Hotel Marketing Performance and Tourism Dynamics in Indonesia, Malaysia and Thailand

This study employs the Bayesian VAR (BVAR) method, using annual data from the World Tourism Organization (UNWTO) spanning from 1995 to 2022. Its objective is to analyze the relationship between hotel marketing performance, the number of hotel guests, tourist arrivals, and tourism expenditure in Indonesia, Malaysia, and Thailand. The study’s findings reveal that while travel spending is the variable most affected by other factors, hotel marketing performance significantly influences variations and impulsive reactions from other variables. Internal factors positively impact hotel marketing performance, whereas external factors have a negative effect from the previous quarter. This suggests that other factors do not significantly affect changes in hotel marketing performance. Furthermore, the hotel’s intrinsic value and the preceding period’s tourism expenditures positively impact the number of hotel visitors and travel expenditures. In the previous period, both internal and hotel guest values contributed to increased total arrivals, indicating growth in both tourist numbers and hotel guests. Travel expenditure is favorably influenced by its value and other factors from the previous time frame, reflecting increased spending in line with rising visitor demand. Interestingly, variations exist among the three nations regarding hotel marketing effectiveness, hotel guest counts, tourist arrivals, and tourist spending. While Indonesia performs well in hotel marketing, it still experiences the effects of the economic downturn. Malaysia stands out for its stable performance and the highest number of hotel guests. Thailand, despite significant fluctuations in visitor arrivals and spending, leads in certain aspects. Overall, this research has implications for governments, hotel management, travelers, academics, and researchers, advancing tourism marketing theory and practice.