Research Report: Consumer Feedback Impact on Park Hyatt Sydney Service

This literature review examines the impact of consumer feedback on the service standards of the Park Hyatt Hotel in Sydney. The study explores the importance of customer satisfaction and loyalty within the hospitality industry, highlighting how hotels, like Park Hyatt, utilize consumer feedback, both positive and negative, to improve their services. The review discusses the theoretical foundations of satisfaction and loyalty theory, emphasizing the direct relationship between customer satisfaction and loyalty. It also analyzes the research questions, such as the necessity of customer satisfaction, the importance of analyzing feedback, and the impact of feedback on brand reputation and competitive advantage. The paper references key studies and the impact of customer feedback in shaping brand development and service improvements. This study underscores the significance of addressing customer feedback to enhance service quality and maintain a competitive edge within the hospitality sector.

The impact of consumer feedback on service standard of park Hyatt Hotel, Sydney
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Topic
The impact of consumer feedback on service standard of park Hyatt Hotel, Sydney
Literature Review
The aim of the literature review section is to evaluate the existing literature in this field of
undertaken study to collect secondary data.
Background
Customers’ satisfaction is important in hospitality industry to ensure maximum profit. According to
Torres, Adler and Behnke (2014), the first step that consumer nowadays use to make a purchase is to
look for the users’ reviews. This is more prominent in the hospitality sector where the consumers
rely on the consumer-generated feedbacks before availing a service. This make it mandatory for the
hotels to work in accordance to the feedbacks received from the customer and improve their service
accordingly. Positive consumers’ feedback generally have a positive effect on the service standard of
a hotel, while a negative review can severely impact the business. Therefore, in order to gain and
maintain a competitive advantage, it is mandatory for the hospitality industry to improvise their
service standard as per the feedbacks received from the customers.
The Impact of consumer Feedback on service Standard of
Park Hyatt Sydney
Customers’ satisfaction with Park Hyatt is high mainly because of the hotel pays an attention
towards the issues faced by the customers in enhancing their service quality. The company has
focused on the consumer feedback in developing a brand and in improving the services offered to
the customers.
Hyatt has been successful in developing a solid online presence that makes it easier for the
consumers to directly communicate with the hotel and share their feedbacks (Han et al. 2016).
These feedbacks, whether positive or negative enables the hotel authorities to understand the need
of enhancing their service qualities and in improving the areas of concern.
In hospitality industry, customers’ satisfaction is directly linked with customers’ loyalty. Customers’
loyalty is necessary to maintain the competitive advantage and therefore, the perceived service
quality and overall satisfaction are the two necessary considerations for the hospitality sector (Zhang
& Verma, 2017).
Hyatt is known to welcome all sorts of customers’ reviews in their system and also provides an
option to the customers to directly interact with the hotel authority. The interactive website enables
the consumers not only enables the consumers to easily find the information they are looking for,
but also helps the customers to engage in improving the service quality by allowing the customers
pin point their areas of improvement that they felt while availing the services of their hotel or while
staying in the Hotel.
Therefore, it can be said that the customers’ feedback has a positive impact on the service quality of
Park Hyatt Hotel. Hyatt hotel chain is known for customer centric brand development and has always
focused on maintaining the customers’ loyalty towards the brand (Cheng & Wong, 2015). The
regular feedbacks collected from the consumers allow the hotel authority to look after the areas in
which their services needs improvement and Park Hyatt is known for acknowledging the customers’
necessities with foremost priority, which in turn helps in improving their brand reputation and
competitive advantage (Secchi, Roth & Verma, 2016). The services offered in Park Hyatt has been

customer centric from the beginning and the improvement in the service quality mostly indicate
improvising the services in accordance to the preferences of the guests and their behaviours.
Regular feedback collection enables the organization to gather rich data on the preferences and
behaviours of the customers who have availed their services. Improvement in the services in
accordance to the needs of the customer increases the brand reputation and competitive advantage
and it is one of the significant reasons behind the Hyatt being considered as one of the leading
hospitality brand.
Theoretical Foundations
Satisfaction, Loyalty Theory:-
The undertaken study aims in analysis of the impact of customers, feedback in improving the service
quality of a particular hotel. The study will underpin the satisfaction and loyalty theory with the
research problem that is being evaluated.
The satisfaction Loyalty theory mainly explored the various caused of customers’ loyalty. Park Hyatt
focuses on increasing the customers’ loyalty by considering their feedbacks quite seriously in
bringing in the needed modification in their service quality (Fu, Zhang & Chan, 2018). The
satisfaction and loyalty theory mainly considers two main factors which include perceived service
quality and overall satisfaction. The theory establishes the fact that there is a direct relationship
between customers’ loyalty and customers’ satisfaction. A high level of customers’ loyalty can only
be achieved if customers’ satisfaction is increased.
The Park Hyatt religiously follow this theory in designing their marketing and brand management
strategy. Therefore, it is necessary for the hospitality industry to identify the factors that affect
customer loyalty so that the customers’ satisfaction can be improved. (Walsman et al., 2014)
Increase in customers’ loyalty and customers’ satisfaction towards the services that are being
offered increases the chances of the organization to stay at the top and hence satisfaction and
loyalty theory holds a significant importance in designing the business strategies (Bowie et al.,
2016).
Park Hyatt has been successful in gaining the customers’ trust and loyalty by offering customer
centric services and improving their services as per the needs and the feedback of the customers.
Objective
The objective of the research is to investigate the extent to which the customers’ feedback have an
impact on the service standard of Park Hyatt Hotel. The study is based on the theoretical
underpinning of satisfaction and loyalty theory. The study aims in establishing the fact that
considering the consumers’ feedback and addressing the consumers’ query is essential to enhance
the customers’ loyalty towards a particular service, which in turns enhances the business profit.
Research Questions
1. Why is customers’ satisfaction necessary in hospitality industry?
2. Why is it necessary for Park Hyatt to analyse the customers’ feedback on regular basis?
3. Why is prompt action on consumers’ feedback necessary to achieve customer loyalty?
4. How has Park Hyatt rebranded with the help of customers’ feedback?
5. What is the impact of consumer feedback on service standard of Park Hyatt Hotel?

References
Bowie, D., Buttle, F., Brookes, M., & Mariussen, A. (2016). Hospitality marketing. Taylor & Francis.
Cheng, S., & Wong, A. (2015). Professionalism: A contemporary interpretation in hospitality industry
context. International Journal of Hospitality Management, 50, 122-133.
Fu, X. M., Zhang, J. H., & Chan, F. T. (2018). Determinants of loyalty to public transit: A model
integrating Satisfaction-Loyalty Theory and Expectation-Confirmation Theory. Transportation
Research Part A: Policy and Practice, 113, 476-490.
Han, H. J., Mankad, S., Gavirneni, N., & Verma, R. (2016). What guests really think of your hotel: Text
analytics of online customer reviews.
Secchi, E., Roth Ph D, A., & Verma Ph D, R. (2016). The role of service improvisation in improving
hotel customer satisfaction.
Torres, E. N., Adler, H., & Behnke, C. (2014). Stars, diamonds, and other shiny things: The use of
expert and consumer feedback in the hotel industry. Journal of Hospitality and Tourism
Management, 21, 34-43.
Walsman Ph D, M., Dixon Ph D, M., Rush, R., & Verma Ph D, R. (2014). It’s more than just a game:
The effect of core and supplementary services on customer loyalty.
Zhang, J. J., & Verma, R. (2017). What matters most to your guests: An exploratory study of online
reviews.