to use it again), or whether they would use that company again or not at
all. There are several factors that can impact the customer’s perception of
service quality. These factors include the location where an experience took
place, the time during which it occurred and how it was planned out; how
well-trained staff members were for providing the service; how friendly or
welcoming their environment was; how enjoyable the event was for both
visitors and residents alike.
To maintain CSAT with these services, providers should take into
consideration all aspects of customers’ perceptions at each stage of the
journey by providing appropriate levels of quality service throughout
(which might include clearly communicated content based on feedback).
Trip and travel agencies use many strategies to attract customers, but most
of those strategies focus on increasing revenue because of their industry
nature. Although there are other aspects of tourism like the satisfaction of
the guest, which might be due to the cultural diversity or social responsibility
an organization might have; not many organizations pay attention to ways in
which they can improve CSAT levels (Kassim, 2013).
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 47

3.2.2. Service Delivery


Service delivery is a vital component of THL services. It is essential for the
industry to effectively meet customer needs through professional staff who
understand their customers’ expectations and can provide an appropriate
service in an efficient way. It can be described as the process of delivering
goods and services to customers. In such a broad sense, it is a combination
of everything that happens between people who work together to deliver
services to customers. The service delivery approach to quality focuses on
the entire process of delivering service. This means that it is not only about
the quality of the product/goods or services when they are delivered but also
about how consumers perceive and judge them through their interactions
with other people in an organization which results in their perception of
them (Kadampully, 2013) (Figure 3.3).

Figure 3.3. A conceptual framework for tourist perception.

Source: Hassan & Nezakati (2014); Scientific Figure on ResearchGate. https://


www.researchgate.net/figure/A-conseptual-framework-for-tourist-perception-
study-on-Sustainable-Management-in-tourism_fig1_352645062.

3.2.3. Experiences
The tourism industry is a unique industry that includes several services that
are not just products, but experiences. The tourism experience is defined as
an activity which a person undertakes with the intention of visiting another
country or city as well as to learn about its culture, history, geography,
and other aspects. Every customer has their own unique experience and
48 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

the factors which affect this can be many. This chapter aims to understand
how service quality impacts CSAT, and how it can be measured to help
tourism providers improve their offerings. THL services involve a wide
range of diversity. Each service offers unique experiences to tourists and
consumers. For example, different types of hotels differ in their amenities
and personalized service offered to guests (Kadampully, 2013).
The experience that a person has during their stay at a place is very
important. They will be able to experience many things and understand the
culture of it rather than just staying at home. It helps in solving problems
related to health such as high blood pressure and diabetes. The time you
spend with other members of your family can also be beneficial for them as
it improves their relationship with each other. Juxtaposing different tourists’
experiences with their perceptions of providers can reveal insights about how
their expectations are shaped by their travel experience. The travel industry
attracts millions of people from around the world and generates considerable
economic activity in many countries. Tourism is one of the most popular
forms of recreation in modern society, but it also raises important problems
that need to be carefully considered by governments and private companies
involved in this sector (Kassim, 2013).
As a customer, when you are in a service industry, you expect a certain
level of service from your provider. You have the right to expect that your
experience will be satisfactory and will deliver on the promises made by
their product or service. It is important for any business or organization
to look at ways in which they can improve their customer satisfaction rate
(CSR). It does not matter if you are large or small or do not even have food
services; if your customers feel disconnected from what they are expecting
from you then there is no point in being in business (Kadampully, 2013).

3.2.3.1. The Role of Service Quality in Enhancing the Overall


Experience of Customers in the Tourism, Hospitality, and
Leisure (THL) Industry
Service quality is an aspect of a service that affects the experience of
customers. Service quality affects one’s overall perception of a product or
service, and this may lead to how satisfied a customer is with their experience.
The role of service quality in enhancing the overall experience of customers
in the THL industry has been studied by many researchers over the years.
These studies show that people will perceive higher levels of quality when
they are offered better services at reasonable prices and by people who are
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 49

knowledgeable about their needs. Customers’ perceptions about services


are strongly influenced by their own past experiences and experiences with
similar businesses in the marketplace. The role played by service quality in
creating value for customers cannot be ignored because it enables them to
have a positive experience with a particular product or service as well as
contribute to their satisfaction levels after using them. Service quality was
influenced by four factors namely expectations, communication process of
hospitality business and relationship with client, loyalty towards the brand
and perceived credibility of management.
Service quality includes knowledge about the nature of the service
being offered and its benefits to customers. Service quality describes a
process that includes providing appropriate products and services in a
satisfying manner at all levels of interaction with customers. The level of
service users expect from businesses has changed significantly over the past
few decades; there has been a shift from formal interaction (e.g., visits to
shops) towards informal service delivery which takes place via electronic
means (e.g., websites). Methods such as surveys or questionnaires need to
be standardized so that they can be used across different industries and by
people who are not directly involved with providing services for customers;
this is necessary because our expectations about how services should be
offered are likely to vary across different settings and tourism firms within
those settings (Kassim, 2013).

3.2.3.2. The Impact of Service Quality on Customer Loyalty in the


Tourism, Hospitality, and Leisure (THL) Industry
Services, like those provided in the THL industry provide a vital source of
employment for many people. Customers are attracted to services that deliver
a high service quality and enable them to enjoy their holidays. To attract
customers, companies need to ensure that their services provide a positive
customer experience which will result in longer and more frequent visits by
customers. Positive perceptions of service quality (e.g., professionalism) are
positively correlated with loyalty among customers but negative perceptions
are not. In other words, positive perceptions lead to positive outcomes while
negative perceptions lead to negative ones (Kadampully, 2013).
Satisfaction with overall service quality is strongly related to willingness
to remain loyal (i.e., predictors include overall quality perception, value for
money perception, length of discussions and interactions), while satisfaction
with a specific aspect of service quality is not strongly related to willingness
50 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

to remain loyal across these five steps within the journey (i.e., only overall
perception relates significantly to intention not to renew contracts). However,
this does not mean that a poor service experience can ruin the relationship
between a business and its customers. Some tourists may build loyalty to
a firm without the necessity of perfect service delivery. For a company to
retain its customers and improve their satisfaction levels, they must make
sure that their employees are behaving in a friendly and compassionate
manner while providing good customer service.
Similarly, like in any other business, customers are happier when
they have positive experiences with their providers, which increases their
likelihood of returning as customers. These positive experiences can also
motivate others to purchase from that provider because they have experienced
what they perceived as exceptional customer service firsthand. Customers
will spend more money when they feel they have received good service.
In the hospitality context, this refers to a hotel manager’s ability to ensure
that all employees treat their patrons with respect and dignity. This makes
both sides happy: the customer enjoys being treated well by the staff and is
willing to pay for it; likewise, the staff receives tips from satisfied customers
that can be used towards future training or other supplemental compensation
(Kadampully, 2013) (Figure 3.4).

Figure 3.4. The customer loyalty ladder.

Source: Kachniewska (2006); Scientific Figure on ResearchGate. https://www.


researchgate.net/figure/The-Customer-Loyalty-Ladder_fig5_233960420.
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 51

3.2.3.3. The Relationship Between Service Quality, Perceived


Value, and Customer Loyalty
Service quality, perceived value, and customer loyalty are three of the most
important aspects of THL services. Perceived value is another factor that affects
customer loyalty. When people are happy with their experiences at a particular
business but are not satisfied with its price, they may begin to look elsewhere for
better value for their money. It’s also important to note that perceived value is not
always based on price alone; some businesses may offer higher quality products
at lower prices than others to attract customers who don’t mind paying more
for something that feels better or lasts longer than what’s available elsewhere.
A hotel might have a beautiful lobby, but if guests don’t believe that their rooms
are clean and comfortable, they won’t be happy. A restaurant may have a great
wine list, but if customers can’t get their food in a timely manner or find it
overpriced and unappetizing, they’ll leave (Kassim, 2013).
It is possible to improve these aspects of your business by introducing
new ideas such as:
• Increased training for employees so they can provide better
service.
• Improved workflows so you can deliver your products faster.
• Better communication with customers so they know what’s going
on with their orders (or changes).
Theoretically, the relationship between service quality and perceived
value is identified as a direct one. Service quality can be measured through
the standards of CSAT. CSAT is directly related to service quality because
it’s an indicator of whether you’re getting what you paid for (i.e., being
satisfied with the quality of your experience). However, this relationship
is not completely direct because there are other variables that can affect
each other: customer loyalty may be affected by both factors at once (i.e., if
you’re not satisfied enough with your stay at a hotel but then find out that it’s
too expensive for you) (Kadampully, 2013).

3.3. THE ROLE OF EMPLOYEE BEHAVIOR AND AT-


TITUDE IN DELIVERING HIGH-QUALITY
SERVICES
Quality of service is one of the factors in CSAT. The quality of service depends
on the employee’s behavior and attitude towards the job demands, which
52 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

could be influenced by their training and motivation. In the THL industry,


CSAT is an important aspect of any business. To deliver high-quality service
to customers, it is important for the employees to take good care of them.
Employees should be friendly with the customers and show interest in what
they say. They should also interact with them in a personal manner while
delivering their services. The behavior of employees determines whether
customers will have a good time at a particular establishment. The attitude
of employees also plays a big role in how much satisfaction customers feel
about using a product or service.
Behavior and attitude are embedded in each other, hence cannot be
separated as an independent variable or as two distinct factors. They can also
be used to predict CSAT with every aspect of a business service experience.
Service quality also correlates to the extent to which service providers are
effective in meeting customers’ expectations, needs, and desires. It refers
to both the process and outcome of their interactions with people (from a
single individual to a large group) and can take place at every point along the
customer’s journey. Employee perceptions of their role in delivering quality
service directly affects their job satisfaction as well as belief that they can
succeed at a challenging task (Kadampully, 2013).
A positive team atmosphere that reflects ownership of customers is an
essential aspect of good service delivery. The use of data collection methods
such as questionnaires and behavioral surveys can be used to measure
employee satisfaction with their jobs, which indicates a performance gap
between teams that have positively managed employee behavior versus
those that have not.
Behavior and attitude can be measured by reviewing employee complaints
and compliments, performance measurement such as CSAT surveys,
employee surveys and interviews. Other variables that may influence service
quality include the physical environment of the establishment, organization
structure, training methods, quality control procedures and internal controls
over employee behavior (Kassim, 2013).
To improve the hotel industry’s competitiveness, managers need to
analyze the actual situation first and then make some changes according to
what they find out. For example, if there are many customers complaining
about low quality food at a particular restaurant, then it is recommended
that management should act quickly on this matter because it will affect
the overall CSAT score of the business. It is argued that teamwork could
lead to higher levels of CSAT. However, there are also researchers who
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 53

believe that individual interactions such as interpersonal conflicts as well


as negative attitudes towards employees can negatively influence service
quality settings.

3.3.1. The Importance of Employee Motivation in Delivering


High-Quality Service in the Tourism, Hospitality, and Leisure
(THL) Industry
Employee motivation plays an important role in delivering high-quality
service in the THL industry. The quality of service can be affected by the
way employees feel about the job before they begin working with guests or
each other. When staff members are excited about their work, they will tend
to deliver better quality services. This type of positive approach will help
employees to see the benefit of providing great customer experiences. In
the Tourism, Hotel, and Leisure Services industry, employees are important
because they are the ones who deliver high quality services to their customers
(Kadampully, 2013).
The employees’ motivation is crucial in providing high-quality services
because the satisfaction of customers can negatively impact the entire
business’ revenues. Therefore, it is important to ensure that your employees
are motivated and have a good work ethic so they can deliver excellent
customer service. An examination of the link between employee motivation
and CSAT shows that positive effects are achieved when managers create a
climate for both short-term satisfaction and long-term commitment to their
company’s values. If employees have a sense of purpose and responsibility
within their positions then they will not just be dedicated to doing their jobs
but also looking after customers (Kassim, 2013).

3.3.2. Best Practices in Recruiting, Selecting, and Retaining


Employees with Positive Attitudes and Behaviors in the Tour-
ism Industry
The THL industry is a highly competitive one. To be successful in this
market, it is important to have talented employees who have positive
attitudes and behaviors. This helps provide excellent customer service.
The best practices that have been put forward to ensure that newly hired
employees have good teamwork skills is by using a structured interview
process where an evaluation system has been put in place to assess skills such
as teamwork, communication ability and goal setting abilities by means of
several questions which will be applied during applicant screening process.
54 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

This way you can ensure that any employee who lacks these skills during
their probation period can be identified before the employment begins.
Service quality is key to successful tourism, lodging, and social services.
Employees can make a difference in how these negative perceptions are
expressed through their words and actions (Kadampully, 2013) (Figure 3.5).

Figure 3.5. Model of theories which are relevant to employee retention.

Source: Ghani et al. (2022); http://dx.doi.org/10.3390/su14052885.


The lack of good service can lead to negative attitudes towards a
business which can ultimately decrease marketing effort and result in
lower profitability. To develop a better understanding of why employees,
leave the THL industry, it is important to look at the factors that affect their
attitudes, behaviors, and decisions. The factors include job satisfaction, job
performance and competition for jobs; wages and salaries; benefits package;
opportunities for career development (including training); workplace
culture; workplace relations; supervisors.

3.4. THE IMPORTANCE OF EFFECTIVE


COMMUNICATION IN DELIVERING HIGH-
QUALITY SERVICE IN THE TOURISM,
HOSPITALITY, AND LEISURE (THL) INDUSTRY
In the THL industry, effective communication is important in delivering high-
quality service. To ensure that the customer understands their expectations
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 55

of the service and whether it has been met, it is necessary for the staff
to communicate clearly with customers. Effective communication also
includes providing information about how things work (e.g., how to make
a booking or change your room type). Just like any other customer service
industry, CSAT has been proven to be linked to providing clear information
on the products and services along with timely delivery. This is especially
important when it comes to customer expectations, who are often confused
by a myriad of offerings on their way out the door (e.g., pricing policies). To
avoid this confusion, firms need to take steps towards improving customer
service quality using effective communication strategies as well as proactive
measures such as providing direct answers or clear guidance (Kassim, 2013).
Customers are demanding more from their providers as they have more
power to choose their own travel experience. The most important factor
is meeting customer needs and expectations, which requires effective
training and management by those involved with delivery of services.
Sound communication skills help employees to build relationships with
their colleagues and customers, which helps build trust between each other.
Developing effective communication skills will also lead to greater job
satisfaction and productivity. Effective communication can create a deeper
connection between businesses and their customers as well as improve CSAT.
Utilizing social media, direct mail marketing and email campaigns can also
help create an active dialogue with prospective clients (Kadampully, 2013).
Communication also plays an important role by providing useful
information and creating trust between employees and customers. People
who are satisfied with the quality of service they receive report being more
satisfied with what they bought or hired, take their time to recommend a
business to friends or relatives, share positive experiences via social media,
even recommend businesses they like as opposed to those they dislike. Many
tourists who visit a destination are looking for a relaxing and enjoyable stay,
but they also want someone to meet their expectations. To achieve these
goals, it is important to understand what the customers expect from the
tourism agency and how they react to different designs or messages delivered
through traditional media channels such as print materials, websites, and
phone calls.
Poor communication can result in poor CSAT, which ultimately leads
to poor operational performance. When communication is ineffective or
limited to only a narrow set of tasks, it leads to frustration and dissatisfaction
among customers. When communicating effectively, client satisfaction can
56 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

be enhanced by retaining existing customers and attracting new ones. A


good way to manage this effectively is through having an effective feedback
mechanism for employees who deliver high-quality service on behalf of
their company.

3.5. CROSS-CULTURAL DIFFERENCES IN SERVICE


QUALITY AND CUSTOMER SATISFACTION (SQCS)
IN THE TOURISM, HOSPITALITY, AND LEISURE
(THL) INDUSTRY
Service quality has been identified as the key factor affecting customers’
satisfaction in the THL industry. However, service quality is not a common
phenomenon across cultures. There are cross-cultural differences in service
quality that can be observed in a variety of dimensions such as service
behaviors, information-sharing systems, etc. Although these differences
may influence CSAT negatively in one culture but positively in another;
nevertheless, it is imperative to understand these differences to improve their
understanding of international markets and increasing their competitiveness
in global business. To understand why this is so, one must first examine how
these concepts have historically been viewed by different cultures (Kassim,
2013).

3.5.1. A Historical Perspective


In many countries around the world, traditional customer preferences and
expectations of service providers have been replaced with changing lifestyles
and increasing disposable income levels. This shift has created opportunities
for businesses to develop new forms of service delivery which are based
on personal attention and tailored to customer needs. Travelers from low-
income countries prefer to stay at places that provide better service to suit
their cultural differences. In contrast, tourists from high-income countries
prefer facilities with higher level of quality in terms of services offered
(Kadampully, 2013).
However, little is known about whether these differences are moderated
by various business factors such as wealth (high or low), technology use
(digital or analog), and price differences between markets. The service
quality of a THL firm depends on the characteristics of employees at all
levels within that organization and their interactions with customers.
Therefore, culture is an important factor affecting service quality because it
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 57

influences individuals’ beliefs about what constitutes appropriate behavior


within various cultures. For example, the Japanese have a strong sense of
hierarchy, which may influence their interaction with workers and customers
to maximize profit.
There are several cultural factors that influence the way people perceive
services. For example, some cultures are more focused on earning good
reviews than others. In addition, it has been found that certain cultures value
privacy while others do not. These differences can impact how tourists
interact with service providers, particularly those who come from different
cultures. For example, some countries prefer to be waited on by a waiter
rather than waitresses because they find it easier to communicate with men
than women through body language. Other cultures prefer to be waited on by
female staff members because they believe that women are more likely to be
concerned about their reputation as well as being polite and friendly towards
customers. This may lead to misunderstandings when service providers
from different cultures interact with each other because they might expect
different things from each other based on their own cultural norms (Kassim,
2013).
There are two main differences between tourist services across countries:
cultural differences and economic factors. People in different countries have
different customs when it comes down to how they do things. For example,
some people will only eat at restaurants that have been rated as “five stars”
while others would rather eat at fast food restaurants like McDonald’s
because they know that their food will be good quality even if it isn’t five-
star quality. Another factor within this industry is economics. Many times,
when people travel somewhere for vacation or business reasons, they need
money for their trip so they can stay there for several days or weeks without
having to worry about paying rent or buying groceries each day until they
get back home again because of how expensive it would be otherwise
(Kadampully, 2013).

3.5.2. The Drift Between International and Local Customers


on Quality of Service
In the tourism sector, the relationship between SQCS is often affected by
international and local tourists. International tourists and local tourists are
different groups of people that travel for different reasons. International
tourists tend to visit places for leisure and tourism, whereas local tourists
are often looking for work opportunities. International tourists tend to arrive
58 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

in a particular country with specific goals in mind, whereas local tourists


generally have no set plans before arriving at their destination. This means
that international travelers may have more control over what happens during
their trip (such as making sure they are getting good value for money),
while local travelers may not know what they want until they arrive at their
destination.
The first difference between international and domestic customers is
that international travelers often have higher expectations for service than
those who live in a particular country. This may be because they feel more
comfortable traveling internationally, or because they have had positive
experiences with other countries’ services in the past. Another difference
between international and domestic customers is that international travelers
expect more from their trips than domestic residents do, which leads to
higher expectations for both service and comfort. They also tend to have
more diverse social networks which help them make connections with
people from other cultures who can help them navigate their travels.
International tourists tend to be more satisfied with their experiences than
local tourists. For example, they are more likely to agree with statements like
“the staff was friendly and helpful” or “I had a good time here.” In contrast,
local tourists are less likely to agree with statements like “the staff was
friendly and helpful” or “I had a good time here.” However so, international
tourists are more likely to be dissatisfied with the service quality provided
by hotels and restaurants than local tourists. This is because international
tourists tend to have higher expectations of service quality than locals. In
addition, they are often more concerned about safety when traveling abroad.
They also expect a higher level of comfort and amenities in their hotels and
resorts, which can lead them to be dissatisfied if they don’t receive those
things.
On the other hand, local tourists tend to have lower expectations of
service quality than international tourists do. In addition, they have less
interest in safety when traveling abroad because they don’t expect any
danger or discomfort will come from that experience. Local tourists also
typically spend less time in their rooms while traveling so they don’t need
as many amenities there as international tourists do (Kadampully, 2013).

3.5.3. Economic Factors


Economic factors can affect the relationship between SQCS in the
tourism sector. For example, if a hotel is in a rural area, it may have more
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 59

trouble attracting customers who are willing to pay high prices for luxury
accommodations. In addition, if the hotel’s owner is not able to afford to pay
employees well or provide them with appropriate wo rking conditions, these
employees may be less likely to provide good customer service. Tourism
also creates jobs, which means that it benefits both the people who work in
industry and those who produce it.
However, there are some negative economic outcomes associated with
tourism as well. For example, many hotels have been built along large
coastal areas that are susceptible to flooding. This could cause damage to
those buildings and negatively impact their ability to provide services to
tourists. Another challenge faced by hotel owners is finding ways to keep
costs low while still always providing excellent service quality. This can be
difficult because many factors must be considered when creating budgets for
hotels and other travel destinations.
The price of services is directly affected by the demand for those
services. If there are more people who want to buy a certain service, then it
will cost more money to provide them with that service. However, if there
are less people who want that type of service, then it will cost less money to
provide them with it. This is because businesses can lower their prices when
they see their costs are decreasing over time. Hotels also have a large impact
on overall CSAT because they offer different amenities such as pools or
spas for customers to use while staying there. This helps them feel like they
are getting more than just a room when they stay there instead of having
nowhere else to go during their visit.

3.6. THE ROLE OF CUSTOMER TRUST IN THE


RELATIONSHIP BETWEEN SERVICE QUALITY
AND SATISFACTION IN LEISURE SERVICES
The role of customer trust in the relationship between service quality
and satisfaction in leisure services is an important factor to consider. For
customers to be satisfied with their experience, they must feel that the
service providers are trustworthy. When a customer has no confidence in
the service provider, they will be less likely to return because they do not
believe that the provider will uphold their end of the bargain. It has been
found that customers with high levels of trust are more likely to be satisfied
with their experiences with a company’s products or services. Customers
who feel confident in their decision-making process will be more likely to
60 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

select a company that they believe provides quality products and services
(Kadampully, 2013).
It is important to provide tourists and customers with adequate
information about what you offer as well as how it can help them achieve
their goals. This information can then be used as part of an overarching
marketing strategy which will help increase customer loyalty and generate
repeat business from satisfied clients. In the leisure industry, this relationship
has been shown to be highly context dependent. For example, while there
may be no difference in terms of CSAT between a hotel that offers free
Wi-Fi and one that does not, customers who have just been upgraded to
a suite will find the former more satisfying than the latter. In addition to
factors like location, price, and amenities, other variables that can impact
this relationship include customer trust in the two businesses involved. If
customers feel as though their privacy will be respected by both businesses’
staffs, they are likely to feel more satisfied with their experience overall.
The impact of this relationship on the overall experience of a client or
guest can be as simple as a positive experience that makes them feel valued or
as complex as a poor service experience that causes them to have a negative
perception of the company. The most common way that businesses improve
their relationship with their customers is by improving the quality of their
products and services. For example, if your hotel has a good reputation
for providing excellent service then you are likely to have more satisfied
customers who will recommend your hotel to others.
If a customer feels that the quality of their experience will be compromised
by a negative interaction with a staff member, they may choose to choose
another business over that one. The same is true if they believe that they will
not be provided with sufficient information about the services offered by the
business. If customers do not trust that businesses will treat them fairly or
transparently, then this can lead to poor service quality. In turn, this can lead
to lower levels of CSAT and increased likelihood that customers will choose
other companies over those who provide similar services at similar prices
(Kadampully, 2013).
Customers are going to be the ones who have the most say in the matter
of trust, so it’s important that companies don’t make assumptions about their
customers’ wants and needs. It’s also important to acknowledge that your
customers have a lot of different needs, and that it may take some time for
them to find what works for them. Once you’ve identified your customers’
needs and wants and how you can meet those needs and wants, you can
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 61

begin working on improving customer trust by making sure your services


are good enough. This means providing a quality product at an affordable
price with excellent customer service-all things that will help boost CSAT,
which leads directly to increasing value.

3.7. ROLE OF MANAGERS AND INDUSTRY PLAYERS


The best way to understand this relationship is through an understanding
of the role that managers and industry players play in this relationship.
Managers are responsible for making sure that their staff members deliver
a high-quality product or service. They also guide employees on how they
should interact with customers to ensure that both sides are satisfied with
the experience. Industry players are those who are responsible for providing
the setting for service delivery. They may provide facilities like hotels,
restaurants, etc., or they may provide equipment like computers or phones
that help facilitate communication between staff members and customers.
These two groups can be viewed as either independent variables or
dependent variables in terms of their effect on each other’s performance/
satisfaction/value. If we assume that managers’ actions influence industry
players’ actions (and vice versa), then we can create a causal model between
these two variables. To ensure that their customers have a high level of
satisfaction with their service, managers should take steps to understand
what makes them happy. They can then use this information to make
improvements so they can offer better quality services at lower prices
(Kassim, 2013).
Managers also need to be aware of what customers are looking for and
make sure that their staff meet those expectations. Finally, managers should
strive for continuous improvement in all aspects of the business so that they
can continually improve the quality of their service offerings. Employees
also play an important role in improving service quality by always providing
excellent customer service. Employees should always be courteous and
polite when interacting with customers so that they can build relationships
with them over time through repeat visits or referrals by other customers
who have had positive experiences there as well! Finally, customers play an
even more important role than either managers or employees when it comes
to improving service quality because if customers are happy then there will
likely be more repeat business coming in overtime which will help increase
profits overall (Kadampully, 2013).
62 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

3.7.1. Implementing Service Recovery


Service recovery is defined as “the degree to which a business or organization
responds to its customers’ needs.” It can be defined as any action taken to
address a problem that has arisen from the actions of an organization. Service
recovery can be measured by asking customers about their experiences with
a company and using their responses to establish whether a company has
successfully addressed the issues that led to their dissatisfaction. Service
recovery influences service quality, CSAT, and value in THL services. There
is a positive correlation between SQCS. There is no significant relationship
between service quality and value. More so, there is no significant differences
between the importance of each factor on their influence on the relationship
between these (Kassim, 2013).
The relationship between service recovery, CSAT, and value in THL
services is highly dependent on the nature of the service. For example, if a
hotel experiences an increase in its level of service recovery and increases
its level of satisfaction with its customers, then it may be able to increase
its value. However, if this same hotel experiences an increase in its level
of satisfaction with its customers while maintaining the same level of
service recovery as before, it may decrease its value. This is because when
customers are satisfied but their expectations are not met (e.g., they receive
poor treatment or food quality), they will likely be less willing to pay for
that poor experience next time around—in other words, they’re more likely
to leave a restaurant or hotel with a bad taste in their mouth than if they had
left feeling satisfied but dissatisfied (Kadampully, 2013).

3.8. ROLE OF CREATIVITY AND INNOVATION IN EN-


HANCING SERVICE QUALITY
The relationship between service quality, CSAT, and value in THL services
is an important one. Service quality is defined as the level of attention to
detail given to a particular task or product. Creativity and innovation are
attributes that can be used to improve service quality. Creativity refers to
the ability to come up with ideas and solutions that are novel or original.
Innovation refers to the ability to adapt existing concepts or methods to
create new products or services. The key to improving CSAT and enhancing
the value of THL services is to focus on improving the experience for all
customers, regardless of their nationality or background.
Relationship Between Service Quality, Customer Satisfaction, and Value in ... 63

This means creating an environment that is welcoming to all guests,


regardless of their age or gender. A welcoming environment will result in
a more positive overall experience for all guests, who will be more likely
to return in the future. It also means providing a variety of different types
of experiences for different types of guests so that they have something
different to look forward to each time they visit. This approach maximizes
the potential for repeat business by providing opportunities for positive
experiences that are meaningful enough to keep guests coming back again
and again. Furthermore, this relationship can be explained by the concept
of “total quality management” (TQM). TQM is a management philosophy
based on the belief that top management should be involved in all phases
of an organization’s activities. The goal of TQM is to improve employee
performance by focusing attention on organizational goals and processes
rather than individuals (Kassim, 2013).
CHAPTER 4

The Impact of People, Process,


and Physical Evidence on
Tourism, Hospitality, and Leisure
Service Quality

Contents
66 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

4.1. INTRODUCTION
Service is the aspect that affects the success or failure of businesses and
places in the hospitality and tourism sectors. It is still critical to deliver
excellent customer service to keep the promises made to tourists by
British Columbia marketing initiatives. Destination British Columbia has
launched a new marketing project called Remarkable Experiences to attract
more visitors to the province of British Columbia. The degree to which
corporations and their personnel can deliver great service to customers
while simultaneously focusing on the “human element” of their interactions
with visitors will determine how effective this strategy is. Furthermore, the
Canadian Tourism Commission is working hard to increase the quality of
interactions with visitors, which is an important component of the Canadian
Signature Experiences that are currently being developed throughout the
nation (Qatu, 2016). According to the conclusions of a 2010 study, managers
and business owners operating in the tourism industry on Vancouver Island
highlighted the need to improve their ability to provide exceptional customer
service. Employers and human resource managers place a high importance
on personal growth, tourism and hospitality expertise, computer and
communication competence, leadership and management ability, customer
service skills and dispositions, and other related attributes (Chen, 2016).
The expanded marketing mix, also known as the marketing mix for the
service industry, is made up of three more Ps. Human resources, operational
processes, and observable proof are critical to the capacity to offer
commodities and produce value. The importance of each of these words to
the development of a company or the selling of a product will be discussed
more below. Because intangible commodities have distinguishing qualities
such as heterogeneity and inseparability, the service provider or people who
offer the service are an important component of the marketing mix in the
service industry. It is impossible to overestimate the value of a person’s
touch while doing a service for another. The utilization of procedural and
physical proof is used to resolve the uncertainty around the intangible nature
of the service’s output.

4.2. THE IMPACT OF PEOPLE ON TOURISM,


HOSPITALITY, AND LEISURE (THL) SERVICE
QUALITY
When we talk about “people” in the service industry, we’re talking about
the people who work for the companies. They are critical to the success
The Impact of People, Process, and Physical Evidence on Tourism, Hospitality,... 67

of any service-based business and are frequently referred to as “internal


customers.” Real individuals work in all sections of the organization,
including management, administrative personnel, sales, and customer
service representatives. People who give genuine service to customers,
whether they are flight attendants, waiters, academics, or anybody else, are
the most important part of a service-oriented business. These individuals are
critical to the success of any company since they guarantee that goals are
met. When consumers are pleased with the service they get from a company
or resort, they are more inclined to return. Customers’ interactions and
behaviors with service providers are common therapeutic aims in the service
business. Because the business owner or management cannot always fulfill
or guarantee the pleasure of every customer, the quality of the personnel,
their motivation, and their emotional stability are critical to the firm’s
success (Chen, 2016).
Successful firms in every field rely on employees that are untiring and
dedicated to the company’s purpose to achieve their objectives and fulfill
their vision. Workers in the service sector are one of the most essential
aspects in deciding whether a company will succeed. Businesses must
consider crucial factors when it comes to the education of a competent staff,
and this is especially true in the tourism, hospitality, and leisure (THL)
service quality sectors. A motivated team with several opportunities for
advancement. To provide a constant quality of service, it is critical to have
effective management, pre- and post-sale service solutions supported by
technology, and educated and developed employees. The administration of a
service provider demands paying great attention to workforce management
as well as employee motivation. The answer is as simple as having enough
enthusiastic people present in the relevant venues at the appropriate times.
Because of the dedicated and knowledgeable personnel, it employs, the firm
enjoys a substantial advantage over its competitors (Qatu, 2016).
Employees in Various Administration Modes The breadth and frequency
with which a service provider keeps touch with their clients may be used to
classify them into numerous categories. Each of the following subjects is
thoroughly discussed.
Employees that have direct client/customer contact: These employees
often converse with consumers. They are also classified as belonging to
one of three distinct types. A high contact employee is someone who works
as a waiter, flight attendant, nurse, or in any other employment where the
individual spends a large amount of time interacting with clients. Employment
such as those in the postal service, answering phones, and delivering parcels
68 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

are examples of “minimal contact” employment since they only have short
encounters with customers. Experts such as physicians, attorneys, and other
professionals are contacted when all other alternatives have been explored.
Non-contact staff help with service delivery but do not interact directly
with customers. These employees are also known as support people at
times. They are vital in the service business because to their skill, technical
knowledge, and mastery of their trade (for example, consider a hotel chef or
an airline pilot) (Chen, 2016).

4.2.1. Importance of People in the Sectors


If organizations in the tourist and hospitality sectors want to effectively sell
or advertise their goods or services, they must design a marketing plan that
incorporates all the marketing mix parts. The human component is critical to
the whole marketing strategy. Employees and organizations who are driven
to work toward a similar goal have a better probability of success. The
following are some of the ways that service providers may aid, as shown by
the world’s most successful businesses.

Figure 4.1. An employee sharing model for the tourism and hospitality indus-
try.

Source: De la Mora Velasco, Huang, & Haney (2021); http://dx.doi.org/10.3390/


tourhosp2020011.
People who work in the service industry are walking billboards: Every
employee serves as a corporate spokesperson in some manner. Being a good
chef is not as useful to a restaurant as being able to function as a brand
The Impact of People, Process, and Physical Evidence on Tourism, Hospitality,... 69

ambassador. The chef’s culinary masterpieces will lead the restaurant’s


name to become connected with them. Competent flight attendants will
boost an airline’s professional image, which in turn will boost the value of
the airline’s brand, in the same way that physicians who care about their
patients’ well-being improve the value of a hospital’s brand and instructors
who make a school renowned for its curriculum do. As a result, it should
come as no surprise that a company’s value is mostly determined by the
efforts of its personnel. Customers often depend their opinions of service
providers on the level of the individuals that work for them. Even the actions
of a single disgruntled employee of a business could harm the firm’s brand
name. When terrorists attacked the Taj Hotel in Mumbai, the personnel
responded promptly and effectively, enhancing the company’s reputation as
one that prioritized client safety (Figure 4.1).
Some of the ways in which employees contribute to the delivery of
personalized services are as follows: Employees have a larger burden of
ensuring customer pleasure. Staff members must have a thorough awareness
of the client’s problem to propose an appropriate solution. You may hire a
travel adviser via a travel agency. Because a satisfied customer is important
for the generation of money and the development of recurring business, a
competent employee will provide a solution that is tailored to the client’s
needs and will not try to impose anything on the customer that the customer
does not need (Qatu, 2016).

4.2.2. Qualities Required in the People Working in Service


Workers in the service industry are in particularly high demand since they
represent the company to the broader public. Frontline employment need
individuals who are self-motivated, able to deal with stress, and excellent at
giving service even while under pressure. Because they are the organization’s
representatives, these personnel must constantly treat clients with respect
and display confidence while engaging with them. The individuals that
provide the service or work for the firm may have a big impact on the
degree of contentment, dedication, and overall happiness of a company’s
customers. The size of the market and the number of devoted customers can
only increase from here. Professionals in the service industry must therefore
possess skills such as problem solving, excellent communication, a pleasant
demeanor, empathy, patience, product knowledge, company knowledge,
emotional intelligence, good listening skills, attentiveness, multitasking,
teamwork, crisis management, time and people management, and other
similar abilities to be successful in their careers. Members of the cabin staff,
70 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

for example, are required to maintain a constant level of cheerfulness for


the benefit of their visitors, regardless of how they really feel (Chen, 2016).
It is much easier to get things done and establish solid connections with
colleagues in a well-organized workplace. They also make certain that workers
get the credit that is due to them. Managers must make their workers aware of
the value they provide to the company by outlining how their contributions,
both in terms of labor and ideas, are incorporated into the larger total. If
a business appreciates and intends to keep its workers’ creativity, it must
consider their psychological wellness. Businesses should give counseling,
therapy, and encouraging prizes to retain employee motivation. Benefits that
are becoming increasingly widespread in the workplace include bonuses,
insurance, health care, vacation time, yoga, time off to relax on the job,
longer maternity leave for women, and so on. During the 2020 crisis, for
example, the governments of numerous states conducted discussions to
improve the morale of all COVID personnel. Financial incentives are one of
the tools that state governments, and the federal government are developing
in collaboration to employ against people who disrupt established systems.
The Odisha government has pledged to reimburse INR 50 lakh to the families
of any medical professionals or members of any other supporting service
providers who die because of their efforts in the fight against COVID-19.
Several governments and organizations in their respective sectors provided
workers in the THL service industries with the necessary care and training
to be able to deliver the same degree of care to others. These countries have
finally accepted that the battle against COVID-19 can only be won with
the support of dedicated people pushing them ahead. Maintaining employee
motivation is the first and most critical stage in achieving an organization’s
goals. It is difficult for a firm to establish a lifelong learning culture unless
it provides its personnel with continual training and access to cutting-edge
educational resources. When employees are uninspired, it may have a
substantial influence on productivity; yet, when they are really driven, the
effect is the reverse. They will put out their best effort, resulting in a boost
in the company’s productivity (Chen, 2016).

