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An investigation of the determinants of profitability in a short‐stay accommodation market


Marsden, A and Sibly, H, An investigation of the determinants of profitability in a short‐stay accommodation market, Australian Economic Review pp. 1-15. ISSN 0004-9018 (2020) [Refereed Article]

Copyright Statement

Copyright 2020 The University of Melbourne, Melbourne Institute: Applied Economic & Social Research, Faculty of Business and Economics

DOI: doi:10.1111/1467-8462.12395


This paper examines the determinants of the profitability of short‐stay accommodation providers in Tasmania, utilising a survey conducted from July 2007 to June 2008. The survey provides insight into a time when some firms had adopted the 'new' information technologies to make sales while others continued with traditional methods. We find the use of online sales is associated with higher profit. Further profit is higher during summer (high season), for firms with a high star rating and for firms who make a larger proportion of their sales directly to customers, and lower when owner operators are motivated by lifestyle considerations.

Item Details

Item Type:Refereed Article
Keywords:profitability, accommodation services, internet sales
Research Division:Economics
Research Group:Applied economics
Research Field:Industry economics and industrial organisation
Objective Division:Economic Framework
Objective Group:Microeconomics
Objective Field:Industrial organisations
UTAS Author:Marsden, A (Ms Ann Marsden)
UTAS Author:Sibly, H (Dr Hugh Sibly)
ID Code:141490
Year Published:2020
Deposited By:Economics and Finance
Deposited On:2020-10-23
Last Modified:2020-11-18

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