Demand elasticity estimates for New Zealand tourism

Demand elasticities for New Zealand tourism are estimated for 16 different international visitor segments. Segments are differentiated by origin, purpose of visit, and travel style. Elasticities for both international visitor arrivals and on-the-ground expenditure per arrival are estimated for each segment using time-series data. In general, on-the-ground consumption per arrival is more price sensitive than number of arrivals, and Asian market segments are found to be more price sensitive, both in terms of arrivals and on-the-ground expenditure, compared to international visitors from other regions. An application of the results is presented giving the total effect of exchange rate changes on expenditure by international visitors in New Zealand, and management implications are discussed.     

Do price promotions drive consumer spending on luxury hotel services? The moderating roles of room price and user-generated content

Price promotion, as price information, and user-generated content (UGC), as non-price information, play an important role in generating luxury hotel revenue. This study empirically investigates how price promotion influences actual consumer spending on luxury hotel services except room price, by considering the contingency role of room price and volume and valence of UGC. Combined data of daily settlements and Tripadvisor customer reviews of a regional luxury hotel chain are used for the analyses. The results indicate that, overall, price promotion negatively influences consumer spending on luxury hotel services and its negative effect is strengthened when the room is higher priced or the valence of UGC is high. Furthermore, a larger volume of intrinsic attribute-related UGC–amenity and location–with price promotion leads to more consumer spending than a larger volume of extrinsic attribute-related UGC–food and staff. The findings provide hotel managers with important insights into pricing and UGC management.     

The price competitive position of Mediterranean countries in tourism: Evidence from the Thomson brochure

Tourism in the Mediterranean region is highly dependent on the few, large, mass market tour operators situated in the North European tourist originating countries. Price competition is intense both between the tour operators and between the Mediterranean countries themselves. This paper uses the hotel package prices listed in the Thomson summer and winter brochures to develop relative price indexes of each Mediterranean country with respect to the Mediterranean average. Indexes are developed in the 3 star, 4 star, 5 star, 7 nights and 14 nights, half-board holiday packages. The prices in the Thomson brochure can be regarded as a unified, internally consistent, set of price data, compiled by the largest UK tour operator and offered to UK tourists desiring a Thomson summer holiday. The change through time of the competitive relative price ranking of hotels, regions and countries listed in the Thomson brochure, may be regarded as an important competitive indicator by industry operators and national policy makers concerned about tourism development.     

Predictors of Social Equity and Price Acceptability Judgments of User Fees

Abstract

This study investigated decision-making process and outcome variables that predict perceived social equity judgments and price acceptability of user fees for visitors to a national forest. Data were collected in onsite interviews of 228 visitors to a USDA Forest Service campground. Hypothetical conditions involving combinations of six procedural and distributive justice factors related to fee policies were created through 12 written scenarios. Five of the six variables were significant predictors in each of the two analyses. The most prominent predictor of social equity was public input. For price acceptability, the most prominent predictor was fee level.     

The effects of Airbnb’s price positioning on hotel performance

This study examined the relationship between the price positioning of Airbnb listings, measured in price difference between a hotel property and the nearby Airbnb listings as well as price dispersion among these Airbnb listings, and the performance of nearby hotels. An exploratory analysis using field data points collected from the Airbnb listings and their hotel counterparts in the metropolitan area of Austin, Texas between Quarter 3, 2008 (debut of Airbnb in Austin) and Quarter 2, 2011 reveals intriguing findings. The entry of Airbnb listings was penetrative to local hotels. However, the price positioning of Airbnb, manifested in higher average price as compared to nearby hotels, as well as larger price dispersion among individual listings, significantly mitigated such penetration. Important theoretical contributions and practical implications for hotels are discussed.     

Impacts of cruise service quality and price on vacationers’ cruise experience: Moderating role of price sensitivity

In view of the increased interest in cruise vacations and limited study on cruises, the purpose of this study was to shed light on an understanding of cruise vacationers’ evaluations of onboard experiences with cruise lines in North America and their loyalty-formation process. The empirical results revealed that interactional quality and outcome quality were significantly and positively associated with novelty and perceived value which in turn, affected satisfaction and loyalty. In addition, perceived price was a significant and negative predictor of perceived value. The moderating function of price sensitivity showed that novelty was more effective in inducing satisfaction in the low price sensitivity group and it was more effective in enhancing perceived value in the high price sensitivity group. Overall, these results help cruise line operators who observe that cruise vacationers have become more demanding on service quality, price, and value. Practical and theoretical contributions are discussed.     

A study of experience expectations of museum visitors

Visitor studies including studies of experience and expectations of visitors are important for museums in terms of management and development, however few studies have been designed to explore the components of experience expectations for museum visitors. This research tried to analyze the experience expectations of museum visitors. Using content analysis of diaries written by museum visitors, a questionnaire of experience expectations of museum visitors was developed. After a survey with 425 valid returns, factor analysis was used to extract 5 types of experience expectations, which included: easiness and fun, cultural entertainment, personal identification, historical reminiscences, and escapism. Moreover, this research analyzed visitors’ preferences for visiting museums and their demographic factors among different types of experience expectations. Finally, some related discussion and suggestions were proposed.     

Role of constraints in Chinese calligraphic landscape experience: An extension of a leisure constraints model

The study of constraints in the leisure and tourism context has been a growing research theme during the past four decades. This article focused on participants' constraints that inhibit an experience of Chinese calligraphic landscapes. The purpose of this study was to determine whether three types of constraints existed in the context of a calligraphic landscape experience. A confirmatory factor analysis confirmed the fitness of the collected data for the hierarchical constraints model. This study also extended this hierarchical model to prove that some constraint dimensions do influence tourists' preference, participation and satisfaction. This research concluded that intrapersonal constraints had a negative influence on preference, while neither interpersonal nor structural dimension influenced tourists' participation or satisfaction.