Sharing Economy’s Development In The Hospitality Industry Free Essay

Introduction and Background

The growth of the internet has resulted in a revolution in business models. Since the emergence of the World Wide Web, many business structures now comprise mobile, electronic, and social elements (Puschmann and Alt, 2016, p. 93). The consumption behaviours have also changed and new trends and concepts such as sharing economy have emerged. The sharing economy is different from the traditional economy because it is based on sharing and using services and products among consumers. Many terminologies have been associated with this emergent phenomenon, including gig economy, platform capitalism, collaborative consumption, and peer-to-peer economy among others (Acquier, Daudigeos, and Pinkse, 2017, pp. 1-2; Zhu, So, and Hudson, 2017, p. 2219; Frenken and Schor, 2019, p. 122). The marketing function has also been thoroughly revolutionised by the sharing economy majorly because marketers have to keep up with their customers. The implications for marketing and have been extensively studied, some researchers claim the drawn conclusions remain unclear (Eckhardt et al., 2019, p. 1). Considering the effect of such a massive change in consumer behaviour, further research into the subject is needed where the future of the economy is assessed.

One of the critical concerns for marketers is customer satisfaction with the services and products offered in the sharing economy. Airbnb is one of the most popular brands in the peer-to-peer economy, specifically in the hospitality industry and accommodation sector (Lalicic and Weismayer, 2018, p. 80). Several case studies on consumer behaviour among the users of Airbnb have been published. The focus of the proposed research is to explore the development of the sharia economy from the perspective of consumer satisfaction and using Airbnb in Singapore as the case study. To accomplish this study, the key questions should be answered, including why consumers of Airbnb want to consume the services again and why they remain loyal. Additionally, the question of what their levels of satisfaction are with the various characteristics of Airbnb needs to be explored.

Literature Review

Airbnb has been extensively studied because of its popularity and the hype around the sharing economy. However, it is important to acknowledge that not all studies focus exclusively on consumer satisfaction. Additionally, it can also be argued that many concepts can be used to highlight or insinuate how happy consumers are with the company. The focus of this literature review is to acknowledge what has been done so far and to chart the course for the proposed research. Much of the literature explores the experiences of the users. For example, Sthapit (2018, p. 3) finds that value co-destruction has been a feature of Airbnb because of poor customer service. The concept of value co-creation is used in instances where stakeholders in a transaction mutually create scenarios that benefit all involved. Value co-destruction is the reverse situation arising from failed attempts in value co-creation. Therefore, Sthapit (2018, p. 3) can be viewed as one of those researchers finding some consumers dissatisfied with the services of Airbnb.

Poor customer service has emerged as a common theme among some researchers. In addition to the findings of Sthapit (2018, p. 3), other scholars find that Airbnb customer service is poor. The result has been the creation of distrust towards the company (Sthapit and Björk, 2019, p. 245; Sthapit and Bjørk, 2020, p. 1; Sthapit, Björk, and Barreto, 2020, p. 1; Ahmed, Ragheb, and Tantawi, 2020, p. 189). Other scholars have focused on the antecedents of customer experience and satisfaction. For example, Liang, Choi, and Joppe, (2018, p. 41) find that transaction-based satisfaction affected experience-based satisfaction. Such results indicate that the transactional value of the Airbnb services has a direct influence on consumer experiences and, hence, customer satisfaction. According to Lee and Kim (2018, p. 1346), satisfaction with services and customer engagement at Airbnb was influenced differently by the utilitarian and hedonic value of the services. Therefore, it is evident that Airbnb has been the subject of scrutiny from scholars.

Some studies presented contrasting results regarding customer experiences and satisfaction with Airbnb. For example, Li, Hudson, and So, 2019, p. 410) find that home benefits, authenticity, personalised services, and social connections are the major dimensions that influence both consumer experience and future purchase intentions. Additionally, Mao and Lyu (2017) have established that there are certain aspects, including unique expectation and familiarity have a positive influence on repurchase intentions among Airbnb customers. With such conflicting views, it is important to explore the concept further to reach better conclusions. The rationale is that the sharing economy continues to grow as businesses perceive is as a strategic platform for profitability (Altinay and Taheri, 2018, p. 180). The trends in consumer behaviour such as the preference for sharing over ownership can be viewed as the key driving forces behind the sharing economy.

