• Open access
  • Published: 25 November 2023

Systematic review and research agenda for the tourism and hospitality sector: co-creation of customer value in the digital age

  • T. D. Dang   ORCID: orcid.org/0000-0003-0930-381X 1 , 2 &
  • M. T. Nguyen 1  

Future Business Journal volume  9 , Article number:  94 ( 2023 ) Cite this article

2779 Accesses

1 Citations

Metrics details

A Correction to this article was published on 07 February 2024

This article has been updated

The tourism and hospitality industries are experiencing transformative shifts driven by the proliferation of digital technologies facilitating real-time customer communication and data collection. This evolution towards customer value co-creation demands a paradigm shift in management attitudes and the adoption of cutting-edge technologies like artificial intelligence (AI) and the Metaverse. A systematic literature review using the PRISMA method investigated the impact of customer value co-creation through the digital age on the tourism and hospitality sector. The primary objective of this review was to examine 27 relevant studies published between 2012 and 2022. Findings reveal that digital technologies, especially AI, Metaverse, and related innovations, significantly enhance value co-creation by allowing for more personalized, immersive, and efficient tourist experiences. Academic insights show the exploration of technology’s role in enhancing travel experiences and ethical concerns, while from a managerial perspective, AI and digital tools can drive industry success through improved customer interactions. As a groundwork for progressive research, the study pinpoints three pivotal focal areas for upcoming inquiries: technological, academic, and managerial. These avenues offer exciting prospects for advancing knowledge and practices, paving the way for transformative changes in the tourism and hospitality sectors.

Introduction

The tourism and hospitality industry is constantly evolving, and the digital age has brought about numerous changes in how businesses operate and interact with their customers [ 1 ]. One such change is the concept of value co-creation, which refers to the collaborative process by which value is created and shared between a business and its customers [ 2 , 3 ]. In order to facilitate the value co-creation process in tourism and hospitality, it is necessary to have adequate technologies in place to enable the participation of all stakeholders, including businesses, consumers, and others [ 4 , 5 ]. Thus, technology serves as a crucial enabler for value co-creation. In the tourism and hospitality industry, leading-edge technology can be crucial in co-creation value processes because it can facilitate the creation and exchange of value among customers and businesses [ 6 , 7 ]. For example, the development of cloud computing and virtual reality technologies has enabled new forms of collaboration and co-creation that were not possible before [ 8 , 9 , 10 ]. Recent technologies like AI, Metaverse, and robots have revolutionized tourism and hospitality [ 11 , 12 , 13 ]. These technologies are used in various ways to enhance the customer experience and drive business success. AI can personalize the customer experience using customer data and personalized recommendations [ 14 ]. It can also optimize operations by automating tasks and improving decision-making. The metaverse, or virtual reality (VR) and augmented reality (AR) technologies, are being used to offer immersive and interactive experiences to customers [ 10 , 11 ]. For example, VR and AR can create virtual tours of hotels and destinations or offer interactive experiences such as virtual cooking classes or wine tastings [ 15 ]. Robots are being used to aid and interact with customers in various settings, including hotels, restaurants, and tourist attractions. For example, robots can provide information, answer questions, and even deliver room services [ 12 , 16 ]. The COVID-19 pandemic has underscored the crucial interplay between public health, sustainable development, and digital innovations [ 17 ]. Globally, the surge in blockchain applications, particularly in the business, marketing and finance sectors, signifies the technological advancements reshaping various industries [ 18 ]. These developments, coupled with integrating digital solutions during the pandemic, highlight the pervasive role of technology across diverse sectors [ 19 , 20 , 21 ]. These insights provide a broader context for our study of the digital transformation in the tourism and hospitality sectors. Adopting new technologies such as AI, the Metaverse, blockchain and robots is helping the tourism and hospitality industry deliver customers a more personalized, convenient, and immersive experience [ 22 ]. As these technologies continue to evolve and become more prevalent, businesses in the industry need to stay up-to-date and consider how they can leverage these technologies to drive success [ 23 , 24 ].

Despite the growing body of literature on customer value co-creation in the tourism and hospitality sector, it remains scattered and fragmented [ 2 , 25 , 26 ]. To consolidate this research and provide a comprehensive summary of the current understanding of the subject, we conducted a systematic literature review using the PRISMA 2020 (“ Preferred Reporting Items for Systematic Reviews and Meta-Analyses ”) approach [ 27 , 28 ]. This systematic review aims to explore three primary areas of inquiry related to the utilization of AI and new technologies in the tourism and hospitality industry: (i) From a technology perspective, what are the main types of AI and latest technologies that have been used to enhance co-creation values in tourism and hospitality?; (ii) From an academic viewpoint—What are the future research directions in this sector?; (iii) From a managerial standpoint—How can these technologies be leveraged to enhance customer experiences and drive business success?. In essence, this study contributes valuable insights into the dynamic realm of customer value co-creation in the digital age within the tourism and hospitality sector. By addressing the research questions and identifying gaps in the literature, our systematic literature review seeks to provide novel perspectives on leveraging technology to foster industry advancements and enhance customer experiences.

The remaining parts of this article are structured in the following sections: “ Study background ” section outlines pertinent background details for our systematic literature review. In “ Methodology ” section details our research objectives, queries, and the systematic literature review protocol we used in our study design. In “ Results ” section offers the findings based on the analyzed primary research studies. Lastly, we conclude the article, discuss the outstanding work, and examine the limitations to the validity of our study in “ Discussion and implications ” section.

