Multidimensional Analysis of the Impact of Positive and Negative eWOM on the FinancialPerformance of Hotels

The incidence of positive and negative electronic word-of-mouth (eWOM) on related components, such as overall rating, volume, and valence of reviews, can increase or decrease the financial performance of hotels. Studies show that an improvement in the overall rating of eWOM can lead to increased value in room rates, revenue, and hotel occupancy rates. This article performs a multivariate analysis between overall eWOM rating (positive-negative) and overall financial performance, using a correlation matrix and a linear regression model, which allows understanding the level of relationship between the quantitative variables of overall rating and each of the financial indicators (RevPAR, ADR, and Occupancy Rates) of the study region.