Most importantly, the sharing economy is quickly spreading globally and most countries are already embracing it. Airbnb has become a global brand, which has been facilitated by the internet and social media. However, demographic differences across the countries, as well as varied business environments, means that each market could behave differently in terms of the adoption of sharing economy. The case of Singapore has not been explored, which adds to the research gaps that need to be filled.

Methods

The research on customer satisfaction with the sharing economy will be a quantitative study. The rationale is that the key variable, customer satisfaction, can be quantified. The scientific nature of quantitative studies makes them more credible. Appropriate measures of satisfaction with Airbnb services will be developed. Currently, the COVID-19 has made movements difficult and restricted. Therefore, the main mode of data collection will be surveys, which can be conducted online. A sample of 500 current and former users of Airbnb services in Singapore will be used as a representative of the population. Since the population has been specified, random sampling can be used, which will have the effect of eliminating researcher bias.

Several quantitative data analysis approaches will also be deployed in proposed study. First, descriptive statistics will highlight the demographic profile of the respondents. Additionally, descriptive statistics will be used to express the levels of satisfaction with Airbnb among the respondents. There are several antecedents of consumer satisfaction that will be included in the data collection. Therefore, further statistical analysis will include the use of regression and correlation analysis to establish the relationship between the variables. In regression analysis, the relationship between the independent and dependent variable is examined. Correlation analysis focuses on all the variables, meaning relationships between the antecedent variables can also be explored. The statistical package for social sciences (SPSS) will be used to undertake these statistical analyses.

Reference List

Acquier, A., Daudigeos, T. and Pinkse, J. (2017) ‘Promises and paradoxes of the sharing economy: an organizing framework’, Technological Forecasting and Social Change, 125, pp. 1-10.

Ahmed, G., Ragheb, M. and Tantawi, I. (2020) ‘Motives and barriers of Airbnb users: Findings from mixed-methods approach’, The Business and Management Review, 11(1), pp. 186-198.

Altinay, L. and Taheri, B. (2018) ‘Emerging themes and theories in the sharing economy: a critical note for hospitality and tourism’, International Journal of Contemporary Hospitality Management, 31(4), pp. 180-193.

Eckhardt, G. et al. (2019) ‘Marketing in the sharing economy’, Journal of Marketing, 83(5), pp. 1-23.

Frenken, K. and Schor, J. (2019) ‘Putting the sharing economy into perspective, in O. Mont (Ed.). A research agenda for Sustainable Consumption Governance. Lund: Elgar Research, pp. 121-135.

Lalicic, L. and Weismayer, C. (2018) ‘A model of tourists’ loyalty: the case of Airbnb’, Journal of Hospitality and Tourism Technology, 9(1), pp. 80-93.

Lee, S. and Kim, D. (2018) ‘The effect of hedonic and utilitarian values on satisfaction and loyalty of Airbnb users’, International Journal of Contemporary Hospitality Management, 30(3), pp. 1332-1351.

Liang, L., Choi, H. and Joppe, M. (2018) ‘Exploring the relationship between satisfaction, trust and switching intention, repurchase intention in the context of Airbnb’, International Journal of Hospitality Management, 69, pp. 41-48.

Li, J., Hudson, S. and So, K. (2019) ‘Exploring the customer experience with Airbnb’, International Journal of Culture and Hospitality Research, 13(4), pp. 410-429.

Mao, Z. and Lyu, J. (2017) ‘Why travellers use Airbnb again?: An integrative approach to understanding’, International Journal of Contemporary Hospitality Management travellers’ repurchase intention, 29(9), pp. 2464-2482.

Puschmann, T. and Alt, R. (2016) ‘Sharing Economy’, Business and Information Systems Engineering, 58(1), pp. 93-99.

Sthapit, E. (2018) ‘My bad for wanting to try something unique: sources of value co-destruction in the Airbnb context’, Current Issues in Tourism, 22(20), pp. 2462-2465.

Sthapit, E. and Björk, P. (2019) ‘Sources of distrust: Airbnb guests’ perspectives’, Tourism Management Perspectives, 31, pp. 245-253.

Sthapit, E. and Bjørk, P. (2020) ‘Interactive value formation: drivers and outcomes from Airbnb guests’ perspectives’, Scandinavian Journal of Hospitality and Tourism, pp. 1-19.

Sthapit, E., Björk, P. and Barreto, J. (2020) ‘Negative memorable experience: North American and British Airbnb guests’ perspectives’, Tourism Review, pp. 1-15.

