Essay on Is Airbnb Simply a Gimmick of Our Time or Crucial Part of Future Economic Activities in Hospitality and Tourism?
Number of words: 658
Airbnb is an online marketplace where customers can access lodging and other hospitality facilities (Mody, Suess and Dogru, 2017). The company is not the owner of the premises but acts as an agent who receives omissions whenever a customer books a hotel room through Airbnb. The online platform has been growing, and statistics indicate that during the year 2018, the company made a return of over $34 billion within the United States (Oskam and Boswijk, 2016). Economically, the company contributed significantly to the growth of the GDP. In essence, the company pays enough taxes to the government of various countries where they operate. Socially, the company provides a platform that allows for the reduction and regulation of tourism activities. The number of customers that the company has is indicative of its strong position in the hospitality industry. Over-tourism is having an adverse effect in various regions, which makes it necessary to control congestion, especially in cities (Zervas, Proserpio and Byers, 2017). Airbnb is doing everything within its capacity to ensure sustainability in the sector, especially by reducing overcrowding in specific places.
The introduction of platforms such as Airbnb has disrupted operations in the hospitality industry to a large extent. However, it is essential to note that the disruption is meant to improve the convenience of traveling and booking hotels (Bowen and Whalen, 2017). The idea of online market places that offer direction to clients is a disruption to the way the industry operates decades before Airbnb (Magno, Cassia and Ugolini, 2018). Equally, it is vital to note that changes in the industry are unavoidable due to increased internet use. In the last few years, the use of the internet as a resource has increased, making it easier for brands to shift focus to online platforms (Zervas, Proserpio and Byers, 2017). The use of online platforms to book services in the hospitality and tourism industry is the next big thing that the industry should be prepared for.
Airbnb is not only a symptom of our time but also a significant invention and implementation in the industry. Individuals who have used Airbnb to make bookings can bear witness to the quality of service that they have experienced with the company (Zervas, Proserpio and Byers, 2017). In essence, many individuals have a feeling that the industry will grow further with the application of technology and innovations such as Airbnb. With the high level of globalization that is experienced, people require a more convenient way of booking hotels and identifying new tourist hotspots with no congestion. Airbnb is a revolution of our time that will take effect for generations to come.
To sum it up, the assertion made by Nathan Blecharczyk that Airbnb is here to stay is true for some reasons. First, the convenience of booking hotels and choosing where one can best fit before visiting is essential. Such an opportunity allows one to choose what best satisfies them. Second, the security of the client is guaranteed as the company takes responsibility and tasks precise owners. Customers need a platform where tourists are assured of their safety and that of their items upon booking. The two reasons make Airbnb a revolution that is here to stay.
Bowen, J. and Whalen, E., 2017. Trends that are changing travel and tourism. Worldwide Hospitality and Tourism Themes.
Magno, F., Cassia, F. and Ugolini, M.M., 2018. Accommodation prices on Airbnb: effects of host experience and market demand. The TQM Journal.
Mody, M., Suess, C. and Dogru, T., 2017. Comparing apples and oranges? Examining the impacts of Airbnb on hotel performance in Boston. Boston Hospitality Review, 5(2), pp.1-15.
Oskam, J. and Boswijk, A., 2016. Airbnb: the future of networked hospitality businesses. Journal of Tourism Futures.
Zervas, G., Proserpio, D. and Byers, J.W., 2017. The rise of the sharing economy: Estimating the impact of Airbnb on the hotel industry. Journal of marketing research, 54(5), pp.687-705.