Purpose -The purpose of this study is to develop and test a model examining the key factors that emerge from the social customer relationship management (CRM) process. Specifically, the study aims to address the chain-of-effects that occurs as a result of the social CRM process, leading to superior levels of hotel performance.Design/methodology/approach -Data was collected employing a quantitative approach. Using a mail and online questionnaire, data was gathered from 120 key informants in hotels in Ireland. The proposed model was tested using partial least squares structural equation modelling.Findings -Results demonstrate that the social CRM activities of hotels enhance hotel service innovation activities. This positively impacts the ability to develop a customer-linking capability, resulting in higher levels of customer performance. In turn, higher levels of customer performance leads to higher levels of financial performance.Practical implications -Service innovation and customer-linking capability are identified as critical outcomes of the social CRM process that lead to enhanced hotel performance.Originality/value -This study explains the chain-of-effects through which the social CRM process results in higher levels of performance. Keywords: customer relationship management (CRM), innovation, social CRM, hotel industry, marketing strategy.
Paper type Research paper
IntroductionDespite representing a strategic imperative in the hotel industry (Padilla-Meléndez and GarridoMoreno, 2014;Rahimi, 2017), several hotels have experienced customer relationship management (CRM) failures (Rahimi and Gunlu, 2016). Whereas previous research has documented several reasons for the failure of traditional CRM technologies (e.g. Jayachandran et al., 2005; Trainor, 2012), nascent CRM research is investigating the role of social technologies in achieving success.The proliferation of social media has important implications for the hospitality industry.Social media has led to information-rich and empowered customers within a value co-creation ecosystem (Hennig-Thurau et al., 2010). "Social media have become a valuable resource for tourists' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 experiences, where they can explicitly show their qualitative experience as well as their satisfaction/dissatisfaction with tangible attributes concerning a destination" (González-Rodríguez et al., 2016, p19-20). This user-generated content can significantly influence the travel decisions of other customers (e.g. Viglia et al., 2016). In short, social networking sites (SNSs) are having a transformative effect in the hospitality industry. They are altering and inverting the manner in which customers collect information in the purchase decision-making process (Li and Chang, 2016).Social media technologies proffer hotels a means of not only monitoring customer...