Service failure in peer-to-peer accommodation

Abstract

A two-stage study using text-mining and critical incident techniques was conducted to identify the service failure type in peer-to-peer accommodation and recovery strategies adopted to address them. Guests experience new types of service failure in peer-to-peer accommodation compared with traditional accommodations and online travel websites. Four service failure clusters have emerged from negative reviews sourced online: guest-host interaction, customer service, room and amenity, and payment. In-depth interviews further identified three dimensions of service failure, tangible, informational, and relational, with some incidents representing combinations of these dimensions. Service recovery strategies discussed in this study (compensation, substitution, apology, and no actions) are relatively similar to those adopted by hotels. Theoretical and practical implications are also provided.