EXPLORING THE IMPACT OF NEGATIVE ONLINE REVIEWS ON HOTEL REPUTATION AND GUEST RETENTION AT HOTEL DREAMWORLD

Abstract

The hospitality industry has experienced major transformation due to technological advancements and the growing influence of user-generated content. In particular, negative online reviews posted on social media and travel platforms have emerged as critical factors influencing hotel reputation and guest retention. This study explores how negative feedback affects consumer decision-making and overall loyalty to hotel brands, with specific reference to Hotel Dreamworld in North EDSA, Quezon City. This study employed a quantitative research design to investigate the relationship between negative online reviews and hotel reputation and guest retention. A survey questionnaire was distributed to 50 guests of Hotel Dreamworld using convenience sampling. The instrument collected data on respondents’ demographics, their perceptions of online reviews, the effect of negative feedback on booking decisions, and the hotel’s strategies for managing online reputation. It also identified the challenges faced by the hotel in addressing negative guest feedback across various digital platforms. The majority of respondents were aged 26 to 35, with an almost equal gender distribution. Most guests reported booking hotels online only occasionally. While negative reviews initially influenced perceptions, many respondents emphasized that personal positive experiences during their stay had a stronger impact on their loyalty. The study also found that a balanced presence of both positive and negative reviews improved the perceived authenticity of the hotel's online profile. However, respondents observed that the hotel had difficulty responding to negative reviews in a timely and professional manner, which could negatively affect reputation over time. The study underscores the importance of proactive review management in maintaining hotel reputation and guest loyalty. Hotel Dreamworld must enhance its response strategies to negative reviews, invest in staff training for complaint resolution, and improve its monitoring systems for online feedback. Turning negative experiences into opportunities for service improvement and public transparency can help mitigate reputational damage and reinforce guest trust. Strategic engagement across review platforms is essential to sustaining a competitive edge in the digital hospitality landscape.