Examining the sources of pricing power on Airbnb
Bibliographic Data
| ID | 21698463 |
|---|---|
| Authors | Wondwesen Tafesse (0000-0002-1284-7167, United Arab Emirates University, corresponding author), Mumin Dayan (0000-0002-9034-547X, United Arab Emirates University) |
| Year | 2024 |
| Volume | 27 |
| Issue | 15 |
| Pages | 2411-2427 |
| Publication date | 2024-08-02 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Current Issues in Tourism (JOURNAL) |
| Journal identifiers | ISSN: 1368-3500 • E-ISSN: 1747-7603 |
| Publisher | Informa UK Limited (PUBLISHER • GB) |
| DOI | 10.1080/13683500.2023.2228978 |
| OpenAlex | W4382244311 |
| Language | EN |
| Citations received | 2 |
| References cited | 55 |
Pricing power, a firm’s ability to set prices above the competition without tempering demand, is a critical concern for any business. However, it has received little attention in the Airbnb pricing literature, although revenue maximization through effective pricing is a key priority for many Airbnb hosts. The Airbnb pricing literature has mainly examined price differences among diverse Airbnb properties, which fails to capture pricing power, as the properties being compared do not compete for the same guest segments. To address this gap, the present study examines pricing power and its sources on Airbnb. Drawing on the pricing power literature, the study develops a measure of pricing power based on a property’s ability to set prices higher than the average price set by similar properties on Airbnb. Using data from thousands of Airbnb listings in Denver City from 2019 (before the COVID outbreak), the study estimates a model in which a property’s pricing power is regressed on a range of property-, host-, and guest-related factors. The findings show that the most significant drivers of a property’s pricing power are guest capacity (–), competition (–), distance (+), and booking price (+). The study discusses the implications of these findings
Business · Dynamic Pricing · Economics · Industrial organization · Microeconomics · Pricing strategies · Revenue · Revenue management · Variable pricing · Consumer Retail Behavior Studies · Sharing Economy and Platforms · Transportation and Mobility Innovations · Finance
Measuring Brand Equity Across Products and Markets
Why Tourists Choose Airbnb
Progress on Airbnb
If nearly all Airbnb reviews are positive, does that make them meaningless?
Current state and development of Airbnb accommodation offer in 167 countries
Price determinants of sharing economy based accommodation rental
Vader
Pricing in the sharing economy
Hedonic pricing and the sharing economy
The spatial and quality dimensions of Airbnb markets
The Copycat Effect
Airbnb
YouTube marketing
Effects of location on Airbnb apartment pricing in Málaga
Host type and pricing on Airbnb
Determinants of Airbnb prices in European cities
Covid19 and Airbnb – Disrupting the Disruptor
Hedonic Prices and Implicit Markets
Toward a Reconciliation of Market Power and Information Theories of Advertising Effects on Price Elasticity
| Unique citing works | 2 |
|---|---|
| Citations per year | 2 |
| Citation span | 2025 - 2025 (1) |
| Citation velocity | recent |
| Highly cited | No |
| Citation types | Neutral: 2 |