Critical success factors for virtual hotel operator partnership with small- and medium-sized hotels: perspectives of owners and operators

Abstract

Purpose

This paper identifies the critical success factors (CSFs) of virtual hotel operator (VHO) in using hotel management system partnerships with small- and medium-sized hotels (SMSHs).

Design/methodology/approach

This study uses a qualitative approach, with 25 semi-structured interviews with hotel owners and VHO management. Thematic analysis is used to determine themes to evaluate hotel owners and operators' perceptions.

Findings

CSFs for VHO partnership with SMSHs include marketing and promotion strategies, client relationships, training and human resources development, hotel operation management, innovation strategies, capital expenditures and property management systems (PMSs). VHOs also have a symbolic impact on the mutualistic relationship with SMSHs by increasing service and enhancing product competitiveness and profitability.

Research limitations/implications

Findings are beneficial for VHO in determining the most significant CSFs, thereby establishing additional metrics in business performance and increasing resilience in the accommodation sector. Further studies can measure the digital technology factors from VHO, including PMSs and mobile applications.

Originality/value

This study first identifies CSFs for VHO companies from the perspectives of hotel owners and management. This contribution adds to the literature on CSFs in the context of digital technology implementation in SMSHs. Moreover, implications are beneficial for VHO management in determining the most significant CSFs for companies to measure the business performance of the companies and increase resilience in the accommodation sector.

Citation

Putra, F.K.K. and Law, R. (2023), "Critical success factors for virtual hotel operator partnership with small- and medium-sized hotels: perspectives of owners and operators", Journal of Hospitality and Tourism Insights, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JHTI-06-2022-0244