Facts

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Fact #1

Higher review scores on OTA sites allow hotels to charge more while maintaining occupancy rates

The study found that increases in a hotel’s user review scores on OTA channels can positively influence the relationship between price increases and demand. Higher review scores increase conversion rates, even when prices increase. Typically, as a hotel’s price per room increases its occupancy rates tend to go down. However, if a property can increase its review score by one point (on a five-point scale) on OTA channels, it could increase its prices by about 11.2% and still maintain the same occupancy rates. The positive effect of an increased user review score can offset the negative occupancy impact that’s normally attributed to higher prices.

A negative review posted online can loose a business as many as 28 customers.

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Fact #2

Properties with stronger reputations across all channels perform better overall

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The research shows that as a property’s social reputation improves, its overall performance also improves. A stronger online reputation increases a hotel’s pricing power – allowing it to increase its prices while maintaining the same occupancy levels. This price increase results in higher revenue and improved performance. The reverse is true as well – properties with weaker social reputations perform worse because they have to reduce prices to maintain occupancy levels.

89% of people say that reviews influence their purchasing decision.

Fact #3

Systematically Encouraging New Guest Reviews Drives Results

As part of the study, Atmosphere analyzed data from properties that used EZ to Reach℠ system to systematically request reviews from each guest. The results clearly demonstrate the importance of a programmatic approach: More Reviews, More Revenue, Higher Guest Satisfaction.

70% of surveyed businesses have taken steps to improve their quality of service as a result of a review.

96% of TripAdvisor users consider reading reviews important when planning trips and booking hotels.

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Fact #4

80% of surveyed travelers say they focus on the newest reviews.

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80% of surveyed travelers say they focus on the newest reviews.

Reviews are a free way to assess how your business is performing. They highlight what’s going well and where improvements can be made. Trends in reviews also reveal insights into guest expectations and how to better meet them.

70% of surveyed businesses have taken steps to improve their quality of service as a result of a review.

*All facts mentioned here are surveyed and independant study by their respective owner's.

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