1. Factors affecting customer
satisfaction in the service industry:
An analysis of European hotel data
1
Program: Master of Data Science
TTR6124 Statistical Methods for Data Analytics - Assignment 3
Students:
Matric No.:
Matric No.:
Matric No.:
2. Introduction
The service industry plays a crucial role in the economy of many
countries, as it is often a major contributor to the tourism sector.
Ensuring customer satisfaction is a key concern for businesses in
this industry, as satisfied customers are more likely to return and
recommend the business to others.
In this study, we will be analyzing a dataset of customer
satisfaction ratings for European hotels to understand the factors
that influence customer satisfaction
2
3. Problem Statements
The problem statements for this study are as follows:
Does gender impact customer satisfaction in the hotel industry?
Does age group impact customer satisfaction in the hotel industry?
Does the purpose of visit impact customer satisfaction in the hotel industry?
Does the type of travel impact customer satisfaction in the hotel industry?
3
4. Research Objectives
The research objectives of this study are to:
Examine the relationship between customer satisfaction and gender in the
hotel industry.
Investigate the relationship between customer satisfaction and age group in
the hotel industry.
Analyze the relationship between customer satisfaction and the purpose of
visit in the hotel industry.
Explore the relationship between customer satisfaction and the type of travel
in the hotel industry.
4
5. Methodology
For this study, we will be using the "Europe-hotel-satisfaction"
dataset available on Kaggle, which contains customer satisfaction
ratings for European hotels.
We will first perform a descriptive analysis of the data to understand
the overall distribution of customer satisfaction ratings and the
characteristics of the customers in the dataset.
Next, we will use inferential statistical analysis to test our four
hypotheses: H1, H2, H3, and H4.
We will use the chi-square test for all, as it is a suitable test for
comparing categorical variables.
5
7. Discussion and Conclusion
Based on the results of the analysis, we will discuss the implications
of the findings and draw conclusions about the factors that impact
customer satisfaction in the hotel industry.
7
8. 8
Hypothesis Variable1 Variable2 Test Result Conclusion
H1:
Customers satisfaction with hotel
booking differs according to
gender
Gender
Booking
satisfaction
Pearson's
Chi-squared
test
X2 =15.444
df = 1
p-value = 8.497e-05
Hypothesis supported:
There’s difference in customer
satisfaction according to gender
H2:
Customer satisfaction with hotel
booking differs according to Age
Age group
Booking
satisfaction
Pearson's
Chi-squared
test
X2 = 7954.5,
df = 3
p-value < 2.2e-16
Hypothesis supported:
There’s difference in customer
satisfaction according to age group
H3:
Customers satisfaction with hotel
booking differs according to
purpose of visit
Purpose of
visit
Booking
satisfaction
Pearson's
Chi-squared
test
X2 = 4.1313
df = 4
p-value = 0.3885
Hypotheses not supported:
There’s no difference in
satisfaction according to purpose of
visit
H4:
Customers satisfaction with hotel
booking differs according to types
of travel
Types of
travel
Booking
satisfaction
Pearson's
Chi-squared
test
X2= 20945
df = 1
p-value < 2.2e-16
Hypothesis supported:
There’s difference in satisfaction
according to type of travel
Summary of hypotheses tests and results. The values are significant at p<0.01
13. Website
Dataset: https://www.kaggle.com/datasets/ishansingh88/europe-hotel-satisfaction-score
https://statsandr.com/blog/descriptive-statistics-in-r/#summary
https://www.scribbr.com/statistics/statistical-tests/
https://statsandr.com/blog/descriptive-statistics-in-r/#summary
https://www.enago.com/academy/right-statistical-test/
13
Data Source
1. Abdullah D, Bahri S, Kamal M, et al MALAYSIAN JOURNAL OF CONSUMER AND FAMILY ECONOMICS PERCEIVED
WEBSITE INTERACTIVITY, PERCEIVED USEFULNESS AND ONLINE HOTEL BOOKING INTENTION: A
STRUCTURAL MODEL
2. Saidin ZH, Afezah W, Rahman WA, et al (2022) EXAMINING INDUSTRY-SPECIFIC AFTER-SALES SERVICE QUALITY
TOWARDS THE LEVEL OF CUSTOMER LOYALTY: A CASE OF MALAYSIAN NATIONAL CARMAKERS
3. Hien NT, Su YL, Sann R, Thanh LTP (2022) Analysis of Online Customer Complaint Behavior in Vietnam’s Hotel Industry.
Sustainability (Switzerland) 14. https://doi.org/10.3390/su14073770
4. Hong J, Repetti T, Erdem M, Henthorne T (2019) Effect of guest demographics on perception of hotel room price. Journal of
Hospitality and Tourism Insights 3:3–16. https://doi.org/10.1108/JHTI-01-2019-0014