4.3. IMPACT OF PROCESS IN THE TOURISM,


HOSPITALITY, AND LEISURE (THL) SERVICE
QUALITY
Workflows, systems, techniques, and procedures may all be used to structure
the processes involved in the provision of services. If the service delivery
The Impact of People, Process, and Physical Evidence on Tourism, Hospitality,... 71

technique is streamlined, efficient, and of high quality, the product may be


able to stand out from the competitors. A company’s success is contingent
on attaching its processes to its personnel. To accomplish both the aim
of standardizing service quality and the goal of increasing operational
efficiency, technically competent solutions and processes must be used
(Qatu, 2016).
Furthermore, when businesses have solid processes in place, they can
gather critical data on which to make essential decisions. A prudent strategy
establishes a balance between the degree of consistency and the degree of
personalization. This enables the consumer to learn about the many ways in
which his preferences may be updated while also appreciating the product’s
distinctiveness. MakeMyTrip, OYO, Trivago, and other similar websites
make reserving a hotel room or an aircraft ticket straightforward and fun,
and they provide a broad range of possibilities from which to pick. In
addition, they provide customized treatments from a menu of moderately
priced choices. Among these alternatives are various kinds of lodgings,
housing classifications, particular criteria, payment methods, and so on. As
a result, it is critical for all businesses to create the essential procedures to
facilitate service delivery.

4.3.1. Different Types of Essential Process Elements


To be considered successful, every service delivery plan must have several
components to make them successful. It must be smooth and quick, with
a solid delivery system, an easy method to manage consumer complaints,
and payment alternatives that are both secure and convenient. When you
examine the Aircraft Turn Around Time, you may get insight into the
relevance of procedures in the service business. Turn-around time (TAT) is
the amount of time it takes an aircraft to travel from landing at the end of
one flight to taking off again at the start of another. This time is utilized by
both airline workers and airport personnel to get the aircraft ready for flying
as soon as possible. Every airline takes great efforts to reduce their aircraft’s
TAT as much as possible. This is being done to optimize the daily intake
of new aircraft while keeping hangar costs as low as feasible at the airport.
This will enhance income for the aviation industry. It is the duty of the
service providers tasked with preparing the aircraft for takeoff to guarantee
that the TAT target time is fulfilled by adhering to the processes that have
been established. Accommodation is in the same category as transportation.
After a visitor has checked out of their room, the room attendant will arrive
within 20 to 30 minutes to clean the area thoroughly and prepare it for
72 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

the next guest. Every hotel has a cleaning and preparation schedule that
assures not just consistency but also that personnel arrive on time for work.
This will result in early hotel reservations, which will generate income for
the organization. The rapid adoption of a successful plan would be very
beneficial to the organization’s standing. For example, we may promise
“pizza delivery in 30 minutes,” which is only possible with a consistent
strategy to delivering customer care. Customer satisfaction (CSAT) has
grown because of the promise being met within the stated time limit and the
effective service delivery system that supports it. As a result, the importance
of the method to achieving marketing objectives is highlighted (Qatu, 2016).

4.4. PHYSICAL EVIDENCE


One of the most important aspects to consider when marketing a service
is having concrete evidence to back up your promises. This P discusses
the value of the service product to the client and describes its internal and
external characteristics. The physical evidence consists of the ecosystem
or context in which the services are provided, as well as the movable items
required to carry out the process (Chen, 2016).
You emphasized in your seminar the importance of providing customers
with real-world examples of the level of care they have received to help
them form a more holistic impression of the product or service being
provided. Targeting any building is permissible, including but not limited
to airports, hotels, restaurants, travel agencies, cruise ships, banks, and
hospitals. It’s possible that the appearance of the firm’s employees has an
impact. Customers are more inclined to believe in the worth of the services
they have paid for if there is actual proof of that value. The company’s name,
slogan, colors, packaging, paperwork (invoices, tickets, dispatch notes,
etc.), vehicle signage, website, brochures, year of establishment, branding
on employees’ clothes and uniforms, certificates of achievement/awards,
and other similar items can also be used as physical evidence.
Let’s look at some specific examples of the services that are available,
as well as the evidence that supports their efficacy. To begin, in terms of
accommodations: The accommodation includes personal items such as a
sewing kit, official or personal paper, and toiletries such as shampoo kits in
the bathroom. The room is clean, well-lit, and spacious, and it comes with a
plasma TV, a hot water kettle, a mini-bar, snacks, and welcome cookies. The
atmosphere, music, and presentation of food in a fast-food restaurant are all
designed to appeal to a younger customer base. The presence of a sequence
The Impact of People, Process, and Physical Evidence on Tourism, Hospitality,... 73

of little toys, for example, in a happy meal act as a visual reminder that the
meal was eaten in a fast-food establishment (Chen, 2016).
The waiting area and the plane itself should reflect the mission statement
or vision of the airline by providing a clean and comfortable environment
with basic amenities, a young and intelligent crew, neat and tidy uniforms
and grooming of the staff, adequate lighting, a pleasant temperature,
spacious seats with plenty of legroom, and cutting-edge in-flight services
and entertainment. Since most of a passenger’s time will be spent inside
the plane, the waiting area, and the plane itself should reflect the mission
statement or vision of the airline. An airline may, for instance, put up
exhibitions of its newer, more comfortable seats in shopping malls and
other public venues to sell its newer, more comfortable seats. The objective
of the event was to give potential consumers a chance to have a hands-on
experience with the airline’s concrete proof, which in this case included the
quality of the seats and the degree of comfort they supplied (Qatu, 2016).
Tour operators are required to have a well-groomed team dressed in
pristine uniforms, a clean and attractive waiting area with basic amenities,
images, and artifacts advertising the firm and the areas it travels, a printed
tour brochure and/or itinerary, luggage tags, and carry bags.
Theme parks should have visually appealing interior and exterior
design elements that express the park’s guiding ideas and/or mascot in some
manner. The atmosphere should be energetic and cheerful. Tourists should
be greeted in a manner that reflects the theme park, which should have a
high-energy, casual atmosphere; the music should reflect the theme park; the
surroundings should reflect the theme park; and the receipts or ticket tickets
should resemble the theme park. Souvenirs representing a theme park might
range from key chains to magnets to something altogether else.
According to the preceding examples, the term “Physical Evidence” may
refer to both the way the experience leaves an impression on the customer
as well as any keepsakes or souvenirs that the customer may carry with
them as a guarantee of the services they will or have already received. There
are two main categories of physical evidence. The first category is made
of services capes. This in basic essence is a model used in giving more
information on the service ecosystem that involves interactions between
service providers and customers. The model and the concept behind it were
generated from the Booms and Bitner. It basically states that customers are
directly affected by ambiance. For this reason, it is advised that services
cape should be intelligently and conductively designed such that a customer
74 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

believes that they are going to get good quality service. This is necessary
in the THL sectors as it ensures that the business will continue for longer
durations. This is attributed to the fact that it greatly involves the product
being exhibited before the consumer. This is the main reason why physical
spaces adopt high quality designs. The quality and the colors chosen to place
a great psychological impact on consumer preference and thereby greatly
influencing the success of the business. Servicescape generally encompasses
good hotels, airlines, banks, hospitals, healthcare, and restaurants. There are
several elements put under the service cape that contribute to its success
(Chen, 2016).
Among the elements is the conducive aesthetic conditions. The term
aesthetic is used to mean pure beauty without necessarily taking into
consideration other factors or the principle of style or taste adopted by the
administration or hotel. This in layman terms means that consumers tend to
choose places or hospitality products based on favorable aesthetic appeal
and durability. The aesthetic of the place includes the fragrance and smell
of the area. Studies show that both smell and fragrance an area contribute to
the design and signature style of a given organization as it has a strong effect
on the mood, comfort, and sense of belonging for the customer. This greatly
influenced customer preference. Both smell and fragrance are collectively
referred to as olfaction. It is well known that our sense of smell tends to
be very primitive and uniquely mysterious. Fragrance is very key to the
tourism and hospitality sector as it contributes to the life and survival of an
individual. In the hospitality and leisure sector, both smell and fragrance
are considered indicators of the sense of beauty and safety of the area. On
the other side, it could also be an indication of ugliness and danger which
does not attract visitors who ensure the continuity of these sectors. For this
reason, it is necessary that the hospitality sector choose the best fragrance.
This means that foods cooked in these spaces should have a good aroma
which will attract more people. This is linked to the fact that pleasant smells
contribute to a positive mood and memories. Such cannot be created and
achieved through advertisements (Qatu, 2016).
A good smell reflects the exclusivity and sense of luxury presented for
the consumer more so in this modern day and age. There are various kinds
of scents mostly used in the hospitality sector to make the environment
more enticing and inviting to guests. Some of these scents include aloe,
white tea, lemon grass and green tea, among others. The scents are used
in different areas for different purposes. Another element under aesthetics
is the quality of air. Studies show that there is a dire t relation between
The Impact of People, Process, and Physical Evidence on Tourism, Hospitality,... 75

mood and temperament and the quality of air consumers consume. This has
a dire t effect on their interactions with quality service providers. When the
conditions are inconducive, people begin to feel uneasy as it does not suit
them. The importance can be noted in restaurants where is the restaurant
offers good quality food but do not have good quality air in that the area is
filled a lot of smoke and heat then it is very likely that the customer will not
return to such an environment as they will experience a hard time consuming
their food even if it is tasty. In the hospitality sector, proper ventilation
is very necessary as poor ventilation could lead to the consumer feeling
uneasy. This is why much emphasis is placed on the need to have good
temperature and air quality control. This contributes to a good consumer
experience (Chen, 2016).
Another element to be considered is sound and music. The sound and
music played in an area has a great effect on customer experience. They
are both said to affect both human behavior and mood as they affect human
productivity, health, and mood. In fact, it can affect a person’s perception,
mood, and overall health. There is a significant difference between sound
and music. Sound is defined with regards to highness or lowness and in the
context of customer service, it defines the effect of volume on customer
reaction and habit within a given service while music on the other hand
music defines the psychological effect on decision making and choice made
by the consumer. Music is very broad as it encompasses different tones
and genres. In most cases the hospitality sector is known to play soft music
which will create a calming effect on the consumer. It is the same case in
shopping malls, elevators, and spas, among others. Calm music is said to
create a calming effect in consumers allowing them to do their various
activities without any tension. This music is also said to cause consumers
to do impulsive shopping or spending which is good for the hospitality and
leisure sector. This may not be the case in the leisure environment. For
instance, in game rooms, such spaces may be noisy as there will be noise
from the screens and other facilities in the game rooms. This means that in
as much as every service sector needs sounds or music, the kind of music
selected should match the nature and tempo of the occasion. This goes a
long way in ensuring that the consumer is relaxed and comfortable. This
is well demonstrated in restaurants and hotels that hold karaoke and live
music sessions as they have proven effective in tuning up the mood allowing
consumers to have a fine dining experience (Chen, 2016).
Another element is the color of the place. The types of color used by a
restaurant, hotel or leisure area will determine whether consumers will be
76 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

attracted to the place. The type of color chosen usually leaves an impression
on the mind of the consumer as they observe how the various colors have
been used. Proper color combinations enable companies to properly advertise
their brand and products. Studies show that color has psychological effects
on the minds of consumers. These studies have been used to write various
interior design magazines. The type of colors chosen will determine the type
of furniture chosen for a place. There is also a direct correlation between color
and consumer behavior. This means that the different colors have different
relevance to THL service quality. For instance, red is linked to purchases
as it is considered a buying color. This is mostly used in the leisure sector
as it is known to stimulate consumers to purchase and spend lots of money.
Caution should be used when applying such a color as too much red could
turn off some customers. In most cases, red is used in passing on a message
to consumers or make them focus on a particular point (Qatu, 2016).
Orange is not frequently used in the hospitality and leisure sector. This
can be attributed to the fact that it is considered an irritating color. Studies also
show that it is among the least favorite colors among people and therefore it
is not used in advertising. There are few cases where the color is used though
mostly it is used to draw the attention of consumers. It is used in various
hotel and leisure settings as it is linked to creativity and sexuality. It also
gives the consumer a sense of affordability. It is often used sparingly or as
an accent color. It is often used as an attention grabber. Colors such as violet
and purple are considered subjective colors. Using such colors requires one
to take a risk as some people could love these colors or hate them. They are
mostly used in leisure areas that deal with spirituality or in areas of royalty
as they are royal colors. Blue is mostly used in restaurants and other leisure
settings as it is the most favorite color among large groups of people. They
are bet selling. It is a color that has been widely accepted among people of
different backgrounds. It is classified as a color of communication. It is said
to cause people to have a fantasy. There are different shades of blue all of
which have different effects on the consumer. For instance, the use of dark
blue is linked to power and authority. Blue is often used to create a sense of
peacefulness and tranquility. It can also be used to stir up flights of fancy.
Green is mostly used in outdoor spaces. It is considered a relaxing color
as it possesses the ability to create an outdoor feeling. This explains why it is
mostly used in open spaces. Depending on the shades used it can be used to
create a lush meadow, grass, or forest feel. Green may not be used in several
spaces as it is not a stimulating color. Green can be considered a passive
color. Yellow is a very vibrant color. It is said to be the first color captured
The Impact of People, Process, and Physical Evidence on Tourism, Hospitality,... 77

by the retina. Its popping color makes it to be a great attention-getting color.


It is used in spaces where an individual wants the consumers to get a good
focus. It is mostly used in moderation and therefore used as a good accent
color. Various tones of yellow can be used though its use should be well
moderated such that it does not drive away consumers. Very light shades
should be used in small amounts (Chen, 2016).
Brown on the other hand is mostly used to create a natural and traditional
setting. Brown can be used in various shades. Light shades are mostly used
with wood, and it is greatly linked to affordability while drack shades are
used in settings where a customer should get a rich or opulence sense. As a
color, brown is used in many settings as it is relaxing. It can also make the
environment appear casual. It could be used to create a natural environment
as it is the color of earth, nature, and wood. In most cases, rustic brown is
mostly used in restaurants to give it an affordable impact. Neutral colors
such as white and black are considered very effective and safe. They are
mostly used alongside other primary colors when utilized as an accent.
There are cases where they are used exclusively to give off a sterile and
institutionalized feeling to the customer. Depending on the environment,
the different colors are used. Colors could also indicate the theme of the
restaurant and could be used to pass a message to consumers. The main aim
is to ensure that the colors used should create a sense of cleanliness, safety,
and calmness (Qatu, 2016).
The other classification of services cape is layout and décor. In the
hospitality and leisure sector should adopt unique decors that will attract
customers. Décor encompasses the way space has been utilized, furniture
arrangement and the ambience of the area. The kind of décor used can
give the area its identity. Considering restaurants, most of them have
private spaces which allow large groups of people to hold meetings. This
is necessary in ensuring that other guests are not affected. Shopping malls
and other commercial spaces tend to adopt layouts that allow sellers to get a
view of all the products where the most sellable products are easily viewed
by consumers while the least sellable products are kept in the last corner.
Under design and layout, there are two classifications. The first
classification is exterior facility. The exterior facility can be outside of
the hospitality and leisure area. Such areas need to be very enticing and
captivating such that the customer will be attracted to it. This means that the
chosen layout needs to be well designed and specially catered for such that
a good impression is placed on the customer. This may cause them to book
78 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

hotels they were not meant to or get into various leisure places they had not
intended to participate in. They can also recommend the place to their friends
and family. A good ambience is very necessary as it is scientifically proven
that the ambience of an area greatly influenced the consumers cognitive
understanding, psychological behavior, and temperament of the consumer.
This means that the interior and exterior of the area should be impeccable.
This means that the kind of furniture purchased and used should be exquisite
and well-polished. The furniture should be comfortable as it contributes to
the design of the house (Chen, 2016).
The other classification under design and layout is the signs, symbols, and
artifacts. The kind of artifacts and symbols used in any given environment
contributes to the general design the layout of the area. It also contributes to
the feeling that the consumer should be having. The kind of artifacts used
are said to act as a pull factor for the consumer. When some artifacts are
used, they create a unique style which will relay a unique meaning to the
customer. They could also draw the customers to the area. This can be well
demonstrated by Punjab restaurants known for the various statues related to
the Punjab culture as they are used as a reflection of the authenticity of the
area. This is also the case in various restaurants in Jammu, well known for
the scooter display within the restaurant. This has been taken as a signature
style among consumers and it has proven effective in drawing customers
as many come from far and wide to come and view the displayed scooter.
Tools such as the scooter have been proven to create a lasting impression
on the memories of consumers. There are various symbols all of which
can vary with some taking the form of degrees used to communicate the
experience of the owner, affiliations, accreditations, awards, and the year
of establishment. The various documents are used in making the customer
have trust and belief in the establishment. Such artifacts have been proven
to create a lasting impression before and after visiting various places (Qatu,
2016).
Under the design and layout, those in the hospitality sector investigate
the uniform and dress code of their employees. The kind of dress taken on by
employees is known to make an impression on the mind of the consumer. It is
advisable that employees are given similar dress codes to create uniformity.
There can be a difference in the dress code depending on the level of the
employee. They should also know how to properly groom themselves. For
instance, ladies should use the light shade of makeup that suits their skin
tone. Too much make-up can scare away children or disgust customers. Their
dress code should go hand in hand with the look and feel of the restaurant.
The Impact of People, Process, and Physical Evidence on Tourism, Hospitality,... 79

For instance, if the theme of the restaurant is red, black, and white then such
colors will be incorporated in the dressing code of such employees. The
same applies to the fabric used in the restaurant such as napkins used. They
should highlight some of the colors used in the restaurant. They should also
be well maintained and properly cleaned so that visitors will trust that the
area is well maintained with high levels of cleanliness. For restaurants, the
dining sets should be well arranged such that it allows easy movement of
people. The design of the menu is also part of the design and layout of the
restaurant. If the menu is for children, then its design should be childlike
so that children will enjoy choosing food. Child menu should also employ
foods suitable for children such that they can enjoy it. For adult menus, the
colors should be well chosen such that it is appealing to the eye and there
is a desire to look at it. It should also adopt adult foods. Appropriate cutlery
should be used and properly laid out in dinner settings. This means that there
should be proper arrangement of spoons and forks on dinner tables. The
same applied to plating and the use of wine glasses (Chen, 2016).
Another element of a service cape is the tangibles. The term tangibles
are used to refer to elements that can be touched and felt by the consumer. In
most cases there are various things in the leisure and hospitality environment
that can be touched and felt. Tangibles are said to create an impression on
the mind of consumer. Some tangibles include brochures of the hotel or
resorts, fabrics used in beds, napkins, and other ornaments used. Tangibles
are considered an important part of physical evidence among consumers. For
instance, when the consumer takes service products with crockery bearing
the logo of the resort or the hotel is known to make a sense of premium
service consumption by the customer. It also makes the experience more
special to them. Tangibles are also useful in creating a sense of belonging
for consumers. To some extent, it can be used to make a home environment
or business environment depending on the consumer requirement. The
presence of tangibles is very useful in giving consumers the opportunity to
realize and explore the product in its physical form. This is very useful in
creating a sense of satisfaction among the consumers. This explains why
several hotels tend to personalize their soaps and other products among
others (Qatu, 2016).
CHAPTER 5

Cross-Cultural Service Quality


Issues in Tourism, Hospitality,
and Leisure Services

Contents
82 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Cross-cultural service quality issues can arise in the tourism, hospitality,


and leisure (THL) services industries due to the diverse range of customers
from different cultural backgrounds. Here are some common cross-cultural
service quality issues (Li, 2014).

5.1. DIFFERENT PERCEPTIONS OF SERVICE


QUALITY
Due to the relentless rise in global competition, hospitality institutions,
particularly hotels, are putting more emphasis on meeting and exceeding
their patrons’ needs and expectations. As a result, hotels must provide
superior service quality to differentiate themselves from the competition
and improve their reputation. Service quality is one of the most important
and extensively researched topics in the services industry today. Today’s
economy is heavily reliant on the quality of services provided, both in
developed and developing countries around the world. The quality of service
is determined by comparing customers’ expectations and perceptions of
their service experiences.
In this industry, the buyer’s perception of the supplier’s product and
service is heavily influenced by the customer’s perception of service quality,
which adds value to a product and fosters long-term relationships. As a result,
understanding the concept of customer perception is essential to provide the
best services.
The level of service quality provided frequently determines what
consumers think of an organization, which results in an organization’s
reputation improving or deteriorating. The reputation of an organization is
determined by the quality of its services. In the current context, customer
satisfaction (CSAT) and loyalty are thus a predicate of reputation. When
a company’s reputation is recognized by a wide range of stakeholders,
it reduces operational costs and has a positive impact on financial and
customer-related indicators such as CSAT, confidence, and loyalty. A few
studies on corporate reputation have taken a multi-stakeholder approach and
examined the impact of customer behavior on corporate reputation, but most
previous studies on corporate reputation have not. According to researchers,
consumers are one of the most important stakeholder groups because they
provide corporations with revenue streams. Customers are important in
this study because they influence how reputable a service organization
is perceived to be. As a result, any industry that provides services to its
customers should prioritize CSAT through high-quality service (Li, 2014).
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 83

Parasuraman et al. defines service quality as “global judgment or attitude


relating to the overall excellence or superiority of the service” in their 2014
study. Service quality, on the other hand, can be defined as an assessment
of how well a service is delivered per the client’s expectations, needs, and
desires. According to the definition of reputation, it is a perception of past
behavior, and future behavior is seen concerning the actions of others in the
marketplace (Pirnar, 2016).
An organization must identify its customers’ perceptions of service
quality to create mechanisms to improve or maintain the quality of service
they offer to its customers. The researchers examined the relationship
between service quality and hotel reputation in this study, using the
Mmabatho Palms hotel in Mafikeng, South Africa, as their case study. It is
critical to identify this perception to determine how the Mmabatho Palms
hotel’s reputation is influenced by customer perception of service quality, as
well as to gauge and assess the hotel’s reputation. We also promote the notion
that because each customer is unique and difficult to please, they each have
a different perception of service quality. This study is necessary because
research on customer perceptions of service quality and its reputational
impact is extremely important. It was required because it describes how
guests perceive the level of service provided by hotels, allowing hotels to
gain a better understanding of what their guests consider to be good and bad
service. This will assist hotels in guiding service improvements, identifying
issues as they arise, and gauging CSAT (Li, 2014).
Hotels must understand how guests rate their level of customer service
to have a better understanding of their public image. The provision of high-
quality service to delight and satisfy customers is critical to the survival
of the hospitality industry in today’s competitive environment, where most
hotels have essentially identical luxurious physical facilities. As a result,
to maintain a good reputation, hotels should ensure that the services they
provide are of high quality. However, reputation management, defined as the
practice of monitoring and influencing an organization’s image, can aid in
reputation preservation. It is extremely valuable to hear from satisfied guests
who share their hotel experiences. Unfavorable reviews, on the other hand,
should be minimized and used to raise the caliber of the hotel; as a result,
lodging establishments must ensure the highest level of service (Pirnar,
2016).
Customers evaluate the quality of a service based on their perceptions
of a two-dimensional service quality concept, a technical quality or outcome
of the service act dimension (what is delivered), or how well the service
84 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

performs as expected and as promised, or what the customer receives in


the end, or what is delivered, and the functional quality, or process-related
dimension (how it is delivered), i.e., their perception of how the service is
delivered. They believe that the “how” of service delivery must influence
perceptions of service quality. Greenrooms (1984) defines the functional
quality of the process as “another quality dimension that is closely related
to how the service provider functions and how the moments of truth of the
buyer-seller interactions themselves are taken care of.” Technical quality,
also known as an extrinsic quality, is the “what” delivered during the service
delivery process. It is defined as what the customer receives from the service
or the quality of the service’s outcome or result. Functional quality is also
known as an intrinsic quality, perceptual quality, and interactive quality,
and it refers to how a service is delivered. The “how” service is delivered
or provided is referred to as functional quality; it refers to the actions of
employees or the human interaction that occurs during the service encounter
(Li, 2014).

5.1.1. Importance of Good Reputation in the Hospitality


To potential and current customers, a positive reputation can indicate superior
quality, effective human resource management, and highly innovative goods
and services. People have certain expectations of a company, in this case,
a hotel, based on its reputation. A good reputation makes it easier for the
company and the customer to communicate effectively, which encourages
positive word of mouth to spread. According to this belief, if a company’s
reputation is well-managed and successful, it can both retain and attract new
customers (Pirnar, 2016) (Figure 5.1).

Figure 5.1. Santa Cruz beach hotel.

Source: Ajani, Omobuwa, & Ajayi (2019); Scientific Figure on ResearchGate.


https://www.researchgate.net/figure/Figure-1-Santa-Cruz-Beach-Resort_
fig1_335962360.
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 85

Because of the power that customers have when they hear the name
of an organization, reputation in the hospitality industry is regarded as a
critical factor in the overall evaluation of any organization. As a result,
companies that want to successfully differentiate their market positioning
must conduct ongoing reputation research. A notable aspect of the hospitality
industry is the relationship between the service provider and the customer,
which is frequently based on the service provided and the effectiveness
of the organization in providing the service. The performance of such an
organization frequently influences how customers perceive its reputation
and its overall image.
Although customer perceptions of service quality are important, it is
the service provider who designs and delivers the service. Service providers
serve as the organization’s ambassadors because they maintain the ideal
balance of service quality in the minds of customers. They serve as a
boundary-spanning that connects commercial organizations from the inside
and the outside by gathering information and sharing it with all parties; this
is also known as discretionary behavior, or going above and beyond what is
required to serve the customer (Li, 2014).
Forburn (1996) defines corporate reputation, in contrast to other top
competitors, as “a perceptual representation of a company’s past actions
and prospects that describes the firm’s overall appeal to all of its key
constituents.”
The author contends that corporate reputation is issue-specific, in
addition to differing perceptions from various stakeholder groups. A
company’s stakeholder groups may differ, as do their perceptions of
the company. For example, the hotel Mmabatho Palms has an excellent
reputation for customer service but a poor reputation for social responsibility.
The dictionary (dictionary.cambridge.org) defines reputation as “the general
opinion that people have about someone or something, or how much respect
or admiration they show for that person or thing based on past actions or
character traits.” From this perspective, corporate reputation can be defined
as the general opinion that the public (both internal and external) of an
organization has of it, whereas reputation can be defined as the opinions that
other people have of another person (Pirnar, 2016).

5.2. DIFFERENT CULTURAL NORMS


When we talk about diversity, we mean the differences between people of
different ethnic backgrounds. In contrast, “cultural diversity” refers to the
86 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

wide range of individual cultural practices. Examples include how people


behave, dress, practice religion, and interact with nature (Li, 2014) (Figure
5.2).

Figure 5.2. Culture and tourism-Maasai with sunglasses talking to a female


tourist holding a phone.

Source: Avieli, Nir, & Sermoneta (2020); Scientific Figure on ResearchGate.


https://www.researchgate.net/figure/Tourism-Maasai-with-sunglasses-talking-
to-a-female-tourist-holding-a-phone-Nungwi_fig4_346126243.

5.2.1. How to Manage Cultural Diversity to Gain a Competitive


Advantage?
It is possible to manage cultural diversity in the workplace to strengthen
employees’ sense of self. The establishment of effective communication
channels between managers and employees is a necessary step in this
process.
The promotion of an open communication culture improves the socio-
behavioral component as well as self-esteem, which in turn encourages
the expression of opinions that are representative of all employees. This
allows for productive meetings with clear communication. With such
diversity management, a review of an employee’s extrinsic rewards based
on their level of expertise may be possible. Salary increases and the
opportunity to advance in one’s career are examples of intrinsic rewards.
A review of cultural diversity would allow employees to be given equal
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 87

opportunities without prejudice toward cultural minority communities


(Pirnar, 2016). Performance should take precedence over other factors to
foster a hardworking environment. Promotional and career development
opportunities in the hospitality industry should be distributed equally across
all business lines. Such actions ensure high employee satisfaction, which
serves as a source of inspiration. Training and development are encouraged
to be used by various businesses in the sector to prepare workers from
various backgrounds. The procedures help employees adjust to necessary
changes, such as the market’s current fierce competition and other business
challenges, some of which may be environmental. Individuals can now
perform in parallel regardless of the different environments in which they
are posted. The analysis identifies key roles or points where training is most
needed while also appropriately positioning the employees who require
training. Finally, the employees are given the necessary training to assist
them in performing their various tasks professionally.
Implementing the induction method delegated significant responsibilities
for leading the organization using their fundamental knowledge to skilled
employees. The procedures allow management to evaluate and track
employees’ various skills regardless of their cultural backgrounds, allowing
each person to be assigned tasks that best suit their areas of expertise. The
process of managing cultural diversity contributes to the type of leadership
that exists in the industry. This enables the company to inspire and unite a
diverse workforce to function as a team.
The harmony fostered by effective leadership always benefits the
organization’s profitability. The leadership finds it easy to assist employees in
embracing the organization’s values while also adapting to emerging trends.
Cultural diversity can also be managed through transformational leadership,
in which the management team is tasked with informing employees about
the organization’s and industry’s risk factors in the language that they
understand best. Employees are allowed to discuss possible disaster recovery
plans in this manner (Li, 2014).
Management ensures that every employee understands the organization’s
goals and the various ways in which the organization’s development
programs can be integrated. It is also possible to develop strategies for
managing cultural diversity to ensure team harmony. The workforce’s
ability to operate following the basic principles of the hospitality industry
has a significant impact on cohesiveness. The problem also reinforces the
level of skilled labor useful for marketing purposes because their ability
88 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

to persuade customers can be trusted and relied on.Cultural diversity


management can also be entrusted to democratic leadership. Working
closely with administrative but non-discriminatory rules is easier when
communication is done in a language that the employees understand. The
ability of employees to follow instructions ensures task efficiency, which
makes supervisory roles easier. Because employees feel safe, the company’s
goals are easily met, and the culture of the organization is easily followed
because employees have a strong sense of belonging to the environment in
which they work (Pirnar, 2016).
The issue of cultural diversity is among the most important aspects of
the hospitality industry. Employers require a wide range of skills to manage
diverse issues, including gender and religion, among others. Cultural
diversity in the workplace has presented challenges, particularly for foreign
workers. However, as more members of underrepresented groups enter the
hospitality workforce, this should be cause for concern (Li, 2014).

5.2.2. Challenges of Interculturalism in the Hospitality Sector


and Consequences for Hotel Management
Culture provides a person with a sense of identity, roots, and historical
background, as well as a sense of belonging to a specific community. It
governs and manages an individual’s attitudes and behaviors. Religion,
political power dynamics, charismatic and strong leaders, historians, and
storytellers are just a few of the many influences on culture.
However, problems can arise when people from different cultural
backgrounds misunderstand one another due to linguistic and cultural
barriers. As a result, understanding cultural differences between nations is
as important as speaking a foreign language.
Because of the global reach of the hospitality industry, cultural sensitivity
and intercultural communication have grown in importance, particularly in
interactions with hotel guests and staff. For a variety of reasons, today’s
hotel professionals should be aware of these interactions and potential
management strategies for them.
To begin, it is widely assumed that one of the most fundamental reasons
for traveling is to encounter different cultures. Over many years, the tourism
industry has continued to expand and diversify, making it one of the world’s
fastest-growing economic sectors. International visitor arrivals increased
by 4.4% in 2014, according to the UNWTO, and this trend is expected
to continue. Given the increasing number of foreign tourists visiting the
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 89

country, it is obvious that interpersonal interactions between people


of different nationalities and cultures will continue. As a result, to work
effectively, hospitality professionals must understand and empathize with
people from diverse cultural backgrounds (Pirnar, 2016).
Second, many hotel chains are looking for new markets to enter. For
example, the international hotel chain Accor Hotels has hotels in several
major cities and capitals around the world. Working for a multinational
hotel chain allows you to relocate to another country for international
assignments. Hotel managers are frequently transferred abroad, where
they are immediately immersed in a foreign culture, but as the hospitality
industry globalizes, their organizations may send them to destinations with
fundamentally different cultures than their home environments. Because the
hospitality industry is global, managers in this field must be adaptable to
their geographical surroundings and familiar with the customs and business
practices of each country. They must be aware that other employees may
not speak their language or share their cultural background. As a result,
proficiency in the target language and some understandings of the working
environment’s culture are critical for success and management with clarity
and impact (Li, 2014).
Third, because of ongoing globalization, the workforce in the hospitality
industry is becoming more culturally diverse. One of the world’s largest
hotel chains (The Hilton) claims that it is “by nature diverse” with over
3,00,000 owned, managed, franchised, and corporate Team Members spread
across 93 countries. In comparison, the Accor hotel group employs 1,80,000
people across five continents and more than 92 countries. As a result, people
from various cultures must collaborate and communicate while going about
their daily activities. Cooperation and communication are essential in the
hospitality industry, where many employees serve customers, and those
employees must rely on other staff for support. Contact employees are
typically required to communicate with staff from other areas to serve guests
and address their concerns. Contact employees may be unable to perform
effectively if departmental cooperation fails due to cultural differences and
communication misunderstandings, particularly when service failures occur,
and immediate recovery action is required. This “moment of truth” could
harm how customers are treated, leaving them dissatisfied and potentially
leaving.
Fourth, the effectiveness and competitive advantage of a company is
determined by how well its human resources are managed. In the labor-
90 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

intensive hospitality industry, human resource management is more


complicated and heavily reliant on effective communication. A lack of
understanding of cultural differences, on the other hand, can lead to a lot of
communication misunderstandings and ineffective management, motivation,
and reward strategies for culturally diverse employees, which can lead to job
dissatisfaction and frustration. As employee annoyance levels rise, so may
employee turnover and product and service quality.
Finally, given the increasing volume and intensity of intercultural
interactions, having a strong understanding of intercultural competence is
critical for working well with people from different cultures. This includes
the ability to recognize and comprehend cultural and racial differences
between one’s own and those of others, as well as accept and respond to
these differences appropriately in speech and deed. Culturally competent
people should have a diverse set of attitudes, knowledge, and abilities that
enable them to form positive relationships and communicate effectively
with people from other cultures (Pirnar, 2016).

