E Booking in Leisure Industry: an Empirical Analysis on Determinants in India
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International Journal of Management (IJM) Volume 11, Issue 8, August 2020, pp. 311-318, Article ID: IJM_11_08_031 Available online at http://iaeme.com/Home/issue/IJM?Volume=11&Issue=8 ISSN Print: 0976-6502 and ISSN Online: 0976-6510 DOI: 10.34218/IJM.11.8.2020.031 © IAEME Publication Scopus Indexed E BOOKING IN LEISURE INDUSTRY: AN EMPIRICAL ANALYSIS ON DETERMINANTS IN INDIA Dr. J. Clement Sudhahar Professor, Department of Management Studies Karunya Institute of Technology and Sciences, Tamilnadu, India V. Lawrance Professor, Department of Management Studies Karunya Institute of Technology and Sciences, Tamilnadu, India Amlin David Research Scholar, Department of Management Studies, Karunya Institute of Technology and Sciences, Tamilnadu, India Sharon Sophia. J Research Scholar, Department of Management Studies, Karunya Institute of Technology and Sciences, Tamilnadu, India ABSTRACT Tourism has been one of the Industries where India has been performing exceedingly well as compared to other countries. Booking of Hotels have become simplified with the emergence of various online hotel booking portals. Online hotel booking website is no longer an unknown term among the X, Y and Z generation. Online hotel booking portal is a website through which people book their hotels wherever they go. The customers post their reviews in the hotel booking portal which helps other customers to take good decisions. The paper aims to identify the different motivational factors among the Indian customers and develop a model. The findings indicated that education level of the respondent and the booking intention through online had a significant association. The price and quality factors were significantly correlated with each other which falls in line with the previous researches. If there is more clarity in information of the hotel in the digital portal it also increases the customer’s online booking intention. It was found that the websites Makemytrip.com and Oyo rooms were more familiar among the respondents Key words: Online Hotel Booking Portals, e Booking, Leisure, Ecommerce, Empirical Analysis http://iaeme.com/Home/journal/IJM 311 [email protected] e booking in Leisure Industry: An Empirical Analysis on Determinants in India Cite this Article: J. Clement Sudhahar, V. Lawrance, Amlin David and Sharon Sophia. J, e booking in Leisure Industry: An Empirical Analysis on Determinants in India, International Journal of Management, 11(8), 2020, pp. 311- 318. http://iaeme.com/Home/issue/IJM?Volume=11&Issue=8 1. INTRODUCTION Indian hospitality industry has been thriving due to the increasing inflow of foreign in domestic tourists within the country. The industry has also seen a major increase in the number of budget hotels and homestays. As per the report by KPMG the tourism industry in India is likely to increase by 16.1% CAGR to reach 2796.9 crores in the year 2022. Hospitality sector has tuned into a major job providing sector in the country. There has been an emergence in business opportunities due to the revolution of ecommerce industry. Reports by Octane states that the consumers turn towards internet and compare the prices and 95% of the customers search the internet before a travel purchase. Customers want to book hotels can either book directly via hotel website or through Online booking agents The travelers in the country mostly use many travel websites such as Make My trip, Yatra, Trivago, Go Ibibo, Ooyo Rooms, Booking.com etc. The emergence of these travel websites has stressed the hotels on the importance on having a listing in various hotel booking websites. According to eMarketer there has been in increase in the number of customers who search and make online reservations. Furthermore it was viewed that in the united states 114 Million internet users explored the places using travel online and 93.9 million made reservations online in 2012. 1.1. Popular Websites that are used for Booking Hotels Booking.com : Booking.com is a Hotel booking portal headquartered in Amsterdam, Netherlands. It has operations world wide and is present in 195 countries listed in over 143192 destinations. MakeMyTrip : Make my trip is an Online Travel company which is headquartered in Gurugram, Haryana. Yatra.com : Yatra.com is an Indian based travel and hotel booking search engine headquartered in Gurugram, Haryana. The website was founded in the year 2006. Back in the year 2012 it was the second largest online travel website in IndiaGo Ibibo : Go Ibibo was founded in the year 2007 by Aashish Kashyap. The company is a subsidiary of Naspers which owns 80% stake in the group Trivago : Trivago is often referred as an German technology based company. It was the first German hotel search