The perception of hostels in the hospitality industry is undergoing a metamorphosis with investors and venture capitalists scouting for more locations for hostel developments in U.S. Compared with hotels, there is a research deficiency regarding service quality in hostels.udThe purpose of this study is to examine some of the variables contributing to overall satisfaction of 36 Hostelling International USA (HI-USA) properties, then use the SERVQUAL dimensional model as a lens to examine and assess service quality for Hostelling International USA. The methodology of this research is based on secondary data provided by HI-USA. The data was collected by HI- USA through their proprietary booking system and after-stay surveys. A multiple regression analysis was performed to assess on survey attributes. The study discovered the attribute ???comfort??? as most significant among the six attributes survey by HI-USA and suggests that reliability, as a dimension of service quality, should be the focus in order to achieve customer satisfaction in hostels. The operational and managerial implications of this study should assist operators and owners in improving service quality to increase customer satisfaction in the hostel sector. The study sheds light on the expanding hostel sector and contributes to an increase in research regarding hostels in this hospitality segment of hotels.
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