Facebook as a tool for building customer relationships in the hospitality industry : A quantitative study on the effects of Facebook activities on relationship drivers and relational benefits

Abstract: The main purpose of this study is to investigate the effects of Facebook activities on relationship drivers and relational benefits and the effect of relationship drivers of relational benefits perceived by customers to Pite Havsbad. To do this we have explored the relationship between a number of Facebook activities, relationship drivers and relational benefits. We developed two conceptual models, which included these relationships. We have written this degree project on commission for Pite Havsbad, which is a company that operates in the hotel industry in the county of Norrbotten in the north of Sweden. The research question that we formulated was as following:   What kind of impact does Facebook activities have on relationship drivers and relational benefits in the hospitality industry?   With this research question we aimed to make a practical contribution and to help Pite Havsbad develop their social media strategies in order to be able to build customer relationships. We also aimed to make a theoretical contribution to fill the research gap that exists in the research area on social media and customer relationship building. We used a quantitative data collection method in the form of a survey administered on Pite Havsbad’s Facebook page. Our population consist of the approximately 6 300 fans that Pite Havsbad has on Facebook. The data continuing of was 256 responses were processed in SPSS by conducting Cronbach’s alpha test, Pearson correlation and multiple regression analysis in order to test the hypothesized effects between our key variables.   The findings from this degree project show that Facebook activities affect both the relationship drivers and relational benefits, although they have less effect on relational benefits. The relational benefits are though highly affected by the relationship drivers. Over all, the Facebook activities of Pite Havsbad were highly valued by the respondents, which means that all of them are important to work with. Many of the activities also had positive effects on the relationship drivers, which means they can be used to build relationships with customers. By conducting this research we also helped Pite Havsbad with the starting point of creating a Social CRM strategy, which can be used for future relationship building with their fans on Facebook.