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Hotelcloud | Airbnb vs Hotels: A Price Comparison

Airbnb vs Hotels: A Price Comparison

21 Jun Airbnb vs Hotels: A Price Comparison

Today’s travelers have wide array of hospitality products to choose before leaving for their dream destination. Thanks to connectivity, internet and mobility they are able to have information in realtime and seamlessly; whether it is a hotel, a serviced apartment or a bed&breakfast.

There is a problematic being raised by Priceonomics in this interesting article. What if Airbnb was cheaper than Hotels located at the same place ?

The result is interesting : Airbnb Vs Hotels

cost saving airbnb hotel

Too bad that they didn’t compare similar products (by star rating, type and location). It would have been a more accurate and objective comparison.

But really, what are the switching costs ? Are people more price sensitive to price, at the disregard of service ? What is the real price-elasticity ratio ?

Airbnb addresses clearly a new segment of demand, people that want to be immersed in the neighborhoods at a better price with a strong local experience expectations. It’s the experience economy, one the strongest¬†differentiators.

How will hoteliers respond to that ? How can they create strong experiences trough service  innovation and connectivity ?

 See how you can achieve just that with a one-stop-shop that not only increases your revenues but benefits guest satisfaction and thus loyalty >


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