5.2.2.1. Challenges for the Hospitality Industry Stemming From


Cross-Cultural Service Interactions
Many service businesses rely heavily on their employees to provide
excellent customer service. Employees are thought to be critical to gaining
a competitive advantage due to their unique skills and capacity to provide
high-quality services. This is especially noticeable in the hospitality industry,
also known as the “people industry,” where hotel services are provided to
people through people, and guests are directly informed of the importance
of their treatment by staff members (Li, 2014).
Employees, on the other hand, regularly engage in cross-cultural
interactions with others due to the global nature of the hospitality industry
and the consumption of hospitality services, necessitating knowledge of
a diverse range of customs and cultures. More specifically, because hotel
guests from various social and cultural backgrounds may have different
preferences and expectations of hotel staff members, as well as different
perspectives on hotel services, there may be an increase in communication
issues and other misunderstandings.
For example, Torres et al.’s (2014) study of hotel visitors from various
nationalities in the Central Florida region demonstrated that, while some
universal service elements exist, visitors from various cultures can be
delighted by a variety of services and amenities. Swanson et al.’s (2014)
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 91

cross-cultural comparison of Chinese and American hospitality patrons


revealed how cultural differences can influence the types of critical incidents
reported, recovery strategies, and even post-incident behaviors.
However, Johns et al.’s (2007) study found that an individual’s proclivity
to provide excellent customer service can be influenced by their ethnic or
national culture. As a result, the hospitality industry frequently relies on a
diverse clientele as well as a diverse workforce. Service interaction between
customers from one culture and employees from another can result in
numerous misunderstandings and conflicts due to different cultural values
and norms. Disgruntled customers, disgruntled employees, and, ultimately,
a drop in sales could all have serious consequences for an organization’s
effectiveness (Pirnar, 2016).
It is critical to understand guests’ worldviews and culturally specific
needs to determine what type of service response is most appropriate in each
service situation. It is critical to remember that what pleases customers from
one culture may not please customers from another. As a result, it is critical
to target specific guest groups and provide services and amenities that meet
their needs. This provides customers with a truly “culture-oriented” service
experience, which may increase their satisfaction and loyalty. Finally,
the challenges confronting human resource management are exacerbated
by the perception that service interaction is the most important factor in
determining the quality of a given service. The hospitality industry has
always been viewed as a melting pot of cultures, where effective intercultural
communication is critical to business operations (Li, 2014).

5.2.2.2. The Implications for Business From Intercultural Chal-


lenges in the Hospitality Sector
Given the global nature of the hospitality industry, businesses that fail
to effectively accommodate the cultural diversity of their markets and
workforce will fall behind. The ability of hospitality businesses to appreciate
the uniqueness of their international workforce and capitalize on cultural
differences is critical to their success. Employees should be treated as
individuals with feelings, aspirations, personal goals, and life priorities.
They should be viewed as an asset that adds value to service companies.
As the literature emphasizes, major hospitality companies recognize that
human resources are distinct from other company resources. The fact that
their workforce is culturally diverse appears to be something that many of
them value and actively promote.
92 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Diversity should be communicated to all employees and incorporated


into the company’s strategic goals and core organizational values. It should
also be advertised everywhere and at all levels of the hospitality industry.
Employees working in diverse cultural environments may feel uncertain and
confused if adequate training and clear communication are not provided,
which may have an impact on internal operations, customer service, and,
ultimately, visitor satisfaction. As a result, numerous training and inclusion
initiatives must be implemented to foster and cultivate an appreciation for
cultural diversity among hospitality workers. Employees should benefit
from these activities in terms of understanding the perspectives of others
and developing trust and respect for those from other cultures. As a result of
openness and exposure to culturally diverse points of view, many people may
become motivated to suggest innovative, practical, and culturally focused
service solutions. As a result, “diversity enriches a hospitality organization
by introducing new cultures, ideas, and problem-solving approaches.”
In the hospitality industry, managers must also be guest-focused
and service-oriented. Managers should consider testing for and training
in intercultural sensitivity of staff members involved in cross-cultural
service encounters to provide outstanding service experiences to guests
of different cultures, which will benefit both their organizations and their
foreign customers. Interculturally sensitive employees are more attuned
to the needs of customers from other cultures, help to increase revenue
per foreign customer, have interpersonal skills that are more appropriate
in a multicultural workplace, are happier at work, and enjoy working with
foreign customers more, according to Steve Sizoo et al. (2003). Employers
should also train their employees in the language skills required for effective
cross-cultural communication. Employees must also be able to adapt
their communication style to the intercultural contexts in which they find
themselves (Pirnar, 2016). Finally, if management in the global hospitality
industry is to be successful, it is critical to recognize and celebrate the
unique qualities of the diverse workforce. Culture-oriented managerial
practices must be implemented to build competitive advantages based on
various people (employees) whose performance has a significant impact on
the guests’ hospitality experience (Li, 2014).

5.3. STEREOTYPING AND BIAS


We live in an inequitable world. We all have different perspectives on a variety
of issues, such as politics, mandatory vaccines, and gender and racial equality.
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 93

And, as much as we’d like to believe that these factors have no effect on
how well-informed and impartial decisions are made, they almost certainly
do. Unconscious bias should be avoided in any industry, but especially in the
hospitality industry, where inclusivity is ingrained as a core value.
We all have unconscious biases. Our experiences, surroundings, and
memories all contribute to our ingrained belief systems. In the world of
professional coaching, they are known as “mental models.” Consider them
to be the computer programs of the mind. They have an impact on how we
interpret and respond to information, particularly when we must make quick
decisions and may not have time to think things through. This may not be a
problem at a dinner party for enlivening the conversation, but it can be very
harmful at the workplace (Li, 2014).

5.3.1. Types of Bias in Hospitality


1. Unconscious Racial and Gender Bias: The Black Lives Matter
and #MeToo movements have radicalized—some might even say
polarized—opinions on racial and gender equality. The gender
pay gap exists, and people of color continue to face the most
obstacles to career advancement.
In the hospitality industry, there are some controls in place to help
prevent unconscious racial and gender bias. If you are a recruiter, make it
a point to reassure candidates that you are an equal-opportunity employer
in your advertisements. This is a common practice in the United States but
not in Europe. You could also establish gender and racial diversity goals and
quotas across your teams to ensure a good balance at all levels, from the
bottom to the top.
2. Ageism: globalized and digital. They have a wealth of knowledge
and people skills that recruiters frequently overlook, which
qualifies them for many positions in the hospitality industry
that require public interaction. The Entrepanes Diaz tapas bar
in Barcelona exemplifies how to use unconscious bias to your
advantage when providing hospitality. Regrettably, many
seasoned, older waiters were being laid off, so the owner decided
to only hire bartenders who were well past retirement age, which
drew praise and customers. Another idea is to start a mentoring
program within your teams, pairing staff members of different
ages together to support and learn from one another (Pirnar,
2016).
94 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

3. The Halo and Horn Effect: Because the ‘Halo Effect’ appears
to be a positive activity, it is the most obvious unconscious bias
trap in the hospitality business. It is equivalent to considering
someone to be “perfect for the job” and “flawless.” This might
happen during the interview process, for example, if we are
blown away by the candidate’s curriculum or private schooling,
or it can happen after they have joined your team and excelled in
their role.
Giving recognition where credit is due is important, but elevating a worker
can cause additional stress and team strife. It may also cause you to overlook
the abilities and contributions of your teammates. The “Horn Effect,” which
causes dismissive bias to be triggered by a person’s appearance, accent, or
even a casual comment, is the inverse. A team leader must critically consider
first impressions before making a decision that may be tough to reverse later.
As a recruiter, before making any judgments, you should seek a leader from
another team to do further interviews (Li, 2014).
4. Confirmation Bias and Affinity Prejudice: We all seek out “our
people” and prefer to have our opinions validated, whether we
are interacting socially or at work. Unfortunately, this frequently
results in a distorted perception of the information obtained.
Because of the close-knit and generally amicable nature of the
teams, affinity bias is typical in the hospitality industry. When
dealing with a situation that necessitates diplomacy, gather
knowledge from a variety of sources. Make sure you ask each
person the same questions and avoid phrasing them, so you
only get the answers you (subconsciously) want to hear. Even
though many of these guidelines may sound like teachings from a
beginner’s book of team management, we must keep in mind that
our brain immediately hardwires the actions (or non-actions) we
perform (Pirnar, 2016).
Our internalized stereotypes, prejudices, and myths form our default
neural connections, which the brain automatically activates. Breaking
the circuits can be challenging, but it is necessary for more equitable and
successful leadership and management.

5.3.2. Hospitality, Tourism, and Gender Issues


Gender equity in all sectors of endeavor is one of the key European issues,
based on an international commitment to implement the principle of equal
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 95

treatment for men and women in terms of access to employment, vocational


training, and promotion, as well as working conditions. The Rome Treaty,
on the other hand, created the concept of equal pay in 1957 (Treaty of Rome,
1957). Although gender equality legislation has been in existence for many
years, gender discrimination continues to occur since women are statistically
paid less than men for the same job because the value of women’s work is
undervalued. Men frequently earn more money than women throughout the
world. Around 60 years ago, women earned 59 cents on the dollar; today,
the wage disparity is barely 78%. Along with wealth disparity, occupational
gender segregation practices based on norms and prejudices are the most
visible manifestations of gender discrimination.
Gender equality, as defined by the International Labor Organization
(ILO) (2010), is the demand for men and women to have equal access to
economic, political, cultural, and social advancement possibilities. However,
when considering equal opportunities, it is important to remember that it is
not only about individual fairness but also about the effective progress of
modern society (Pirnar, 2016).
Gender stereotyping, according to Majerhold (2006), is not only a
reflection of the individual but also manifests in the form of deeply ingrained,
conventionally sexist beliefs that are prevalent belief patterns in society, where
men are traditionally seen as leaders and women as subordinates. Certain
behaviors are imposed by norms and beliefs to retain specific connections
and positions in social life, including the job. However, rather than women
themselves, the focus of the discussion is the power dynamics between men
and women in diverse historical and cultural contexts. Inequality regimes
are influenced by society, politics, history, and culture. Even though gender
issues originate in different national and cultural contexts, there are still
major disparities in today’s workplaces all around the world (Li, 2014).

5.3.2.1. Women’s career paths in the Hospitality and tourism


sectors
Gender discrimination, including barriers to advancement, affects nearly
half of all women in the United States. Other factors that prevent women
from advancing in their careers, in addition to gender discrimination, include
limited opportunities for training and education and the exclusion of women
from informal networks. Most tourism businesses have informal, unwritten
promotion systems, and senior management decisions about promotions
are frequently influenced by middle manager recommendations. Such
96 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

promotional practices exacerbate gender inequality. As a result of gender


segregation, men and women receive different career rewards (Pirnar, 2016)
(Figure 5.3).

Figure 5.3. An analytical framework of barriers to women’s career advance-


ment in the hospitality industry.

Source: Tam, Quyen, Hoàng, & Nguyễn (2022); Scientific Figure on Research-
Gate. https://www.researchgate.net/figure/Analytical-framework-of-barriers-
to-womens-career-advancement-in-hospitality-industry_fig1_361302851.
1. Occupational Gender Segregation: The term “occupational
gender segregation,” which refers to the unequal distribution of
men and women among various jobs, is widely used worldwide.
As a result, women’s advancement opportunities are limited.
Men’s and even women’s perceptions of women are influenced
by occupational gender segregation, which places women in
lower-status and lower-income professional categories. Women
are more likely to work in cleaning, customer service, and other
lower-level positions in the tourism industry than men are in
maintenance, bartending, gardening, and higher-level positions,
indicating that social norms continue to play a significant role
in segregation patterns. With a few notable exceptions, there is
a common vertical gender pyramid in which men hold higher
managerial positions and women typically occupy lower levels.
Vertical segregation, also known as the “glass ceiling,” refers to
the lack of women in all management positions because of overt or
covert barriers. The concept is sometimes referred to as a “stinky
floor” that prevents women from moving up the organizational
pyramid. Women are frequently underrepresented in positions of
leadership and are marginalized at work (Li, 2014).
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 97

Because the tourism industry is built on interpersonal relationships, it


is critical to address issues of gender equality as well as gender-biased and
“women’s work” norms. Gender segregation in the workplace occurs because
a sizable proportion of employers base their hiring decisions on stereotypes
about specific jobs that are only suitable for men or women. Organizations
themselves promote the culture of occupational gender segregation in the
hospitality and tourism industry because the recruitment process is managed
following the stereotypical view of women’s appropriate work roles.
Women are disproportionately represented in lower-skilled and lower-
paid jobs within the sector, resulting in horizontal segregation because more
women than men work in the sector and earn less as a result (Pirnar, 2016).
The gender wage gap in various occupations is well-documented and
persistent across cultural boundaries. Vertical segregation is the primary
explanation for wage disparities between men and women. As a result,
women typically hold lower-status positions. The issue of gender wage
disparities is widespread throughout the world, but it is especially serious
in the hospitality industry. Women are paid less than men not only when
they first enter the workforce, but also when they reach the pinnacle of their
careers. In other words, even when performing similar tasks with equal
levels of responsibility, they earn less money. The researchers conclude that
lower wages received by women in the sample of the Spanish hospitality
workforce are a result of gender segregation caused by a disproportionate
concentration of women in low-paying jobs, functional areas, jobs with
lower levels of responsibility, and least desirable positions. Despite the
perception that Norway has significantly lower gender inequalities, Skalpe
(2007) confirms that female CEOs in the tourism sector earn significantly
less money and that gender pay disparities in the tourism sector are greater
than in the manufacturing sector. She goes on to say that this demonstrates
that women face wage discrimination in both industries. Thane (2007)
draws similar conclusions within the sociological framework of human
capital research, concluding that gender continues to play a significant role
in wage levels although female tourism employees typically have higher
levels of education than male counterparts while earning, on average, 20%
less money. Although occupational gender segregation is widespread,
it manifests differently in different contexts. However, fair promotion
procedures must be established (Li, 2014).
2. Women in Managerial Positions: The focus of contemporary
leadership is a strong commitment to employee development,
98 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

the ability to deal with constant change, organizational learning,


decentralized leadership, and problem-solving abilities.
Transformational leadership is preferred over autocratic or
transactional leadership in today’s business environment because
it inspires and stimulates the minds of followers, ultimately
promoting organizational change. A balanced leadership style
that is focused on both tasks and subordinate needs is typically
very successful in leadership roles and is generally well-suited to
women (Pirnar, 2016) (Figure 5.4).

Figure 5.4. A model of the root causes of gender discrimination in workplaces.

Source: Stamarski & Son (2015); Scientific Figure on ResearchGate. https://


www.researchgate.net/figure/A-model-of-the-root-causes-of-gender-discrimi-
nation-in-HR-policies-decision-making_fig1_282431934.
Although women make up most of the workforce in the hospitality
industry, they remain underrepresented in management positions due to
formal and informal exclusionary practices and stereotypes that successful
men must possess certain characteristics. Even in management positions,
women face greater pressure. Because it was believed that women could
only succeed in non-leadership roles, women were historically assigned to
lower-level positions with lower pay, no prestige, and no power. According
to Sayers (2012), sexism fuels entrenched stereotypes about women’s
leadership abilities. While some researchers claim that men are more
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 99

effective leaders, others argue that feminine leadership is more effective in


today’s workplaces and that even men will adopt a feminine leadership style
when organizational needs require it (Li, 2014).
When promotion to a managerial position is discretionary, stereotypes
that harm women’s career dynamics are likely to play a role. Despite long-
term research data supporting women’s success, few women hold positions of
leadership. Even without startup funding, women-led tourism organizations
outperform men-led organizations in terms of organization growth, which
boosts national employment rates and generates wealth. According to
Alonso-Almeida (2013), tourism businesses should promote women to
leadership positions because organizations led by women are often more
successful than those led by men. Managers must develop the necessary
knowledge, abilities, and skills in the tourism industry. Women are equally
qualified academically around the world, and they excel at transformational
leadership, which is a hallmark of many successful businesses. Women also
do not lag behind men in this regard.
If gender segregation persists and women’s labor is undervalued,
men will have more opportunities for advancement and higher pay. The
researcher emphasizes that the situation is not static and that the number of
women in management is gradually increasing. Researchers conclude that,
despite numerous efforts to achieve gender equity, challenges persist due to
men’s perceived superiority as leaders and negative stereotypes of women
(Pirnar, 2016).

5.3.2.2. Techniques for Overcoming Gender Discrimination


Equal treatment of men and women in terms of fair salary levels is required to
increase the level of job satisfaction among both male and female employees,
which serves as a means of achieving corporate success. Employee loyalty
and commitment determine an organization’s success. Equal opportunity
practices, in addition to assisting organizations in identifying and developing
talent, may also assist them in meeting the industry’s productivity and skill
demands.
Enforcing gender equity policies is not enough in and of itself, but
it is critical in combating gender discrimination. Such policies foster a
climate of trust and a highly supportive workplace, making organizations
more welcoming to women. A positive work environment benefits both the
organization and the employees because it promotes equality of opportunity
for all and establishes a solid foundation for organizational success.
100 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

It is also recommended that action be taken to identify talent based


on transparent access to higher organizational positions for both sexes
rather than gender. Organizations should have encouraged male careers in
traditionally female-dominated fields, and vice versa, to avoid occupational
gender segregation. They should also have removed overt and covert barriers
to women’s advancement in the workplace, such as access to management
and decision-making positions. Furthermore, social dialogue is required to
promote wage equality (Li, 2014).
Researchers have occasionally emphasized that the hospitality and
tourism industries are detrimental to work-life balance because seasonal
variations cause the demand cycle to fluctuate and necessitate long hours.
Working conditions in the hospitality and tourism sectors are frequently
difficult, with employees dealing with a heavy workload and constant
pressure, despite significant differences between countries and segments.
To promote family-friendly workplaces, policies that encourage appropriate
childcare options and ensure that women stay in touch with the organization
while on maternity leave are required (Pirnar, 2016).
In conclusion, in today’s world, where ethical behavior is encouraged,
the tourism and hospitality industries could benefit from implementing
gender equity practices. To make use of the female talent that is being
wasted because of gender discrimination, policymakers, and management
must take steps toward effective solutions and establish equal opportunity
grounds, offering them status positions and salaries commensurate with
their knowledge and capabilities.
Although the tourism and hospitality industries, which are naturally
labor-intensive, are growing in importance and employ many women,
research on gender issues in the industry is still lacking (Pirnar, 2016).

5.4. LANGUAGE BARRIER


The diversity of human languages is a feat worthy of demonstrating our
species’ organic, complex intelligence. Despite always being impressive
and unifying, it is a barrier in today’s globalized environment. It stifles
communication and leads to misunderstandings and misinterpretations
between people. Translation technology is advancing, and more people
have access to language services; the barrier is not a lack of communication,
but rather a failure to pay attention to translation services. In 2012, the
Rosetta Foundation declared April 19 as “No Language Barrier Day” around
the world. The goal of the day is to raise awareness about how different
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 101

languages do not create such barriers. Linguistic diversity is beneficial. The


inability of communities to access and share information across languages is
caused by a lack of translation services[I]. This day is observed annually to
raise public awareness of translation initiatives around the world (Li, 2014).
We must not underestimate the power of language on people. Language
distinguishes humans from other living things. When we speak and express
our feelings, we inform, share experiences, and exchange ideas with one
another. We communicate our love, prioritize our unity, and educate one
another for the benefit of humanity. Although language is an invaluable tool,
the existence of different languages restricts connectivity and limits people’s
ability to be relative to the confines of their languages. It could be argued
that the public sector should support incentives to remove these barriers to
boost research achievements, boost tourism, and strengthen ties with our
international neighbors. Furthermore, this stimulates the economy, and no
economy can survive amid a pandemic without it.

5.4.1. Language Barriers and Their Effects on Tourism and


Hospitality
Language barrier removal investments and the destruction of the tourism
industry worldwide caused by the coronavirus pandemic can both directly
boost the economy. Tourism accounted for approximately 10.3% of global
GDP in the years preceding the pandemic. Many countries that rely on
tourism for economic growth, such as the British Virgin Islands, Maldives,
Macau, and Aruba, are currently suffering the financial consequences of the
pandemic (Pirnar, 2016).
Traveling exposes one to a wide range of people, culinary delights, and
cultural and linguistic encounters. By removing initial language barriers, a
community can become much more welcoming to visitors, which will also
boost the economy as re-openings appear to be inevitable. Consider this: in a
survey of 20,500 tourists, 26% stated that language barriers prevented them
from traveling.
Tourists are also more likely to commit crimes unintentionally due to the
language barrier. From drinking alcohol and using drugs like cannabis, both
of which have different legal statuses around the world, to photographing
military installations and embassies, and wearing shoes in some places
but not others. Tourists are more likely to be detained if there is no clear
communication, further tarnishing the reputation of the nation upholding
its laws if foreigners who support the country’s tourism industry believe the
102 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

treatment is unfair. It is critical to avoid this damage to attract visitors, and it


all begins with properly translated materials (Pirnar, 2016).

5.4.2. Language Services Are Important for the Economy and


Tourism
Language accessibility makes a foreign country more hospitable and
inviting, encouraging visitors to stay longer. Visitors must have a basic
understanding of the tourist destination. Otherwise, they may be breaking
rules and breaking the law. As a result, standard translation of tourist text
is required for descriptions of locations, regions, and attractions, as well as
information on facilities and equipment, fundamental laws and rules, price
lists, and other materials with which tourists may come into contact. At
airports and ports of entry, visitors should be given booklets and brochures
in their native language that explain the country’s laws that can be broken;
readily available guides may also help visitors feel more independent and
capable of navigating a “foreign” land. The availability of languages is a
source of economic stimulation. Investment in a more globalized language
landscape may result in many positive tourism benefits and expand into a
vibrant, capable, healthy, and strong economy in these trying times when
multiple businesses’ and governments’ liquidity tightens (Li, 2014).

5.4.3. Professionalism and Standardization in Language Trans-


lation and Localization
Language translation and localization are critical for the tourism
industry to facilitate communication. Inadequate translation can result in
misunderstandings, incorrect information, and confusion. The consequences
may be far worse than not having access to translation. Professional
translation necessitates localizing or standardizing the translation while
considering the native culture of the tourist or foreigner.
Poor translations are created all over the world on behalf of governments
and corporations, and while they may be amusing, they are likely ineffective
at attracting customers. During poor translations, the language is frequently
lost. Phonology and intonation produce a variety of meanings in some
languages. Standardization and localization in translation must play a
significant role in the quality control process for language service providers
(LSP) to ensure understanding and effectiveness of translation into target
languages (Pirnar, 2016).
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 103

5.4.4. Technology’s Role in Helping Tourists Communicate De-


spite Language Barriers
Language barriers must be removed for the tourism industry to thrive. As
Cohen and Cooper put it, “Language barriers are, as everyone knows, an
important obstacle to transcultural communication” (1986). According
to studies, language barriers influence tourists’ destination choices and
financial decisions. As a result, the travel and tourism industry work hard to
bridge linguistic divides between visitors and hosts.
Because of the vast number of languages spoken throughout the world,
the visitor and host are very likely to speak different languages. The tourism
industry learns the language of the tourist to better serve their needs and
“ensure their international competitiveness and maximize their traditional
markets,” thereby bridging the communication gap between the tourist and
the host. Locals who work in the tourism industry, such as shopkeepers and
panhandlers, have a financial incentive to learn the tourist language. Given
that establishment in the sector now operates on a global scale and that
there are increasing cross-cultural interactions between hosts and guests, the
logical conclusion is to increase the foreign language proficiency of tourism
industry employees. This is demonstrated by Wozniak’s (2012) study, which
shows that French mountain guides must complete a foreign language
certification (Pirnar, 2016).
The demand for foreign language skills in the tourism industry is not
being fully met due to numerous constraints such as recruitment procedures.
This has an impact on the “information and support services” provided
to tourists. Because of the pervasiveness of information technology in
everyday life, tourists are increasingly seeking “real-time and tailored
information services,” as well as “dynamic and interactive” information.
The tourism industry can provide better services by utilizing information
and communication technology (ICT), which can assist in removing these
language barriers. Two examples of ICT use in the tourism sector are mobile
tour guides and geo-based technology. However, because overcoming
language barriers is a two-way street, tourists can also help (Li, 2014).
According to Cohen (1972), tourists can be classified as institutionalized
or noninstitutionalized. According to Cohen and Cooper, institutionalized
tourists use tourism services frequently and are thus less likely to encounter
language barriers. Backpackers, who are less institutionalized and use
tourism services less frequently, interact with locals who speak their
language more frequently. Because of the communication barrier, the
104 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

tourist must learn the host’s language. Some of these visitors do learn the
local language, but the vast majority do not. Most of the time, they rely on
“nonverbal communication” and/or carry “dictionaries or simplified books”
to assist them. According to Cohen (1972), the “natural texture of the host
society” is something that institutionalized tourists miss out on. A study of
German visitors to New Zealand backs up this theory. The tourists believed
that having information in their native language made the trip less difficult
and enjoyable, lowering their likelihood of returning to New Zealand. Such
incidents, while perhaps unique, are not uncommon and call into question
Cohen and Cooper’s case study, indicating that visitors should try to learn
the local language.
Because learning a new language takes time, tourists are not expected
to learn the local language before or while traveling. Huisman & Moore
(1999) “Tourists dislike having everything translated for them.” They also
dislike putting forth the effort to learn the local language. If there are fewer
“material, cultural, and linguistic distances” between them and them, they
are more likely to learn the language. Even if the host or visitor learns a new
language, there will usually be errors in grammar, poor word choice, difficulty
understanding foreign accents, and so on. In Thailand, hosts continued to
assist foreign visitors who were having difficulty communicating by “using
gestures or by asking foreign travelers to write down what they needed.”
To break down language barriers between the host and the visitor,
ICT can be used in two ways. To begin with, ICT can be used for direct
communication between the host and guest during the trip. Numerous
studies show how the host uses ICT to help people communicate more
effectively. However, no research has been conducted to demonstrate how
a visitor can use ICT to translate text and speech from the host language to
the tourist language and vice versa, allowing some form of communication.
As previously stated, Thai tourism employees requested that visitors with
English accents communicate in writing. This could be replaced by text or
speech translation technology, which would be faster and more interactive
in the case of speech translation (Pirnar, 2016).
Before the trip, ICT can also be used. It could help the host advertise the
area, which could lead to more traveler reservations. Some hosts provide
website content that has been translated into multiple languages to help
with tourist reservations. However, no research has been conducted on how
visitors use translation technologies on websites that do not have content
in their native language. The tourism industry can benefit from research
Cross-Cultural Service Quality Issues in Tourism, Hospitality, and Leisure Services 105

on how visitors use translation tools both before and after a trip to better
understand how beneficial it would be to invest in developing technology
that can translate one language into another. Taking the process of breaking
down language barriers one step further (Li, 2014).
To provide exceptional service to all customers, businesses must be
aware of cross-cultural service quality issues and develop strategies to
address them, regardless of their cultural background.
CHAPTER 6

Approaches to Enhance Service


Quality Orientation in Tourism,
Hospitality, and Leisure Services

Contents
108 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

6.1. INTRODUCTION
Service quality orientation (SQO) is an important concept in tourism and
hospitality. It enhances the level of satisfaction and loyalty of customers
associated with tourism, hospitality, and leisure (THL) services. It aims at
improving the quality of consumers’ travel experience by improving service
provider’s characteristics such as knowledge and skills, which are crucial in
providing successful services. It can help foster a more positive perception
of a business’s employees and services by enhancing the perception of value
in their delivery. In addition, research shows that SQO positively impacts
customer loyalty, repeat purchase intention and satisfaction with a brand
or service provider. Better yet, in today’s world, service quality is a major
challenge in THL services (Han, 2013) (Figure 6.1).

Figure 6.1. Some of the elements relating to service quality orientation.

Source: Tileagă & Oprişan (2018); https://doi.org/10.1007/978-3-030-01878-


8_31.

6.2. COGITATING ATTITUDE AS A PATHWAY TO


ENHANCING SQO
Various approaches are grounded in theories about the development of
attitude, which include humanistic philosophy, cognitive psychology, and
social learning theory.

6.2.1. Humanistic Philosophy


Humanistic philosophy is a pathway to attitude that can be applied in the
THL services. This enables the managers to use positive thinking that
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 109

motivates the employees to perform their jobs well. It also has a deep sense
of self awareness, which enables the employees to develop themselves
through career growth opportunities; this improves their abilities in dealing
with adverse situations and giving feedback on their performance (Gojčič,
2012) (Figure 6.2).

Figure 6.2. The humanistic tourism education framework.

Source: Della et al. (2021); https://doi.org/10.1007/s41463-021-00111-3.


Humanistic philosophy in relation to tourism and hospitality emphasizes
the importance of understanding tourists and their goals in designing
travel, visits, and enjoyment. It also calls for understanding the social
climate as well as values and beliefs that influence customer behavior and
satisfaction. This means that we need to understand what customers expect
from a specific organization’s products or services, so we can meet those
expectations successfully. The key ingredient in enhancing SQO is to use
a customer-centric approach during all aspects of customer care activities:
value creation, service delivery and performance management.
Humanistic philosophy can help to foster a service-oriented culture
by providing employees with a high level of self-confidence and belief in
the importance of their roles. Studies have shown that self-efficacy is very
important for employees to be able to act on their own effort rather than rely
on others. When we refer to the individual’s ability to perform work tasks
independently, it means that the employee can apply their knowledge, skills,
and abilities in each situation. To enhance service quality, hospitality and
110 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

tourism managers need to understand humanistic principles. The approach


is anchored in a philosophical framework of humanistic psychology, which
assumes that people are basically good and that we can learn how to manage
ourselves better (Han, 2013).
Interpersonal relationships can play a vital role in quality-of-service
delivery. A professional therapist understands that the client-therapist
relationship depends on trust, honesty, and empathy; these qualities are
essential to enhance customer service in tourism and hospitality. As the
primary consumers of this service, customers are likely to be impacted by
the level of customer service provided by an organization. The impact may
be experienced positively or negatively depending on its quality. A variety
of factors could have a negative influence on customer satisfaction (CSAT)
(such as poor service delivery time) which ultimately reduce sales revenue
losses resulting from poor service quality (Gojčič, 2012).

6.2.2. Cognitive Psychology


Cognitive psychology is an approach to enhance SQO in THL services. This
can be achieved through enhancing the customer’s insight into their own
behavior and understanding of the role of emotions, motivation, and social
norms. It serves as a pathway to attitude because it helps people understand
why they choose certain behaviors or outcomes. It focuses on how human
thought and behavior works, as well as how that can be influenced by
emotions. This understanding can then be applied to enhance SQO in THL
services (Han, 2013).
This pathway enhances SQO by creating a better atmosphere on the job
by improving CSAT. It generally operates on two grounds. First, it improves
the attitude of employees towards their jobs and customers by enhancing their
knowledge on how they should talk with customers, serve them better and
be more helpful to ensure that every customer has a successful experience.
Next way is by training employees on how they should observe customers
closely during their transactions with them such as body language, facial
expressions and other non-verbal communication cues which tell them
whether they will come back again or recommend the firm/hotel to others.
Indeed, while evolving around tourism, hospitality and leisure services,
the perception of service quality is determined by way of cognitive processes
like self-efficacy and attributional style. The role of cognitive processes in
these industries has been emphasized by researchers because it is shown that
attitudes can be influenced by language use, particularly when individuals
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 111

interpret how they were spoken to by an employee or manager. In improving


service quality by enhancing our employees’ skills will enhance CSAT
which ultimately benefits both the employer and the employee (Gojčič,
2012) (Figure 6.3).

Figure 6.3. Assessing tourists’ cognitive, emotional, and behavioral reactions


to an unethical destination incident.

Source: Jan & Brian (2016); https://doi.org/10.1016/j.tourman.2015.11.004.

6.2.3. Social Learning Theory


Social learning theory is a model of attraction, satisfaction, and attitude. It has
been used as a pathway to enhance SQO in THL services. The use of a model-
based approach will ensure that all employees include their knowledge and
experiences as they interact with customers to increase CSAT. By using this
theory, employees will be more willing to understand how customers think
about their service and so be able to provide better customer service. Senior
Management is responsible for the consumer’s experience, and this depends
on how well they can define, create, and manage it. Social learning theory
states that people’s attitudes, beliefs, values, and behaviors are influenced
by previous experiences with people or objects that have provided precedent
knowledge about these concepts (Han, 2013).
Social learning theory emphasizes interpersonal communication skills
and influences organizational culture or workplace norms. This can result
112 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

in higher CSAT as people feel that they have achieved success through their
own efforts. If employees are exposed to the culture of customer service
by interacting with different customers on a regular basis, then they will
develop an understanding of how to provide excellent customer service in
the future. Social learning supports the development of social skills, self-
insight, ethical decision making and teamwork (Gojčič, 2012).
In a social setting, employees learn from one another about the services
provided by their employers, both through abstract conceptual knowledge
of those services and through practical experience with those services. This
provides opportunities for learning that are often missing in traditional
training-based approaches. By improving knowledge of customers’ needs
and expectations as well as understanding how customers define quality
service(s), social learning may support an organization’s efforts to enhance
its SQO. Managing customers’ perceptions of service quality provides a
key determinant of the success of THL businesses. Social learning helps to
enhance this orientation through the role it plays in motivating employees
delivering superior service by enhancing their motivation, informing them
about what customers expect from them and how they should respond to
customers’ needs (Han, 2013) (Figure 6.4).

Figure 6.4. Mechanisms to understand and implement social learning in tour-


ism.

Source: Prutzer, Morf, & Nolbrant (2021); http://dx.doi.org/10.3390/


w13172335.
Social learning is also incorporated during the recruitment process of
employees in any tourist firm. Specifically, this approach focuses on four
metrics:
• The recruitment process helps promote equal access to
employment opportunities for all those with the skills necessary
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 113

to perform safely, effectively, and consistently in the position.


• The training program covers all aspects of being a professional
employee including proper workplace practices.
• The management team encourages staff participation with regards
to business decisions and best practices.
• Specific rewards are set up for employees such as recognition
certificates of participation trophies that are awarded based on
performance levels achieved by individuals (Gojčič, 2012).

6.3. DEVELOPING EMPATHY WITH CUSTOMERS TO


IMPROVE SERVICE QUALITY
Improving Service Quality involves engaging in conduct (e.g., behavior
and/or processes) that enhances the customer’s experience, perception, and
satisfaction with the tourism firm. This requires an empathy-based approach
to service, where employees allocate time and effort towards identifying
customers’ needs and requests, understanding how they can be satisfied by
their interactions with the firm(s) and developing a genuine desire to provide
an excellent product or service by virtue of having fulfilled those needs.
The development of empathetic skills is a key element in service quality.
The ability to listen, comprehend, and respond appropriately to customers is
essential for successful customer experiences.
Developing empathy through coaching and training programs can be
achieved through an understanding of the human needs that drive behavior,
as well as the adoption of effective feedback loops. Empathy allows
customers to understand their needs better and appreciate their wishes while
empowering them to express their feelings without fear of rejection or
judgment. With empathy, the provider can help customers find solutions that
meet their needs. Empathy provides opportunities for service providers to
improve their ability to understand customers and create experiences that are
meaningful for them. It also helps increase repeat business among unhappy
customers because they feel understood by their providers (Han, 2013).

6.3.1. Analyzing the Impact of Communication on Service


Quality Orientation (SQO)
In many industries, customers’ expectations of quality of services are very
high and they tend to believe that the service provider will meet their needs.
Therefore, communication plays an important role in enhancing SQO in
114 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

tourism and hospitality. Communication intervention can improve or enhance


customers’ satisfaction with their service quality and thus positively affect
their travel behavior. Particularly in tourism and hospitality, it is necessary
to enhance the customer’s perception of service quality. Communication is
an important part of this enhanced SQO because it provides information
about what the service providers are offering and how they intend to serve
the customers. Communication can also change customer behavior when it
is perceived as being relevant to their needs or goals (Gojčič, 2012).
Employees ought to provide timely feedback to customers who provide
valuable input. Organize training sessions in all key roles including managers,
staff members and customer service representatives. Communication may
not only influence staffs’ perceptions but also have an impact on their
behaviors as well. Communication between customers and staff allows
customers to express themselves through the delivery of information,
knowledge, opinions, emotional responses or complaints about a product
or service available. This gives an opportunity for staff to understand what
customer expectations are from this product and how it can improve over
time (Han, 2013).

6.3.2. Utilizing Humanistic Management Techniques to


Enhance Service Quality Orientation (SQO)
The most effective way to enhance SQO in THL services is to utilize
Humanistic Management Techniques. These techniques include service
users as partners in the decision-making process; measurement as a guide
rather than an end in itself; creating a context that encourages employees to
be proactive; managing employee behavior; developing programs that focus
on ongoing improvement; promoting participation of employees in decision-
making; enhancing the accountability of managers. All these actions will
help to develop esprit de corps among employees. The use of positive
psychology, values clarification and self-awareness can be incorporated
in a variety of ways depending on what you want to achieve. Humanistic
management is considered as a best practice in business because it fosters
a culture of teamwork and encourages employee growth by promoting
creativity among employees.