engine. The company specializes in inter related services and products in the Hotel, Lodging and meta search fields. The American travel company Expedia group owns majority stock of the company. Airbnb : Airbnb is an American company which offers Bed and Breakfast services. It’s a online market place where people can rent homes, villas, cottages, apartments, hostel beds or hotel rooms for short durations. The company usually gets 5% commission from the hosts. Oyo Rooms : Oyo Rooms boasts itself to be known as the largest budget room provider in India. The company was founded in the year 2013. As of 2019 Oyo rooms serves in 230 cities across India and has a listing of 8500+ Hotels. It is headquartered in Gurgaon, Haryana, India. Mr. Ritesh Agarwal is the founder and CEO of Oyo rooms. http://iaeme.com/Home/journal/IJM 312 [email protected] Dr. J. Clement Sudhahar, V. Lawrance, Amlin David and Sharon Sophia. J 2. OBJECTIVES To identify the different motivational factors that determine choice of Online Hotel Booking platforms To determine which online hotel booking portal is the most popular among Indian tourists To assess the impact of personality attributes on booking intention of the customers To establish the mediating role of personality attributes between online visual and booking intentions To determine the influence of demographics in preference of digital portals 3. LITERATURE (Akhila & Manikandan, 2018) studied on the usefulness of booking the hotels online. Some of the findings were as follows, the type of family and preference of stay during the trip had a significant relationship, it was found that there is a significant relationship between state of employment and travel, and there is a significant relationship between employed persons and frequency of travel. (Abdullah, Jayaraman, Bahri, & Kamal, 2016) in their research stated that the consumers intention to revisit the hotel increases when there is a website interactivity which in turn increases the consumers perceived value. (Guo, Ling et. al, 2013) in their research said that effective use of online booking system along with an effective and dynamic pricing system will benefit both the hotelier and the customers. This was further supported by (Tso and Law, 2005) which stated in their research that effective management in online markets yields in high results for the hoteliers. (Bai.B Et al, 2008) Quality of website has a positive intention on customers to purchase online. They also pointed out that website quality has a direct and positive impact on customer satisfaction. (Gazzoli, Kim, & Palakurthi, 2008) said that properties in the United States as compared to their international competitors are performing better by giving fairly cheaper rates possible on their websites. They also said that there was 93% consistency in room availability among all channels.(Crnojevac & Karl, 2010) determined in their research that bookings of hotels mainly depend on the nature of travel. (Li-ming & Wai, 2013) identified 4 factors which influences customers behavior in booking hotels rooms online. The factors were information, trust, price and convenience. (Wee, Fong, Kian, Fern, & Quan, 2018) in their research was able to prove that online reviews positively impacts the bookings in Malaysia. The result goes in hand with previous studies on the same. The result points out to the attention level that is required by the hoteliers on managing the online reviews . The reviews plays a major role in customers mind while choosing a hotel to stay. There are a lot of risks involved in online marketing. People hesitate to share their personal information over the internet because it can be used for fraudulent activities. According ( Jarvenpaa, Tractinity & Saarinen, 1999) trust is categorized by uncertainty, vulnerability or dependence. The website design plays a role in getting attention of the customer and develop trust (Grabner Kraeuter, 2002). Advertisement is one of the effective strategies for promotion to create awareness. Its one of the integral part of the marketing mix. The firms found it difficult in the earlier stages of internet era to understand the customers need and expectation in the online platform. Thus a lot of research was conducted to help this problem with the emergence of advanced technologies. (Constantinides, 2004). ( Clark, Fahy & Jobber, 2012 ) in their research claimed that modern purchasing system is replacing the traditional forms of marketing advertisements. The emergence of technology has been contributing to the profitability of the firm. (Park, Gretzel, & Sirakaya-turk, 2015) in their research identified ease of use as the most important http://iaeme.com/Home/journal/IJM 313 [email protected] e booking in Leisure Industry: An Empirical Analysis on Determinants in India dimension in willingness to choose