The Impact of Online Renting Accommodation Services on the Hospitality Industry - Literature review Example

These new approaches to resource exploitation also extract more value from such possessions. People start to share.Airbnb is a company on the internet that facilitates rentals of a short-term nature. The rentals range from shared accommodations to entire homes. Airbnb has contributed more than ten million bookings worldwide to the sharing economy. This paper discusses the extent to which Airbnb serves as a substitute for hotel bookings. It also discusses the impact of Airbnb on the bottom line of hotel businesses.

On the Airbnb website, users can fill out their profiles by adding information such as their profile picture, location, biography, profession, university attended and the language they speak. Users are also allowed to verify their email addresses and phone numbers with Airbnb. However, address and email details are hidden to other users. Users are allowed to include their Facebook and LinkedIn accounts to their Airbnb profiles. Airbnb has a tradition where users leave comments after they have had their experience.

Therefore, such comments are accompanied by past reviews that the user has received from other hosts and guests.Many changes have occurred in the "sharing economy." The "sharing economy" is where huge proportions of society collaborate in order to use under-utilized inventory through fee-based sharing. Individuals can feed this massive demand by giving short-term rentals of their own vehicles which would otherwise sit idle. They can even rent out extra rooms in their homes or apartments. A new trend is emerging where people can also rent out their pets.

The benefit to consumers is that they get an opportunity to rent goods at a lower cost and lower overhead than they would have incurred if they bought or rented through a traditional provider. The sharing of commodities has been around for a long time.