6.4. THE CUSTOMER CENTRIC APPROACH


The customer-centric approach is a set of business practices pursued by
organizations to create and sustain a relationship with their customers,
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 115

by providing them with what they want and satisfying their expectations.
This is centered on the customers’ needs and wants. It involves developing
services that are designed to meet these needs and ensuring that they are
clearly communicated to the customers, so they understand what they are
buying (Gojčič, 2012).
This approach focuses on identifying customers’ needs and expectations,
and providing the right service in terms of quality, at a reasonable price. To
deliver this type of service, the company must ensure that they are prepared
to meet the demands of each customer individually. In doing so, they make
sure their employees have a thorough understanding of their customers’
needs. More-so, it is a systematic method to build, measure, and improve
the relationship between customer and hotel with the goal of enhancing
CSAT. Customer-centricity can be achieved through processes such as target
setting, value proposition development, front desk organization (looking
after customers), and staffing focus on service delivery (including providing
information at checking).
The customer orientation focuses on solving problems for the customer
and making them happy. This ideal approach focuses on four essential
concepts, which include: customers as information sources (customer
intelligence), customers as knowledge keepers (customer awareness),
customers as decision makers, and customers’ actions as drivers for change
(Han, 2013).

6.4.1. Customers as Information Sources (Customer


Intelligence)
The customer-centric approach is based on the concept that customers are
not passive observers of services but active participants – as information
sources. The main goal is to collect, organize, and analyze customer
feedback and provide it in an easy-to-understand format so that service
providers can use it to improve their operations, including their offering
to the public and internal performance management systems. This involves
bringing customers into the planning and execution stage of business
strategy, where they can affect their own experiences and be informed of
the benefits and value. It is important to understand and acknowledge that
customer preferences for travel and leisure services are shaped by cultural
differences, individual preferences, and even economic conditions. The
customer-centric approach gives importance to customers as information
sources to provide a better service experience (Gojčič, 2012).
116 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Customer intelligence can be obtained through employees, customers,


and other stakeholders who may offer valuable information on customer
needs and interests. In THL services, we use customer intelligence to
increase our knowledge about what people want from their travel experience
to make sure they get exactly what they expect. For example, when a guest
comes into your restaurant and orders a “medium rare steak” you might be
able to find out through their device or smartphone application that they
want it cooked very well done so that the meat doesn’t become tough; or
for them in Spain where there are a lot of elderly tourists who order fruit
salad with ice cream served in fat free glasses as if it were an afternoon
tea. This philosophy is based on the idea that customers are often ahead of
business professionals when it comes to knowing what they want from an
experience or product. Thus, providers can benefit from knowledge about
what customers look for when they shop around for a hotel, airline, or tour
operator (Han, 2013).

6.4.2. Customers as Knowledge Keepers (Customer Awareness)


The customer-centric approach is a holistic approach that recognizes that
customers are key knowledge keepers. Services must be designed and
delivered with the understanding that customers have different needs and
expectations, so they can differentiate themselves from their competitors. It
focuses on the needs of customers, their expectations and wants, how these
are met or not met, how they derive satisfaction from their experience, and
what they do afterwards. Customers are considered as knowledge keepers
– they have information about themselves, their place in the world, their
environment, etc., which can provide important clues for the hospitality
industry as well as other sectors like tourism and leisure services.
This approach enhances service quality in THL services by enhancing
the knowledge of customers. This approach focuses on the needs of
customers and how they behave differently depending on their needs and
preferences. It is further based on the idea that customers are knowledgeable,
critical stakeholders who must be engaged and treated as partners in the
management and development of services. The customer does not simply
buy products or services; instead, they play a role in developing products or
services that meet their needs. In today’s global economy, where businesses
want to be more responsive to consumers’ desires, responding to customer
feedback and engaging them deeply within their organizations are even
more important than ever before (Gojčič, 2012).
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 117

Customers become active participants in their own service experience


by actively sharing their thoughts and experiences with their providers.
Some tourist capitalists have also developed technological mechanisms
to enhance this mechanism. Machine-to-machine (M2M) communication
technologies allow business enterprises to better understand their customers
and create improved customer experiences. Remote sensing techniques
such as geospatial analysis can be used to identify patterns in behavior
and provide insights into customer preferences. Geospatial analysis is an
enabled technology that helps businesses understand their customers’
preferences. The ability to map the behavior of customers can lead to a better
understanding of customer needs. These technologies enable such firms to
achieve advanced analytic capabilities. This allows them to make intelligent
decisions in real time. They can then create meaningful insights from their
customer behavior patterns (Han, 2013).

6.4.3. Customers as Decision Makers


As earlier stated, the customer centric approach focuses on the needs, wants,
and expectations of customers. This means that the company must listen
to its clients and use this information to create new products or services
that will meet their needs. Firms can enhance service quality through the
inclusion of customers as decision makers. .

Figure 6.5.

Source: Liu, Yang, & Pu (2015); Scientific The process of tourism decision-
making.Figure on ResearchGate. https://www.researchgate.net/figure/Fig-
1-The-process-of-tourism-decision-making_fig1_282807758.
This process can be considered as a key factor in creating and retaining
loyalty, improving customer satisfaction and retention rates, encouraging
118 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

visits by new customers, increasing sales volume and profits. Customer-


driven strategies engage consumers in their own experiences, while also
providing them with options that enable them to take ownership over their
choices (Figure 6.5)
The customer is considered as the primary decision maker for evaluating
prices and quality of services. The firm’s main objective should be to
encourage positive customer experiences with their products and services.
This approach promotes self-service by giving customers more control over
their own choices and demonstrates a focus on improving the customer
experience rather than providing “one size fits all” policies regarding
procedures or services offered by the company. The corporate culture is
designed to meet the needs and expectations of customers, which is reflected
in products, services, and business practices (Gojčič, 2012).
Customers are also seen as being in control of their purchase decisions
and what place or hotel they desire to visit, so any action taken by a company
must consider customer needs and wants. Tourists ought to be empowered
to make appropriate decisions on their own, thus increasing their sense
of independence and involvement in decision-making processes. The
customer-centric approach also recognizes that it is clients’ needs, rather
than company’s strategies, that drive innovation. Indeed, considering tourists
has led to many developments in hospitality, tourism, and leisure services. It
emphasizes successful service delivery by providing quality experiences for
customers and making sure that those experiences are consistent with what
the customer wants to receive from a firm (Han, 2013).

6.4.4. Customers’ Actions as Drivers for Change


Tourists and travelers’ actions are considered as the drivers for change.
This can be translated into a wide range of activities, including outcome
setting, strategic thinking, and planning; decision-making; initiating actions;
measuring results; carrying out process improvement initiatives. It assumes
that organizations can meet customers’ wants, needs, and expectations better
if they use customer data to improve product development and marketing
strategies. Customer-centricity implies that the success of the company
depends on the satisfaction of its customers. Customers’ actions should
therefore be taken into consideration as drivers for change when planning
and implementing strategy.
Customers’ behaviors are the input to the processes of service quality;
thus, it is important to understand their needs and expectations, along with
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 119

their perceptions and attitudes toward services provided by THL industries.


The focus on customer-centricity enables growth and sustainability. It
creates an environment that is open to change, responds to the needs of
customers, creates value for both customers and businesses by promoting
innovation and choice, focuses on internal processes that ensure quality
services are delivered every time, provides transparency in how products or
services are developed and delivered, manages risk as well as innovation,
takes into account stakeholders’ views and expectations when planning
service improvements (Gojčič, 2012).

6.4.5. Impact of a Customer-Centric Approach on Customer


Retention in the Tourism and Hospitality Sector
Tourism industries can benefit from implementing a customer-centered
strategy by better understanding why customers engage with their brand and
developing innovative solutions that meet their needs, while also increasing
their loyalty towards these services. The major problem with the tourism
and hospitality sector is the fact that customers are not satisfied with the
service quality. Firms propose a customer-centric approach to enhance the
SQO in THL services by analyzing CSAT and loyalty in terms of its impact
on customer retention. Services delivered through the customer-centric
approach are characterized by three key concepts: focus on the customer
and satisfaction; continuous improvement and innovation; and transparency
(Han, 2013).
Tourism firms do foster a relationship between companies and their
customers so as to nurture engagement, recognition, and satisfaction. The
objective is to increase customer retention rates while improving CSAT
levels. The implementation of this strategy is essential for enhancing SQO
in THL services as it provides an opportunity for managers to focus more on
what their customers want rather than trying to meet their needs by guesses.

6.5. CONTINUOUS IMPROVEMENT APPROACH


Continuous improvement is the process of identifying areas, processes, and/
or people that need to be improved. It includes all activities involved in
this process. In tourism and hospitality, the focus is on enhancing CSAT by
ensuring that customers are aware of the standards, who is applying them
and how effective these standards are in relation to their expectations. The
ability to continuously improve the quality of service is critical in tourism
and hospitality. A few approaches can be used to enhance SQO, including
120 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

regular review of service quality, continuous improvement planning and


implementation, communication between management and employees,
recognition programs for staff members with superior performance, training
in customer service skills and techniques, employee development programs
that encourage constructive diversity and teamwork.
An effective approach to enhancing service quality involves regular
reviews of performance and customer feedback. These can be conducted
either on an individual level by managers or in a group setting by all members
of staff irrespective of their position. These processes can be facilitated
through formal training or informal interactions such as team meetings.
There is need to Review quality parameters and define target levels, such
as satisfaction and retention. Monitor the service delivery system to identify
nonconformities, determine their cause, and take corrective action; one
ought not to wait for problems to develop before raising concerns. These
decisions can be made through continuous assessment, data analysis, and
feedback from customers (Han, 2013).
This approach mainly lies at the management level of governance. Top
officials embark on a process of developing and applying management
skills to continually improve service quality within the organization.
Continuous improvement provides an environment where employees are
empowered with the tools and resources necessary to continuously improve
their performance. This approach also formulates a plan for implementing
corrective/improvement actions following each stage that leads to a
“continuous improvement” process (Gojčič, 2012).

6.5.1. Role of Communication Between Management and


Employees
The role of communication between management and employees is to
understand the importance of providing high quality service and make
continuous efforts to improve. This communication can be done through
periodic meetings, emails, text messages and phone calls. When there is a
misunderstanding or miscommunication this will lead to a breakdown in
service quality. Communication plays a huge part in improving the overall
customer experience of tourism and hospitality industries. It is essential
for customer service representatives to be able to communicate effectively
with guests and one another. A lack of communication could result in poor
service, a poor experience for the customer, and overall low productivity
for the company. It is important for every manager and assistant manager to
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 121

understand the various types of after-hours communication and to use this


knowledge to create a better experience for guests and employees alike.

6.6. EMBARKING ON TRAINING AND


DEVELOPMENT
This can also be identified as Workforce development. It involves identifying
strategies for improving the skills and knowledge of staff, including those
who work in tourism and hospitality. This may include improved leadership
training and educational opportunities, which can lead to better service
quality in these industries. Skill and knowledge enhancement opportunities
for employees can lead to better service quality in tourism and hospitality.
While training is effective in increasing knowledge levels, it does not always
lead to better customer service or higher revenues. To improve SQO in THL
services activities require both training and development programs that are
specifically designed to enhance employees’ skills, knowledge, and attitudes
towards providing quality service (Han, 2013).
Employees need to be trained on how to provide better customer service
by understanding their roles and duties within their organization, as well
as a variety of skills that make them effective in their jobs. Development
opportunities can help employees learn more about their field, become
knowledgeable on topics that apply to their jobs and enhance their personal
knowledge base through self-enhancing experiences. Training also includes
coaching, mentoring, and supervision. The challenge faced by this approach
is that it is expensive and time-consuming for the organizations; therefore,
not all can afford to use this method (Gojčič, 2012).
Some firms may not always take this approach as an appropriate solution
for improving the quality of services provided by THL industry. It may be
hard to:
• Engage employees in training activities;
• Understand their needs through testing and evaluation methods;
• Develop feedback mechanisms to improve the quality of training;
• Create opportunities for learning through service-oriented
research (SOR).
Take this for example, if a customer complains their hotel room was
cold because there were no heaters in the room, they want them replaced
immediately, or at least repaired immediately. But if you provide them with
only verbal apologies then they will not be satisfied with what they got which
122 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

may lead to repeat complaints or even lawsuits against you. Instead, these
firms may develop services to accommodate the needs of those who travel
on vacation or for business purposes. These enterprises have a range of aims
including maximizing profits and minimizing costs, satisfying customers,
gaining competitive advantage over other service providers (both foreign
and domestic), producing a high-quality product or service, increasing sales
volume (Han, 2013).

6.6.1. Role of Service-Oriented Research (SOR)


The role of SOR is essential to enhancing the quality of service provided in
industries like THL services. SOR provides information that can be used by
managers to improve their organization’s performance, effectiveness, and
efficiency. SOR can be used to better understand what problems customers
encounter in relation to the services offered by an organization, as well as
observing which actions are most effective at meeting customer needs.
SOR allows one to collect data and conduct studies that focus on
improving workplace performance through the development of relevant
theory, methods, and models. SOR has been used in tourism and hospitality
sectors for many years by researchers who want to understand how their
services can be improved for customers. SOR takes a service-focus approach
rather than a product or market focus. In this sense of research, it aims at
defining what works for customers (e.g., benefits offered, payment options
available, etc.) rather than looking at what makes a business successful
overall (Gojčič, 2012).

6.7. COLLABORATION AND COMMUNICATION


Collaboration and communication are essential to the success of any
business, especially the tourism industry. Collaboration between employees
in both services, including tourism and hospitality, can help achieve seamless
service delivery by addressing customer issues promptly, communicating
with customers and their guests to ensure they are satisfied with their
experience. Collaborative management is a way to ensure that collaborative
actions are implemented efficiently and effectively by all involved, including
customers. Cooperation between employees will facilitate communication
between the organization, customers, and suppliers in THL services (Han,
2013).
Collaboration provides an opportunity for sharing ideas on how to
improve the customer experience and reduce human errors that may delay
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 123

service delivery. Communication is another key feature when implementing


a collaboration strategy. When communicating with each other, team
members need to share ideas in an open manner and discuss how they can
improve their performance as well as create more value for customers.
Collaboration between employees and coworkers can be achieved through
open communication, teamwork, and mutual respect. This will lead to a more
efficient workflow with the goal of improving SQO through collaboration.
Tourists and travelers are being incorporated in enabling communication
and collaboration to enhance service quality in THL services. Tourism
professionals need to understand the impact that their actions have on
the traveler. This can be achieved by understanding changes in customer
expectations with respect to information on products and services as well
as assessing demand for new products or services. Collaboration can help
create trust between tourists and service providers, while communication
helps enhance service quality. In addition, it also allows tourism companies
to learn new ways of serving their customers as well as promising ways to
reduce costs associated with maintaining their operations including service
delivery processes (Gojčič, 2012).
For this, they need to be given sufficient time to reflect, understand, and
enact their change or increase in service quality. Guests are encouraged to
share their experiences and contribute to a greater understanding of how the
organization can improve its services going forward. This may also be done
through cooperation with each other, with the host community, with local
stakeholders and governments through inclusive communication to ensure
better understanding of tourists’ needs.
Although this approach is at the core of all service quality approaches,
the challenges faced by practitioners in this area may vary according to their
context. Collaboration is not just about sharing information. It also has a
deeper meaning: creating common perceptions and practices on how to
behave with others when working together. It also implies that the challenges
faced by managers and front desk employees that interact with each other in
a working environment such as THL services are often a point of concern for
an organization’s strategy on enhancing SQO. In addition to understanding
that team members may have different skillsets or may not be familiar with
culture differences within your organization, you should also consider how
others approach problem solving and establishing goals (Han, 2013).
In the global stage, the tourism industry is also facing a global shift from
traditional visitor-based economies towards a more complex, networked,
124 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

and knowledge-based model. This change has resulted in a rise in challenges


for service providers to find and retain their customers, who are increasingly
demanding quality service experiences. As the concept of trust is changing
from transactional (relating to transactions) to relational (relating to
expectations), changing roles and responsibilities reflect SQO will increase
intensity levels rather than solely increasing individual knowledge levels.

6.8. EMPLOYEE EMPOWERMENT


The importance of employee empowerment is well known, as it leads to
increased motivation and a better customer experience. Empowering
employees to make decisions can help them make better business decisions,
which will lead to an increase in CSAT and loyalty. A service orientation that
emphasizes the ability of employees to make decisions, empower them to
take ownership of their work, and develop skills allowing them to participate
in decision making will increase economical input of the tourism sector.
This approach involves giving employees control over their jobs. This
can bring in increased motivation, as well as better customer experiences.
In this case, the owner would need to determine what sort of empowerment
program will work for each employee for them to perform at their best
without micromanaging operations from the top down. Firm managers
also need to empower decision making so that all employees are visible in
projects and decisions related to the business. Tourist perceptions of service
quality can be further enhanced by employees who are empowered to make
decisions, take responsibility for their actions, and act as customer advocates
(Han, 2013).
This approach is also a complex, multifaceted concept and its management
is a challenge for all tourism and hospitality enterprises. Empowerment can
include, among other things: new flexibility on work hours; the ability to
take time off when needed; establishing clear performance measures and
evaluating employee performance according to these standards; training
opportunities; and allowing employees space to express their ideas,
preferences, and beliefs (Gojčič, 2012).
The importance of employee empowerment lies in its ability to create a
positive environment for employees to voice their concerns and suggestions
for improvement. In fact, employees are more likely to act in a positive
manner when they feel that their views are being recognized and listened to
by management. When this happens, managers develop a stronger bond with
their staff and provide additional support for their efforts. Tourism facilities
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 125

managers should not just rely on their own judgment or intuition when it
comes to instilling employee empowerment; they should also consider other
factors such as delegation of authority, involvement in decision making
processes and performance evaluations.

6.9. FEEDBACK AND RECOGNITION


In tourism and hospitality, service quality is defined as the extent to which
customer needs are met by the service. Service orientation refers to how
good a job a provider does at fulfilling those needs. To improve SQO in
tourism and hospitality, encourage feedback from customers and recognize
and reward employees for their contributions to service quality. There is a
wealth of information from customers that can be used to enhance service
quality. Feedback from customers should be encouraged, and employees
should be rewarded for their contributions to service quality in THL services
(Gojčič, 2012).
While customers expect good service, employees are more likely
to perform with excellence if they are recognized for exceptional job
performance. Feedback from customers and recognition through awards and
rewards will positively influence performance from customer-facing workers
all the way up through management level staff. Moreover, Feedback is an
important part of the service relationship (both verbal and nonverbal) that can
help establish or improve trust between provider and customer. Recognition
is also important since it provides motivation for employees to perform their
duties at high levels; it also helps retain high-quality employees who may
otherwise leave due to lower salaries. Finally, rewards can be used in many
forms including tangible gifts from management, discounts on products and
services, time off from work, etc. (Han, 2013).
The main challenges facing feedback and recognition include the
difficulties in measuring performance of employees in these services,
negative impacts on the employees’ self-confidence and their career
development, lack of feedback from management on what needs to be done
better, low rate of effective use of feedback by managers and employees.
Despite regular attempts to improve performance in service organizations,
the problem of providing valuable feedback and recognition remains at the
heart of many organizational challenges. It can be difficult for employees
to identify the right channels through which they should be provided with
feedback (e.g., whether it should be filtered by managers or given directly),
as well as their personal characteristics that might influence their reaction to
126 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

it (Gojčič, 2012). Some hotels do a poor job of communicating their policies


and procedures in writing, while others have no policy at all. Despite
their importance, feedback, and recognition have been overlooked – even
discounted by some service providers as too difficult or time-consuming.
Many firms face difficulties including exploring ways to strengthen the
current climate of professionalism, accountability, and transparency;
challenging values associated with individual success; increasing engagement
with end-users; meeting consumer expectations through personas and
identity-based marketing strategies; applying technology to enhance your
customer experience; adapting to changes in consumer behavior and media
consumption patterns (Han, 2013).

6.10. PERSONALIZATION AND DOCUMENTATION


Personalization, customization, and personalization are the core elements
of service quality. In THL services, they can be achieved through various
techniques such as Individualization of services, Emphasis on the individual
client’s needs by tailoring a service according to his/her needs based on his/
her profile, tailoring content for clients, tailoring product offering. The use of
technology can be an effective means of creating personalized experiences
for individuals, families, and groups. It has been found that individuals that
travel with their family members tend to have higher levels of satisfaction
with the hotel room than those who travel alone.
These services can be personalized, customized, and tailored services
to customers. These customized services may include personalization
of customer information, such as name or age; flexible and adaptable
products or services; personalized service environments that are adjustable,
responsive, and dynamic; and personalized customer experiences using
media delivery channels such as mobile devices, social networking platforms
and television networks. Personalization adds value to services by tailoring
them to individual needs. Customization creates loyalty by providing
tailored services that address specific needs of particular clients. As a result,
personalized and customized services can improve user experience and
increase application adoption rates (Gojčič, 2012).
The industry has been experiencing challenges with regards to a fixed
set of standards, expectations, and service quality as it relates to CSAT
and perception. A few challenges could arise from this due to increased
competition among competitors, who also want to stay updated with
technology and social media platforms like Instagram. This approach has
Approaches to Enhance Service Quality Orientation in Tourism, Hospitality, and ... 127

also been taken up by governmental services and tourists’ regulators who


have focused on ensuring that the service provider meets an established
standard, but what if it were possible to personalize every aspect of that
service?
In the tourism industry, personalized service includes a mix of customized
offerings and venues as well as personalized marketing strategies, tailoring
a travel package to everyone’s needs, or by offering its products in a variety
of forms and styles. It can also be conducted by implementing customer-
centricity. By using technologies such as voice recognition, computer vision
and pattern recognition, digital assistants are used to provide personalized
services for tourists and business travelers. Personalization of one’s services
allows for customization of the services offered to meet their specific needs
(Han, 2013).
From the time a customer arrives at a hotel or resort, to their final relaxing
moment in the evening, there are many steps in their experience. And one of
those steps is ensuring that every aspect of it meets customer expectations.
That’s why the hospitality industry has begun taking customer service more
seriously than ever before. This process has been enhanced by current
trends, such as customer engagement, social media, and user experience
design. The problem is that on one side of this “creative customer” is there
a provider who wants to make his product/service better so it can meet the
customer’s expectations and needs; however, what are these needs? How
can they be answered?
Studies show that customers’ expectations are characterized by their
satisfaction with the services they receive and their self-image as well as
how they feel about their experience with a particular brand. While many
guest experiences are being improved and personalized, it is still important
to offer visitors even more flexibility when making choices about where
they want to visit and how they want to experience it. This can be achieved
by providing the visitor with the opportunity to choose from a selection
of options that match their tastes, interests, preferences, and budget (Han,
2013).
With the advent of technology and digitalization, personalization
in service delivery has become the new trend. It is a way to provide an
exceptional experience to the customer by adapting their needs, interests,
and requirements. Service providers can use machine learning techniques to
optimize their service offerings based on current customer preferences and
past interactions (Gojčič, 2012).
128 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

6.11. THE ULTIMATE FUTURE


In the future, tourism ought to promote the customer experience. The
firms are focusing on providing responsive services to their customers by
enhancing the knowledge of customers, developing skills and competencies
of employees, and engaging customers with digital channels. There is need
to address four important challenges:
• Exploring new aspects of guest satisfaction;
• Understanding the roles played by satisfaction and its components;
• Measuring customer satisfaction;
• Enhancing ability for active learning from experiences with
customers.
CHAPTER 7

Empowering Service Personnel to


Deliver Quality Service Tourism
and Leisure Services

Contents
130 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

7.1. INTRODUCTION
The low occupancy rate of accommodation establishments has been blamed
on several factors, including poor empowerment of front-line hotel workers.
Employee empowerment is critical for service organizations, especially
those that interact with customers regularly. The authors went on to argue
that employee empowerment improves employees’ ability to provide high-
quality services and that high-quality service delivery leads to customer
satisfaction (CSAT). It is critical to empower hotel employees so that they can
respond to guests’ concerns helpfully. Employees’ self-efficacy is increased
by empowerment because it allows them to choose the best way to complete
a task. Apart from that, it improves employee knowledge, adaptability, and
freedom of action. All the factors mentioned above determine the success or
failure of any lodging business. The information index supports the notion
that in the field of service management, employee empowerment, service
quality, and CSAT are all positively correlated (Spencer, 2011).
These limitations are dual, as they are the result of limitations in the
existing literature on empowerment, service quality, and CSAT, which
prevent a more in-depth understanding of the concepts in the context of hotel
organizations. First and foremost, prior research in the field of employee
empowerment has shown that a combination of structural and psychological
empowerment dimensions can predict CSAT. The concept of empowerment
has been advanced in various contexts as being critical to the hotel industry,
particularly among front-line employees who require sufficient power to
respond quickly and effectively to customer needs. According to Timothy
& Abubakar (2013), it is critical to consider how much structural and
psychological empowerment predicts CSAT.
Second, many studies on employee empowerment have been narrowly
focused, focusing solely on restaurant employees rather than hotel front
desk employees. These studies also looked at employee satisfaction with
employee empowerment from their point of view rather than the point of
view of the customers. Timothy & Abubakar (2013) argued that it is critical
to examine employee empowerment concerning front-office staff, including
an assessment of CSAT concerning employee empowerment. The front
office division is the heart of the hospitality industry, where clients form their
first and, in some cases, final impressions of the general services offered.
This explains why the concept of employee empowerment is important in
the hospitality industry for fostering service quality, which leads to CSAT
(Dhar, 2016).
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 131

7.2. THEORIES OF EMPLOYEES’ EMPOWERMENT

7.2.1. Theoretical Orientations Empowerment Theory


The three basic categories of empowerment theory, according to Sun et
al. (2012), are leadership, structural, and psychological empowerment.
The structural and psychological components, on the other hand, have
been employed more frequently to present and explain the idea. Kanter’s
empowerment theory explains the structural empowerment dimension, and
Spreitzer’s empowerment theory explains the psychological empowerment
dimension (Kanter, 1993; Spreitzer, 1995). The distribution of authority,
opportunities, and individuals from various groups, according to Kanter’s
structural theory of empowerment, can explain a person’s conduct within a
corporation. The power structure within the industry, including the staffing
ratios offered by the industry’s management, determines the conduct of the
personnel as it relates to the hospitality sector’s front desk. According to
Hamborstad & Perry (2011), the structure of the organization for which the
staff works, rather than the actions of front-line personnel, influences the
level of service delivered to consumers in the hotel business. The Spreitzer
Psychological Empowerment hypothesis, on the other hand, illustrates how
employee orientation toward work characteristics is influenced by four
determinants: competence, impact, meaning, and self-determination. These
are the internal motivators that give employees the idea that they can achieve
tasks. This perception has an impact on work productivity and job happiness.
According to various research, four elements influence each hotel front desk
employee’s orientation toward their work: competence, impact, purpose,
and self-determination. These four aspects operate as internal stimuli, giving
hotel front desk workers the impression or feeling that they can do their
duties. This view results in the provision of high-quality services, which
boosts consumer happiness (Spencer, 2011).

7.2.2. Lodging Quality Index Model (LQI)


The lodging quality index (LQI) was created to bridge the gap in the
hospitality industry because there isn’t widespread agreement on how to
quantify intangibles like service quality, such as the quality of hotel services.
The SERVQUAL model has been used to assess hotel service quality, but
LQI was developed to fill some of the gaps. While SERVQUAL can be used
in a variety of service sectors, LQI models were created specifically for
the hospitality industry. SERVQUAL is the underlying structure of the LQI
132 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

model. The eight-step process and main structure proposed by Churchill


& Supernant (1982) were used to develop the accommodation quality
index scale. In the tourism and leisure sectors, the model identifies five
dimensions and 26 components that contribute to high-quality service. The
five elements are “tangibility,” “reliability,” “responsiveness,” “confidence,”
“competence,” “courtesy,” “security,” “access,” and “communication,” with
the latter two including the original “communication” and “understanding”
dimensions. Because the model used in this study was developed to assess
service quality in hotels, it is considered distinct from the SERVQUAL
model (Dhar, 2016).

7.2.3. Expectancy-Disconfirmation Theory of Customer


Satisfaction (CSAT)
The expectancy disconfirmation theory is a popular explanation for how
consumers evaluate a product or service before making a satisfaction
decision. The theory classified the satisfaction process into three stages:
dissatisfaction, satisfaction, and extreme satisfaction. According to the
theory, the satisfaction process entails comparing the provided product or
service to the expectations.
This procedure has been referred to as the “confirmation/disconfirmation
process” in the past. Customers would first establish their expectations
before purchasing a good or service. Second, using the product or service,
or having an experience with it, results in a level of perceived quality that is
influenced by expectations.
Customer dissatisfaction occurs when perceived performance falls
short of the customer’s expectations. Customers are also pleased when the
perceived performance meets or exceeds their expectations. The customer
is said to be extremely satisfied when the perceived performance meets or
exceeds his or her expectations.
As applied to the current study, the theory asserts that customers form
expectations before arriving at the hotel. Following that, how customers
use or interact with the product or service provided by the front desk staff
creates a level of perceived quality that is influenced by expectations.
Customer dissatisfaction occurs when perceived performance falls short of
the customer’s expectations. Customers are satisfied when the perceived
performance matches the expectation exactly. The customer is said to be
extremely satisfied when the perceived performance meets or exceeds his or
her expectations (Spencer, 2011).
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 133

7.3. REVIEW OF THE RELATIONSHIP BETWEEN


EMPLOYEE EMPOWERMENT, CUSTOMER
SATISFACTION (CSAT), AND SERVICE QUALITY

7.3.1. Dimensions of Customer Satisfaction (CSAT) and


Employee Empowerment
Previous empirical studies investigated how structural empowerment
influenced customer-focused behavior. Gazzoli et al. (2009), for example,
investigate the effect of structural empowerment on improving employees’
customer orientation, including how restaurants can improve their employees’
attitudes toward their jobs. The findings of the Gazzoli et al. study indicate
that structural empowerment has a positive and direct impact on employee
customer orientation perceptions and attitudes. Lee et al. (2006) conducted
another study to determine whether structural empowerment predicts CSAT
in the context of the Korean tourism industry. The findings revealed a strong
link between structural empowerment and CSAT. Based on these findings,
the current study makes a strong and encouraging prediction about the impact
structural empowerment of hotel front-desk staff has on CSAT. Furthermore,
several authors argued that, particularly in service organizations, it is critical
to view EE from the perspective of the front-line employee rather than the
domain of all employees. Their argument is based on the idea that because
they are in constant contact with customers, front-line staff members are
critical of providing high-quality services that increase CSAT. Employee
empowerment is thus defined as providing front-line staff with the necessary
information about an organization’s performance, information about
organizational rewards based on organizational performance, information
that enables front-line staff to comprehend and contribute to organizational
performance, and authority to make decisions that may affect organizational
direction and performance. This was used to explain how front-line
employees are expected to be organizationally oriented to perform because
service organizations’ management provides them with the necessary
information about the organization. Service organization management must
do the same by freeing front-line employees from the strict control imposed
by directives, rules, and regulations and allowing them to take responsibility
for their thoughts, decisions, and actions. In other words, management’s
empowerment of employees allows them to develop intrinsic ability and
self-determination, allowing them to fulfill the organizational mandate
of providing quality service (QS) that increases CSAT. Based on these
134 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

findings, the current study hypothesized that the psychological dimension


of employee empowerment among hotel front-of-house staff strongly and
favorably predicts CSAT (Spencer, 2011).

7.3.2. Employee Empowerment and Service Excellence


Lewis & Booms (1983) may have been the first to define service quality
as a measurement of how closely the service level provided corresponds to
the customer’s expectations. Following that, there appears to be widespread
agreement that service quality is an overall judgment of superior service,
though the specifics of this attitude remain unknown. Some argue that it is
the result of a comparison of performance perceptions with expectations,
while others argue that it is the result of a comparison of actual performance
with ideal standards. In today’s competitive hotel industry, providing quality
service is regarded as a critical tactic for success and survival, particularly
among front-of-house employees. The interaction and contact between
employees (front desk staff) and customers are what distinguishes hotel
service. The effectiveness of the service experience has a significant impact
on the operation of the hotel front desk. Customers’ requirements extend
beyond the physical structure to the range of services provided by the front
desk staff. In the face of intense competition in the hotel industry, how the
front desk staff provides the best service to customers has evolved into the
most critical concern for hotel administrators.
Hotel managers are unable to exert strict control over the process of
providing services due to the intangibility of services and the diversity of
hotel features. Employees, particularly those working at the front desk, must
therefore maintain the flexibility required to satisfy customers as they see
fit. As a result, hotel managers have developed their own set of organized
procedures for employees.
Hotels that prioritize personalized service have made employee
empowerment their guiding principle from a management standpoint. This
allows front-of-house staff to quickly identify customers’ needs and take the
initiative to meet them. This suggests that the empowerment of hotel front-
desk staff has a significant impact on the quality of service. Customers are
more likely to have positive perceptions of service quality when customer-
contact employees are given more authority. Based on the foregoing, the
current study proposed a positive and significant relationship between
employee empowerment and service quality (Dhar, 2016).
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 135

7.3.3. Customer Satisfaction (CSAT) and Service Quality


Front office services in the hotel industry are inconsistent due to customer
involvement. Employees must have some level of direct contact with
customers because their needs vary. Employees in this service industry who
are not allowed to make decisions that affect their jobs are less likely to
provide quality service. According to Dubrovski’s observation in 2001, if
hotel front desk staff are not in a good mood to work, the level of service they
provide may suffer. These circumstances may have an impact on the level
of quality they provide, and thus whether or not the customer is satisfied.
According to the data presented above, empowering front-office personnel
is critical for providing high-quality services. According to Robbins (2001),
when people who do the work are given the freedom to make their own
job-related decisions, both the speed and quality of those decisions often
improve, resulting in quality service. Employee empowerment boosts
productivity. This implies that every interaction a front-desk employee has
with a customer is an opportunity to strengthen or weaken the customer’s
emotional connection. According to Sparks, Bradley, & Callan (1997), fully
empowered hotel front desk staff who provide quality service to customers
in an attentive manner may increase CSAT. The majority of hotel front desk
staff are willing to take on obligations today due to their significantly higher
levels of education and training. Hotel front office managers who want to
improve CSAT should focus on using empowering language, according
to Ketchum & Trist (1992). Customers would be happier with the service
delivery process if employees could work quickly and enthusiastically,
according to Aziri (2011).
CSAT is defined as the customer’s perception of a specific product or
service considering the customer’s prior expectations. The quality of the
services provided, according to Andreassen (2000), is a critical component
of CSAT. He suggested that service providers provide the highest quality
services to ensure their clients’ satisfaction. According to the data presented
above, service quality is frequently regarded as a prerequisite for developing
and maintaining a satisfying relationship with loyal customers. It is
important to note that the relationship between service quality and customer
satisfaction (SQCS) is now receiving significant and strategic attention. In
the hotel industry, CSAT is generally related to perceived service quality
(Spreng & McKoy, 1996). As a result, in a highly competitive market, a
proper understanding of the causes and factors that influence CSAT can be
seen as having an extremely high monetary value. CSAT and overall service
quality are significantly correlated, according to Bigne’s (2003) research.
136 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Ham & Hayduk (2003) confirmed that there is a positive correlation


between the perception of SQCS based on the relationships between each of
the service quality dimensions. In light of the foregoing, researchers believe
that there is a positive and significant correlation between SQCS in the hotel
industry (Spencer, 2011).