Zhu, G., So, K. and Hudson, S. (2017) ‘Inside the sharing economy: inside the sharing economy the adoption of mobile applications’, International Journal of Contemporary Hospitality Management, 29(9), pp. 2218-2239.

Comparison Of Netflix, Amazon Prime, Disney+ And HBO Max

Netflix

Netflix remains the biggest streaming service provider in the world due to a variety of reasons. The platform offers original content and classical well-renowned movies and TV shows such as Stranger Things and Squid Game (Frank, 2020; Sherman & Subin, 2021). Despite that, one should remember that Netflix’s selection of films is not as wide, and it may be hard to find new releases (Frank et al., 2020). The company’s pricing policy begins with a monthly fee of $8.99, allowing simultaneous streaming and download on a single device (Frank et al.,2020). However, there are more expensive subscription plans that offer users wider opportunities on the platform. For example, for payment of $13.99, subscribers can watch higher-quality video content on two screens at a time (Frank et al., 2020). Netflix’s pricing secures the company’s revenue, which reached 7.5 billion dollars in the third quarter of 2021 (Sherman & Subin, 2021). While Netflix offers a variety of TV shows and movies, it is questionable whether its pricing policy is compatible enough.

Nevertheless, Netflix is mainly notable due to its personalized recommendations and original content available. Research suggests that the company outpaces other streaming platforms by the number of subscribers, which reflects its availability (Sherman & Subin, 2021). Netflix offers its products to 214 million users worldwide, with more than 74 million of them located in the US and Canada (Sherman & Subin, 2021). Netflix is available in 190 countries, but China, Syria, North Korea, and Crimea have been excluded from the list due to different sanctions imposed by the US administration. Furthermore, among the platform’s subscribers are various customers, including independent viewers and families with children (Frank et al., 2020). Netflix’s global availability and diversity of its users are crucial to the company’s success.

Amazon Prime Video

Amazon Prime Video is one of Netflix’s main competitors, created and privatized by Amazon. The platform’s products include original TV series and movies, but it also offers a collection of older and newer films (Frank et al., 2020). With that being said, research suggests that as the streaming service focuses on its original content, its competitors offer better options to watch more popular movies and TV shows (Frank et al., 2020). In terms of pricing, Amazon provides a much more valuable offer in comparison to Netflix. The subscription costs $9 on its own, but for $13 a month, it is possible to receive all the benefits of Prime membership, including free delivery, Prime Music, and a variety of discounts (Blumenthal, 2021). Alternatively, it is possible to choose a payment of $119 each year (or $9.92 per month) for the same features (Blumenthal, 2021). The results of such an approach are evident in the company’s revenue, as it reached $25 billion, making it the most profitable business among the four platforms (Sherman & Subin, 2021). Amazon Prime Video offers a variety of content and subscription plans.

Amazon undoubtedly overpowers Netflix and other streaming services by the quantity in terms of content provided. However, the evidence suggests that the quality of Amazon’s titles is much more lacking in comparison to others (Frank et al., 2020). Despite that, Amazon Prime can be perceived to be available to customers, as more than 175 million people have used the streaming service in the past year (Frank et al., 2020). Among the platform’s main subscribers are members of Amazon Prime who are fans of classic and independent films (Frank et al., 2020). As Amazon centers around its original content, its competitors offer other films and TV shows of better quality.

Disney+

Disney+ is a streaming service led by one of the industry’s greatest film production owners. The company launched in November 2019, making it a relatively young platform (Sherman & Subin, 2021). Disney+ products focus on content based on popular Disney-owned films, family-friendly films, and several documentary series (Frank, 2020). The company offers considerable competition to the industry leader Netflix in terms of price. In particular, Disney+ offers the cheapest subscription plan among its rivals with an $8 monthly payment, immediate high-quality streaming, and support of up to 4 devices (Blumenthal, 2021). The platform’s pricing policy brought Disney+ a revenue of $18.5 billion (Sherman & Subin, 2021). As a continuation of a world-renowned production company, Disney+ offers unique content at a compatible price.

Furthermore, although Disney+ is relatively young, it is quite available among clients. The platform has a considerable audience of over 118.1 million, even though its distribution is limited to 61 countries (Sherman & Subin, 2021). However, the streaming service is less popular than its competitors, as the offered content may be too familiar and repetitive to certain viewers (Frank et al., 2020). With that being said, the main subscribers are represented by families who are rediscovering classic Disney movies (Frank et al., 2020). Disney+ offers a wide range of films and TV series, but the audience seems to be already familiar with the content.

