Cyber alarm: Determining the impacts of hotel’s data breach messages

• Published in: International journal of hospitality management Vol. 82; pp. 326 - 334
• Main Authors: Chen, Hsiangting Shatina, Jai, Tun-Min (Catherine)
• Format: Journal Article
• Language: English
• Published: Elsevier Ltd 01.09.2019
• Subjects: Corporate communication; Crisis responses; Data breach; Hotels; Hotels; Data breach; Corporate communication; Crisis responses
• ISSN: 0278-4319; 1873-4693
• DOI: 10.1016/j.ijhm.2018.10.002

•The purposes of this study are to address the impacts of cyber-crisis communication on hospitality organizations and to provide insights regarding hotel guests’ reactions to data breaches related to information security.•This study employed a 2 (information sources: news versus hotel) by 2 (personal involvement in the data breach incident: victim versus not victim) between-subject experimental design to investigate consumers’ perceptions of hotels’ data breaches.•The findings from this study support that the information sources of hotels’ data breach incidents affect consumers’ perception of hotels’ crisis responsibility, which in turn, influences their trust and revisit intention toward the hotels. However, personal involvement had direct effects on trust and revisit intention, but not on hotels’ crisis responsibility. Since cyber-attacks have become a significant concern in the hospitality industry, hospitality professionals need to address vulnerabilities and capabilities when data breaches take effect at hospitality organizations. This study investigated: (1) how a hotel data breach incident from different information channels influence consumers’ perceptions, and (2) how a hotel’s responsibility for a data breach crisis influence consumers’ revisit intention and trust toward the hotel. The present study employed Situational Crisis Communication Theory to develop a 2 by 2 experimental design research. Participants were randomly assigned into one of four conditions (data breach messages received from either the news or the hotel; whether or not hotel guests are the victim of the incident). This study addresses the impacts of cyber-crisis communication on hospitality organizations. The results provide insights regarding hotel guests’ reactions toward information security and the practical implications for hotel management regarding corporate communication and reputation.