7.3.4. Employee Empowerment and Customer Satisfaction


(CSAT)
Sparks et al. investigated the effects of employee empowerment on CSAT
in 1997. Fully empowered employees, according to Sparks, results in higher
CSAT, but only when the service provider uses a flexible communication
style. Hocutt & Stone (1998) investigated the effects of frontline employee
empowerment in a service recovery scenario. According to the findings,
if staff members were properly trained and given discretionary authority,
service recovery efforts would be maximized, resulting in higher CSAT.
Zeglat et al. (2008) investigated the relationship between employee
empowerment and CSAT and found it to be positive (Dhar, 2016).
The two parameters are involved. So, what exactly is CSAT? CSAT is
defined as a customer’s perception of a specific product or service based
on his or her pre-existing expectations. When will customers believe that
the goods or services, they are receiving meet their expectations? That is
heavily dependent on how efficient the service providers or those involved
in the manufacturing process are. What effect would this have on efficiency?
This is made possible by the concept of empowerment, which includes
autonomy, accountability, innovation, and information (Yang & Choi, 2009).
Employees who have a sense of empowerment at work are more motivated
than those who simply follow orders. Employee empowerment fosters a
sense of belonging and ownership toward the parent organization, which
boosts their confidence and drives them to give their employers their all,
ultimately leading to an improvement in service quality. According to the
authors, higher levels of CSAT are typically caused by the improved product
or service quality. According to Yang & Choi’s (2009) research, employee
empowerment can significantly contribute to a company’s growth and
development. CSAT is one of the outcomes of employee empowerment, and
it is a critical factor in business growth. Given the foregoing, the researcher
hypothesized that there is a positive and significant relationship between
employee empowerment and CSAT.
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 137

7.4. WAYS OF CUSTOMER SATISFACTION (CSAT)


Employee empowerment in the workplace encourages employees to take
independent, self-determined actions. Managers should provide workers
with the necessary support so that they feel secure in their positions (Spencer,
2011).
Employee empowerment entails giving them the freedom to thrive under
your supervision rather than micromanaging them. Risk-taking is viewed as
a learning opportunity, and mistakes are viewed as lessons learned. When
properly implemented, employee empowerment makes workers feel more
at ease as they advance professionally within the company. Here are some
tips for enabling service personnel to provide excellent travel and leisure
services (Dhar, 2016).

7.4.1. Demonstrate Your Trust as Management


Establishing your credibility is the most effective way to gain employee
loyalty. As a hospitality business, clarify the goals rather than the methods
and allow your employees to conduct themselves as they see fit. Even if they
do not complete everything exactly as you would, they will do so in a stylish
manner (Figure 7.1).

Figure 7.1. Management trust in employees and its importance illustration.

Source: Krot, & Lewicka (2012); https://www.semanticscholar.org/pa-


per/The-Importance-of-Trust-in-Manager-Employee-Krot-Lewicka/
c0d98ee9fe182140dce67129503fef1097f7adfc.
Some people believe that trust is the glue that holds society together,
and this is true in the workplace as well. Although it is not always easy to
put your trust in others because you are afraid of being let down, it has been
138 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

discovered that trusting your service staff is a clever way to ensure your
success. Here are some compelling arguments for why this is advantageous
to all parties (Spencer, 2011).

7.4.1.1. Good Employee Engagement


To be successful, every business requires an engaged workforce, and trusted
employees will feel more valued and invested in their work. This will also
improve service providers’ job satisfaction and lower staff turnover rates.
One survey found that employees in “high-trust workplaces” were 76%
more engaged than those in “low-trust workplaces.” In the end, happy
people are more likely to go above and beyond to provide quality services
in the hospitality industry, and trusted employees are happier overall (Dhar,
2016) (Figure 7.2).

Figure 7.2. An engagement model with employees.

Source: Salunkhe (2010); https://www.researchgate.net/figure/Figure-No-2-El-


ements-of-Employee-engagement_fig1_337021578
1. An Increase in Productivity: Trust is regarded as an essential
component for increasing workplace productivity. Instead of
constantly checking in with employees, trusting them allows
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 139

management to let them focus on their work and do what they do


best. If the company has an efficient HR and recruitment system in
place, they can be confident that you have hired the best candidate
for the job and trust them to do it well. As a result, management
will have more time to devote to proactive tasks rather than time-
consuming employee micromanagement. According to studies,
companies with a high-trust culture saw stock market returns that
were two to three times higher than the market average.
2. It Enables Flexible Working: For flexible or remote working to
succeed, employers must have faith in their employees’ ability to
work independently from wherever they are. Flexible working
arrangements, such as part-time hours, earlier or later start times,
or working from home, can increase productivity and employee
satisfaction by allowing employees to achieve a better work-life
balance. It has also been shown to reduce workplace burnout and
increase employee retention. This type of work, however, cannot
succeed without the trust of the employer.
3. Improved Communication: Staff members who are trusted
can significantly improve communication. Because trust is
a two-way street, if management trusts their employees, the
employees will trust the management, allowing for open and
honest communication between the two parties. This is only
possible if employees believe they are valued and safe enough
to express their true feelings. Such communication is essential
if the hospitality industry wants to get a realistic picture of how
the business is performing and address any issues before they
become problems. Employee engagement can be increased by
trusting and empowering employees to provide candid feedback,
as long as their concerns are carefully considered and addressed
(Spencer, 2011).
4. It Fosters a Sense of Community: When an organization allows
its employees to work independently, the environment improves,
and the team becomes more effective. Allowing your employees
to work independently fosters a stronger sense of community
and helps to develop a strong team spirit, which is a necessary
condition for success. According to research, employees who are
more confident in themselves and one another are more willing to
collaborate, innovate, and take calculated risks. Individuals can
look to their teammates rather than nervously peering over their
140 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

shoulders because they understand that mistakes are opportunities


for learning and growth and that their teammates will support
them if they make them.
5. It Encourages Employee Advocacy: Employees express
their gratitude for your trust by becoming your staunchest
supporters. In the age of Glassdoor reviews and social media,
don’t underestimate the value of online ‘word-of-mouth’
recommendations. When there is a lack of trust in the workplace,
it is more difficult to attract top talent because disgruntled
employees may leave negative reviews, discouraging others from
applying for open positions. Similarly, a single compliment from
a staff member can set a company apart from the competition
among hospitality companies.

7.4.2. A Clear Vision Should Be Communicated by Manage-


ment
As a leader, it is your responsibility to bring the service personnel together.
Nobody will be able to complete their tasks well if they do not understand
what they are supposed to do. To avoid stepping on each other’s toes, the
company’s vision and the roles of each employee must be defined (Dhar,
2016).
No matter how fantastic your vision statement is, its effectiveness is
determined by how well it is communicated. It is critical to keep the vision in
mind, especially during times of change. It is the responsibility of leaders to
develop a strategy for communicating their vision, and it is the responsibility
of leaders and managers to put that strategy into action (Spencer, 2011).
The management mission statement is inspiring. It outlines the
organization’s restructuring goals. Employees may have gotten an
explanation during some initial meetings, but it was insufficient. It is critical
to communicate your vision consistently and continuously. Here are seven
ideas to help leaders and managers effectively communicate their vision to
employees to strengthen their sense of motivation. Here are some ideas for
inspiring employees to support the organization’s vision:
1. Keep it Simple with Storytelling: Storytelling is an extremely
effective tool for communicating your change-oriented goals.
When employees are linked to the current situation and the
company’s future vision, storytelling facilitates understanding
for the listener and invokes the emotional connection required
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 141

to foster employee engagement. Good stories help to reinforce


the vision, solicit feedback, and build trust. Stories should be
straightforward to avoid confusion. A good vision story should
take no more than five minutes to tell.
2. Be Sincere: Leadership authenticity develops in an environment
of transparency and trust, were leaders model accountability and
responsibility. This encourages people to talk about their concerns
and problems, allows the manager or leader to allay fears, and
allows them to take action to show that the company values its
employees and the contribution they make to realize the vision.
Any attempt at change is always a failure. By being honest when things
go wrong, keeping their word, and acting consistently by organizational
values and beliefs, authentic leadership fosters the trust required to overcome
obstacles during times of change.
3. Presenting a Vision Through Various Media: Before, during,
and after the change, it is critical to practice communicating
vision. It must also be effectively communicated. This entails
using a variety of communication channels appropriately for the
audience and the type of information that needs to be shared.
In addition to newsletters, intranet, notice boards, and informal
conversations, team meetings, one-on-one meetings, and group presentations
are likely to be used to communicate the vision for change. Regardless
of the methods used, it is critical to ensure that the vision is consistently
communicated to ensure the provision of high-quality services.
4. Repetition: It improves familiarity and memory retention. As
the same message spreads through various channels, the vision
begins to take hold. When communicating a vision, storytelling
techniques can help ensure that the message remains exciting
and inspiring. Reiterating key messages when congratulating
individuals and teams on accomplishments that reflect progress
toward the future vision strengthens desired behaviors in the
hospitality industry.
5. Ask for Comments: Only through feedback can management
learn what their employees understand and do not understand.
Feedback is critical for ensuring that efforts to communicate the
vision were not ineffective or misinterpreted and that it will not
be misrepresented in the future.
142 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

6. Consistently Pursue the Vision: The vision cannot be


communicated to service personnel verbally. Managers and
leaders must model the behaviors they want their employees to
exhibit. Without this coherence between words and actions, the
change project and credible leadership will fizzle out quickly, and
resistance will grow (Dhar, 2016).
7. Create a Path to the Goal: To effectively communicate the change
vision, a diverse group of people with diverse communication
styles must be reached. The vision should be made memorable by
using metaphors to explain the organizational culture and visual
aids to create a pathway from the current state to the desired
future state.
Effective vision communication is a critical leadership quality that is
especially important during times of transition. The message should be
made clear by using stories to illustrate the benefits, remaining genuine
and approachable, and assisting employees in reaching conclusions that are
consistent with the organization’s future vision. By doing so, the organization
will be able to engage its workforce and inspire it to make a significant
contribution to the coalition for change (Spencer, 2011) more effectively.

7.4.3. Small Talk


One-on-one conversations with employees should become standard practice
for hospitality management. These conversations could happen at work, in
the break room, or at a nearby coffee shop. Questions about employees’
work progress, such as their accomplishments or grievances, should be
asked as part of an effort to get to know them better personally.
Management should inquire about the employees’ families or general
lives to demonstrate that they care about them as people. As a result, the
office will become friendlier and more productive. According to two-thirds
of the population, management had an impact on their career in some way.
Employees may value small talk for a variety of reasons, including:
1. Fosters Rapport and Relationships: Having casual conversations
with coworkers can foster rapport and intimacy. It shows that they
are valued as individuals, not just as employees. This could lead
to a happier workplace and increased job satisfaction.
2. Reduces Stress: Spending a few minutes talking about something
unrelated to work can help reduce stress and promote relaxation.
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 143

This is especially useful when things are hectic or stressful, and


employees may feel overburdened.
3. Fosters a Sense of Community: Small talk can foster a sense of
community at work. When employees feel like they are part of a
team, they are more likely to be engaged and dedicated to their
work (Dhar, 2016).
4. Improves Overall Workplace Communication: Regular
conversation, including small talk, can improve overall workplace
communication. If this is the case, employees may feel more
comfortable approaching their coworkers or managers with
questions or concerns.
5. Increases Productivity: When employees feel connected to their
managers and coworkers, they may be more motivated to work
harder and be more productive (Spencer, 2011).
Small talk may appear insignificant in the grand scheme of things, but
it can have a significant impact on employee morale, engagement, and
productivity.

7.4.4. Encouraging Self-Improvement


Employee skill development benefits the company. Some companies
even fund extracurricular activities or ongoing education that promotes
personal development. If management is unable to financially support your
employees’ professional development, they should at least be somewhat
flexible with schedules. Allowing service personnel to leave a half-hour
early every Thursday for community orchestra practice can greatly improve
their well-being and work ethic. The Importance of Employee Improvement
Motivation is as follows:
i. The most effective executives and managers do not wait for
employees to voluntarily decide to increase output. These
managers provide their employees with the tools they need to
continuously improve and encourage them to do so.
ii. A well-run company’s leadership shares skills with team members,
providing workers with better tools to handle production. In other
cases, management may train team members in skills unrelated to
their primary responsibilities. As a result of this approach, team
members are knowledgeable, well-rounded, and eager to take on
new responsibilities.
144 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

iii.According to research, the more engaged employees are with


managers and executives, the more likely they are to learn career-
building skills. This involvement fosters a culture of growth.
Leadership may not have the time to provide each employee with
a comprehensive list of opportunities or tools that can help them
advance in their careers. That information, on the other hand, can
spread among team members until it reaches every employee,
fostering a fantastic workplace culture (Spencer, 2011).
Tips for motivating employees to advance in a tourism company:
1. Establish Weekly Objectives: Create reasonable goals with
manageable checkpoints. Set reasonable deadlines (and meet
them), for example, or try to increase production by 2% over the
next week.
2. Maintain an Open Mind: Inform them about what happens at
the highest levels of the organization and how their daily actions
affect the business’s direction.

7.4.5. Support Vacation Time


Although it may appear counterintuitive, working to prevent employee
burnout will allow you to get much more out of them as a tourism business.
Recognize the signs of burnout and actively promote vacation time to keep
your employees from reaching that point (Spencer, 2011).
The advantages of encouraging vacation time:
i. Around 80% of employees say they would take more time off
if their employers encouraged and supported them. Employers,
organizations, and the economy all stand to benefit from vacation
time used to increase job satisfaction and productivity.
ii. Employees who take vacations are more productive, have higher
job satisfaction, are less stressed, sleep better at night, and have
better cardiovascular health by lowering their risk of heart disease
(Dhar, 2016).
iii. Employees who can take vacations are less stressed, so
organizations can save money on healthcare costs. They
also benefit from increased worker engagement, loyalty, and
productivity.
iv. When workers take vacations, the economy benefits. Employees
using up all their vacation time can result in a $160 billion increase
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 145

in total business sales and a $21 billion increase in tax receipts.


Furthermore, an increase in employment of $1.2 million is
expected in the manufacturing, retail, and transportation sectors.
v. Managers can persuade employees to use their vacation time
by discussing the benefits of taking time off, raising employee
awareness of the dangers of stress, and emphasizing the
importance of a work-life balance. Managers can also set a good
example by taking time off and allowing employees to unplug
when they go on vacation.

7.4.6. More Than Just Work Should Be Delegated


As a manager in the hospitality industry, you will inevitably be assigned
work, but you should make sure that it is not your only responsibility.
Request that a staff member take over a critical meeting, even if it’s just
while you leave the room to answer the phone.
It is critical to delegate more than just work for the following reasons:
i. Delegating authority and responsibility to your employees shows
that you respect and value their abilities and judgment. They have
the freedom to pursue their interests and accept responsibility for
their work, which can increase their sense of empowerment and
job satisfaction.
ii. Giving your employees more than their assigned tasks allows them
to learn new abilities and skills. By taking on new responsibilities,
they can expand their knowledge, improve their problem-solving
abilities, and gain valuable experience.
iii. Giving your employees more than their assigned tasks can
promote teamwork and collaboration. Allowing your team to
collaborate on tasks and initiatives can help you build a more
effective and cohesive team.
iv. Team performance can be improved by delegating more than just
work. You can boost effectiveness and productivity by allocating
tasks and responsibilities based on each employee’s skills and
strengths.
v. By delegating more than just work, you can identify potential
leaders on your team. Allowing them to take on more responsibility
and authority can help them gain the knowledge and experience
needed to become effective leaders (Spencer, 2011) (Figure 7.3).
146 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Figure 7.3. Task delegation is critical for building a strong and efficient team.

Source: Vecliuc, Leon, & Logofătu (2022); http://dx.doi.org/10.3390/computa-


tion10120223.
You can help your company achieve its goals and long-term success by
empowering your employees, encouraging skill development, encouraging
teamwork, increasing productivity, and grooming future leaders (Dhar,
2016).

7.4.7. Learn Flexibility


Life is happening. Being in the hospitality industry as new situations arise,
be adaptable with your staff. Create a schedule that allows parents to drop
off their children at school in the morning. They’ll also be able to work more
efficiently because they won’t be stuck in rush-hour traffic.
You could also allow a worker to work from home to care for a sick
parent or child if the job allows it. If extended WFH periods don’t work for
your company, try one WFH day per week or a few per month. You may
even find that your employees perform better in an environment of their
choosing (Spencer, 2011).
Advantages of workplace flexibility for employers Some benefits of
implementing workplace flexibility for businesses include:
i. Employee satisfaction Employees with flexible work schedules
and a positive work-life balance may be more satisfied with their
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 147

jobs. By granting employees certain freedoms, business owners


can reduce stress and demonstrate their appreciation for each
team member’s contributions.
ii. High levels of employee satisfaction promote a positive,
productive work environment. Satisfied employees are more
likely to work harder, more productively, and with greater
dedication than dissatisfied employees.
iii. Employers can show their trust in their employees by creating
flexible work environments, which can help them retain
employees. Employees who work in a trusting environment are
more likely to respect their manager and stay with the company
over time.
iv. By ensuring high employee retention rates, a business owner can
ensure a high return on investment. In a positive, flexible work
environment, employees may even be motivated to recommend
the company to their contacts (Dhar, 2016).
v. Productivity of employees: Workers who have enough time
outside of work to take care of personal responsibilities may be
less distracted and more effective at work.
vi. Employees with flexible schedules can focus on completing tasks
following quality standards and deadlines rather than cramming
a 40-hour work week or feeling overburdened by an excessive
workload.
vii. Furthermore, productive employees can collaborate more effectively
with others, increasing the overall effectiveness of the team.
viii. Additional cost savings: By implementing some workplace
flexibility measures, a company may be able to save money.
For example, by implementing an unlimited time-off structure,
business owners can avoid having to pay employees for any
accrued time off that is not used. Furthermore, by allowing
employees to work remotely rather than renting office space or
purchasing team supplies, company executives can save money
on overhead expenses (Spencer, 2011).

7.4.8. Inspiring Creative Thinking


It doesn’t always follow that the way a company has done something for its
entire existence is the best way to do it. Make use of your surroundings and
148 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

encourage your employees to share innovative business solutions because


there are always problems to solve and better ways to complete tasks. Here
are a few advantages of being creative at work:
1. Enhancing Teamwork: Creativity is important because it can
help organizations build more productive, dependable teams.
Teams rely on one another to solve problems and complete specific
tasks, and when their effectiveness, caliber, or productivity
improves, they may get along better. The group understands that
they can rely on one another to carry out their responsibilities
and devise novel solutions to problems. This level of trust can
boost team productivity and motivate members to work harder to
achieve team-specific goals at work.
2. Better Talent is Being Drawn to the Company: Companies
that value creativity may attract candidates who are both more
qualified and talented in their fields. Employees in this type of
culture may be given more freedom to express themselves as
well as the opportunity to experiment with new work processes
or improve existing ones. Furthermore, it can help to create a
more uplifting and encouraging workplace, which is something
candidates frequently consider before applying for a job. Some
companies will even provide employees with time off, financial
bonuses, or company-wide recognition for their innovative ideas
(Dhar, 2016).
3. Improved Problem-Solving Skills: Many employers seek
employees who can solve problems. When there is an increase
in creativity or creative workplace culture, employees may feel
more inspired to come up with solutions to problems. A general
improvement in problem-solving skills can boost employee
morale, solve complex business problems, and show the market
that the company is a competitor with a lot to offer its customers.
With greater competitiveness and fewer issues, a company’s
revenues, turnover rates, and even product quality can all be
increased (Spencer, 2011).

7.4.9. You Should Express Your Appreciation for Your


Employees’ Efforts
Even though they are paid to come to work every day, it is always a good
idea to provide some positive reinforcement. Let your employees know
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 149

when they are doing a good job, whether it is a sales call that was handled
flawlessly or a report that was flawlessly put together. Employee appreciation
has the following advantages:
1. When you express gratitude and appreciation to your employees,
they are more likely to develop positive interpersonal relationships,
which have a positive impact on team dynamics and communication.
This contributes to the development of a strong company culture.
2. Employee appreciation fosters a company culture of generosity,
empathy, and motivation. And because it demonstrates that you
and your team share the company’s values, it has a significant
positive impact on you and your team.
3. Increases Employee Satisfaction and Morale: Maintaining high
employee morale is the primary goal of a flexible and active team.
When employees receive individual recognition, they feel valued
and acknowledged for their small or significant contributions.
Overall, a small act of gratitude can boost employee happiness
and morale, and there will be no glum faces at work.
4. Peer-to-Peer Acknowledgment is Encouraged: Setting an
example of an appreciation culture at work will have an impact
on the culture of your company by encouraging a culture of peer-
to-peer recognition (Dhar, 2016).
Peer-to-peer interactions and recognition will follow if appreciation
begins at the top. All you need is an open forum where colleagues can
publicly acknowledge one another, which a strong rewards and recognition
platform enables. If you want to increase employee engagement, it’s time to
create an appreciation culture at work.
5. Creates a Positive Work Environment: When you encourage
a culture of appreciation and recognition at work, you create a
positive work environment. A company that promotes gratitude
and kindness will always foster a relaxed, joyful atmosphere.
6. It Boosts Employee Engagement: According to Gallup,
businesses with engaged employees are 17% more productive
and generate 21% more profits than those with disengaged
workers. As a result, a company’s ability to engage its workforce
is critical. It is common knowledge that recognition platforms
help to increase employee engagement and improve relationships
between employees and the company. It not only improves
conversation but also opens new channels of communication.
150 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

7. Reduces Turnover while Increasing Employee Retention:


According to studies, 54% of employees quit because they feel
underappreciated by their employers. If you want to increase
retention and lower employee turnover, you must recognize
employees’ efforts and contributions to the success of your
company. Without appreciation, you will never gain your
employees’ respect, loyalty, or tenure (Spencer, 2011).
8. Employees will Advocate for Your Brand: Happy, appreciated,
and motivated employees will gladly tell their friends and family
about their positive experiences, and you get your very own brand
advocates. A diverse talent pool will also begin to approach your
company. When done honestly and on time, employees become
your best brand ambassadors. As a result, you will receive the
external recognition that you seek.
9. Employee Appreciation Boosts Productivity: According to
one study, 69% of workers perform better at work if they receive
timely praise and recognition. Furthermore, 78% of US workers
reported that rewards increase their motivation (Dhar, 2016).

7.4.10. Listen to Employees’ Concerns


As a hotelier, it is your responsibility to not only welcome candid feedback
and ideas from employees but also to be available to listen to any problems
or concerns they may have. Employee listening may appear to be given.
However, if you dig a little deeper, you may be surprised at how little
listening happens in the workplace today.
In a recent survey of 675 professional workers in the United States and
Canada, 64% agreed that “leaders making decisions without seeking input”
was their biggest issue. This is one of the most serious issues that businesses
face at work. The following are some of the reasons why your company
must pay attention to its employees:
1. Employee Initiative: According to a recent poll, 38% of
employees believe that their leaders lack initiative when they
reject their suggestions without even considering them. Listening
to your employees can lead to a more engaged and active
workforce. When management, HR, and department leaders
are willing to use their creativity and imitation, workers put
forth more effort. Active listening will spread throughout your
organization if it is encouraged (Spencer, 2011).
Empowering Service Personnel to Deliver Quality Service Tourism and Leisure ... 151

2. Employee Engagement and Innovation: Listening to


employees’ feedback is critical for employee engagement. Many
companies encourage employee feedback by offering contests,
rewards, and bonus plans. When employee ideas are valued and
encouraged, employee engagement rises, and the company’s
bottom line benefits (Dhar, 2016).
3. Still in the Game: Instead of always finding ideas, suggestions,
and feedback from top-down processes, the power of
crowdsourcing can be especially useful in understanding what
is truly important to employees. Allowing employees to ask
questions and participate can, with the right tools, bring issues to
the forefront. CEOs, executive leadership, and HR directors can
use this data in real-time to identify trending ideas, conversations,
and feedback. As a result, they can act quickly and use a proactive
strategy rather than a reactive one.
4. Retention: Many employers make the mistake of implementing
plans like benefit programs and bonus structures without first
consulting their employees. Listening to employees’ concerns
can aid in the development of retention strategies that prioritize
enhancing employee morale. If you have a strong program in
place that promotes active listening to employee concerns, your
employee retention rate will improve.
5. Another important factor supporting the importance of listening
to employees is the impact it can have on your bottom line.
When employees feel heard, they develop a stronger connection
with their employers, which increases their motivation and
engagement. Regular open forums, such as All-Hands Friday
lunches, quarterly all-hands meetings on company goals, and so
on, can help foster a culture of listening and open communication
within the company, in addition to having tools in place to ensure
you are listening to your employees (Spencer, 2011).
CHAPTER 8

Technology and Its Impact on


Service Quality in Tourism,
Hospitality, and Leisure Services

Contents
154 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

8.1. INTRODUCTION
The hotel and tourism sectors have grown into large worldwide markets, and
this trend is only expected to continue. The hotel business has been crucial to
the growth and prosperity of many economies. It’s the fastest-growing part
of the economy right now. As evidence, consider the doubling of income at
foreign travel destinations from $22 billion in the 1970s to $1,400 billion
in 2012. The widespread use of information and communication technology
(ICT) is often seen as a major factor in this success. Numerous groups
and businesses have felt the effects of ICT. To innovate new services and
products and improve hotel operations, the hospitality sector annually spends
heavily on ICT solutions. A visitor satisfaction system was implemented
at the Sheraton Hotel to better serve guests and encourage them to return.
Recent years have seen a rise in the prevalence of using ICT in every facet
of the company. In today’s highly competitive market, ICT has developed
into an essential strategic tool for enterprises. As a matter of fact, several
experts hold that ICT has the potential to aid in the growth of national
economies. Previous studies have shown that hotels may use a wide variety
of ICT applications in crucial business areas including accounting, human
resources, and marketing. A hotel’s use of ICT might be front- or back-office
focused. In addition, different types of customers may have varying needs
and desires when it comes to the ICT services they use (Matute, 2021).
As a result, there is a wide range of ICT-related wants and needs among
consumers. Vacationers may be more interested in on-site attractions,
whereas business travelers could prefer an online booking system. The
primary functions of hotels provide a useful framework for classifying hotel
ICT systems. According to Ham, the hotel industry’s most common ICT
solution is the hotel management system. To better organize HIS, it was
broken down into four distinct categories: front-office, back-office, room
division, and in-room ICT. Hotels provide these categories to their local
and foreign guests alike. Front-desk software mostly consists of a point-
of-sale and a property management system (PMS). Financial reporting
software, inventory management software, security management software,
menu management software, environmentally friendly technologies, labor
management software, and data management software are all examples of
back-office technology. Sirirak included three indices and components of
ICT systems in their study framework for 2011. Accessibility, integration,
and intensity of use are the three factors that make up the ICT trinity. The
four types of hotel ICT systems used as indicator variables were included as
constructs in their study model alongside these antecedents. To address the
Technology and Its Impact on Service Quality in Tourism, Hospitality, and ... 155

validity problem, Reino categorized ICT systems used in hotels into seven
main groups in 2009. Systems in this category include those used in the
front desk and reservations, as well as those used in the back office and for
business analytics, as well as any interfaces, hardware, or networks directly
relevant to guests (Matute, 2021).

8.2. COMPUTERS IN HOTEL LOBBIES


The front desk is a very visible area of the hotel that works to smooth the
way for guests’ services and transactions from the time they arrive until
they check out. The front desk nowadays makes use of IT to do their duties.
“Hotel front-office systems” is the technical term for these kinds of gadgets.
Some of the most centralized systems, like HFOS, may function around
the clock, every day of the year. When communicating with visitors, hotel
employees should use HFOS. By equipping frontline employees with a
wealth of data and encouraging quick and secure transaction times, HFOS
aims to reduce employees’ time spent on the system and increase it spent
on customer care. Basic tools and language are often used in the creation of
HFOS. The PMS is a crucial piece of hospitality back-of-house software. A
PMS streamlines management by providing uniform support for properties’
core functions. In addition to these functions, PMS also serves as a hub for
the integration of various ICT infrastructures. Having a link at the front desk
helps get the word out to guests everywhere in the property. Whether a hotel
is modest and provides only the most basic facilities or large and provides a
wide variety of extra services, they all have a set of common processes that
may be included in PMS packages. Services like bookings, signups, billing,
reports, data cleaning, and basic marketing analysis are all included in the
package. PMS could improve internal management and communication,
which in turn increases worker productivity while decreasing expenses.
The PMS might be the single most financial and human resource drain on
a hotel. The capabilities and requirements of the business will decide the
PMS’s features, system administration, and connection. Optional features
include deciding how many personal computers (PCs) will be used to input
data into the PMS, where those PCs will be situated, and how the PMS will
be linked to other ICT systems. The management of a hotel must also make
the choice between installing the PMS software themselves and having
an ASP describes applications that use remote file storage. Whether the
hotel’s PMS is managed in-house or by an ASP depends on the amount of
ICT competence and knowledge possessed by its personnel. If a PMS is
156 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

dependent on an ASP, then it is the responsibility of the ASP to do routine


maintenance. A few different PMS approaches can be used, depending on
the size and character of the hotel’s operational environment. It’s possible
that a single computer is all a small hotel needs to run the PMS. The
institution will require a workstation server to house the PMS’s files if it
intends to make the programmer available from numerous workstations. All
following computers will communicate with this server through a local area
network. A LAN is a computer network that operates across a relatively
small geographic region, using wired and/or wireless connections. Unless
the PMS is hosted by the hotel’s ASP, the files and database will often
coexist at the property level in an independently run hotel. Information
on visitors or bookings may be requested by the hotel’s corporate office
if the hotel is part of a chain. There are two possible configurations for
the PMS’s physical location and the means through which it communicates
with the administrative infrastructure. The first approach entails building a
central, multi-PMS at the headquarters and providing VPN access to all the
individual properties (Matute, 2021).
The second option is to set up a central administration system and
link all the individual properties to it via a virtual private network (VPN)
or ASP. The most popular PMS solutions on the market generally have
modules that cover most front-office duties. The PMS’s components and
functional constraints are not uniform between vendors or corporate users.
The flexibility of a PMS means that it may be customized to meet the
needs of individual businesses. Add-on modules can be included into the
PMS to gain these features and improve communication across divisions.
These supplementary functions aid in running a hotel’s restaurants,
bars, spas, and conference centers, in addition to more general business
operations and basic business information systems. However, the company
will need to implement additional non-modular software solutions if it
wants to make use of more complex features. These programmers can be
used apart from the PMS or in unison with it to accomplish a variety of
tasks. Systems that aid hotel administration are included among the non-
modular solutions alongside resident service systems. The utilization of
this programmer and the communication between its users may improve
internal communications, corporate control, charge monitoring, and staff
efficiency. This results in lower running costs. Connecting the electronic
distribution systems to the PMS might allow for real-time changes to the
number of available rooms. In addition, some hotels use ancillary services
that bring in more money. The efficient operation of these conveniences
Technology and Its Impact on Service Quality in Tourism, Hospitality, and ... 157

depends on the availability of specific ICT systems. These ICT solutions can
be used alone or in conjunction with the PMS to improve communication
between the front desk and the back office. Hotels, on the other hand, could
have access to things like spas and golf courses. Hotel administration can
implement pricing for these leisure services and plan the necessary chores
with the help of a Leisure Management System or an Activity Scheduler.
Visitors may now book appointments, make bookings, and pay for their stay
without leaving the lobby, thanks to the PMS’s tight connection with Leisure
Management Systems. Once they are integrated with the Maestro PMS,
guests will be able to build packages that feature a variety of entertainment
options throughout their stay. Hotel restaurants may benefit from the use
of restaurant management systems by adding this functionality to their
properties. By centralizing the collection, organization, and presentation of
customer feedback, restaurant management systems streamline the service
industry. Kitchen staff management, food presentation, and user notification
systems all fall under this category (Matute, 2021).
Restaurant management systems in hotels and other hospitality
establishments can function autonomously or in concert with PMS to
facilitate the sharing of data between departments. These are often run by
the following electronic point-of-sale systems. These systems may create
projections to help with order placement, food production, and employee
scheduling, as well as reports to help with decision making, service
improvement, and expedited delivery. Hotels that provide banquet and/
or meeting space might benefit from using ICT solutions. Like restaurant
management systems, meeting and banquet management systems can run
on their own or be coupled with PMS to help sales agent’s book rooms on
the dates of meetings in real time. For future direct marketing purposes,
these systems may also keep track of event-specific information and
participant preferences. Graphical Room Planning is an optional add-on or
stand-alone purchase that refers to a high-end software solution for assisting
management with space arrangement and perhaps includes data on safety
standards. There’s also the possibility that your hotel offers timeshares.
Therefore, PMS gives hotel managers the tools they need to effectively
manage timeshares. These components can improve space id, management,
and visualization. They may also provide data, restrict owner accounts, and
control billable services like cleaning. An optional extra is a web-based
interface for business owners to see their profile details and make private
appointments. Comparable features may be found in the Micros-Fidelio
Timeshare Management System. There has been a dramatic uptick in the
158 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

deployment of ICTs to streamline front-desk tasks in the hospitality industry.


To issue bills and invoices, check guests in and out, handle reservations
and bookings, track guest spending, and share information both internally
and externally, hotels increasingly rely on information and communication
technologies. The Front Desk may be reached by phone or online, allowing
customers to make and confirm bookings in the comfort of their own homes
or offices. Customers may save time and avoid long lines at the front desk if
they pay for their bookings online. With the help of updated hardware and
software, accepting debit and credit card payments has become standard
practice at the front desk (Matute, 2021).
As the importance of computerization in the Front-Office grows, more
and more software packages are appearing that can handle virtually every
aspect of the Front-Office, from reservations and guest histories to room
allocation and billing, as well as the generation of management reports.
Front-office managers in Jordan’s five-star hotels use a wide variety of ICT
systems, and these technologies may have a significant effect on the hotel’s
marketing efforts (Chen, 2019).

8.3. MAKING A WELL-PLANNED RESERVATION


O’Connor and Few argue that a reservation system is any mechanism via
which customers may reserve goods and services, pay for them, and have
that information transmitted to the appropriate parties at the appropriate time.
Most ICT study in the hospitality sector has focused on the creation of such
systems because of the prevalence of perishable items in hotels. The hotel
industry’s operational sales practices were influenced by the 1970s advent
of computerized reservation systems, the 1980s advent of global distribution
systems (GDS), and the 1990s advent of the Internet. Internet reservations
might be beneficial for both businesses and customers because of the
instantaneous information sharing and cost savings they provide. Small,
standalone hotels can utilize any PMS with a basic reservation module to
build and retrieve their room inventory. The hotel’s room availability is shown
in this booking system, and reservations may be made, saved, and retrieved
with ease. The existence of this module type is a property. In contrast, chain
hotels may keep their supplies in a central location. Many of these hotels
have centralized reservation bureaus that handle all guest bookings. Hotel
chains need specialist software solutions at their corporate offices so that
they can manage bookings for various sites. The central reservation system
(CRS) is one such software solution that gives its customers access to both
Technology and Its Impact on Service Quality in Tourism, Hospitality, and ... 159

the GDS and the Internet Distribution Systems (Matute, 2021). Using a CRS,
hotels may better organize their online advertising and sales. In addition, it
paves the way for hotels to market their rooms and prices to travel agents
and other CRS-using sales channels. Information about available rooms
and rates may be transmitted quickly and easily across hotels in a chain
using the CRS. One of the best reasons to join a hotel franchise is access
to a CRS. Most chain hotels still take appointments at the property level,
therefore it’s important to keep the inventory databases at both the corporate
headquarters and the central reservation offices in sync. Integrating the CRS
allows for faster communication, better data management, and cheaper data
transmission. Most reservation systems are built on centralizing inventory
on a central website and streamlining communication between the corporate
and property levels. A hotel chain may help its individual hotels boost
bookings, improve guest experiences, optimize sales, broaden their market
possibilities, and execute yield management by deploying a sophisticated
CRS. Although CRS might face enormous operational and visitor service
issues, such as system failures, it is still crucial to the future of hotels (Chen,
2019).
By enabling direct bookings and establishing a direct connection
between their inventory and one or more of these channels, hotels may
increase their potential clientele and revenue. Today, business operations
might encounter ICT infrastructure in one way or another. Increasing their
market share and profile is one reason why hotels use so many different
online mediums for management. The GDS is one such method, and it
includes platforms like Amadeus, SABRE, World Span, and Galileo. These
systems, which include lodging establishments, airlines, car rental agencies,
and other travel-related businesses, are often used by professionals in the
travel industry. A stable Internet connection is required to access GDS.
Travel aggregators including Expedia, Book Direct, Orbitz, Travelocity,
Hotel Factory, RezView, iHotelier, and ResExpress are part of the alternative
distribution system (ADS), which is another sales channel for hotels. CRS,
managed by independent companies like Best Western or Reserve America,
provide a third method of hotel distribution. In addition, hotels can use their
own websites to market their rooms. This platform must have a dedicated
connection to the hotel reservation system. Reservations made directly
through a hotel’s website save on middlemen and cut down on distribution
costs. As a result, several hotel chains provide discounts to customers who
book through their official websites. However, developing these interfaces
may end up costing a lot of money. To acquire access to distribution channels
160 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

and to enable communication between the PMS and the ADS and/or GDS,
hotel management may contract with switch businesses in the event that
direct links to these systems are not feasible. If you book a room using a
GDS or a website, the information will be sent to the hotel’s reservation
system. The requester will receive the details once the reservation has been
verified and accepted. If hotels are unable to access their PMS due to a lack
of integration with GDS/ADS, they will manually assign rooms to these
distribution systems. Destination management systems (DMSs), also known
as destination information systems (DISes), are a viable option for budget
hotels with minimal IT infrastructure. The DMS is run by a regional tourism
organization, yet it is built on the same technology used by multinational
firms. As a result, hotels can boost profits by offering rooms for sale through
various GDS, airline distribution systems (ADS), and hotel management
systems (DMS). By allowing PMS to automatically communicate with these
Electronic Distribution Systems, hotels will be able to better connect with
external partners and respond to market developments in a timely manner,
both of which will increase revenue generation. Kim and Kim argue that to
draw in new clients, online reservation systems need to priorities low prices,
easy access, and safety features. Customers can be kept around longer if they
are given the option to ask questions and make purchases online (Matute,
2021).