HBO Max

HBO Max is the streaming service created by HBO, offering diverse content. HBO Max includes original products and already familiar titles such as Rick and Morty, Sesame Street, Lord of the Rings, and Harry Potter (Frank et al., 2020). Among the four reviewed services, it is the most expensive by costing $15 per month (Blumenthal, 2021). Nevertheless, the company is not outstanding in comparison to its competitors in terms of titles available, price, subscribers, or revenue. The platform has reached a revenue of $2 billion, which is the least amount of profit among the four (Sherman & Subin, 2021). While HBO Max offers some well-known movies and TV series, its pricing policy is the least compatible among the mentioned above streaming services.

Despite its prices, HBO Max seems to be popular with the audience. The company’s services are available worldwide, on the same terms as Netflix and Prime Video. HBO Max has 69.4 million subscribers, which is quite good in consideration of the fact that the platform launched on May 27, 2020 (Sherman & Subin, 2021). The company’s subscribers are mostly represented by fans of classic movies and people who are already familiar with HBO products (Frank et al., 2020). While HBO Max is the youngest platform compared to its well-known rivals, it has a collection of movies for a wide audience.

References

Blumenthal, E. (2021). Netflix vs. HBO Max vs. Disney Plus vs. Paramount Plus vs. Peacock vs. Discovery Plus. CNET.

Frank, A., Wilkinson, A., VanDerWerff, E., & Abad-Santos, A. (2020). The best and worst of the biggest streaming services. Vox.

Sherman, A., & Subin, S. (2021). Disney makes the trend clear: Growth is slowing for streaming services. CNBC.

Appendix

Netflix Pros and Cons
Diagram A. Netflix Pros and Cons

Amazon Prime Pros and Cons
Diagram B. Amazon Prime Pros and Cons

Disney + Pros and Cons
Diagram C. Disney + Pros and Cons

HBO Max Pros and Cons
Diagram D. HBO Max Pros and Cons

The Table Highlighting the Most Outstanding Aspects of 4 Streaming Services

Company Product Price

(Base monthly fee)

Subscribers Revenue (in USD) Availability
Netflix 13,612 titles 8.99$ 214 million 7.483 billion global
Amazon Prime 24,000 movies and over 2,100 shows 8.99$ 175 million 25 billion global
Disney+ 15,000 titles 7.99$ 118.1 million 18.53 billion 61 countries
HBO Max 2,000+ movies and more than 580 TV shows 14.99$ 69.4 million 2 billion global

Essay Voice-over

Kardashian Nation Work In America’s Klan

Kardashian Nation Work in America’s Klan is Lofton’s discourse on the Kardashian family as a contemporary new media phenomenon in the American socio-cultural field. It starts with a preface about the Melissa Click incident and ends with a defensive speech about her. From the viewpoints of readers who are not sociologists and those with knowledge of the social sciences, this chapter section looks more like a resentment stream of thought or even a rant. The author demonstrates a novel academic problem which is the conventional public conviction that popular culture and modern media are not serious scholarly fields unworthy of attention, effort, and funding (Lofton, 2017). However, the overly emotional way of formulating ideas and the chosen incident ruin the subject of consistency and create dissonance in readers from the beginning of the chapter.

The analytical section on the Kardashian family, which takes up most of the textual space of the chapter, is much better executed than the preface about Click that preceded it. Lofton (2017) masterfully analyzes and links diverse sociological topics of pop culture, media channels, family and clan structures, race relations, and ethnic inheritance to Kardashians and makes their inferences, hypotheses, and refutations. For example, the writer claims that “the definition of their family is the definition of their bodies” (Lofton, 2017, p. 169). Another interesting observation is the social impact of human phenotype and genotype on the degree and nature of media popularity. The analysis of the duality and interconnectedness of love and hatred as two prevailing types of social media reactions to Kardashians and other celebrities is also fascinating (Lofton, 2017). This chapter discusses and reveals things beyond the well-known Armenian-American family, such as the transformation of family ties into clan ones when being noticed by the public eye, and it is its major strength.

Reference

Lofton, K. (2017). Consuming religion. University of Chicago Press.

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