Luxury Hotel Booking and Scarcity Messages: Does Online Purchase Behavior Matter?

  • Snehasish Banerjee, Anjan Pal
  • March 2020, Institute of Electrical & Electronics Engineers (IEEE)
  • DOI: 10.1109/icim49319.2020.244678

Impact of online scarcity messages on luxury hotel booking intention

Photo by Artem Beliaikin on Unsplash

Photo by Artem Beliaikin on Unsplash

What is it about?

This paper seeks to uncover how limited-quantity scarcity messages (e.g., “20% discount – Only 1 room left”) differ from limited-time scarcity messages (e.g., “20% discount – Only 1 day left”) in affecting consumers’ luxury hotel booking intention.

Why is it important?

Hotel booking websites commonly use scarcity messages to sell hotels’ vacant room inventory. However, the effects of these messages on consumers’ booking intention still remain unclear. Results indicate that limited-time scarcity messages induced higher booking intention compared with limited-quantity scarcity messages. Moreover, frequent online purchasers exhibited higher booking intention compared with occasional purchasers. The findings have implications for luxury hotel managers, hotel booking websites, and online consumers. While frequent purchasers getting influenced by scarcity messages is a good sign for marketers, the paper serves to remind the consumers not to become shopaholic in terms of their online buying behavior.

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The following have contributed to this page: Dr Snehasish Banerjee and Dr Anjan Pal

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