Using Pairwise Comparisons to Determine Consumer Preferences in Hotel Selection

Abstract

We consider the problem of evaluating preferences for criteria used by university students when selecting a hotel for accommodation during a professional development program in a foreign country. Input data for analysis come from a survey of 202 respondents, who indicated their age, sex and whether they have previously visited the country. The criteria under evaluation are location, accommodation cost, typical guests, free breakfast, room amenities and courtesy of staff. The respondents assess the criteria both directly by providing estimates of absolute ratings and ranks, and indirectly by relative estimates using ratios of pairwise comparisons. To improve the accuracy of ratings derived from pairwise comparisons, we concurrently apply the principal eigenvector method, the geometric mean method and the method of log-Chebyshev approximation. Then, the results from the direct and indirect evaluation of ratings and ranks are examined together to analyze how the results from pairwise comparisons may differ from each other and from the results of direct assessment by respondents. We apply statistical techniques, such as estimation of means, standard deviations and correlations, to the vectors of ratings and ranks provided directly or indirectly by respondents, and then use the estimates to make accurate assessment of the criteria under study.

Keywords

• pairwise comparison
• matrix approximation
• log-Chebyshev metric
• tropical optimization
• consumer preference
• hotel selection