8.4. MANAGEMENT INFORMATION SYSTEMS IN


THE WORKPLACE
Applications for BAS can run in isolation or in conjunction with the PMS.
Some vendors of PMS give extra features that may be added to the system or
linked with other programmers. System integration in front and back-office
applications improves internal information accuracy and labor productivity
by allowing departments to share a single database. Solutions for managing
finances, supplies, and staff fall under this umbrella. The PMS can be used
in conjunction with a Work Order or Maintenance module. The goal of this
module is to make it easier for maintenance staff to compile defect reports
and assign priorities. When the repair was finished, the order would be
cancelled, and the proper departments would be notified by the maintenance
department. This type of structure is designed with management, productivity,
and internal communication in mind. E-Procurement solutions, which are a
subset of Back-Office software, let businesses take advantage of automation
and digital supply chains. Organizations with high operational volumes and
Technology and Its Impact on Service Quality in Tourism, Hospitality, and ... 161

high levels of purchasing activity might benefit greatly from the automation
provided by these apps. Particularly important in the hotel’s sections where
bulk purchases are made, these systems are often integrated with the
restaurant, catering, or banquet management system as well as the work
order/maintenance system. Ordering, receiving, stocktaking, stock controls,
recipes, inventory depletion, and reordering are all handled by this system.
It also decides on a daily basis whether or not things may be released for
sale. A higher level of command may result from the enhanced internal and
external communication, decision making, and labor productivity made
possible by such an application (Matute, 2021).
Control and judgment can be improved with the use of accounting task
assistance technologies. Guest billing, reverse posting, multiple account
systems, turnover tax advance return with an integrated official form, client
analysis, replication, currency exchange booking, and data import/export
are just some of the features made possible by the Accounts Receivable/
Sales Ledger and General Ledger modules, both of which are available as a
modular solution to complement the PMS.
These classes are useful for students interested in accounting, financial
reporting, and analysis. Even while some PMS just feature the AR module,
you’ll also need to set up general ledger accounting software, which may
communicate with AR via an interface or be used separately. However, you
may be able to use alternative modules for accounts receivable, such as the
Owner Accounting module or the Travel Agency Commissions Payable
module.
You can get help with human resource management by purchasing
specific software or software modules. When it comes to human resources,
large businesses or those that are part of a chain will deal with a lot of data,
necessitating the use of specialized ICT applications for managing this data
and setting up staff rotas. Such applications will allow businesses to keep
employee files for human resources, support payroll pre-processing, create
staff schedules for unit-level operations, allow clocking in through EPOS,
and support vacation, sick, and obstructed leave.
The PMS can be integrated with third-party software if the buyer
so chooses. They can also be connected to other devices in the service
industry, including computers or electronic point-of-sale terminals, for use
as timekeeping clocks. The primary goal of these methods is to improve
scheduling and Rota controls (Chen, 2019).
162 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

8.5. INSTRUMENTS FOR BUSINESS INTELLIGENCE


Because it enables the transformation of vast amounts of unstructured and
unprocessed data into information that is useful and valuable for design
reasons, the introduction of intelligent information systems may be of
significant assistance to the hotel business. These systems aid firms in seeing
new possibilities and capitalizing on them. This enables the enterprises to
achieve a competitive edge and ensures their continued success over the
long term. One of these systems is called “Revenue Management Systems,”
and it enables hotels to make individualized reservation arrangements,
such as a different pricing for specific days that is shown automatically
throughout the reservation process. Optimization of revenue is one method
that may be used to control supply and demand. In this context, one essential
aspect of revenue management is yielding management, which refers to the
implementation of variable pricing.
The goal of yield management is to enhance hotel room reservation
profits by studying, forecasting, and supporting positive client behavior
in order to maximize revenue. When it comes to PMS, yield management
capabilities can either be a standard feature or an optional add-on module.
This helps hotels increase their revenue from room sales. Hotel companies
have the potential to increase their profits by incorporating the cutting-edge
yield management solutions provided by ASP into their PMS. This opens the
door for hotels to evaluate the customer datasets they have to make informed
judgements about the provision of services and income. Hotels may make
use of this information to improve their resource management and arrive at
room rates that are more appropriate.
Customer relationship management (CRM), also known as “ICT
applications that enable the input, storage, retrieval, and analysis of customer
information for both marketing and service purposes,” is another essential
system for hotels. CRM is defined as “ICT applications that enable the input,
storage, retrieval, and analysis of customer information for both marketing
and service purposes.” CRM emerges as a strategic need for recruiting and
retaining customers in an industry where consumers are becoming less brand
loyal, more knowledgeable, and price sensitive. The current consensus
holds that to have a successful launch of CRM, it is necessary to carefully
align and integrate the capabilities of ICT with the business processes. The
analysis of data for marketing purposes is the primary goal of these systems,
with the secondary goal of assisting in the making of marketing decisions.
It’s possible for the hotel’s PMS and other systems to relate to the CRM.
Technology and Its Impact on Service Quality in Tourism, Hospitality, and ... 163

According to Wang, a CRM system, website features, and coordinated


advertising activities are essential components of a successful electronic
marketing plan (Matute, 2021).

8.6. VISITORS’ ASSISTANCE STRUCTURES


The Guest Service System is yet another alternative when it comes to software
for managing hotels. The primary goal in implementing these technologies
was to enhance the capabilities of the chamber as well as its comforts and
conveniences (Chen, 2019). The software that manages guest services
may also be used to boost sales and ensure that consumers are happy with
the company’s performance. The needed amount of connectivity with the
PMS will be determined, in part, by such factors as the size of the property,
the resources that are available, the type of customers served, the level of
service provided, and the techniques used to generate money. The phrase
“do not disturb” or “make up” room announcements, door locks, telephones,
entertainment systems, minibars, internet access, printing capabilities,
energy management systems, and/or energy switches are all included in this
category of electronic amenities. Electronic locking systems may be deployed
independently or as a part of a larger network that links to the management
systems of the hotel’s front desk, kitchen, catering, and recreation areas.
Because it works in a sequential method rather than a synchronized one,
the autonomous system is going to run into problems if the key is never
used while entering or exiting the building. While an electronic door locking
system provides several benefits, such as cleanliness, security, energy
management, and invoicing, a stand-alone solution is simpler to install and
may be more suitable for the requirements of a small business. In the past,
each individual access control device was required to have its own separate
connection to the main computer. Connectivity to wireless networks is now
readily available everywhere. These devices have the capability of adding
a guest to a reservation in the property’s PMS or restaurant management
system by using any networked card reader. In addition, they can be used
independently of the software used in the building’s other administrative
functions (Matute, 2021).
Reviewers and authors are free to use either standalone or networked
PCs in their work. To enter the hotel, use the hotel’s parking lot, swim in
the hotel pool, or access any other restricted services, key cards are required
to be shown at the front desk. Some vendors additionally provide a service
for contactless vending machines, which enables customers to make
164 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

purchases with their key cards and have the whole amount added to their
bill over a wireless PMS link. This service is provided by some suppliers.
The company has moved towards using biometric security solutions that
do not require cards. The “Do-Not-Disturb/Make-Up-Room Electronic
Announcement” makes it simple for corridor employees to determine if
a certain room is a “Make-Up-Room” or a “Do-Not-Disturb” space. It’s
possible that the guest’s fingertip or a little motion sensor will regulate this.
It is possible to centralize maintenance responsibilities using any of these
platforms or utilizing both of them at the same time. Hotels that use energy
management systems to cut back on their lighting and heating needs might
potentially realize cost savings on their utility bills. The term “EMS” refers
to a wide range of different pieces of hardware and software that are utilized
across a hotel, with a primary emphasis placed on the guest rooms and the
management of energy usage. The most common illustration of this would
be a key card-operated electrical switch that, when no one is present in the
building, secures the building’s infrastructure. These kinds of amenities
are frequently tailored to meet the specific requirements of any individual
lodging establishment. On the other hand, a centralized control system may
be able to improve capabilities by linking components that were previously
separated from one another. A PC terminal that possesses heightened
functionalities and the capability to communicate with the PMS might be
applied for this purpose. A thermostat that lowers the temperature of the area
when it is unoccupied may also be installed by the landowner. Additionally,
the landowner may install technology for controlling the fan and extra
lighting. When the infrared motion sensor detects that the room has been
empty for a prolonged length of time, it shuts off the electricity to that space.
Utilizing a cutting-edge function, several providers make it possible for
consumers to minimize their electricity costs and save money by reducing
the temperature range by a few degrees. In addition, the PMS link provided
by the centralized version enables energy control, which paves the way for
added luxuries such as the room lights turning on automatically when a
guest checks in (Chen, 2019). The phone in the room can be used to contact
either the basic maintenance staff or the guest services staff. PABX, which
stands for “Private Automated Branch Exchange,” is the technology that is
utilized, and visitors can place direct calls from within their own rooms. Call
accounting is the most significant function since it enables hotels to monitor
and charge for the phone calls made by guests. In addition to being able to
identify callers and set up email notifications, listen to voicemails, switch off
phones in occupied rooms, and monitor fraudulent staff calls, the front desk
Technology and Its Impact on Service Quality in Tourism, Hospitality, and ... 165

now can turn off phones in unoccupied rooms. The call logging functionality
of the telephone management system is a sophisticated feature that gives
housekeepers the ability to report issues with a guest’s room directly from
the phone. This feature might prove to be highly beneficial for large, busy
hotels that have an ongoing need for cleaning changes. Employees can
keep track of where they are always, and managers are able to assess the
effectiveness of their personnel. One approach that businesses might use
to give their clients more premium services is to install a digital assistant
in the customer’s room. All your requirements for speech announcements,
automated CRM, heating, lighting, draperies, alarm clocks, digital radios,
guest service information and communication displays, and digital radios
may be met by a single device. The phrase “in-room entertainment systems”
refers to television-based services that enable individualized or group-
based hotel room design in addition to on-demand digital service provision
(Matute, 2021).

8.7. USING THE WORLD WIDE WEB


There is no strategy that is superior to social networking in terms of being
able to contact many individuals in a simple and quick manner. The term
“social media” is used to refer to a broad variety of websites that allow users
to promote other users’ content to one another. Some examples of these
websites include blogs, review sites, and social networking platforms. These
days, businesses frequently make use of various social media sites. Twitter
and Facebook are now serving as the primary sales and marketing channels
for a significant number of companies. In recent years, social media has
emerged as an essential component of modern marketing strategies because
users are able to freely exchange opinions and data that has an impact on the
purchasing decisions of other customers. As a direct consequence of this,
hotel marketing has given customer evaluations and other forms of direct
feedback from guests a higher priority. Both Inversini and Sykes emphasized
how important it is for top-tier hotel management to engage in marketing via
social media. A significant component of hotel marketing is paying attention
to reviews left on social media platforms and addressing any complaints
raised by guests. The research conducted by Minazzi and Lagrossen reveals,
on the other hand, that the use of social media in European hotels is mostly
concentrated on its formative stages and barely incorporates other types of
media at all. The findings were reliable even across all of China’s travel
agencies. The travel and tourism business are having trouble effectively
166 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

exploiting Facebook’s features. Pesonen found that the top reasons Finnish
tourist businesses do not use social media are a lack of resources, fears
associated to social media, and the idea that such technologies are no longer
relevant (Matute, 2021).

8.7.1. Hardware and Networking


It’s possible that a single desktop computer may handle all the Front
Desk duties at smaller hotels. Additional Front-Office interfaces could be
necessary for businesses that are either more substantial in size or that have
several customer touchpoints (such as multiple storefronts, restaurants, or
spas). It is also possible that a few different interface designs may need to
be implemented, depending on the needs of the company and the customers
it serves. As a direct consequence of this, products that are designed to
complement or substitute for computer terminals and point-of-sale systems
are becoming increasingly widespread (Chen, 2019). The electronic
point-of-sale system is a good illustration of this type of technology.
EPOS is an abbreviation for “Electronic Point of Sale,” which refers to
the hardware systems that enable businesses in the hospitality industry,
such as bars and restaurants, to function efficiently. EPOS got its start as
a synonym for “Electronic Cash Registers.” These systems are useful for
high-volume restaurants because of their expanded features, which include
the monitoring of beverage and food orders, electronic communication
of orders to production employees, and quick charging of PMS account
folios, among other things. They interact constantly with the restaurant
management systems. E-point-of-sale (EPOS) systems are required to now
be able to reliably maintain high speeds while also being user-friendly,
reliable, feature-rich, and able to accept remote assistance. Digital Dining
is an example of a company that uses technology to speed up the process
of collecting orders. This system enables wait staff to take orders from
customers either at their tables or while they are moving throughout the
restaurant. They may be able to send orders straight to the restaurant, split
the cost, or purposefully delay orders rather than automatically sending them
to the kitchen, but this will depend on the program. In addition to that, it’s
possible that they can accept payments by credit card. Swiping cards, having
one’s fingerprints scanned, and entering one’s identification number are all
straightforward ways to verify an employee’s identity. The North Wind
Fine Dining POS and Table Reservation system features a dynamic design
that enables staff members to track clients as they move from table to table
throughout the establishment. They are versatile enough to function either
Technology and Its Impact on Service Quality in Tourism, Hospitality, and ... 167

alone or in conjunction with a management system that is already in place


in a restaurant or catering business. The ICT of a hotel has the capability
of being connected to either a local or wide area network (WAN), which
enables the hotel to share data and resources. Local area networks, also
known as LANs, are used to connect various departments and areas inside
a single hotel, such as the front desk and the restaurant. WANs, also known
as WANs, are used to connect many hotels that are part of the same hotel
chain. By connecting to these networks, computers in a remote hotel or other
site can have access to the amenities there. Integration of ICT systems as a
tool for growth and marketing might potentially yield huge benefits for the
hotel business. Despite this advancement, networking continues to be a key
obstacle for ICT. Bethapudi believes that effective integration of information
and communications technology (ICT) in the hospitality industry is
essential to the success of hotel operations. Most hotel owners and operators
view the integration of information and communications technology with
tourism as a strategic aim, with the ultimate goal of improving customer
service, service quality, service availability, information transparency, and
CSAT. Data is stored, processed, translated, encrypted, sent, and received
at this company using many forms of technology, including computer
software and hardware, as well as communication technologies. One of
the most significant advancements in record keeping is the widespread
implementation of digital technology that is connected through a network.
Self-service kiosks that are compatible with most PMS are now available
for use by guests of hotels ranging in size and price, regardless of the kind
of hotel. In a similar vein, laptops can be used as an alternative method of
check-in if the primary counter is occupied. By utilizing portable devices in
conjunction with a TCP/IP network environment (also known as wireless
Internet or the “Global System for Mobile Communication”), wait staff can
take orders from customers while maintaining eye contact and engaging in
conversation with those customers at the table (Matute, 2021).
In the 1950s, the Computer Reservation System became the first
computerized booking system for travelers. Airlines were the first to give
the system the globe (Chen, 2019). However, it wasn’t until the late 1970s
that the hospitality business started embracing ICT. In the 1980s, hotels first
started implementing interoperable technology like GDS, PMS, and CRS.
Since then, academic study on the impact of information and communications
technology (ICT) on the hotel sector has advanced. Few underlined in his
analysis of the literature on information technology and tourism that the
effects of the Internet and the World Wide Web on the industry were not
168 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

investigated until after the year 1994. One research found that having a
wide mix of ICT systems provides organizations with a significant edge
over their competitors. According to one school of thought, investments in
ICT have the potential to boost productivity while simultaneously lowering
costs. In addition, they show that ICT systems can influence a company’s
level of competitiveness in both direct and indirect ways. However, some
research has concluded that investments in information and communication
technologies have no effect on the value, performance, or competitive
advantage of a firm. These findings add validity to the idea that the ICT
conundrum is a real phenomenon. The third theory, which has since been
discredited, asserted that the use of ICT was detrimental to the performance
of corporations, with many companies experiencing a drop in market share
as well as revenues after adopting these technologies (Matute, 2021).
The importance of ICT in the travel and hospitality sector has been
highlighted in a few studies. According to Mihali, the hospitality, travel, and
tourism industries are severely in need of advancements in information and
communication technologies. Applications of ICT have, without a shadow of
a doubt, made a major contribution to the tourism and hospitality industries.
Both the information and communications technology (ICT) sector and the
global travel business have seen significant development in recent years.
There are several connections between the development of ICT and the
hospitality business. In recent years, the hospitality sector has shifted its
focus to ICT, viewing it as an essential component of their overall strategic
assets and resources. There is a growing consensus that the overall strategy
of a hotel must consider the most recent developments in ICT. In addition,
studies that investigated the effect that investments in information and
communications technology had on the performance of hotels found that
these expenditures had the potential to increase hotel productivity. It was also
brought to everyone’s attention that the utilization of ICT may help increase
the strategic competitiveness of hospitality firms. In addition, a variety of
research papers point to the positive effects that early adoption of ICT has on
the hotel industry. A literature study conducted by Grey, for instance, found
that the hotel sector benefited from the early adoption of efficient innovation
techniques and cutting-edge ICT business communication solutions. This was
stated in the context of the review of the literature. Technology is frequently
utilized to improve operational efficacy within the hospitality business.
Research into the connection between the utilization of information and
communication technologies (ICT) and financial success in the hotel sector
is a burgeoning area of research. According to the findings of the study,
Technology and Its Impact on Service Quality in Tourism, Hospitality, and ... 169

businesses that made investments in their information and communications


technology (ICT) infrastructure had greater levels of both productivity and
efficiency. Several industry experts were asked their opinions on how hotels
may benefit from information and communications technology by digitizing
manual processes, lowering operating costs, increasing efficiency, and better
satisfying customers. Kim claims that the hospitality sector has come to
see the deployment of information and communications technology as an
essential component of strategic thinking and operational performance. The
hotel sector might stand to gain from the application of ICT in a variety
of domains, including information management, communication networks,
and issue resolution. Any hospitality business that strives to run efficiently
must place a significant emphasis on the management of its informational
resources. Because of the wide variety of resources that are now within
reach because of advancements in ICT, the hospitality industry is putting in
place cutting-edge information and knowledge management systems to stay
one step ahead of its rivals. According to Li, contemporary management
education makes great use of ICT advances. Connolly believes that hotels
that implement ICT may be able to gain a competitive advantage because
of the ability of this technology to turn data into knowledge. As a direct
result of these shifts, hotels are increasingly relying on information and
communications technology (ICT) to improve their management of guest
services, estimate booking demand, and monitor income and bookings
(Matute, 2021).
CHAPTER 9

Managing and Marketing Internal


and External Relationships in the
Tourism, Hospitality, and Leisure
Services Sectors

Contents
172 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

9.1. INTRODUCTION
The dynamic nature of the hotel, tourism, and leisure industries has fueled all
internal and external stakeholders’ desire for higher service quality. Travel
agencies, tour guide firms, chambers of commerce, tourism boards, hotel
and restaurant providers, advertising agencies, and other stakeholders seek
competitive advantages to satisfy customers’ desires and attain monetary or
altruistic objectives. These organizations, like others in the industry, recognize
the importance of collaboration with other supply chain participants. They
endeavor to transcend their clients’ expectations and are cognizant of the fact
that their staff must provide superior service. However, who is responsible
for marketing and sustaining these interwoven connections? This aspect of
interpersonal development is frequently left to coincidence. To provide high-
quality services, it is necessary to actively promote synergistic interactions
between employees, clients, and intermediaries (Yarovaya, 2016).
By the year 2000, it was anticipated that multinational corporations
(MNCs) would control nearly half of the world’s assets. Even though they
dominate the American market, many once-American companies, such as
Kentucky Fried Chicken (KFC), Wendy’s, McDonald’s, and Holiday Inn,
are no longer American. KFC has expanded into new markets, including
Japan, since 1970. In the 1990s, the Forbidden City’s KFC establishment
attracted more Chinese tourists than the entire city. According to McDonald’s
Corporation’s 1997 Annual Report, foreign operations accounted for 50%
of the company’s sales in 1996. Globalization has accelerated in the hotel
industry as well. In 1969 and 1973, respectively, Holiday Inn entered the
European and Asian markets for the first time. Slattery monitored the global
expansion of prominent hotel brands, including Bass, Accor, Forte, New
World, and Four Seasons, from 1990 to 1995. The greatest benefits of
international expansion were increased growth, expansion, and revenues or
profits, which enhanced return on investment. Increased market penetration
and market share were additional positives. In addition, the company has a
more recognizable name and a global presence. These are unquestionably the
greatest advantages, but due to their global expansion, American hospitality
businesses now have access to a diverse clientele. Due to the rapid global
expansion of the hospitality sector, MNCs must be able to operate profitably
in other regions. To effectively manage operations and sell products and
services, global managers must be able to interact with people from diverse
cultural backgrounds and, more importantly, comprehend foreign markets
(Segarra-Ciprés, 2015).
Managing and Marketing Internal and External Relationships in the Tourism, ... 173

The tourism marketing environment includes both internal and external


factors that may influence the success of an organization. Companies that wish
to flourish must respond to ongoing macro- and microenvironment trends
and enhancements. Businesses that evaluate their marketing environment
will be better prepared to face potential market challenges and capitalize on
opportunities. This highlights the external environmental effects of politics,
economics, society, and technology on tourist destinations. In addition,
it considers internal environmental factors, such as capital structures,
capabilities, and marketing intermediaries, when evaluating competitive
pressures from novel or economical service providers (Yarovaya, 2016)
(Figure 9.1).

Figure 9.1. Tourism marketing imbalances.

Source: Tri, Yudistria, Asdar, & Munir (2019); Scientific Figure on Research-
Gate. https://www.researchgate.net/figure/Tourism-marketing-imbalances_
fig1_337859127.
Successful businesses must have a keen understanding of their
customers’ needs. Due to their proximity to a variety of unforeseeable factors,
destination management organizations (DMOs) must constantly monitor
their marketing environment, which is constantly evolving. In addition to
conducting a comprehensive analysis of the actual marketing environment,
tourism businesses must assess their operational surroundings. Tourism
enterprises’ organizational performance may be affected by the regulatory
and competitive environment, as well as other market variables including
political, economic, social, and technological challenges. Consequently, we
will investigate some of these issues. The tourism industry is significantly
impacted by economic factors such as fluctuating exchange rates, the price
of commodities such as gasoline, and other factors. Additionally, societal
174 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

factors such as pervasive safety and security concerns may influence the
behavior of visitors. However, regulatory frameworks will influence the
aviation and tourism industries. Deregulation and liberalization of the
aviation industry, for instance, have provided numerous airlines, especially
low-cost carriers, with an abundance of opportunities. Additionally, in
jeopardy are the inefficient airlines that had been shielded by regulation.
Competition is an undeniably important part of the marketing
environment that should not be overlooked (Yarovaya, 2016).
Among the company’s rivals are alternative suppliers. They might be
fresh entrants into the market. They might also include company stakeholders
such as clients and suppliers. Tourist marketers, particularly DMOs, must be
familiar with a wide range of company models since competition can take
various forms, such as separate, full-service enterprises or low-cost service
providers. For these reasons, businesses must have excellent practices in
place to keep up with the latest marketing advancements.
Marketing for travel and tourism is the systematic and coordinated
implementation of business policies by both private and public tourism
organizations operating at the local, regional, national, or international
levels to meet the needs of identifiable tourist groups while generating an
appropriate return. Before deregulation, liberalization, and globalization,
travel agencies were largely of the opinion that they should take any new
business and sell it on a direct commission basis, without considerable
marketing. Furthermore, their structure was of a restricted extent and was
neither smart, complicated, nor competitive. Nonetheless, modern travel
corporations are growing, sophistication, and managerial automation.
Similarly, consumers and tourists are growing more knowledgeable and
educated, and they expect higher-quality services and packages. As a result,
for a travel agency’s long-term survival and success in this unpredictable
business, marketing experience, and comprehension are more important than
product knowledge and excitement. Tourism marketing, a new phenomenon,
has therefore been employed (Segarra-Ciprés, 2015).
The phrase “marketing concept” is relatively new. I debuted in the latter
half of the 20th century. It was first linked to a variety of closely related
needs for increasing sales volume. Corporate, political, technological,
social, and economic pressures all contributed to the marketing notion.
Nonetheless, the level of economic and corporate expansion that occurred
throughout the 20th century, resulting in higher living standards, population
growth, an increase in discretionary spending, and an increase in leisure, has
Managing and Marketing Internal and External Relationships in the Tourism, ... 175

increased the importance of marketing in the travel and tourism industry.


These advancements have also resulted in the development of infrastructure,
housing, transportation, and recreational facilities. Travel and tourism
have quickly risen to prominence as one of the world’s most vital sectors
(Yarovaya, 2016).
The most successful tourism enterprises and tourism organizations have
exhibited a thorough understanding of providing the necessary organizational
structure and products for visitors/tourists. Modern tourist marketing has
evolved because of changes in the socioeconomic environment. Notably,
tourist organizations have recognized the importance of critical variables
such as wants, aspirations, and satisfaction while building and developing
their goods. Every tourist in the tourism sector wants to be treated as a
valued client, and firms that embrace this mindset will always outperform
their competitors. Customer recognition and satisfaction are only a small
part of the modern marketing idea. It is a thorough process that includes
obtaining and evaluating information on societal and consumer wants,
establishing the company’s market position, and supplying products and
services to customers who have a greater range of satisfactions than rivals
(Segarra-Ciprés, 2015).
Tour packages, as a specialist product, create several key aspects that
must be thoroughly analyzed. Travel package management is difficult
to separate from service and quality management. The tour package’s
marketing varies from that of other items since it is a service product that
gives an experience rather than physical commodities. In this environment,
effective tour package marketing necessitates a thorough knowledge of the
complexity of the visitor product idea. Because the tour package is consumed
and experienced at a single place, it cannot be assessed, shown, or sampled
in advance.
The tourist sector provides a wide range of products and services, from
the tiniest transportation firm to the largest airline or hotel network. Because
tour operators interact with a wide range of tourism sector suppliers, both
the concepts of change and survival are critical to their success. As a result,
knowing the tour marketing strategy is critical, particularly for the long-term
success of a tour or firm. A tour marketing plan is a methodical approach to
marketing activities. It establishes a consistent structure for all managerial
tasks (Yarovaya, 2016).
If a tour operator’s overall marketing strategy provides what the visitor
desires, they will succeed in the highly competitive tourism industry.
176 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Marketers organize and coordinate it so that feedback is provided so that


the company can maximize demand and tourist satisfaction. The marketing
mix concept applies equally to tourism-related products as it does to other
services and items. The tour marketing manager must always pursue the
optimal marketing mix or the optimal combination of profit-generating
characteristics (Segarra-Ciprés, 2015).
In the literature, it is argued that high prices and the demand for multiple
sets of activities are incompatible with product quality and profitability.
However, a large corpus of research indicates that this is not the case.
The concept of quality arose in the 1980s as a crucial component of the
competitive strategy of corporations. To achieve high levels of sales and
profits, quality is therefore regarded as one of the most important strategies
for establishing a distinct position and competitive advantage. Researchers
and practitioners have designated quality as a crucial issue in the service
sector to positively influence corporate performance and profitability.
The service sector is vital to the economy, both in terms of its
contribution to the gross domestic product (GDP) and the proportion of
the total workforce that is employed by service businesses. Banks, hotels,
transportation, communication, and consulting firms are examples of service
industry businesses. As a means of enhancing their competitiveness, these
service organizations have placed greater emphasis on quality management
processes. There is evidence, as indicated previously, that the character of a
company’s services affects its profitability. These studies also demonstrate
a complex, indirect relationship between service quality and profitability.
Research indicates that several variables, including CSAT, customer retention,
pricing, costs, and market share, moderate the relationship between service
quality and profitability. This chapter’s primary objective is to develop a
conceptual framework for analyzing the intricate relationship between hotel
service quality and profitability (Yarovaya, 2016). Literature has identified
the factors that play a role in this relationship, and they demonstrate an
indirect connection between service quality and profitability. The conceptual
framework acknowledges the significance of consumers’ perceptions of
service quality in identifying which components of the dimensions of service
quality have a significant impact on profitability. This chapter consists of
three sections. The initial section examines the theoretical underpinnings of
service quality and corporate performance evaluation. The second segment
presents the conceptual framework, while the concluding section develops
suggestions for future research (Segarra-Ciprés, 2015).
Managing and Marketing Internal and External Relationships in the Tourism, ... 177

The notion of “service quality” is difficult to define and assess.


Consequently, distinct conceptualizations from various perspectives have
been provided. Earlier studies defined quality as specification compliance,
which means that for a product to be regarded as excellent, it must possess
qualities that meet the specified requirements. Given the difficulty of
standardizing services, this concept of quality is more applicable to products
than to services. In addition, management establishes these standards
without considering the needs of the client. To circumvent this limitation,
three definitions of quality have been developed: (i) excellence; (ii) value;
and (iii) meeting or exceeding expectations. Since “excellence” is extremely
subjective and challenging to define, the first definition of quality has some
flaws. Consequently, tracking progress across two distinct assessments may
be difficult. According to the second definition of quality, perceived quality
and value are synonymous. Although this technique incorporates the concept
of price in its definition of quality, some scholars argue that perceived value
and perceived quality are not identical. The ratio of what consumers receive
in exchange for their sacrifices is the perceived value. The “get” elements of
value are the advantages of the product or service, whereas the “sacrifice”
elements are frequently interpreted as monetary fees.
When clients compare the quality of goods/services to the paid price to
determine perceived value, quality, and product advantages may appear to
be the same. Quality is defined in the final plan as performance that meets
or exceeds expectations. This expectation-performance-based definition
of quality is broader and more customer-centric than previous definitions
because it defines quality from the consumer’s perspective, regardless of
whether it is unique to a specific hospitality unit or client group.
Using the perceived disconfirmation scale or the inferred disconfirmation
scale (also known as gap scoring), quality can be evaluated from the
consumer’s perspective, according to this theory. However, empirical
research demonstrates that performance-only measures are the most
effective at capturing consumer perceptions of service quality, whereas
confirmation-based assessments may fail to provide a meaningful score. As
a result of recent research, a more accurate definition of service quality is the
customer’s subjective evaluation of performance (Yarovaya, 2016).
A service’s quality, according to quality models, consists of several
differentiating qualities. Based on this assumption, researchers investigated
the variety and content of service quality criteria used by a variety of service
providers, including hotels, restaurants, and institutions. The findings of this
178 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

inquiry, however, are inconsistent. The particular and general features of


service quality are still being recognized in broad strokes across all service
industries. The lack of agreement is because the principal schools of thought
in service quality research are headquartered in North America and Nordic
Europe, respectively, and are founded on differing underlying assumptions.
A North American firm developed the SERVQUAL dimensions,
which consist of 10 customer service standards. Following the discovery
of substantial correlations between the 10 service quality categories in
the second research, they were reduced to five: tangibles, dependability,
empathy, and responsiveness.
Even with the deployment of the five-dimensional SERVQUAL scale
in various service companies, these elements could not be detected. These
findings supported the idea that just three or four dimensions should
be considered when assessing the success of a service. By altering the
SERVQUAL model to incorporate content-specific characteristics, other
dimensions, like hotels and restaurants, have been introduced, adding
complexity.
The Nordic European School created two and three-dimensional quality
models. For example, the services clients get from a service provider and how
they receive those services are two pillars of the idea of service excellence.
Despite being simpler and more comprehensive than the SERVQUAL
model, this technique has faced several obstacles.
The study cohort utilized to build this model was exclusively from
North Europe, which added bias. Second, rather than stating which customer
expectations should be assessed, the Nordic European technique used the
perceived disconfirmation scale (i.e., the perceived difference between
expected and given services) as a measure of service quality.
Despite the absence of advice for increasing service quality in the
findings of this test, the perceived disconfirmation scale often gives a
better reliability score than the inferred disconfirmation (i.e., performance-
expectation arithmetic) scale for assessing service quality.
Managers, for example, would want to know if service performance
is below average or below the minimum acceptable norm for a range of
expectations. Managers would be better equipped to detect service quality
concerns and follow the long-term changes that resulted. The last critique
addressed against the Nordic European School is a lack of empirical data
confirming the model’s validity (Yarovaya, 2016) (Figure 9.2).
Managing and Marketing Internal and External Relationships in the Tourism, ... 179

Figure 9.2. The role of service quality and customer satisfaction in tourism
industry.

