COMPARATIVE ANALYSIS OF SOCIAL MEDIA BRANDING STRATEGIES OF LUXURY VS BUDGET HOTELS AND THEIR IMPACT ON CUSTOMER SATISFACTION IN HYDERABAD

Abstract

This study presents a comparative analysis of social media branding strategies adopted by luxury and budget hotels and their impact on customer satisfaction in Hyderabad region. With the rapid proliferation of digital platforms, hospitality brands have increasingly leveraged social media for building brand awareness, shaping brand image, and enhancing customer engagement. However, the strategic approach differs significantly between luxury hotels that emphasize exclusivity, aesthetic storytelling, and experiential luxury, and budget hotels that focus on affordability, functional benefits, and promotional offers. The present research was conducted with 400 respondents comprising customers who follow and interact with both luxury hotels (Taj, ITC Kohenur, Park Hyatt, Marriott) and budget hotels (OYO Townhouse, Treebo, Ginger, Lemon Tree) on Instagram, Facebook, and YouTube in Hyderabad. Data were collected through a structured questionnaire using 5-point Likert scale and analyzed using SPSS 26.0 and SmartPLS 4.0 for descriptive statistics, t-test, ANOVA, and Structural Equation Modeling. Results reveal that luxury hotels score significantly higher on brand image, brand association, and customization dimensions, while budget hotels score higher on trendiness, interactivity, and price-driven engagement. Brand image was found to be the strongest predictor of customer satisfaction for luxury hotels (β=0.412), whereas brand awareness and value communication were stronger predictors for budget hotels (β=0.368). The study concludes that while both segments benefit from social media marketing, differentiated branding strategies are essential for driving satisfaction, and provides managerial implications for hospitality marketers in Hyderabad to design platform-specific and segment-specific content strategies.