Winter destinations hotels performance measurement practice - evidence from CEE

Figures & data

Table 1. Hotel sample characteristics (N = 34).

Characteristics	N	%
Manager position
Manager	16	47
Managing director	14	41.2
Owner	4	11.8
Annual income
<500000 USD	15	44.1
≥500000 USD	19	55.9
Sales growth in past five years
≤1 %	13	38.24
1%<, >3 %	13	38.24
≥3 %	8	23.53
Ownership
privately-owned	22	64.7
state owned	12	35.3

Source: Authors’ own calculations.

Table 2. Organizational indicators used by hotels.

Indicator	N	%
Financial indicators
Net Profit*	34	100
Return of Marketing Investment*	32	94.1
Margin*	29	85.3
Payback	20	58.8
Return on investment	18	52.9
Return on sales	14	41.2
Economic value added	1	2.9
Respondent added financial indicators
Liquidity	24	72.7
Rentability	23	67.6
Solvency	23	67.6
Business activity	23	67.6
Market indicators
Market demand*	27	79.4
Market growth	22	64.7
Market share	20	58.8
Market penetration	15	44.1
Employee indicators
Compensation*	34	100
Sales Force Effectiveness	22	64.7
Sales Goal	19	55.9
Workload	12	35.3

Source: Authors’ own calculations.

Table 3. Operational indicators used by hotels.

Indicator	N	%
User indicators
Net Promoter Score*	29	85.3
Customer Profit	24	70.6
Customer Retention Rate	23	67.6
Retention Rate	23	67.6
Customer Satisfaction	12	35.3
Customer Lifetime Value	6	17.6
Service indicators
Profit of Service*	34	100
Index of Brand Value	17	50
Economic Value of Service	16	47.1
Price indicators
Optimal Price*	30	88.2
Promotion Price*	30	88.2
Price Premium*	29	85.3
Residual Elasticity	11	32.4
Percent Good Value	8	23.5
Distribution indicators
Total Distribution	22	64.7
All commodity volume	16	47.1
Product category volume	14	41.2
Advertising indicators
Click	18	52.9
Impressions	15	44.1
Conversions	11	32.4
Click-through Rate	10	29.4
Cost per Click	9	26.5
Cost per Mille	8	23.5
Conversion Rate	5	14.7
Conversion Value	4	11.8
Conversion Price	4	11.8
Sales promotion indicators
Costs for Coupons and Rebates	24	70.6
Percent Sales on Deal	16	47.1
Percentage Sales with Coupon	14	41.2
Personal sales indicators
Profit of Personal Sales	17	50
Customer Effort Score	14	41.2
Cost of Personal Sales/min	6	17.6
Public relations indicators
Profit of Public Relations	7	20.6
Advertising Value Equivalency	3	8.8
Cost per impression	3	8.8
Direct marketing indicators
Quality of database	22	64.7
Percentage Sales with Direct Marketing	20	58.8
Cost per lead	5	14.7

Source: Authors’ own calculations.

Table 4. Number of metrics that hotels measure.

	Number of measured metrics
Hotel nr.	Organizational (19 measured)	Operational (38 measured)	Total (57 measured)	Total %
19	15	37	52	91.2
26	16	33	49	86.0
25	15	27	42	73.7
17	13	28	41	71.9
28	16	24	40	70.2
27	12	25	37	64.9
29	13	24	37	64.9
21	14	23	37	64.9
13	12	24	36	63.2
33	13	23	36	63.2
10	11	24	35	61.4
12	11	24	35	61.4
18	14	20	34	59.6
8	10	21	31	54.4
34	11	20	31	54.4
22	13	17	30	52.6
24	12	17	29	50.9
14	11	16	27	47.4
30	16	11	27	47.4
6	9	17	26	45.6
11	10	16	26	45.6
32	13	13	26	45.6
2	6	19	25	43.9
15	10	14	24	42.1
16	10	14	24	42.1
23	10	12	22	38.6
5	10	11	21	36.8
31	13	8	21	36.8
3	7	13	20	35.1
20	10	10	20	35.1
7	8	7	15	26.3
4	5	8	13	22.8
9	7	6	13	22.8
1	5	5	10	17.5

Source: Authors’ own calculations.

Table 5. Level of performance measurement differences between different hotels’ annual incomes.

Level of measurement		<500000 USD		≥500000 USD		U	Z	P
		Md	n	Md	n
Organizational indicators	Market PI	1	15	3	19	232	3.18	0.001
	Employee PI	2	15	3	19	214	2.56	0.012
Operational indicators	Price PI	3	15	3	19	201	2.11	0.043
	Distribution PI	0	15	3	19	239	3.50	0.000
	Advertising PI	2	15	3	19	212	2.45	0.015
	Direct marketing PI	0	15	2	19	224	2.99	0.004

Source: Authors’ own calculations.

