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On the determinants of Airbnb location and its spatial distribution

Author

Listed:
  • Juan L Eugenio-Martin

    (Universidad de Las Palmas de Gran Canaria, Spain)

  • José M Cazorla-Artiles

    (Universidad de Las Palmas de Gran Canaria, Spain)

  • Christian González-Martel

    (Universidad de Las Palmas de Gran Canaria, Spain)

Abstract

This article explores Airbnb accommodation spatial distribution and it estimates the main determinants of its location choice. It employs spatial bivariate correlations and spatial econometrics to understand the heterogeneous spatial relationship between established hotels and Airbnb for three kinds of local tourism destinations: sun and beach, nature-based, and city. The case study concerns the Canary Islands where a good mixture of these attractions can be found. The main conclusion drawn is that Airbnb regulation needs to distinguish the kind of tourism. More precisely, Airbnb supply overlaps established hotels in city tourism, but it does not so clearly in sun and beach nor nature-based destinations. Airbnb supply matches tourist visits spatial distribution better than established hotels in city and nature-based destinations, but not in sun and beach destinations, where the incumbent hotels are closer to the tourism resources. Finally, the results from the spatial econometrics model shows that population size and the number of tourist visits matters as determinants of Airbnb location. However, the main determinant is price, which has got a much larger elasticity.

Suggested Citation

  • Juan L Eugenio-Martin & José M Cazorla-Artiles & Christian González-Martel, 2019. "On the determinants of Airbnb location and its spatial distribution," Tourism Economics, , vol. 25(8), pages 1224-1244, December.
    • Handle: RePEc:sae:toueco:v:25:y:2019:i:8:p:1224-1244
    DOI: 10.1177/1354816618825415
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    Cited by:

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    2. David Boto-García & Veronica Leoni, 2023. "The Economic Value of Coastal Amenities: Evidence from Beach Capitalization Effects in Peer-to-Peer Markets," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 84(2), pages 529-557, February.
    3. Ricardo Teruel-Gutierrez & Mariluz Maté-Sánchez-Val, 2021. "The impact of Instagram on Airbnb’s listing prices in the city of Barcelona," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 67(3), pages 737-763, December.
    4. Juan Luis Jiménez & Armando Ortuño & Jorge V. Pérez-Rodríguez, 2022. "How does AirBnb affect local Spanish tourism markets?," Empirical Economics, Springer, vol. 62(5), pages 2515-2545, May.
    5. Carrasco-Farré, Carlos & Snihur, Yuliya & Berrone, Pascual & Ricart, Joan Enric, 2022. "The stakeholder value proposition of digital platforms in an urban ecosystem," Research Policy, Elsevier, vol. 51(4).
    6. Juan L Eugenio-Martin & Roberto Patuelli, 2022. "Panel data models in tourism research: Innovative applications and methods," Tourism Economics, , vol. 28(5), pages 1348-1354, August.
    7. Augusto Voltes-Dorta & Federico Inchausti-Sintes, 2021. "The spatial and quality dimensions of Airbnb markets," Tourism Economics, , vol. 27(4), pages 688-702, June.
    8. Bozana Zekan & Ulrich Gunter, 2022. "Zooming into Airbnb listings of European cities: Further investigation of the sector’s competitiveness," Tourism Economics, , vol. 28(3), pages 772-794, May.
    9. Ao Sun & Lin Chen & Kunimitsu Yoshida & Meng Qu, 2023. "Spatial Patterns and Determinants of Bed and Breakfasts in the All-for-One Tourism Demonstration Area of China: A Perspective on Urban–Rural Differences," Land, MDPI, vol. 12(9), pages 1-21, September.
    10. Gurran, Nicole & Zhang, Yuting & Shrestha, Pranita, 2020. "‘Pop-up’ tourism or ‘invasion’? Airbnb in coastal Australia," Annals of Tourism Research, Elsevier, vol. 81(C).
    11. Shijie Sun & Shengyue Zhang & Xingjian Wang, 2021. "Characteristics and influencing factors of Airbnb spatial distribution in China’s rapid urbanization process: A case study of Nanjing," PLOS ONE, Public Library of Science, vol. 16(3), pages 1-19, March.
    12. Reif, Julian, 2022. "Hot or not? Räumliche Analyse von Airbnb-Listings in Deutschland, Berlin, Hamburg, München und Köln," Working Paper Series 3, Deutsches Institut für Tourismusforschung, Fachhochschule Westküste.
    13. Laura Serrano & Antonio Sianes & Antonio Ariza-Montes, 2020. "Understanding the Implementation of Airbnb in Urban Contexts: Towards a Categorization of European Cities," Land, MDPI, vol. 9(12), pages 1-21, December.

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