Airbnb in India: comparison with hotels, and factors affecting purchase intentions

Devlina Chatterjee · Bahul Dandona · Manohar Giri

39 citations0/0 files storedInternational Journal of Culture Tourism and Hospitality Research

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Sharing Economy and Platforms Diverse Aspects of Tourism Research Technology Adoption and User Behaviour

Abstract

Purpose The purpose of this paper is to understand Indian tourists’ perceptions of Airbnb compared to other hospitality options, and the factors driving their purchase intentions. Design/methodology/approach An integrated model for purchase intention was conceptualized based on the theory of planned behavior and social exchange theory. Constructs such as trust, authenticity, travel innovativeness, price sensitivity and effort expectancy were included based on a survey of the literature. Structural equation models were built using survey data. Respondent ranking of different criteria for Airbnb vs its competitors were aggregated using Borda count method. Findings Price is the most important criteria across hospitality choices, including Airbnb, except high-end hotels. Facilities, home-like feeling, trust and friendly service were important for Airbnb. Consumer expectations from Airbnb are similar to homestays, mid-range and budget hotels and different from resorts and high-range hotels. In the theory of planned behavior model, trust in Airbnb and perceived authenticity had large significant positive effects on purchase intention, mediated by attitude. Social norms and effort expectancy had direct positive effects on behavioral intentions. Price sensitivity had a direct small negative effect on purchase intention. Overall, fit of the model was within acceptable parameters. Originality/value Despite being an important emerging market, Airbnb in India has not been covered by studies of consumer behavior. This paper fills that research gap. Airbnb’s main competitors are home-stays and mid-range hotels. Building trust, creating authentic experiences and ensuring price competitiveness will drive adoption.

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References

1991The theory of planned behavior 2012Consumer Acceptance and Use of Information Technology: Extending the Unified Theory of Acceptance and Use of Technology1 1994A Meta-Analysis of Cronbach's Coefficient Alpha 2015Collaborative consumption: determinants of satisfaction and the likelihood of using a sharing economy option again 2016Sharing economy: A review and agenda for future research 2013Consumer behaviour in tourism: Concepts, influences and opportunities 2017Why Tourists Choose Airbnb: A Motivation-Based Segmentation Study 2016Factors of satisfaction and intention to use peer-to-peer accommodation

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2021How self-gratification and social values shape revisit intention and customer loyalty of Airbnb customers 2024Fifty‐two years of consumer research based on social exchange theory: A review and research agenda using topic modeling 2022A systematic review of trust in sharing accommodation: progress and prospects from the multistakeholder perspective 2022Does Airbnb offer hedonic or utilitarian products? An experimental analysis of motivations to use Airbnb

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