Table 6. Level of performance measurement differences between different hotels’ sales growths.

Level of measurement		≤1 %		<1, 3> %		≥3 %		χ2 (2, 34)	P
		Md	N	Md	N	Md	n
Organizational indicators	Employee PI	2	13	3	13	3.5	8	14.07	0.001
Operational indicators	Service PI	2	13	2	13	3	8	8.78	0.012
	Sales promotion PI	0	13	2	13	3	8	8.93	0.012
	Personal sales PI	0	13	2	13	1.5	8	7.30	0.026
	Direct marketing PI	0	13	2	13	2	8	10.48	0.005

Source: Authors’ own calculations.

Table 7. Attitudes of respondents concerning the usefulness (1-completely useless to 5-completely useful) and average percentage of usage of certain metrics categories.

Attitudes	Likert scale response (%)					Md	Average percentage of usage
	1	2	3	4	5
Financial indicators	0.0	0.0	2.9	8.9	88.2	5.0	64.6
Market indicators	0.0	0.0	8.8	47.1	44.1	4.0	61.8
Employee indicators	0.0	0.0	5.9	23.5	70.6	5.0	64.0
User indicators	0.0	2.9	14.7	32.4	50.0	4.5	57.3
Service indicators	0.0	2.9	20.6	14.7	44.1	4.0	65.7
Price indicators	0.0	0.0	17.6	26.5	55.9	5.0	63.5
Distribution indicators	8.8	20.6	41.2	8.8	20.6	3.0	51.0
Advertising indicators	2.9	17.6	29.4	35.3	14.7	3.5	27.5
Personal sales indicators	17.6	17.6	26.5	23.5	14.7	3.0	53.0
Sales promotion indicators	23.5	20.6	20.6	17.6	17.6	3.0	36.3
Indicators of public relations	64.7	14.7	11.8	5.9	2.9	1.0	12.7
Direct marketing indicators	23.5	14.7	29.4	20.6	11.8	3.0	46.1

Source: Authors’ own calculations.

Table 8. Attitudes of managers differences between different hotels’ sales growth.

Attitudes of managers		≤1 %		<1, 3> %		≥3 %		χ2 (2, 34)	P
		Md	n	Md	n	Md	n
Organizational indicators	Employee PI	4	13	5	13	5	8	7.02	0.03
Operational indicators	Service PI	4	13	4	13	5	8	8.89	0.012
	Advertising PI	3	13	4	13	4	8	12.69	0.002
	Personal sales PI	2	13	3	13	4	8	10.20	0.006
	Sales promotion PI	2	13	3	13	4	8	8.04	0.018
	Direct marketing PI	1	13	3	13	4	8	9.09	0.011

Source: Authors’ own calculations.

Table 9. Correlation between the managers’ attitudes concerning the usefulness a certain metric category and the level of performance measurement.

		Level of performance measurement
		1	2	3	4	5	6	7	8	9	10	11	12
Mangers’ attitudes	1. Financial metrics	.182	0.069	-.033	-.004	.107	.266	.141	.160	-.024	.128	.030	.076
	2. Market metrics	.193	-.037	.458**	.464**	.187	.529**	.476**	.375**	.125	.198	.401**	.361*
	3. Employee metrics	.372*	.428**	.264	.363*	.443**	.302*	.569**	.293*	.404**	.380**	.249	.503**
	4. User metrics	.309	.485**	.688**	.084	.314*	.355*	.429**	.195	.227	.227	.480**	.568**
	5. Service metrics	.430**	.188	.244	.097	.199	-.008	.332*	.453**	.278	.349*	.286	.352*
	6. Price metrics	.069	.071	.238	.155	-.072	-.116	.439**	.195	.237	.165	.321*	.324*
	7. Distribution metrics	.176	.352*	.380*	.239	.415**	.090	.337*	.304*	.298*	.174	.530**	.546**
	8. Advertising metrics	.044	.343*	.373*	.225	.299*	-.240	.557**	.437**	.312*	.294*	.342*	.335*
	9. Personal sales metrics	.063	.459**	.330*	.251	.266	-.183	.499**	.712**	.673**	.637**	.164	.447**
	10. Sales promotion metrics	.084	.268	.297	.201	.205	-.233	.383**	.676**	.745**	.362*	.178	.442**
	11. Metrics of public relations	.092	.300	.039	.164	.116	-.298	.336*	.293	.389**	.342*	.463**	.394*
	12. Direct marketing metrics	.140	.253	.132	.134	.329*	-.079	.287*	.553**	.504**	.616**	.293*	.726**

**p < 0.01; * p < 0.05.

Source: Authors’ own calculations.