What is happening in Paris? Airbnb, hotels, and the Parisian market: A case study

Abstract

Airbnb has been the subject of heated discussions among tourism and hospitality scholars. In order to understand the true impact of P2Psharing on the tourism and hospitality landscape, it is important to understand that market in detail first. Therefore, in this paper, we explore the development of the Airbnb market over the last seven years in Paris, the most popular destination for Airbnb guests with more than 40,000 accommodation rentals. This research note is a summary of our findings on the Paris market. Our study shows different growth and seasonality patterns for Airbnb and hotels and dissimilarities in the geographical location of the offers. The findings indicate that the two products are not in direct competition and that their relationship might be more complex than previously thought. We trust that exploring the nature of the competitive relationship would be a valuable avenue for further investigation.

Higher tourism specialization, better hotel industry efficiency?

“…This is an interesting finding that seems to be contrary to popular belief that the hotel industry should benefit more from a destination with higher tourism specialization, since we usually conclude that a prosperous tourism industry with many tourists can produce a large potential accommodation market for the hotel industry and thereby boost its efficiency. However, a notable fact cannot be ignored: the rise of nonstandard accommodation suppliers is not only changing the competitive landscape in the hotel industry but also transforming the tourism industry (Heo et al, 2019). Classic economic theories of demand and supply indicate that increased supply may hurt firm performance by depressing price to a new and lower equilibrium (Assaf et al, 2017).…”

Impacts of the peer-to-peer market on tourist accommodation on the Balearic Islands of Mallorca and Menorca

“…The interest of researchers for this phenomenon has generated a substantial number of contributions, all very diverse in terms of domains, methods, and scope (Belarmino & Koh, 2020;Dann, Teubner, & Weinhardt, 2019;Dolnicar, 2019;Guttentag, 2019). Previous analyses of Airbnb were focused, among other things, on finding out what motivates suppliers and demanders to participate in this market (Karlsson & Dolnicar, 2016;So, Oh, & Min, 2018); on its potential discriminatory effect against certain groups (Edelman et al, 2017;Kakar, Franco, Voelz, & Wu, 2016); on the established reputation mechanisms (Fradkin, Grewal, Holtz, & Pearson, 2015;Zervas, Proserpio, & Byers, 2015); on the variables that may or may not determine price (Benítez-Aurioles, 2018a; Wang & Nicolau, 2017); and on the repercussions that it has had on hotels (Heo, Blal, & Choi, 2019;Zervas et al, 2017), employment (Fang, Ye, & Law, 2016;Mao, Tian, & Ye, 2018), and the housing market (Barron, Kung, & Proserpio, 2018;Horn & Merante, 2017).…”

“…The company was founded in 2008 and since then its growth has been exponential. According to Airbnb, its total supply of accommodation exceeds six million homes, covering more than 80,000 cities in virtually all countries (Airbnb, 2019); this figure is higher than the supply of the five largest hotel chains combined (Hartmans, 2017).…”

Analysing Drivers and Barriers of Accommodation Sharing in Dubai Using the Grey-DEMATEL Approach

“…Lack of trust as a barrier for collaborative consumption could manifest at various levels of interaction, between buyers and sellers, between users and technology, and between users and company or even regulatory bodies [15,23,66,86]. [103][104][105] The perceived utility of collaborative consumption could also be a barrier. According to Bardhi and Eckhardt [24], people engage in collaborative consumption because they can obtain the desired service or product at a lower price.…”