Hello everyone! Welcome back!

In this module, I am going to talk about sharing economy.

Originally, sharing economy means peer-to-peer based sharing of access to goods and
services,
and now it means more likely online marketplace.
As shown in the figure,
sharing economy is an internet-based platform which connects demand and supply
side.
This market has been dramatically growing all over the world for the last 10 years.
In the travel industry, there are a few famous sharing economies based companies.
They are Uber, Lyft, and Airbnb.
And these companies reshaped the hotel and transportation industry.
In this lecture, I will talk about Airbnb as an example of a sharing economy.
This figure shows the number of guests staying in Airbnb during the summer.
The growth of the guests is literally skyrocketed.
And you see in 2015, the number of guests reached 17 million.
This graph clearly shows how fast Airbnb has grown.
And here are other statistics.
The number of Airbnb users is 150 million.
The number of Airbnb hosts is 640,000 all over the world.
And the number of Airbnb listings is 4 million.
This graph shows the market value of hotel companies.
If we consider Airbnb into the hotel industry,
the value of Airbnb ranks second place following Marriott International.
The growth of Airbnb is obviously threatening to the hotel industry,
and competing with Airbnb is the top challenge of the hotel industry.
Then the question is, "who are the main customers of Airbnb? "
60% of Airbnb customers are Millennials, and this is why hotel companies create new
concept hotels
such as Moxy hotel which we learned from the previous slide.
On the other hand, there some challenges of Airbnb.
First of all, it might be illegal in the future.
Taxation will be a critical issue between Airbnb and governments.
Second, public safety and quality control issues,
because each Airbnb is operated by different owners.
And Airbnb doesn’t have trained professionals.
Also, legal liability is challenged as ownership is diluted.
Other challenges are lack of standardized reputation systems,
the privacy of customer data, and security of transactions.
Today, we learn about some trends in tourism and the trends leave some challenges
with the tourism industry.
The first challenge is related to promotion and advertising.
How to stand out from the crowd in such a complex environment is the critical issue
for marketers.
The second challenge is the company or industry’s competence to gain advantages in
the new environment.
Only companies that are well prepared for the dynamic changes will survive.
How to shape human resource strategy is another challenge.
As we learn, generation Y and Z are different from other generational cohorts.
And it is time to rethink how human resource management is coping with their unique
characteristics.
The last challenges are social media strategy and big data analysis.
The importance of social media and big data analysis are increasing
and having professionals who can utilize them is a requirement for the tourism
industry to be successful.
So, we have learned a few key trends in the tourism industry.
Hope you can get some inspirations and idea.
Thank you for watching this lecture, and have a nice day!
Thank you!