IRMA-International.org: Creator of Knowledge
Information Resources Management Association
Advancing the Concepts & Practices of Information Resources Management in Modern Organizations

The Use of Differential Pricing in Tourism and Hospitality

The Use of Differential Pricing in Tourism and Hospitality
View Sample PDF
Author(s): Aurelio G. Mauri (Università di Lingue e Comunicazione, Italy), Ruggero Sainaghi (Università di Lingue e Comunicazione, Italy) and Giampaolo Viglia (University of Portsmouth, UK)
Copyright: 2019
Pages: 30
Source title: Strategic Perspectives in Destination Marketing
Source Author(s)/Editor(s): Mark Anthony Camilleri (University of Malta, Malta)
DOI: 10.4018/978-1-5225-5835-4.ch005

Purchase

View The Use of Differential Pricing in Tourism and Hospitality on the publisher's website for pricing and purchasing information.

Abstract

Due to the widespread adoption of revenue management strategies within the hospitality business, pricing has become more and more a central topic both for academics and practitioners. In particular, pricing has evolved towards value-based approaches, dynamic and customized through the use of price differentiation. “Rate fences” are the criteria that hotels adopt to separate customer segments whose service values may differ. The purpose of this chapter is to analyze the academic literature as well as the business practices relating to this subject. The authors propose a logical link between rate fences and the hedonic pricing approach. Main topics are 1) rate fence classifications and 2) the effectiveness of rate fences and their impacts on perceptions of fairness. Overall, this contribution suggests that time-based rate fences are fundamental at the destination level, and they are strictly connected to seasonality. Destinations' policymakers and firms can consider strategies and tools for overcoming seasonality, including special events that may take place in a destination.

Related Content

The Business of Tourism: An Introduction
Mark Anthony Camilleri. © 2019. 27 pages.
View Details View Details PDF Full Text View Sample PDF
How Foreign Tourist Intermediaries Perceive and Sell a Destination: The Case of Portugal
Ana Mano Gomes, Rui Augusto da Costa, António Carrizo Moreira. © 2019. 30 pages.
View Details View Details PDF Full Text View Sample PDF
Is the Tourism Destination a Core Attribute in the Choice of Cruise Consumers?
Donata Vianelli, Manuela Valta. © 2019. 23 pages.
View Details View Details PDF Full Text View Sample PDF
Impacts of the Tourist Activity and Citizens' Evaluation About the Necessity for Resting Periods
Jose Maria Martin. © 2019. 32 pages.
View Details View Details PDF Full Text View Sample PDF
The Use of Differential Pricing in Tourism and Hospitality
Aurelio G. Mauri, Ruggero Sainaghi, Giampaolo Viglia. © 2019. 30 pages.
View Details View Details PDF Full Text View Sample PDF
eWOM: The Importance of Reviews and Ratings in Tourism Marketing
Juan Pedro Mellinas, Sofía Reino. © 2019. 31 pages.
View Details View Details PDF Full Text View Sample PDF
Communication Technologies in E-Tourism: A Review of Online Frameworks
Maria Matiatou. © 2019. 24 pages.
View Details View Details PDF Full Text View Sample PDF
Body Bottom