Source: Puri & Singh (2018); https://www.semanticscholar.org/paper/the-


role-of-service-quality-and-customer-in-tourism-puri-singh/faaf84785ddc85e-
5628ca77364b39cb49e1b7c54.
There has never been a better opportunity to look at marketing issues
related to sustainable tourism. As of the date of publishing, news organizations
from across the world claimed that 2016 was the warmest year on record.
According to a news statement from the UK Met Office and the Climate
Research Unit at the University of East Anglia, “the main contributor to
warming over the last 150 years has been human influence on the climate
through increasing greenhouse gases in the atmosphere.” This occurrence
took place on the eve of Donald Trump’s inauguration as the 45th President
of the United States. According to Ian Johnston of the British newspaper
The Independent, Trump has previously declared “that climate change is a
Chinese hoax, appointed climate science deniers to key positions, and spoken
about withdrawing the United States from the Paris Agreement on climate
change.” Current events are contradictory, as indicated by the rise to power
of increasingly “skeptical” politicians. Despite mounting evidence of the
harmful consequences of human activity on the environment, this highlights
the significance of critically reviewing all practices, attitudes, beliefs, and
assumptions. Tourism is critical for molding or responding to opposing
global influences for several reasons, including its impact on Indigenous
and heritage cultures, environmental concerns, “traditional” landscapes and
townscapes, and economic growth (Yarovaya, 2016).
180 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Tourism marketing is frequently connected with a negative opinion of


marketing since it is viewed as a “want” rather than a “need,” a reward or
luxury, and a non-essential, hedonistic, aspirational consumer activity (as
portrayed in commercial communications). Tourism is sometimes thought to
be marketing because of its emphasis on packaging and promoting a region’s
current resources and benefits to new customers. Marketing is widespread
in modern culture, serving as the backdrop for both online and offline social
life, lending validity to the idea that it promotes excessive consumption of
various sorts and amounts. Marketing is critical for both businesses and
tourist sites. Effective marketing has a considerable influence on the number,
variety, and origins of website users, as well as the viability of sites that
contribute considerably to economic growth and development. While the
public and private sectors’ development and organization of destinations is
critical to their long-term survival, marketing has a significant influence on
their capacity to fulfill their short- and medium-term goals and objectives.
In contrast, although entwined with competing interpretations and
marketing-related viewpoints, scientific discourse, and public perception
often associate sustainability with a more permissible ethical posture.
Sustainability is a long-term outlook on the future based on a system of
moral standards and laws that govern ethical conduct while considering
its consequences on the environment, society, and economy. It promotes
a comprehensive and equitable plan that appreciates all stakeholders and
respects future generations’ resource-use rights. Sustainability is quickly
becoming a prerequisite. It has evolved into a “megatrend” that has resulted
in several rules from national and supranational governments, as well as
collective and individual responses from a diverse range of organizations and
individuals. They highlight the attractiveness of responsible or alternative
forms of consumption, or, at the very least, the spread of critical consumer
consciousness in global marketplaces, using words such as voluntary
simplifiers, downshifters, ethical, and sustainable consumers (Yarovaya,
2016).
However, the possibility of truly sustainable development is being
questioned. The sustainable development goals (SDGs), which the United
Nations established in 2015 to replace the millennium development goals
(MDGs), have been criticized for being overly general and ambiguous.
The desire to reduce inequality within and between nations is one example.
Given the data indicating an ever-increasing concentration of wealth among
an ever-smaller number of global elites, this objective appears impossible.
These differences between expectations and reality are typical in the tourism
Managing and Marketing Internal and External Relationships in the Tourism, ... 181

industry. Some tourist destinations lack the necessary infrastructure to address


environmental issues and are not founded on the principles of sustainable
mass development. Consumers may perceive sustainable alternatives as
unappealing or expensive (requiring sacrifices and inconvenience), or as
“Catch-22” alternatives that may be encouraged further by media reports
of threatened ecosystems or species to visit potentially harmful destinations
before they vanish forever (such as the Great Barrier Reef or travel to the
polar regions for polar bear viewing). The effect of air travel on carbon
emissions is another issue (Segarra-Ciprés, 2015).
However, both developed and developing nations require and desire
tourism to promote economic growth and development over the long
term. Typically, tourism is referred to as a “green” industry in comparison
to extraction-based alternatives. Specifically, these inconsistencies and
contrasts present a substantial set of challenges and opportunities for
dialogue on sustainability issues in tourism marketing. Tourism marketing
and sustainability may be mutually beneficial. Marketing is commonly
associated with competitive firm strategy, short-termism, and the profit
imperative, supporting consumer choice in ways that appear to conflict with
sustainability values and emphasizing the advantages of self-gratification
and instant gratification. Despite and because of the inherent challenges
associated with combining sustainability issues with marketing theories,
strategies, and practices in a tourism context, more targeted research
is required to discover methods to advance theory development and
implementable solutions. That is the primary objective of this special issue.
By focusing on some of the most contentious and perplexing challenges,
it may be able to generate new concepts and research agendas to guide
and influence future action. While the marketing literature contains a
wealth of research and practice on sustainable concerns and responsible
consumption, the tourism industry is lagging. Notwithstanding, the broader
body of literature attests to marketing’s potential role in comprehending and
encouraging more sustainable consumer behavior, creating, and promoting
more sustainable tourist offers, and ensuring that tourism enterprises act more
ethically by altruistic principles. Sustainability marketing is the application
of marketing functions, processes, and techniques to a destination, resource,
or offering to serve the needs of the visitor and stakeholder community
today and ensure that future visitors and stakeholders will be able to meet
their needs. We concur with the view expressed in the 18th century and
frequently ascribed to radical church leaders in the United Kingdom at the
time, “Why should the devil have all the best tunes”: marketing is essential
182 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

for the advancement of sustainable tourism. However, before delineating


how it can resolve challenges and provide opportunities for more sustainable
tourism development, the relationship between marketing and sustainability
is examined (Yarovaya, 2016).

9.2. SUSTAINABILITY MARKETING IN THE


TOURISM CONTEXT
Despite allegations that marketing encourages wasteful consumption, it is
critical to include marketing in company strategy and decision-making.
This is divided into two sections: the degree to which corporate strategy
and sustainability are compatible, and marketing’s power to influence
business decisions. According to management experts, there is a disconnect
between corporate social responsibility (CSR) and corporate capitalism.
Prasad and Holzinger quote Milton Friedman as saying, “There is only one
social responsibility of business, and that is to use its resources to engage
in activities designed to increase its profits, so long as it plays by the rules,
that is, engages in open and free competition without deception or fraud.”
According to reports, CSR is now interwoven into the ethos and practices
of organizations. Legislation has attempted to require firms to address
social and environmental problems alongside profit as part of the triple-
bottom-line approach to corporate planning. This law, in turn, is the product
of international climate change treaties and laws aimed at limiting future
carbon emissions. The critical management studies approach, on the other
hand, claims that all CSR activities that are part of corporate marketing are
driven by a fundamental contradiction. It is impossible to care for people
who are not involved in the day-to-day operations of the organization.
Globalization has brought the faraway into daily life, but it may be beyond
the typical person’s ability to make substantial changes for people who
are far away. Although tourism may bring these two sets of stakeholders
together more frequently than other consumer settings, their engagement
and/or interactions are unavoidably ephemeral and shallow. Even if the
goals are noble, sustainable marketing in a CSR environment will almost
certainly be accused of greenwashing (Segarra-Ciprés, 2015).
Businesses, on the other hand, do not participate in CSR projects because
it is mandated by law. Several previous studies have identified a market-
based need for more sustainable business behavior, notably to meet the
demand and interest in “green” products and services. On the one hand, there
is consumer demand, but there is also the impact of improved sustainability
Managing and Marketing Internal and External Relationships in the Tourism, ... 183

on corporate performance (i.e., profitability), as a method for companies


to placate certain investors or even justify their very existence. These
contradictory qualities have been reduced to emphasize the need for green
marketing. Despite evidence that a shift to more environmentally friendly
manufacturing methods may result in cost savings or higher profits through
value addition or by increasing the firm’s competitiveness and market
appeal, the authors conclude that the profit motive’s application is inherently
limited. Similarly, while many businesses acknowledge and support the
good benefits of their operations on society, executing a strict sustainable
strategy would be contrary to common sense and have a detrimental
impact on earnings, thus it is not a top priority for corporations. In terms
of environmentally sustainable consumption. According to the assertion,
despite substantial study into the prospect of exploiting customers’ pro-
environmental views and inclinations, as well as the possible relationship
to premium pricing, mass market acceptance, has been restricted. Greater
sustainability may be achieved if customers were encouraged to live and
conduct themselves more ethically. They suggest that much more study is
needed to identify how to help customers make better decisions and how
to grow demand for green products beyond the green consumer group and
into the broader market. Even though much is being learned about strategies
to convince customers to purchase more sustainable tourist products, the
literature on environmental psychology and behavioral economics has had
little influence on the tourism literature (Yarovaya, 2016).
In terms of long-term marketing, approaches to market development
and product development may be compared. Market development focuses
mostly on efforts to influence consumer behavior so that they intentionally
acquire more sustainable commodities to improve sustainability-driven
consumerism by offering exceptionally sustainable products to a restricted
but increasing market. The product development plan, on the other hand,
attempts to design and promote environmentally friendly products for the
broader market (Segarra-Ciprés, 2015).

9.3. THE MARKET DEVELOPMENT APPROACH


Market segments with pro-sustainability attitudes, beliefs, and behavioral
intentions have been identified, and considerable effort has been devoted to
the development of persuasive strategies to persuade consumers in general
to purchase products designated as sustainable due to these characteristics.
To identify market segments that are willing to make more sustainable
184 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

product purchases or act more sustainably while on vacation, researchers are


beginning to apply cutting-edge psychological and sociological techniques
to enhance our understanding of the contradiction between consumers’ stated
preferences, attitudes, and intentions and their actual behavior as tourists.
Numerous studies have revealed that travelers care about the environment,
desire to act responsibly, and desire greater sustainability. Some claim
that travelers may be prepared to pay more for environmentally conscious
travel experiences. Consequently, tourism operators and destinations
may prioritize sustainable tourism categories. In addition, it is possible to
influence consumers’ behavior to be more environmentally beneficial if they
have a positive attitude toward sustainable issues. This is possible if the
right marketing messages are used to make these appeals. Depending on
the balance and type of interventions and messages used, the effectiveness
of a pro-environmental appeal can be significantly increased (or decreased)
(Yarovaya, 2016).
The objective of qualitative research has been to comprehend the
difficult moral and ethical dilemmas that visitors who wish to be more
responsible face. According to a recent study, the meaning and connotation
of accountability in the tourism industry are not set in stone. Self-described
responsible visitors believe “responsibility” can be interpreted in a variety
of ways, ranging from “honest marketing” on one end of the spectrum to
culturally and educationally immersive interactions with residents on the
other.
This demonstrates how consumers can adopt a variety of approaches and
positions depending on the occasion and the circumstance, highlighting the
difficulty of identifying specific segments of the market that are sustainable.
Furthermore, it illustrates the varying levels of consumer comprehension
regarding the implications of such notions. As a result, the duties of marketers
have become more complex, necessitating a deeper comprehension of the
market’s various “shades” of sustainability (Segarra-Ciprés, 2015).
A sustainable consumerism strategy necessitates that businesses and
social groups promote the sustainability of their organizations to better
meet the requirements of consumers with environmentally conscious or
responsible products. This strategy must persuade clients that the provided
alternative will meet their requirements, often when they are resistant and
facing multiple obstacles. It assumes that marketing and communication can
make sustainability pertinent to consumer decision-making and purchasing
behavior. There is substantial evidence that ecolabels have not had enough
Managing and Marketing Internal and External Relationships in the Tourism, ... 185

commercial impact or market relevance to establish that this is weak in the


tourism sector (Yarovaya, 2016).
Convincing customers to act more sustainably is a related area of research
and application. This special issue is the result of a collaborative investigation
into the potential for a shift in behavior toward more environmentally
responsible travel. In their study on this issue, Truong, and Hall, who have
previously made contributions to the field, evaluated 14 programs that they
believe share some behavioral modification strategies with social marketing.
While some programs have obvious altruistic benefits, such as those focusing
on litter prevention, drug, and substance abuse prevention, reducing demand
for rhino horn, and encouraging healthier eating and exercise, most programs,
despite bearing the banner of social marketing, are used to achieve business
goals. For instance, 8 of the 14 initiatives aim to reduce water and energy
consumption as well as improve waste management, thereby reducing the
operational costs of businesses.
This special issue analyzes in greater detail the efficacy of several social
marketing strategies. We have observed that consumers are turned off by
excessively moralistic sustainability marketing. It has been demonstrated
that fear-based messaging, such as advertisements emphasizing the potential
consequences of climate change, is less effective than other forms of
advertising because consumers cannot instantaneously relate to them and
find it difficult to envision future possibilities. Companies are aware of
this fact, but they cannot write creatively. When sustainability arguments
are perceived as a threat to a consumer’s right to free choice, an emphasis
must be placed on providing customers with alternative desired experiences
that divert their attention away from purchasing the most environmentally
damaging goods and behaviors by making them less desirable (Yarovaya,
2016).
To be more effective, marketing communications should prioritize
enhancing consumers’ capacity for change, according to one study. Businesses
and destinations have a larger chance of influencing consumer behavior if
they communicate with them in a way that demonstrates they are on their
side and emphasizes the need to collaborate for the greater good. This is
because many persuasive sustainability messages that encourage consumers
to alter their behavior, especially when advocating for sustainable conduct,
may backfire. When aggressive communications are perceived as a violation
of the consumer’s right to choose, they fail. Despite evidence that negatively
framed messages repel less environmentally conscious consumers, examples
186 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

of social marketing in the tourism industry demonstrate the effectiveness of a


variety of positively and negatively framed messages, i.e., those emphasizing
consumer benefits and those requesting the consumer not to do something
bad. Based on a burgeoning body of literature on tourism, the research in
this area provides specific examples of how to phrase messages to achieve
improved outcomes and selections (Segarra-Ciprés, 2015) (Figure 9.3).

Figure 9.3. Communication instruments in the tourism industry.

Source: König & Kummer (2013); Scientific Figure on ResearchGate. https://


www.researchgate.net/figure/Communication-instruments-in-the-tourism-in-
dustry_fig1_274951571.
For instance, a comprehensive discussion of the numerous strategies
identified in the literature to persuade consumers to adopt more sustainable
options is presented. These strategies include instructional initiatives and a
focus on groups that are more likely to conduct sustainably due to internal
or sociodemographic factors. Accommodation managers discovered that
sending positive messages in three ways—including an environmental
explanation in the initial welcome introduction, using feedback cards
in the bedroom for guests to suggest additional actions, and using child-
focused messages—was more acceptable than social marketing initiatives
that required time and investment or were perceived to have the potential
to disrupt the customer experience. Then, we investigate the impacts of
therapies on consumers based on certain theoretical assumptions. There was
evidence supporting the significance of enhancing emotional and cognitive
acuity, expanding the benefits to include social norms, and enhancing
response to larger environmental challenges. It has been demonstrated
that standardizing the selection of sustainable suppliers and emphasizing
the benefits of the client experience is feasible. It has been discovered that
intentions to schedule a sustainable hotel are positively and substantially
Managing and Marketing Internal and External Relationships in the Tourism, ... 187

related to general trust in people, specific trust in the hotel, and perceived
utility of the brochure content. Text messages are less effective at attracting
attention than communications that include photographs of individuals and
their surroundings (Yarovaya, 2016).
A market-driven approach to sustainable tourism has numerous
drawbacks, despite our progress. Given the growth of the tourism industry,
the number of visitors who purchase sustainable tourism products remains
low and is unlikely to be sufficient to affect the fundamental shift required
to alter the attitudes of tourism suppliers. When consumers purchase more
environmentally friendly products, they typically take advantage of moral
licensing, which allows them to indulge in unsustainable behavior because
they have “compensated” for it with sustainable activity. They will choose
between the two activities based on the “costs,” which are defined as time,
money, convenience, or comfort, rather than the significance or impact of
each activity. Therefore, businesses should only use expressly sustainable
statements to convince consumers to engage in the most crucial activities.
Avoid accentuating sustainability and position any holiday-related
recommendations as enhancements to the customer’s holiday experience.
When consumers are informed about the sustainability of a product, they
are more likely to purchase it. In ecologies, for instance, people may use
more water or energy or consume more food and drink with lower calorie
or alcohol content, thereby fueling their sense of long-term hedonism and
causing a rebound effect. As there is insufficient evidence that there are viable
segments, companies have disregarded the need to modify their products. To
even endeavor to reach one of the sustainable development goals (SDGs),
sustainability marketing must contribute more (Segarra-Ciprés, 2015).

9.4. THE PRODUCT DEVELOPMENT APPROACH


The second, less well-known aspect of sustainability marketing examines
how marketers are obligated to produce more sustainable products while
selling them for other purposes. Advertisements for train travel emphasize
its convenience rather than its ability to reduce environmental impact. To
flourish in a market-based economy, businesses must take responsibility
for standardizing the consumption of products with more sustainable
characteristics. They must be more aware of market expectations and
possess the marketing skills necessary to meet them. In this method, the
producer, not the market, is responsible for marketing client-relevantly
sustainable tourism. Numerous travelers believe that tourism organizations
188 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

and destinations should do more to promote environmental sustainability.


This method focuses on determining how to make sustainable products
more marketable or how to incorporate sustainable elements into products
that consumers already purchase without altering consumer demand.
Because the economic rationale for entering new target markets is rarely
generated internally, the emphasis is on company resilience and reputational
risk management, which necessitates a higher level of supplier commitment
(Yarovaya, 2016).
This model aims to create opportunities for all consumers, regardless of
their beliefs, to engage in more sustainable behavior, as opposed to segmenting
customers. As more individuals make environmentally conscious purchases,
sustainable living may gain popularity. This strategy differs from market-
driven or sustainable models of consumerism in that it prioritizes immediate
user benefits over long-term benefits. This strategy alleviates concerns about
greenwashing because the product can be frequently updated to increase
its sustainability while maintaining profitability until it fulfills the specified
criteria. Additionally, it assures consistent sales despite efforts to enhance
the product’s sustainability features.
Using data from two studies included in this special issue, we advocate
a product design approach. When travel agents decide to incorporate
sustainability into their sales process, a method of evaluation has been
devised to evaluate elements such as message framing, salience, and
cognitive effort, the influence of emotion, projection bias, and false
consensus. The authors’ nuanced account provides a frank understanding of
the significance of conservation to tourism professionals’ social identities
as professional safari travel agents, how choosing suppliers who work to
preserve the environment has become normalized, and how these choices
are still concealed during the sales process for fear of undermining the
hedonistic benefits of an exceptional experience that is also sustainable.
The study defines “green hushing,” or moral silence and customer-centric
experiential understanding, as the deliberate downplaying of sustainability
attributes in the marketing process out of concern that consumers will
perceive the company as less competent or the product or service as inferior.
They are all businesses that figured out how to offer sustainable products
as part of an improved customer experience before the market demanded it
(Yarovaya, 2016).
It is essential to keep in mind that social changes frequently result
in unsustainable behavior; therefore, it is essential to comprehend the
Managing and Marketing Internal and External Relationships in the Tourism, ... 189

obstacles associated with achieving sustainable development. This special


issue examines the impact online travel platforms have on environmentally
responsible travel. He asserts that the use of information technology has
increased the desire to compare travel behavior and served as an instrument
for social connection, both of which contribute to the maintenance of
identity and social standing. This social trend reflects a consumerist culture
that encourages ambitious and acquisitive spending as well as excessive
experience consumption. Carbon footprints and wasteful behavior increase
as the demand for vacation experiences that can be purchased and shared
online via social media platforms increases. Although information technology
has facilitated the provision of sustainable travel options to segmented,
more affluent consumers, there is little evidence of its impact on the global
market. In the travel industry, digital technologies have also enabled the
sharing economy. This may result in increased resource consumption as
well as unanticipated negative repercussions, so it has conflicting effects
on sustainability. It is crucial to note that sharing economy websites such
as Airbnb, Uber, and BlaBlaCar have grown more rapidly than those that
advocate for eco-friendly travel options. Due to the increasing market
concentration and control brought on by information technology, the
reputations of travel services are inextricably linked to their online reviews
and the temptation to exaggerate or even manufacture positive reputations.
Platforms for technology facilitate benchmarking, which promotes
competition and improves the quality of consumer products and services
(Segarra-Ciprés, 2015).
Similarly, modifying how items are manufactured and marketed can
result in a variety of routes toward more sustainable behavior without
explicitly labeling the items as such. The primary objective here is to
make popular things somewhat more sustainable. This is marketing for
sustainability’s sake as opposed to promoting sustainable products. It is
debatable whether the destination is partially responsible for the carbon
footprint associated with traveling there. Their marketing strategies will
determine which markets visit the location, which in turn will affect their
travel distances, activities, length of stay, and other factors. Consequently,
a tourist destination can use its marketing initiatives to reduce tourism’s
carbon footprint by targeting markets with direct flights rather than hubs
that increase the carbon footprint, or by targeting demographics that can
travel to the destination using more environmentally friendly modes of
transportation. This may also apply to the commercial sector, as some have
suggested that the environmental impact of various types of visitors may
190 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

become a factor in the selection of hosts on networks like Airbnb. However,


this would be another instance of discrimination, even if it could be argued
that it is for environmental reasons. Consequently, the carbon footprint of
transportation per visitor per night would become a new performance metric
for a tourist board’s marketing efforts. Although the UK’s Southwest Visitor
(a regional marketing firm) developed and tested a customized visitor foot
printing and scenario tool to facilitate this, no locations have implemented
it (Yarovaya, 2016).
Marketing can assist us in attracting markets with more “normal”
behavior, such as tourists who act more like residents. Visitors who behave
more like natives have a diminished demonstrative impact, thereby reducing
host-guest friction. They are also more likely to distribute their economic
influence throughout the tourist destination by purchasing more local goods
and visiting a wider variety of locations, as opposed to congested hotspots.
To achieve this, a tourism website may target recurrent visitors. Tourist
organizations may be hesitant to take this action due to their responsibility
to develop new markets and the fact that repeat customers spend less money
each day. However, specialized tourist market data only provide information
on expenditures, omitting leakages and multiplier effects (and as we
all know, revenue is frivolity and profit margins are reality). If we had a
greater understanding of how various markets spend and how that spending
affects the destination, a different picture may emerge. The percentage of
recurrent visitors may serve as a new success metric for tourism authorities.
Even though destinations may have such data, the repeated market is not
prioritized; it is sometimes taken for given.
By reducing geographical and seasonal demands, both tourism agencies
and enterprises can contribute to a more sustainable tourism industry.
Typically, visitors concentrate on very specific locations and times, resulting
in congestion and substantially more severe social and environmental
consequences than would be required if visitors were distributed more
equitably. In addition to causing an opportunity cost for the local economy
because of congestion, low visitor numbers during the off-season are a
contributing factor to poor performance. Destinations must alter their
marketing strategies, stop relying on oversaturated famous attractions, and
provide packages that restrict access to iconic sites to extended stays. Private
enterprises, for instance, are unlikely to perceive value in not showcasing
the Eiffel Tower in their marketing of Paris; however, they may offer novel
ways to experience renowned locations that provide a superior experience
with a smaller environmental footprint. If explicit attempts at destination
Managing and Marketing Internal and External Relationships in the Tourism, ... 191

de-marketing are deemed to be consistent with the brand’s environmental


image, consumers will be more receptive (Yarovaya, 2016).
Customers may be directed away from the least environmentally
friendly products more effectively. Utilizing attract and disperse techniques,
providing a broader range of activities, and enhancing the character of
complementary areas that may pander to various customers are all viable
options. Tourism dispersion should also direct consumers away from peak
demand periods to diffuse demand and provide a steady flow of visitors
who can be accommodated to the maximum extent feasible. It never ceases
to astound me how many tourist destinations disregard their shoulder or
low seasons in favor of promoting their summer season, which is almost
certainly already committed solid. Strangely, summer vacation destinations
haven’t always figured out how to diversify their offerings, given that ski
resorts have long known how to promote summer hiking and attractions as
diverse as aquariums and museums are now open at night to provide more
personalized experiences. The “Visit Amsterdam, See Holland” campaign,
which has been running since 2009 (Amsterdam Marketing), is a good
example of how adventure tour operators are redesigning their tours for
animal welfare reasons and coming up with creative ways to offer activities
that are both more humane and experiential (Yarovaya, 2016).
To make sustainability a de facto business standard, DMOs, and
distribution channels must incorporate sustainability standards into their
supply chains. Similarly, to how fair-trade tea, coffee, chocolate, and fruits
are gaining popularity, the tourism industry must learn from the errors of
other industries. TUI, the largest leisure, travel, and Tourism Company in
the world, and G Adventures, a 1,500-person company, are evaluating their
suppliers to identify and reward those who adhere to sustainable standards.
Each company boasts about its accomplishments in its pamphlets, but
they prefer that customers select their products based on quality rather
than sustainability. In developed economies with efficient supply chains,
sustainability certification ought to be the norm, not the exception. When
the majority of a destination’s offerings are not sustainable, it is difficult to
effectively portray its sustainability efforts. Instead of relying on tourists
to demand sustainable products, the public sector should recognize that
it is frequently the largest purchaser of catering, conference, event, hotel,
and transportation services and that it can implement sustainability criteria,
thereby creating a snowball effect. More than 70% of hotels in Copenhagen
are certified as sustainable, 16% of all food sold is certified organic, and the
government buys more than 80% of all organic food (Segarra-Ciprés, 2015).
192 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

The conversion to a low-carbon tourism industry is anticipated to cost


US $11 per person, per excursion by 2030, or US $38 if only international
visitors pay. The low cost and low acceptability of carbon offsets raise the
question of why the tourism industry relies on voluntary market mechanisms.
Trials have demonstrated the effectiveness of carbon offsetting, and raising
awareness will almost undoubtedly result in change. The notion that voluntary
methods are used to circumvent regulation and demonstrate consumer apathy
toward greater government involvement is refuted. Carbon is a dull topic to
market to travelers, and only the most committed businesses will endure
the expense, highlighting the limitations of product design mechanisms for
sustainability marketing. Explore, a tour operator in the United Kingdom,
is an excellent example of a company that has taken a stance on this issue
and factored it into its pricing, thereby limiting its profit margins. These are
merely a few of the diverse research options available to tourism researchers
who wish to gain a deeper understanding of the financial realities of our
industry and develop scalable, substantial solutions (Yarovaya, 2016).
CHAPTER 10

Service Quality Monitoring and


Feedback Systems in Tourism,
Hospitality, and Leisure Services

Contents
194 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

10.1. INTRODUCTION
Tangible products often have defined specifications and measurable
compliance standards. The quality assurance or quality control role is
frequently in charge of analyzing the quality of the products.
However, because services are intangible, they bring special challenges.
When purchasing services, the buyer is often interested in the outcome or
experience being provided. This signifies that the subjective assessment of the
service’s quality by the consumer serves as the foundation for this rating. As
a result, the service provider organization’s capacity to objectively measure
service quality is impeded. Nonetheless, a rigorous approach to monitoring,
measuring, and improving service quality might aid in addressing these
difficulties.
Because it is difficult to improve something that is not measured, the
first step toward improving service quality is to begin measuring service
quality. The second phase is to begin finding disparities between the level
of performance desired by the service provider and the level of service
quality perceived by clients. The final stage is to apply your newly acquired
knowledge to look for ways to improve the quality of your services as a
hospitality company (Law, 2014).

10.2. EFFECTIVE METHODS OF MEASURING


SERVICE QUALITY
Service quality measurement is critical for a firm to thrive. However, it is
one of the CX metrics that cannot be directly monitored at the same time.
Here are the simplest and most effective approaches for assessing service
quality. Examining each carefully before selecting is the key to the accuracy
of the results provided by each method (Shonhe, 2017).

10.2.1. SERVQUAL
Quality is the key to gaining customers. Quality in products, services, people,
and the environment is a dynamic state that meets or exceeds expectations.
Quality is increasingly being acknowledged as the type or extent of an
organization’s impact on its stakeholders, the environment, and society
(Figure 10.1).
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 195

Figure 10.1. The SERVQUAL model of customer monitoring.

Source: Bhatt & Bhanawat (2016); https://www.semanticscholar.org/paper/


Measuring-Customer-Satisfaction-Using-ServQual-%E2%80%93-An-Bhatt-
Bhanawat./700ca0c8a30878d9d7a5b2023ce8bcf05c71eb82.
In the service industry, definitions of service quality usually rely on how
effectively the service fits the needs and expectations of the consumer. To
produce and maintain high-quality service, a company must first identify
what quality means to the clients it serves. Meeting or exceeding client
expectations is critical to providing high-quality service. A study shows
clients’ perceptions of poor- and high-quality services are influenced by their
expectations. We discovered that ratings of good and bad service quality are
influenced by how clients perceive actual service delivery in comparison to
their expectations. Service quality is defined as the degree of misalignment
between consumers’ expectations or desires and their perceptions of the
service. Service delivery considers where, when, and how the service
product is delivered to the client (Shonhe, 2017).
Furthermore, as part of the evaluation process, clients evaluate the
quality of the service they received by comparing it to their expectations.
CSAT refers to a specific service encounter, whereas service quality refers
196 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

to an overall attitude toward a service provider. As a result, reaching an


agreement on a definition of service quality is very difficult. However, we
may conclude that service quality is all about delivering an intangible in
a way that pleases the customer and, ideally, adds value to that consumer
(Law, 2014).

10.2.1.1. The SERVQUAL Instrument


The SERVQUAL instrument developed by Parasuraman (1991) has proven
to be beneficial in several studies on service quality. This is because it is a
realistic method that can be used in any situation. Several academics have
utilized the SERVQUAL model to assess service quality in the hospitality
sector, with revised components to account for diverse hospitality-related
scenarios.
Parasuraman (1985) developed the gap concept and accompanying
SERQUAL instrument to discover and quantify differences between
customers’ expectations and impressions of the service they received.
According to the consumer, the direction and size of the difference between
expected and real services affect service quality. Hotels, for example,
could determine whether their service quality is satisfactory by comparing
the treatment that consumers expect from them to what they receive. The
degree of service quality is determined by the difference between consumer
expectations and perceptions of performance.
The SERVQUAL instrument, which consists of 22 statements, is used to
assess consumer perceptions and expectations of service quality. Following
the presentation of the assertions, respondents are asked to rank their level
of agreement or disagreement. Consumer expectations are formed based
on previous experiences and information gathered, whereas consumer
perceptions are formed based on the actual service received. The sentences
function as the criteria or features that determine the quality of service.

10.2.1.2. The SERVQUAL Instrument Assesses Five Dimensions


of Service Quality
The SERVQUAL Instrument measures the five areas of service quality.
Palpability, dependability, attentiveness, assurance, and empathy are among
them (Shonhe, 2017):
1. Tangibility: Because services are tangible, clients may compare
the tangibles that come with them to determine the quality of the
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 197

services they receive. It is the appearance of the communication


tools, staff, and physical infrastructure.
2. Reliability: The ability to supply the given service consistently
and correctly. The capacity of a corporation to meet its agreements,
such as those involving delivery, service provision, problem
resolution, and price, is referred to as reliability. Customers
like to do business with companies who keep their promises,
particularly those concerning the outcomes and core parts of the
services they deliver. Customers’ expectations of dependability
must be acknowledged by all organizations. Businesses that fail
to provide the fundamental service that customers feel they are
paying to fail their customers in the most obvious way.
3. Responsiveness: This relates to a company’s willingness to
assist customers and provide prompt service. This dimension
emphasizes attentiveness and promptness in responding to
client requests, inquiries, complaints, and challenges. Customers
perceive responsiveness based on the length of time they must
wait for assistance, responses to queries, or attention to problems.
Responsiveness captures the concept of flexibility and the ability
to modify the service to the needs of the user (Law, 2014).
4. Assurance: To instill confidence and trust in others. Assurance
refers to a company’s and its workers’ capacity to establish
a sense of trust and confidence. This element is likely to be
especially important for services that customers regard as high-
risk and/or for which they lack trust in their ability to evaluate.
The person who connects the consumer to the company, such
as the marketing department, may be an example of trust and
confidence. Employees understand the need to gain consumers’
trust and confidence to get a competitive advantage and earn their
loyalty.
5. Empathy: This term relates to the type of personalized attention
that a company provides to each of its customers. In some
countries, it is critical to give each customer individual attention
to demonstrate that the company is doing everything necessary to
meet their needs. Empathy is a benefit that increases client loyalty
while also earning the trust and confidence of the consumers.
Customers’ expectations are continually rising in this competitive
market, and firms must do everything possible to meet them.
198 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Customers that are disappointed will look elsewhere (Shonhe,


2017).

10.2.2. Follow-Up Survey


As a hospitality company, you might use follow-up questionnaires to ask
your clients about the quality of your services. They are better and more
efficient than post-service ratings and one-time surveys in gathering vital
consumer insights. While most firms consider their work done after sending
a single email, follow-up surveys allow them to focus on prospects when
they do not receive a response the first time.
Follow-up surveys are more successful than one-time surveys because
they provide your clients with more time and space to record their comments.
They provide a complete view of your service rather than measuring CX on
an individual basis. As a result, you may gauge public opinion about your
customer service. Even if you don’t have a post-service rating system and
need to assess service quality quickly, the follow-up surveys are wonderful.

10.2.2.1. Benefits That Follow-Up Survey Provide


Here are some of the benefits of survey-based follow-up:
1. Improves Revenue and Conversion Rates: Asking your
customers what they need, what they struggle with, and what
they appreciate best about your products or services is a great
method to assure their satisfaction. As a follow-up, you can send
a survey by email, but it’s best to target visitors on the website
or mobile app with pop-up surveys. You can collect registered
users’ email addresses, usernames, and customer IDs along
with their survey findings, for example, by using the feedback
software identification API call set. It makes delivering follow-up
survey messages much easier to organize. This will allow you to
evaluate what has to be done to please your customers and, as a
result, increase sales and conversion (Law, 2014).
2. Improve the Client Experience: If your firm wants to create a
faultless client experience, it cannot rely just on its products or
services. You must get your hands dirty and investigate potential
areas for improvement. Of course, you can select ways that probe
further into customer behavior, but simply listening to what
they have to say can be beneficial. To accomplish this, place
many surveys on your website. Then, get more comprehensive
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 199

information by following up with responses. Investigate why


clients are having issues and devise a solution (Shonhe, 2017).
3. Utilize Reminders to Improve Response Rates: When the
survey is first mailed to consumers, not all of them complete it.
This, however, should not be the end of your adventure. You could
save time and effort by using survey reminders. These follow-
up quizzes remind people to complete their survey. Some clients
may forget to accept it the first time you send it to them, while
others may decline at first but later decide to accept it. As a result,
these follow-up surveys and emails provide a second opportunity
for customers to submit feedback while also increasing your
response rate.
4. Increase Customer Interest in Your Brand: Customers must
be engaged by businesses, but doing so is challenging. Finding
inspiring methods to engage people with your brand at several
touchpoints is difficult. Follow-up surveys are another route for
customer engagement. You can even use incentives to increase
participation in your polls and survey follow-ups. Discounts,
limited-time specials, and access to restricted content are just a few
examples. You should also think about gamifying your surveys
to make them more entertaining for clients who may participate
out of curiosity. Many businesses use survey polls on their social
media channels, such as Twitter Polls or polls on Instagram Stories,
to engage clients and obtain rapid feedback (Law, 2014).
5. Show Customers that You Value Their Feedback: According
to studies, 96% of shoppers attribute their brand loyalty to good
customer service. Remarkable customer service also entails
consistently inquiring about your consumers’ experiences and
demonstrating your interest in their feedback. Even as customers,
don’t we all want to be valued and heard? It should come as no
surprise, then, that your customers expect you to do that precisely.
Follow-up surveys can be used for the following:
i. When the consumer interacts with the support team.
ii. When you want to inquire about their experience and the level of
skill of the support representative.
iii. After completing the support case or live chat, it’s also good to
solicit consumer comments on the service and suggestions for
future improvements.
200 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

10.2.2.2. How to Improve the Outcomes of a Follow-Up Survey


• Creating a catchy subject line is the most critical aspect of survey
success, so start there.
• Spend money on an intelligent and user-friendly online survey
generator that contains example survey questions if you want to
construct smart surveys.
• Supply incentives if you want your clients to answer inquiries
about the services you supply in 5 or 10 minutes.
• Motivated clients are a brand’s most valuable asset. So, if you
want individuals to respond to your inquiries and participate with
your firm, make them feel valued (Shonhe, 2017).

10.2.3. In-App Survey


The in-app survey is a trustworthy technique for assessing service quality.
Using an in-app survey, as a hospitality company you can ask your website
visitors questions while they are logged in to your website or using your app.
Because it does not rely on emails for feedback, this is one of the simplest
techniques for getting client information. One can make the in-app survey
quick and concise by asking only one or two questions, or you can add a few
more. In-app surveys make it simple to collect relevant data and provide
rapid, clear insights into user behavior (Figure 10.2).


Figure 10.2. Example of an in-app survey.

Source: Vhaduri, Poellabauer, & Christian (2017); Scientific Figure on Re-


searchGate. Available from: https://www.researchgate.net/figure/WellSense-
survey-app-a-Main-Menu-of-the-survey-app-b-Final-reminder-ie-Pop-up_
fig2_317645965.
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 201

CSAT and feedback are the most effective responses to the question,
“What is the best measure of quality for a service firm?” Furthermore,
because in-app surveys reduce disputes between the seller and the client,
they are useful for assessing service quality (Law, 2014).
Customers are not required to take any additional time out of their hectic
schedules to respond to inquiries. They can do this while using your website
or apps without breaking the flow much. Furthermore, this extends their time
spent logging in and increases the possibility that consumers will complete
the survey.

