Technological disruptions in services: lessons from tourism and hospitality

Purpose: Technological disruptions such as the Internet of Things and autonomous devices, enhanced analytical capabilities (artificial intelligence) and rich media (virtual and augmented reality) are creating smart environments that are transforming industry structures, processes and practices. The purpose of this paper is to explore critical technological advancements using a value co-creation lens to provide insights into service innovations that impact ecosystems. The paper provides examples from tourism and hospitality industries as an information dependent service management context. Design/methodology/approach: The research synthesizes prevailing theories of co-creation, service ecosystems, networks and technology disruption with emerging technological developments. Findings: Findings highlight the need for research into service innovations in the tourism and hospitality sector at both macro-market and micro-firm levels, emanating from the rapid and radical nature of technological advancements. Specifically, the paper identifies three areas of likely future disruption in service experiences that may benefit from immediate attention: extra-sensory experiences, hyper-personalized experiences and beyond-automation experiences. Research limitations/implications: Tourism and hospitality services prevail under varying levels of infrastructure, organization and cultural constraints. This paper provides an overview of potential disruptions and developments and does not delve into individual destination types and settings. This will require future work that conceptualizes and examines how stakeholders may adapt within specific contexts. Social implications: Technological disruptions impact all facets of life. A comprehensive picture of developments here provides policymakers with nuanced perspectives to better prepare for impending change. Originality/value: Guest experiences in tourism and hospitality by definition take place in hostile environments that are outside the safety and familiarity of one’s own surroundings. The emergence of smart environments will redefine how customers navigate their experiences. At a conceptual level, this requires a complete rethink of how stakeholders should leverage technologies, engage and reengineer services to remain competitive. The paper illustrates how technology disrupts industry structures and stimulates value co-creation at the micro and macro-societal level

Room rate parity analysis across different hotel distribution channels in the U.S.

Due to copyright restrictions, the access to the full text of this article is only available via subscription.In order to further enhance a relationship of trust between the hotel company and the guest, the guest must not feel that they are being cheated by paying more because they did not know where to get the best rates. At the same time that consumer savvy is growing, the complexity of purchasing choices is growing at an even faster rate. The purpose of this study was to examine actual rate parity of hotels across direct and indirect channels of distribution. The authors hope to help provide insight into the actual rate parity and to ultimately influence hotel guest perception of fairness in hotel room rate value and equity for what they are paying. Findings showed that there were no significant differences between rates from direct or indirect channels. However, significant differences were found in rates within both direct and indirect channels. Notable improvements in hotel rate parity from past studies were identified in this study. However, this study negates the claim of “lowest rates guaranteed” as propagated by several hotel chains, which they have stated in order to increase direct distribution through their own websites

Category management, product assortment, and consumer welfare

Category management, Product assortment, Variety, Consumer surplus, Channel,