Abstract
The purpose of this research is to investigate and estimate the spill-over effects of online consumer reviews as a proxy to reflect hotel performance, focusing on 689 hotels located in London, UK. This study used a series of data mining approach to collect estimated variables from a travel search engine website (i.e., Kayak.com) and made the first attempt to apply spatial econometric modelling at the firm level in the tourism and hospitality field. The findings of this research identified a complementary effect of consumer rating between neighbouring hotels, and showed the spatial dependency of room prices across hotels at the destination. Furthermore, a local estimation using geographically weighted regression approach allows researchers to understand the spatial variations of the spatial effects. Important implications for tourism and hospitality managers to develop regional marketing and promotions are provided.