THE INFLUENCE OF DIGITAL REPUTATION ON HOSPITAL SELECTION DECISIONS

Abstract

Digital transformation has fundamentally altered consumer behavior, including decision-making processes in the highly involved healthcare sector. Although numerous studies have investigated electronic word-of-mouth (e-WOM) in commercial contexts, empirical evidence on its influence among uninsured healthcare consumers in developing countries remains limited. This study aims to analyze the effect of online customer ratings and online customer reviews on the healthcare service selection decisions of non-BPJS (non-national health insurance) patients at Lirboyo General Hospital, Kediri, Indonesia. A quantitative, cross-sectional survey design was employed with 67 purposively selected respondents. Data were collected using a validated Likert-scale questionnaire and analyzed through multiple linear regression using SPSS v.26. The results show that online customer ratings (β = 0.948; p < 0.05) and online customer reviews (β = 0.387; p < 0.001) have a significant positive effect on selection decisions, jointly explaining 94.7% of the variance (R² = 0.947). These findings highlight the critical role of digital reputation in strengthening trust and reducing perceived risk among self-pay patients. The study contributes to the literature by integrating signaling theory and trust theory within a healthcare context and provides practical implications for hospital management in strategically managing digital reputation.