Innovation in Tourism and Hospitality Industries

Innovation in Tourism and Hospitality Industries1
Innovation in Tourism and Hospitality Industries
Name
Course
Instructor
Date

Innovation in Tourism and Hospitality Industries2
INNOVATION IN TOURISM AND HOSPITALITY INDUSTRIES
A. Background
Beside Australia tourism has a critical role in developing most economies around the world.
Therefore developing this sector goes beyond the mere service to the clients; it is also about
creating an environment of innovation to make their services better and preferable. It is of utmost
importance to know how innovation has impacted on the performance of this sensitive sector in
Australia.
The business models alongside innovative technologies have all helped in transforming the
sector. Innovation has brought in new ways of operation. Such items include timing,
organization, and placement of both collective and individual processes that relate to clients.
Research on tourism and hospitality industry has changed demarcation in perspective from the
generic perspective (Coldwell, 2017). From this concept, it is important to note that such form of
service innovation should not be confused with product innovation. In the same perspective, we
shall consider the impact the Airbnb on the hospitality industry (as the pillar of change in tourism
and hospitality in Australia).
Within this research paper, we shall focus on Airbnb’s modernization level in the hospitality
and traveling field. According to Airbnb’s concept of operation, travelers are in a position to
access several hospitality and hotel agencies thus, giving travellers a lot of housing options as
established by Guttentag, (2016, pg.1200). Unlike the older system of service delivery in the
hospitality field, Airbnb (an online platform) ensures that travellers book their own choices of
housing including castles, flats, and even villas in their stay destinations. It is, thus, evident that
the advent of Airbnb has changed the travelling habits of most people. Such is because the

Innovation in Tourism and Hospitality Industries3
process of booking hotel services and housing is more luxurious with Airbnb. In this case, we
shall use Airbnb as a case study to showcase the impacts of innovation in hospitality and tourism
industries particularly in Australia as illuminated by Aznar, (2017, pg.150).
B. Significance