The Financial Benefits of Hotel Guest Satisfaction.
JD Power Report Issued by Cornell's Center for Hospitality Research
Tuesday, 17th August 2010
An industry white paper demonstrates the clear connection between guest satisfaction and hotels' financial results.

The hospitality research was written by Gina Pingitore, Dan Seldin, and Arianne Walker, all of J.D. Power and Associates. In a survey of over 4,000 guests at an upscale hotel chain, they found that fulfilling certain key performance indicators is essential to hotel guest satisfaction.

"When we focused on the connection between measurements of customer satisfaction and hotel financial outcomes, we discovered the importance of four key performance indicators," said Pingitore.

"Guests who were satisfied on all four of these indicators rated the hotel as delivering outstanding service. In turn, those highly satisfied guests reported far greater ancillary spending than those who were merely pleased with their stay." Pingitore is the chief research officer for J.D. Power; Seldin is a director in the firm's corporate research and marketing sciences department; and Walker is director of U.S. automotive research.

The key performance indicators that emerged from the study are fundamental to hotel operation. They are: the reservation was accurate, check-in was completed within five minutes, no problems were experienced during the stay, and no billing errors occurred. Guests who experienced all four of these performance indicators were most likely to grant the hotel a top guest satisfaction rating.

Conducted by researchers from J.D. Power and Associates, the study, "Making Customer Satisfaction Pay: Connecting Survey Data to Financial Outcomes in the Hotel Industry," is available at no charge from the CHR's website at:


About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, web intelligence and customer satisfaction. The company's quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit
www.JDPower.com. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.

About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies (NYSE: MHP) is a global information and education company providing knowledge, insights, and analysis in the financial, education and business information sectors through leading brands, including Standard & Poor's, McGraw-Hill Education, Platts, and J.D. Power and Associates. The corporation has more than 280 offices in 40 countries. Sales in 2009 were $5.95 billion. Additional information is available at

J.D. Power and Associates Media Relations Contact: John Tews; Troy, Mich.; (248) 312-4119; media.relations@jdpa.com.

About The Center for Hospitality Research
A unit of the Cornell School of Hotel Administration, The Center for Hospitality Research (CHR) sponsors research designed to improve practices in the hospitality industry. Under the lead of the center's 81 corporate affiliates, experienced scholars work closely with business executives to discover new insights into strategic, managerial and operating practices. The center also publishes the award-winning hospitality journal, the Cornell Hospitality Quarterly. To learn more about the center and its projects, visit
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