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sharing economy

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sharing economy

Understanding the Post-Covid Advantages of Sharing Economy Accommodations

Larry Mogelonsky | August 5, 2020

By Larry Mogelonsky, MBA, P. Eng. (www.hotelmogel.com) Following reports in early July that travel searches on Airbnb (and also Booking) in many key markets are at a 12-month high, hoteliers would be right to be quite anxious as this represents a definitive marker for booking drivers and perceived value in the post-pandemic hospitality world. Why are guests returning faster to the sharing economy than traditional accommodation providers? In this great reshuffling of travel motivations following COVID-19, it would appear as though many hotel customers are switching to home sharing platforms for their next leisure stay. Below I present th...

Make 2020 the Year Disruption Works for Your Hotel

Larry Mogelonsky | January 29, 2020

By Larry Mogelonsky, MBA, P. Eng. (www.hotelmogel.com) We no longer work in the hotel industry but rather the more broadly encompassing ‘accommodations industry’. Such is the real impact of the sharing economy and alternate lodging providers, as led by Airbnb, that they have so completely changed how the average traveler views their options when booking a place to stay. While we plebs in the traditional hotel sector have had a pretty good past couple of years from RevPAR and occupancy growth standpoints, rest assured that these numbers have been buoyed by a healthy economy and that we may suffer if another downturn is forthcoming, p...

Alternative Accommodations Likely to Bring Continued Disruption to Hotel Industry in 2020

MaryJo Finocchiaro | December 23, 2019

Real estate and hospitality professional MaryJo Finocchiaro expects trend to continue as consumers compare price/value proposition of the two products BOCA RATON, Fla., Dec. 23, 2019 -- The alternative accommodation business is a significant hotel industry disruptor and is becoming increasingly institutionalized characterized by sophisticated revenue management, multi-unit management companies, and talks of IPO's.  According to MaryJo Finocchiaro, Executive Vice President and Chief Financial Officer for BRE Hotels & Resorts, "The alternative accommodation trend is expected to continue to grow but facing headwinds with the threat of e...

Understanding the Future of Alternate Accommodations

Larry Mogelonsky | December 18, 2019

By Larry Mogelonsky, MBA, P. Eng. (www.hotelmogel.com) We tend to consider the hotel industry in a traditional sense of hotels and resorts. But in case you’ve been ostrich with your head in the sand for the past few years, the term no longer really applies, replaced instead with ‘the accommodations industry’ that incorporates all the new table names that were only fringe players a decade ago. The incredible growth of Airbnb, as an example of one such entrant, has hopefully raised our collective awareness. To narrow down our market scope a bit, according to HVS services apartments in Europe are expected to outgrow traditional hotel...

Circular Economy in the Tourism Sector

Dr Luciano Lopez | September 27, 2019

In order to survive the changing landscape of the tourism sector, firms will have to adapt to new trends and consumers' desires caused by the emergence of sharing economy companies By Dr. Luciano Lopez The economy was pictured until recently as linear, with a strong tendency to satisfy the consumers’ needs with brand new products, somehow to give them a feeling of exclusivity. However, a full range of environmental, socio-demographic and economic indicators, mostly alarming, rose the need to change our consumption and production habits. One of the main and current issues discussed in the media is climate change, of which principal so...

Americans Strongly Support Reforming Federal Law to Rein in Illegal Short-Term Rentals

AHLA | September 11, 2019

73 Percent of Americans Support Amending CDA 230 To Remove “Big Tech” Loopholes Invoked by Airbnb and HomeAway WASHINGTON, D.C. (September 11, 2019) – According to a new national survey, Americans overwhelmingly support amending federal law to remove loopholes used by short-term rental sites, like Airbnb and HomeAway, to avoid having to comply with local laws enacted by cities and other localities across the country.  Three in four Americans (76 percent) believe short-term rental sites should be held accountable for complying with local laws, and 73 percent support an amendment to Section 230 of the Communications Decency Act (CDA) ...

Building Your Hotel’s Sharing Economy Defenses

Larry Mogelonsky | May 15, 2019

By Larry Mogelonsky, MBA, P. Eng. (www.hotelmogel.com) While it is crystal clear to me and many other hoteliers that the sharing economy and all its resident internet-based service firms (IBSFs) have severely changed how customers perceive hotels, many outside of hospitality tout their successes and grander benefits for the community. Regardless of whether or not they are ultimately 'good', the rapid proliferation of all these sharing economy accommodations should not be mere doom and gloom for hotels, however, but an opportunity for you to improve your own product. As Airbnb is by far the largest among these IBSFs, I will use it as a p...

Airbnb v. Hotels: New Research Sheds Light on How They Can Compete and Benefit in the Sharing Economy

INFORMS and Marketing Science | May 1, 2019

Key Takeaways: Airbnb cannibalizes hotel sales, particularly in the lower-priced leisure travel segment, while at the same time creating market expansion. Airbnb can help stabilize or even increase demand during peak travel seasons, offsetting the potential for higher hotel prices which can sometimes be a deterrent. The flexible lodging capacity created by Airbnb may disrupt traditional pricing strategies in some markets, actually helping to minimize the need for seasonal pricing. As Airbnb targets business travelers, higher-end hotels are most likely to be affected. CATONSVILLE, MD, May 1, 2019 – Researchers from the Teppe...

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