10.2.3.1. Benefits of Using in-App Surveys for Service Quality


Measures
In-app surveys have risen in popularity in the hospitality industry as a
method for gathering consumer feedback on their experiences. In-app
surveys are built directly into a hotel’s mobile app, allowing guests to leave
feedback while still on the premises. In this essay, we will go through several
significant benefits of in-app surveys for the hotel industry’s service quality.
Real-time feedback from in-app surveys allows hotels to immediately
respond to any concerns or complaints that visitors may have. This may
increase CSAT and loyalty. Rather than waiting for tourists to submit a
survey after they have left the property, hotels may be able to resolve any
issues immediately by receiving input in real time. This can reduce the risk
of negative reviews and improve the visitor experience (Shonhe, 2017).
In-app surveys provide hotels with more granular and focused input.
The amount of space provided for comments on traditional paper surveys
is frequently limited, making it difficult to get detailed feedback on specific
aspects of the guest experience. In-app surveys, on the other hand, can be
created to ask specific questions on various aspects of the hotel, such as
the cleanliness of the room or the class of the meals. This can help hotels
pinpoint the specific areas where their service quality needs to be enhanced.
Hotels may personalize the guest experience by using in-app surveys.
Hotels can use information about their customer’s preferences and interests
to tailor offers and recommendations to them while they are staying with
them. If a visitor exhibits an interest in local culture, the hotel may propose
museums or cultural gatherings in the neighborhood. This may increase the
guests’ overall satisfaction with the hotel and enhance their experience. In-app
questionnaires are more convenient for guests to complete than traditional
surveys. The survey can be customized to ask specific questions about a
202 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

guest’s experience, and it can be completed at the guest’s convenience. This


can help to increase response rates and ensure hotels receive more client
feedback.
Through in-app surveys, hotels may track changes in client satisfaction
over time. Hotels can identify trends and patterns in their customers’
comments by accumulating information on their satisfaction across multiple
stays. This can help motels make better decisions about how to improve the
quality of their services and change their menus.
In-app surveys are beneficial to the environment. Traditional paper
surveys can be inefficient and environmentally hazardous. In-app surveys,
on the other hand, can be completed on a visitor’s mobile device and are
paperless. Hotels can reduce their environmental impact and demonstrate
their commitment to sustainability by doing so (Law, 2014).
Finally, in-app surveys provide several major benefits for enhancing
service quality in the hospitality industry. By providing real-time feedback,
gathering more detailed feedback, personalizing the guest experience,
making it more convenient for guests, tracking guest satisfaction over time,
and being environmentally friendly, in-app surveys can help hotels improve
their service quality and provide a better experience for their guests. As a
result, in-app surveys have become an essential tool for hotels seeking to
maintain market supremacy and provide excellent service to their consumers.

10.2.3.2. Considerations for Using In-App Surveys


While in-app surveys provide many benefits for the hospitality industry,
there are certain important considerations that hotels must make before
implementing them. In this essay, we’ll go through some of the key
considerations for hotels when adopting in-app surveys.
It is critical to carefully consider the survey’s design to make it user-
friendly and unobtrusive. Visitors should not be overwhelmed or irritated
by the survey, and the questions should be relevant and simple to respond
to. To encourage visitors to fill out the survey, keep it brief and to the point.
Hotels must ensure that their mobile app is easy to use and navigate. The
survey should be easy to find within the app, with clear instructions on how
to access and complete it. If the app is difficult to use, guests may become
frustrated and are less likely to complete the survey (Shonhe, 2017).
It is critical to make effective use of the input obtained from in-app
surveys. Hotels must have a procedure in place for analyzing data and
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 203

responding to client feedback. Ineffective feedback utilization by hotels


may result in a decrease in customer enjoyment and loyalty.
Hotels must ensure that their visitors’ data and privacy are protected.
The survey should not request any sensitive or private information, and the
hotel should have a well-defined data management policy. You can enhance
consumer trust and ensure that they feel free to provide feedback by doing
so.
Hotels must ensure that all visitors have access to the in-app survey. Some
guests may not have access to a mobile device or may be uncomfortable
using technology. In these cases, hotels should provide alternative methods
for visitors to provide feedback, such as printed questionnaires or in-person
feedback meetings.
Hotels must ensure that in-app surveys are part of a bigger strategy for
getting consumer feedback. In-app polls can provide useful insights into
guest satisfaction when used in conjunction with other tactics such as email
surveys, social media listening, and in-person feedback meetings. Hotels
can acquire a fuller picture of client satisfaction and identify trends over
time by using a range of feedback collection methods (Law, 2014).
By keeping these elements in mind, hotels may effectively use in-app
surveys to boost visitor pleasure and loyalty, stay competitive, and provide
a high level of service to their guests.

10.2.4. Customer Effort Score (CES)


The Customer Effort Score (CES), which was suggested by the Harvard
Business Review in a blog post, is one of the most reliable measurements
of service excellence. The publication stated that most firms try to “delight”
their customers by providing exceptional service. They are, however,
ignorant that customers are more likely to blame them for poor service
than to thank them for great interaction. Such firms fail to recognize the
fickleness of today’s consumers, who demand something more to be devoted
and sensitive to a brand as it desires.
These “customer delighting” tactics are the strongest indicators of
modest payoffs because they not only cost more to use but they save. So,
what is the greatest technique for ensuring service quality? Rather than
focusing on “delighting” consumers, make it as simple as possible for them
to have their difficulties resolved. This is the thing that has the most positive
impact on customers’ minds.
204 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

As a result, you must inquire, “How much effort did it take to get your
queries resolved?” instead of “How satisfied are you with XYZ service?”
CES is a metric that should be as low as possible. The lower grade indicates
that, as a service, you easily give your clients what they want.
With CES, the most informative information about the customer
experience can be simply obtained and measured. As a result, it is one of the
best and most reliable approaches to determining service quality (Shonhe,
2017).

10.2.4.1. History of Customer Effort Score (CES)


The CES has gained prominence as the most accurate indicator of future
customer loyalty. According to a study conducted by the Corporate Executive
Board (CEB) in 2010, services that require little effort from the consumer, as
opposed to those that attempt to “delight” the client through great customer
service efforts, are more likely to keep customers coming back.
In other words, if a hotel wants customers to keep using their services,
then it must work hard to improve the CES (Law, 2014).

10.2.4.2. When to Use Customer Effort Score (CES) vs. Other CX


Metrics
The three basic customer experience measurements are net promoter score
(NPS), customer satisfaction (CSAT), and CES. A CES can be applied to
any interaction a customer has with a firm.

Figure 10.3. Types of metric scores.

Source: Willems et al. (2021); Scientific Figure on ResearchGate. https://www.


researchgate.net/figure/Description-evaluation-and-results-of-Net-Promoter-
Score-NPS-A-Customer-Satisfaction_fig1_352035650.
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 205

A CES, for example, can be generated instantly following an encounter


that resulted in a purchase or subscription, immediately following an
engagement with customer care, or immediately following any experience
related to services to enhance UI and UX testing for product teams. Although
the CES is straightforward to create and monitor, it may not provide an
accurate picture of the customer’s interactions with the company. NPS comes
into play here, gauging both brand loyalty and the whole customer-company
connection. Finally, consumer satisfaction may be determined rapidly after a
single transaction and a range of questions can be posed (Figure 10.3).

10.2.4.3. Various CES Survey Types


To ascertain your company’s current CES, you’ll need to have your customers
complete a CES survey. There are several types to choose from, including:
1. Numbered Scales Survey: A CES survey employs a numerical
scale to assess the amount of effort required by a consumer
while interacting with a firm. It accomplishes this by rating their
interaction on a numerical scale ranging from 1 to 5, or 1 to 7.
The poll contains simple questions such as, “How easy was it
to solve your problem today?” Respondents rate their response
on the scale closer to one side (labeled “very difficult”) or the
other (labeled “very easy”), based on which side best depicts how
straightforward their customer service encounter was (Shonhe,
2017).
2. Likert Scale Survey: In CES surveys, a Likert scale is used to
quantify how much effort customers must exert while engaging
with enterprises. The Likert scale is a common psychometric tool
that asks respondents to rate how much they agree or disagree
with a proposition.
The Likert scale may be used in a CES survey to ask participants to score their
level of agreement with a statement such as “It was easy to solve my problem
today” on a scale ranging from “Strongly Disagree” to “Strongly Agree.”
3. Emotional Ratings Survey: An emotion ratings CES survey
measures the degree of good or negative feelings that customers
have when dealing with a brand. This type of survey may include
questions such as, “How happy did you feel while interacting
with our company?” or “How frustrated did you feel while using
our product?” Customers score the answer on a scale of “Not at
all” to “Very Much.”
206 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Emotional ratings CES surveys may also use emoticons, in which


respondents can select from a variety of emoticons to convey how they felt
about the easiness of their customer experience, ranging from sad or angry
faces to neutral or joyful ones (Law, 2014).

10.2.4.4. A Guide to Creating a CES Survey


Whatever type of CES survey you choose, you should follow a few rules to
ensure that it successfully captures your CES. You should most likely:
1. Mobile-Friendly: Allow clients to complete your survey on their
phone or another mobile device. Because of the convenience,
more individuals will be able to participate in your survey from
wherever they are.
2. Use Automation: Create or use an automated method to collect
data from all respondents, including your customers’ responses,
and compile it into a useful report for you.
3. Keep Them Short: People will be less motivated to finish your
CES survey if it is overly long. You should also avoid asking
multi-part, difficult questions.
Remember you include the basic CES principles in your survey; the
easier it is for customers to complete, the better (Shonhe, 2017).

10.2.4.5. The Benefits of CES in the Hospitality Industry


The hotel industry’s purpose is to provide clients with unique experiences
that encourage repeat business. To accomplish this, businesses in this
industry must focus on the client experience and seek ways to make it as
simple and joyful as possible. Using CES in the hotel industry can give
several benefits, including:
1. Identifying Opportunities for Improvement: One of the
primary benefits of using CES in the hotel industry is that it
allows businesses to identify areas where they can improve the
client experience. For example, if customers consistently rate the
check-in process as needing a significant amount of work, the
company can investigate ways to speed up and simplify it, such
as by implementing online check-in or self-service kiosks.
Similarly, if visitors have difficulty accessing information about the
hotel’s amenities or products, the sector can look for ways to make this
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 207

information more accessible, such as launching a mobile app or providing


hotel information on in-room tablets.
By recognizing and resolving these high-effort areas, businesses may
improve the overall customer experience and increase CSAT.
2. Increasing Customer Satisfaction: Another advantage of using
CES in the hotel industry is that it increases CSAT. Customers are
more likely to be irritated and dissatisfied with their experience
when they must exert a great deal of effort to solve a problem
or have a demand met. Customers can have a more joyful and
rewarding experience if businesses require them to invest less
effort.
Making a process as simple as possible, such as giving a mobile app
to make the request, can make a customer feel appreciated and happy with
their experience, for example, if they need to request extra towels for their
hotel (Law, 2014).
Customers who had a pleasant experience are more likely to write
positive evaluations and suggest the company to others, which can drive
repeat business and raise sales over time (Shonhe, 2017).
3. Increasing Customer Loyalty: Using CES in the hotel industry
can help enhance client loyalty as well as consumer happiness.
When customers have a positive experience at a firm, they are
more likely to become loyal customers who return frequently.
Businesses can create a more pleasurable and memorable experience that
encourages repeat purchases by focusing on reducing the effort customers
must exert when dealing with the company. Revenue may eventually
increase because of recurring business from satisfied customers who prefer
the company over competitors.
4. Increasing Employee Engagement: Furthermore, implementing
CES in the hospitality industry may enhance employee
engagement. Businesses that emphasize improving the customer
experience equip their employees with the tools and resources
they need to do so.
For example, if a hotel invests in self-service check-in kiosks, it will not
only speed up and simplify the process for visitors, but it will also simplify it
for staff members because they will not have to deal with as many check-ins
individually. Employee engagement and job satisfaction may improve as a
result, as may stress and frustration.
208 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Overall, implementing CES in the hospitality sector can help businesses


provide a better customer experience, which increases client pleasure,
loyalty, and income over time. Businesses may improve the customer
experience and make it more pleasurable by identifying and reducing areas
that demand a lot of work (Shonhe, 2017).

10.2.5. Monitoring Social Media


Social media has evolved into a powerful tool for staying in touch with
customers around the clock. In today’s always-on world, a business must
be online. As a result, responding merely to direct social media mentions is
insufficient. Indirect references and informal tags must also be monitored
and considered.
When it comes to customers and people, in general, expressing their
brand experiences and complaints online, social media monitoring provides
the most valuable insights. Social media networks such as Facebook, Twitter,
Yelp, and review portals are excellent places to get vital information about
the quality of your services (Law, 2014).
Social media is a terrific location to get incredibly unstructured data
blocks, but it’s also a great place to learn everything there is to know
about customer pleasure. By investing in appropriate technologies that
are supported by AI and ML capabilities, you may discover data patterns
and monitor service quality. JetBlue Airways, Tesco, Amazon, and other
companies are examples of companies that have refined their service
quality requirements through social media monitoring. Several case studies
have focused on Amazon’s use of Big Data and AI to improve customer
experiences and build highly engaging end-to-end customer journeys.
The hotel industry is focused on providing amazing experiences for
visitors. Whether it’s a hotel, restaurant, or other type of establishment, the
quality of service provided to customers is important to the success of any
hospitality business. Customers are sharing their experiences online more
regularly as social media has risen in popularity, providing hospitality
companies with a lot of information to exploit to improve their products.
Social media monitoring is the process of observing and analyzing social
media platforms to identify trends, opinions, and other information that can
assist organizations in providing better customer service. In this piece, we’ll
look at how social media monitoring may be used to assess the quality of
service in the hospitality industry (Shonhe, 2017).
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 209

10.2.6. Social Media Monitoring and Service Quality in the


Hospitality Industry
Social media monitoring is the process of tracking and analyzing social
media platforms to identify trends, sentiment, and feedback. Social media
services like Facebook, Twitter, Instagram, and TripAdvisor are essential
for guests to express their positive and negative experiences. By monitoring
social media, hospitality organizations may learn a lot about their customers’
experiences and use this knowledge to improve the quality of their services.
Social media monitoring can be used for the following:
1. Tracking Brand Mentions: One of the most successful ways for
hospitality organizations to use social media monitoring for service
quality monitoring is to track brand mentions on social media.
By monitoring social media for mentions of your company, you
can quickly identify both positive and negative client feedback.
This allows you to address any client problems and respond to
their complaints. Responding quickly to negative comments will
help you keep your brand’s integrity and encourage client loyalty
(Law, 2014).
2. Keep Track of Hashtags: Many customers use hashtags
to discuss their experiences at hotels, restaurants, and other
hospitality services. By monitoring the relevant hashtags,
hospitality organizations may learn a lot about what consumers
are saying about their services and discover trends and patterns
in that feedback. If, for example, consumers commonly use a
specific hashtag to discuss your hotel’s spa, you may want to
consider improving or marketing your spa services more.
3. Keep an Eye on the Competition: You can use social media
monitoring to find out what customers are saying about your
competitors. This can provide important benchmarking data and
point out areas where you might differentiate your services from
those of your competitors. For example, if clients consistently
appreciate the quality of your competitor’s cuisine, you might
want to try expanding your restaurant’s menu.
4. Consider Attitude: Using sentiment analysis tools, businesses
in the hotel industry can measure the overall sentiment of client
evaluations on social media. This makes it easy to identify areas
where customers are particularly satisfied or dissatisfied, allowing
businesses to improve their services. If you see a significant
210 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

number of negative complaints about the check-in process, you


may want to explore speeding it up to boost client satisfaction
(Shonhe, 2017).

10.2.7. The Significance of Social Media Monitoring as a Tool


for Evaluating Service Quality in the Hospitality Industry
Monitoring social media gives hospitality businesses access to real-time
customer input. This information is crucial since it allows firms to quickly
resolve any difficulties or issues that their clients may have. For example,
if a tourist complains on social media about a hotel’s restaurant, the hotel
will be able to rectify the issue as soon as feasible. This can help businesses
maintain their reputations by preventing negative events from becoming
larger problems (Law, 2014):
1. Increased Participation: Customers can communicate with
hospitality companies using social media sites. Businesses can
boost engagement and build stronger relationships with their
consumers by monitoring these channels and responding to
customer feedback. By reacting on social media, the company
shows that it cares about its consumers’ opinions and listens to
them. This could lead to increased consumer loyalty and repeat
business.
2. Competitive Advantage: Monitoring social media can provide
hospitality businesses with a competitive advantage. By
monitoring what consumers are saying about their competitors,
businesses can identify areas where they can differentiate
their offerings and improve overall service quality. If clients
consistently commend a rival restaurant’s food quality, a hotel
may consider changing its restaurant’s menu to offer superior
meals. By implementing adjustments based on consumer input,
businesses in the hotel industry can gain a competitive advantage
and attract more customers.
Improved Reputation Nowadays, potential visitors rely largely on social
media sites for information. According to a TripAdvisor poll, 97% of guests
examine online hotel reviews before making a reservation. Monitoring
and responding to online guest evaluations can help hospitality businesses
improve their reputation and attract more consumers. Positive social media
reviews and remarks can help potential visitors develop credibility and
confidence.
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 211

3. Cost-Effective: Social media is a realistic approach to assessing


service quality in the hotel industry. It helps businesses to
obtain valuable client feedback without having to pay for
costly market research studies. Social media monitoring can
also help organizations save money by identifying chances for
improvement without the need for costly repairs or adjustments
(Shonhe, 2017).

10.2.8. Service Quality Metrics Monitoring


By tracking service quality metrics, you may provide an objective and
quantitative appraisal of your service. Even if these indicators are insufficient
on their own to measure service quality, they are critical for identifying areas
that need to be improved (Law, 2014).
Here are a few examples of these metrics:
• Volume per channel (the number of inquiries received from a
single channel).
• Response time (the average amount of time it takes to respond to
various incoming queries).
• First response time (the amount of time it takes to respond to a
customer’s request).
• First contact resolution ratio (the proportion of issues resolved
following the first contact vs those requiring subsequent contacts
to be resolved).
• Net promoter score, which is the industry standard for gauging
customer experience and assesses a consumer’s proclivity to
recommend a specific brand offering.
• Replies per ticket (a metric for customer efficiency and effort
that displays how many responses your Customer Service team
normally needs to close a ticket).
• Backlog inflow/outflow (a comparison of the number of inbound
inquiries and the number of tickets resolved).
• Customer success ratio (the proportion of customers who are
completely satisfied to those who are unable to locate what they
are looking for).
• “Handovers” (the number of Customer Service professionals
involved in problem-solving) per issue.
212 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

• Problems (number of errors or complaints in each incoming


inquiry).
• Instant service/queuing ratio (the proportion of customers who
received instant assistance versus those who had to wait).
• Average waiting time (the average amount of time each client
waits in line).

10.2.9. Mystery Shopping


Mystery shopping is a strategy for assessing the quality of services. It can
be used to assess staff performance, consumer satisfaction, or the quality
of a product. The firm or management selects test clients to evaluate the
quality of their services. For an accurate assessment of the problem, the
mystery shopper must not be identified and must behave normally. The goal
of covert shopping is to evaluate whether employees are following company
policy and meeting quality criteria (Shonhe, 2017).
CSAT is the primary goal of secret shopping because it encourages
business growth and customer retention. Consumers who are dissatisfied are
more inclined to leave negative reviews online or even switch businesses,
whereas satisfied consumers are more likely to tell their friends about their
positive experiences. Businesses can use mystery shopping to follow these
trends and make necessary improvements (Law, 2014).
Secret shoppers are often employed by other companies, although they
can also be used by businesses to help with their marketing efforts. When
hiring secret shoppers, most companies look for people who have excellent
communication, attention to detail, and writing skills. Furthermore, the
capacity to think fast under pressure is essential since unexpected questions
may arise.

10.2.10. Various Types of Mystery Shopping


Mystery shopping can be done in person, over the phone, or online. Mystery
shoppers are keen to learn more about customer service and general consumer
experience in each of these instances.
· In-person secret shopping is common in industries such as retail
and restaurants. Mystery shoppers visit a firm and interact with
employees as if they were customers. This type is typically used
to assess how well employees provide customer service and how
well the organization performs overall.
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 213

· Telephone mystery shopping is utilized in call centers and other


sectors where customers’ phone interactions are critical. A
telecommunications company, for example, might use telephone
mystery shopping to assess how successfully its call center
personnel handle customer calls (Law, 2014).
· Mystery shoppers who employ hybrid mystery shopping track
the entire customer journey. This type of mystery shopping is
popular since it provides excellent client experience. A hotel, for
example, might use hybrid mystery shopping to analyze every
aspect of the guest experience, from check-in to checkout.
They can be found in a range of industries. Many organizations utilize
hybrid mystery shopping because it makes evaluating every aspect of
the consumer experience simple and rapid. Mystery shoppers can gather
information in a variety of ways, including in-person interviews and surveys.
This gives firms a detailed insight into how well they are meeting their client
promises (Shonhe, 2017).

10.2.11. The Significance of Mystery Shopping in the


Hospitality Industry
Mystery shopping is a research strategy that uses trained individuals known
as mystery shoppers to evaluate a company’s level of customer service. These
“mystery shoppers” visit businesses and masquerade as regular customers
before providing feedback on their experiences. Businesses utilize this input
to identify areas where service quality can be improved. Mystery shopping
provides unbiased feedback from customers who are not affiliated with the
organization, making it an objective technique for evaluating service quality.
Because the hospitality industry is very competitive, businesses must
ensure that they provide their customers with the greatest service possible.
Mystery shopping can help firms achieve this goal by providing an unbiased
assessment of their service quality. Businesses can employ mystery shopping
to identify their strengths and areas for improvement. For example, a
company may receive positive feedback for the quality of its meals while
receiving negative feedback for its customer service. With the help of this
input, businesses may enhance their overall service quality by concentrating
on the areas where they need to grow.
Mystery shopping can help businesses stay competitive by providing
information on the level of service provided by competitors. Competitors
may send out mystery shoppers to assess their customer service. Businesses
214 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

can utilize this input to identify their strengths and weaknesses, as well as
where their competitors are succeeding. Businesses can then utilize this data
to improve the quality of their services and keep a competitive edge (Law,
2014).
Mystery shopping can be used to evaluate specific aspects of service
quality. Mystery shoppers, for example, can evaluate a business’s cleanliness,
the quality of its cuisine, the timeliness of service, and the friendliness of
its employees. Businesses can use this data to identify areas where service
quality can be improved. For example, if a mystery shopper complains
that the staff was unwelcoming, the organization may prioritize employee
development and customer service (Shonhe, 2017).
Mystery shopping can help businesses improve their customer service.
Mystery shoppers can provide feedback on their overall experience, such as
how easy it was to book a reservation, how easy it was to find the institution,
and how enjoyable it was overall. Businesses can use this information to
make changes that will improve the customer experience. For example, if
a mystery shopper complains that it was difficult to find the restaurant, the
company may opt to change its signage to make it easier for customers to
find them.
Mystery shopping is essential for businesses with multiple locations.
You can ensure that all locations receive the same quality of service by hiring
mystery shoppers. Mystery shoppers that visit several sites might evaluate
the service quality at various locations. Businesses can use this information
to identify areas where they need to improve uniformity across all their
locations. Mystery shopping can help businesses assess their employees’
training requirements. Mystery shoppers can assess the efficiency of
employee training and their ability to provide the level of service that clients
expect. Businesses can use this information to identify areas where employee
training needs to be improved.
Finally, mystery shopping is an important approach for analyzing the
quality of service in the hotel industry. It provides firms with independent
feedback on the quality of their services, identifies areas for improvement,
and keeps companies competitive. Mystery shopping can also be used
to evaluate specific aspects of service quality, improve CSAT, ensure
uniformity across all locations, and identify staff training needs. Businesses
can use mystery shopping to make data-driven decisions that will improve
their client experience and help them prosper in the highly competitive
hospitality industry (Shonhe, 2017).
Service Quality Monitoring and Feedback Systems in Tourism, Hospitality, and ... 215

10.2.12. Service Quality Gaps


After building a framework to assess customer expectations and perceptions
of service quality, the next phase is to look for gaps between expected and
perceived performance.
To deliver services satisfactorily, the service provider must understand
customer expectations, be able to live up to those expectations, and
effectively communicate with the client throughout the process. Each
customer’s expectations will be influenced by the provider’s communication
as well as other external factors such as prior experiences and comments
from other customers (Law, 2014).
Each of these phases could have a gap. It is possible that the service
provider company does not understand the client’s needs. Even though
the expectations are explicit, the provider may fail to translate them into
adequate service quality criteria. Even if the service quality requirements
are adequate, the company may fall short of meeting them. Finally, there
may be a mismatch between what the company can achieve and what it
promises the consumer. Customers’ expectations and how they judge the
company’s performance will ultimately alter if any of these processes are
deficient:
1. Management Opinion Gap: Inadequate market research or
management that is too far from front-line consumer contacts
may result in a mismatch between customer expectations and
management’s understanding of those expectations.
2. The Quality Requirements Gap: A mismatch between
management’s understanding of customer expectations and the
organization’s service quality needs might result from a lack of
standardization, inadequate planning, or a lack of commitment to
service quality.
3. The Service Delivery Gap: A disconnect between service
quality objectives and actual service delivery might be caused
by a lack of teamwork, low morale, ineffective management, or
insufficient capacity to meet demand (Shonhe, 2017).
4. Marketing Communication Gap: Failure to control customer
expectations throughout the service delivery process, as well as
a lack of communication between service delivery and sales or
marketing, can result in a disparity between the actual service
delivery and the service delivery that was promised (Law, 2014).
216 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

5. Perceived Service Quality Gap: The four preceding gaps, as


well as each customer’s background and prior experiences, can
commonly contribute to the overall gap between expected and
perceived service levels (Shonhe, 2017).
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INDEX

Symbols Airborne 7
Airports 102
\Demeanor 69 Allocating tasks 145
A Ambiance 73
Amusement parks 20
Accommodation 71 Announcements 165
Accountability 114 Aquariums 191
Accounting 154, 161 Archaeology 4
Accreditations 78 Aristocratic 3
Accuracy 160 Art galleries 12
Acquisition 27 Aspirations 91, 175
Adaptability 130 Atmosphere 110
Administration 155, 156 Attitude 111
Administrations 12 Attraction 111
Adoption 113 Attractions 154
Adventure 2 Attributional style 110
Affiliations 78 Authority 131, 133
Affordable 61 Authors 130
Agricultural 15 Automation 160
Agro-tourism 13
226 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

B 204
Corporate social responsibility
Backcountry camping 11
(CSR) 182
Backpacking 10
Corporations 82
Banquet management 157
Courtesy 132
Benchmarking data 209
Credibility 137
Booklets 102
CSAT 44
Business analytics 155
Cultivation 14
Business strategy 115
Cultural 115
C Customer 115
Customer data 118
CEOs 97 Customer Effort Score (CES) 203
Charismatic 88 Customer experiences 124
Citizenship 39 Customer IDs 198
Clarification 114 Customers 26, 93, 110, 113, 118
Client information 200 Customization 126
Clients 117, 194 Cyclical businesses 30
Client-therapist relationship 110
Coaching 121 D
Cognitive psychology 108, 110
Data analysis 120
Cohesiveness 87
Decision-making 114
Collaboration 122, 145
Delivering content 14
Collaboration strategy 123
Delivery 110, 114
Collecting orders 166
Democratization 6
Colonial 16
Demographic 4
Colonialism 18
Demographics 189
Combining 13
Deregulation 174
Communicate 156
Designing travel 109
Communication 113
Desires 83
Communication skills 111
Destination 58
Competence 131, 132
Destination management organiza-
Computerization 158
tions (DMOs) 173
Confidence 132
Deteriorating 82
Conflicts 4
Digital radios 165
Consumers 110, 154
Discretionary behavior 85
Contradictory qualities 183
Dismissive bias 94
Cooperation 89, 122
Dispositions 66
Coordinated implementation 174
Dissatisfaction 55, 132
Corporate 156
Diversity 12, 85, 92
Corporate Executive Board (CEB)
Index 227

Domestic tourism 6, 8 Evidence 154


Door locks 163 Expectancy disconfirmation 132
Draperies 165 Expectations 114, 115, 116, 195
Dubious 2 Expeditions 10
Durability 74 Exploitation 38
Dynamic sector 10 Exposure 92
Exterior 78
E
F
Ecology 5
Economical input 124 Facial expressions 110
Economic factors 58 Feedback 126
Economic hospitality 2 Fewer issues 148
Economic stimulation 102 Finances 160
Ecotourism 16 Financially support 143
Electronic 156 Flexibility 39, 156
Email addresses 198 Fluctuating exchange rates 173
Emails 120 Food presentation 157
Emotional responses 114 Foregoing 136
Emotions 110 Foreign culture 89
Empathy 69, 113, 197 Foreign direct investment (FDI) 42
Emphasis 14 Foreign travel 154
Emphasizes 91, 111 Franchised 89
Employee 113 Frequency 38
Employer 111 Frequently overlook 93
Employment 17, 95 Front-Office 158
Empowering employees 124 Frustration 55
Encounter 195
G
Encounters 12
Endeavor 31 Gadgets 155
Enjoyment 109 Gambling casinos 3
Enlightening experience 10 Gasoline 173
Entertainment systems 163 Gender equity 94
Environment 116 Gender segregation 96
E-point-of-sale (EPOS) 166 Gender stereotyping 95
Ethical values 4 Generosity 149
Ethnic 4, 39 Geographic 3
Ethnic backgrounds 85 Geography 47
Ethnicity 17 Geospatial analysis 117
Ethnic restaurants 12 Global competition 82
228 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Global distribution systems (GDS) Induction method 87


158 Influence 4
Global expansion 172 Information 158
Globalization 18, 174 Information and communication
Globalization, 89 technology (ICT) 34
Globalized environment 100 Infrastructure 17
Golf 42 Infrastructures 155
Grappling 31 Innovation 119
Grasp 26 Innovative 34
Gratitude 149 Inseparability 66
Greenrooms 84 Inseparable 29
Gross domestic product (GDP) 176 Inspiration 87
Intangible 27, 29, 194
H Intangible items 4
Hardware 155 Intangible tourist items 27
Heritage tourism 2 Integration 13, 154
Heterogeneity 66 Intelligence 116
Hiking 11 Intensity 90, 124
Historians 88 Intention 108
Holiday 172 Interaction 49
Hospitality 110, 119, 122 Interactive quality 84
Hospitality sector 119 Intercultural communication 91
Hotelier 150 Interfaces 155
Hotel’s reservation system 160 Interior 78
Housekeepers 165 Internal processes 119
HR 139 International assignments 89
Humanistic philosophy 108 Interpersonal relationships 110
Human resources 66, 154 Intervention 114
Intrinsic quality 84
I Inventory depletion 161
Immediate area 12 Investigate 78
Implementation 119 Investments 168
Implementing 87, 118 Isolation 2
Impression 79 Issue resolution 169
In-app survey 200 J
Inclusion 117
Incorporates 165 Juveniles 38
Indigenous 13
Indigenous people 4
Index 229

K (MDGs) 42
Minibars 163
Kayaking 11
Minimizing costs 122
L Misinterpretations 100
Misunderstandings 57
Language accessibility 102 MNCs 172
Language barrier 101 Mobile app 201
Leadership 87, 131, 144 Molding 179
Leisure 20 Monitor 120
Leisure services 110 Monitoring 194
Leisure tourism 4 Motivation 90, 110
Liberalization 174 Multinational corporations (MNCs)
Linguistic 88 34
Lodging business 130 Multitasking 69
Lodging quality index (LQI) 131 Municipal 12
Loyalty 91, 108 Museums 12, 191
Luxurious 83 Myths 94
M N
Managed 89 Nationalistic 19
Management 87, 109 Needs 83
Manager 111 Neighborhood 201
Managers 52 Neoliberal flaws 17
Manufacturing sector 97 Neoliberalism 18
Marginalization 39 Neural connections 94
Marketing 26, 154 Newspaper 179
Marketing integration 13 Nonconformities 120
Marketplace 49 Non-verbal communication 110
Maximizing profits 122
Measuring 194 O
Meditation 22
Occupancy rate 130
Mediterranean 7
Occupational gender segregation 96
Meetings, incentives, conferences,
Olympic Games 42
and exhibitions (MICE) 42
Openness 92
Mental models 93
Operational processes 66
Mentoring 121
Organization 83
Micro-tourism 17
Organization for Economic Co-
Migration 7
operation and Development
Migratory pattern 7
Millennium development goals
230 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

(OECD) 37 Processes 119


Organizations 114 Process-related dimension 84
Ornaments 79 Productivity 131, 160
Owner 93 Product quality 46
Ownership 29, 52 Products 109, 154
Professionalism 126
P Programmer 156
Paddling 20 Property management system (PMS)
Pandemic 101 154
Parasailing 20 Prosperity 154
Partners 116 Psychological impact 74
Passengers 28 Purchase 108
Perception 113
R
Perishability 27, 31
Perishable 29 Racial 4
Personal computers (PCs) 155 Racial equality 92
Personalization 126 Racial identity 17
Phenomenon 2 Racialization 18
Philosophical 110 Ramifications 2
Phone calls 120 Rating 194
Physical evidence 72 Realistic method 196
Physical protection 40 Recognition 119, 150
Pilgrimage 2 Recreation 2
Pilgrims 2 Recreational tourism 6
Planning 118 Recreation areas 163
Pleasant experience 207 Recruiting 162
Pleasure 2 Recruitment system 139
Popularity 10 Reflect 123
Population growth 174 Regional 174
Ppeacefulness 76 Relational 124
Pproduct 27 Relaxation 2
Practitioners 176 Relaxed adventure 11
Prejudices 94 Reliability 132
Preserving 12 Religious 4
Proactive 114 Remarkable Experiences 66
Proactive strategy 151 Reputation 82, 83
Procedures 52, 87 Reservation 210
Reservations 155
Resort 21
Index 231

Resorts 79 Souvenir industries 3


Responsiveness 132 Spas 156
Restaurants 74 Squandered opportunity 28
Restricted access 17 Staff members 61
Retail 145 Stakeholder groups 82
Retaining 162 Stakeholders 172, 194
Retention 119, 120 Stereotypes 94
Retention rates 117 Stock controls 161
Revenues 31 Stocktaking 161
Rigorous adventure 11 Storytellers 88
Room division 154 Stratification 17
Stratospheric development 35
S Subordinates 95
Sailing 20 Suppliers 122
Sales volume 122 Supplies 160
Satisfaction 91, 108, 111 Supranational governments 180
Satisfactions 175 Sustainability 119
Satisfying customers 122 Systematic method 115
Seasonality 31
T
Self awareness 109
Self-determination 131 Tangibility 132
Self-gratification 181 Tangible products 194
Selling vacations 29 Team members 123
Senior Management 111 Teamwork 52, 120
Service-oriented research (SOR) Telephones 163
121 Tennis 42
Service quality orientation (SQO) Tenure 150
108 Text messages 120
Service sector 12 Therapist 110
Sexual harassment 39 Thrill 9
Snorkeling 20 Total quality management\” (TQM)
Soaking 13 63
Social media services 209 Tourism 2
Social norms 110 Tourist destination 102
Society 180, 194 Training 121
Soft adventure 11 Tranquility 9, 76
Soft adventures 11 Transactional 124
Software 154
Sophistication 174
232 Competitive Advantages of Service quality in Hospitality, Tourism, and Leisure Services

Transactions 110, 155 Unfavorable reviews 83


Transatlantic firms 7 Unique 11
Transformational 10 Usernames 198
Transformational leadership 87 Utilization 2
Transit hubs 4
V
Transmitting 14
Transparency 119 Vendors 156
Transportation 7, 26, 41, 145, 175 Virtual private network (VPN) 156
Travel agencies 172 Visitors 2, 4, 155, 174
Treatment 4 Visits 109
TripAdvisor 209 Vocational training 95
Ttransparency 119 Voluntarily 143
Turn-around time (TAT) 71
Turnover rates 148 W
Twitter 209 Websites 55
Two-dimensional 83 Website visitors 200
U Winemaking process 15
Worldwide markets 154
Unconscious bias 93

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