Study background

Amidst the COVID-19 pandemic, the tourism sector is experiencing significant transformations. Despite the substantial impact on the tourism industry, the demand for academic publications about tourism remains unabated. In this recovery phase, AI and novel technologies hold immense potential to assist the tourism and hospitality industry by tackling diverse challenges and enhancing overall efficiency. In this section, the study provides some study background for the review processes.

The relationship between tourism and hospitality

Tourism and hospitality are closely related industries, as the hospitality industry plays a crucial role in the tourism industry [ 29 ]. Academics and practitioners often examine tourism and hospitality because they are related industries [ 2 , 30 ]. Hospitality refers to providing travelers and tourists accommodation, food, and other services [ 31 ]. These can include hotels, resorts, restaurants, and other types of establishments that cater to the needs of travelers [ 32 ]. On the other hand, the tourism industry encompasses all the activities and services related to planning, promoting, and facilitating travel [ 31 ]; transportation, tour operators, travel agencies, and other businesses that help facilitate tourist travel experiences [ 33 ]. Both industries rely on each other to thrive, as travelers need places to stay and eat while on vacation, and hospitality businesses rely on tourists for their income [ 32 , 33 , 34 ].

In recent years, the tourism industry has undergone significant changes due to the increasing use of digital technologies, enabling the development of new forms of tourism, such as “smart tourism” [ 8 , 10 ]. Smart tourism refers to using digital technologies to enhance the customer experience and improve the efficiency and effectiveness of the industry [ 1 ]. These technologies, including AI and Metaverse, can be used in various aspects of the tourism industry, such as booking and reservation processes, customer service, and the management of tourist attractions [ 4 , 11 ]. The hospitality industry, which includes hotels and restaurants, is closely linked to the tourism industry and is also adopting intelligent technologies to improve the customer experience and increase efficiency [ 1 , 22 ]. Recent studies have explored the impact of these technologies on the tourism and hospitality sectors and have identified both benefits and challenges for stakeholders [ 10 , 35 , 36 ].

Customer value co-creation in tourism and hospitality

Customer value co-creation in tourism and hospitality refers to the process by which customers and businesses collaborate to create value by exchanging services, information, and experiences [ 2 , 33 ]. This process involves the customer and the business actively creating value rather than simply providing a product or service to the customer [ 37 ]. Studies have found that customer value co-creation in tourism and hospitality can increase customer satisfaction and loyalty [ 2 ]. When customers feel that they can contribute to the value of their experience, they are more likely to feel a sense of ownership and involvement, which can lead to a more positive overall evaluation of the experience [ 5 , 38 ]. In the tourism industry, customer value co-creation can increase satisfaction with the destination, trips, accommodation, services, and overall experiences [ 4 ]. These can be achieved by allowing customers to choose their room amenities or providing opportunities to interact with staff and other guests [ 5 , 39 ]. Customer value co-creation in tourism and hospitality can be a powerful solution for businesses to increase customer satisfaction and loyalty. By actively involving customers in creating value, businesses can create a more personalized and engaging experience for their customers.

AI, Metaverse, and new technologies in tourism and hospitality

The impact of AI, the Metaverse, and new technologies on the tourism and hospitality industries is an area of active research and debate [ 2 , 4 , 29 , 40 ]. First, using AI and new technology in tourism and hospitality can improve the customer experience, increase efficiency, and reduce costs [ 13 , 41 , 42 , 43 ]. For instance, chatbots and virtual assistants facilitate tasks like room bookings or restaurant reservations for customers. Concurrently, machine learning (ML) algorithms offer optimized pricing and marketing strategies and insights into customer perceptions within the tourism and hospitality sectors [ 44 , 45 , 46 , 47 ]. However, there are also concerns about the potential negative impact of AI on employment in the industry [ 48 ]. Second, The emergence of the Metaverse, a virtual shared space where people can interact in real time, can potentially revolutionize the tourism and hospitality industries [ 10 ]. For example, VR and AR experiences could allow travelers to visit and explore destinations without leaving their homes [ 15 , 49 ], while online events and social gatherings could provide new business opportunities to connect with customers [ 11 ]. However, it is unclear how the Metaverse will evolve and its long-term impact on the tourism and hospitality industries [ 4 , 10 , 11 ]. Last, other emerging technologies, such as blockchain, AI-Robotics, and the Internet of Things (IoT), can potentially transform the tourism and hospitality industries [ 18 , 45 , 48 ]. For example, blockchain could be used to secure and track the movement of travel documents [ 18 ], while IoT-enabled devices could improve the efficiency and personalization of the customer experience [ 50 ]. As with AI and the Metaverse, it is difficult to predict the exact impact of these technologies on the industry, but they are likely to play a significant role in shaping its future [ 18 , 40 ]. In the aftermath of the pandemic, the healthcare landscape within the tourism and hospitality sector is undergoing significant transformations driven by the integration of cutting-edge AI and advanced technologies [ 38 , 51 , 52 ]. These technological advancements have paved the way for personalized and seamless experiences for travelers, with AI-powered chatbots playing a pivotal role in addressing medical inquiries and innovative telemedicine solutions ensuring the well-being of tourists [ 52 , 53 ].

This study background provides essential context for the subsequent systematic literature review, as it contextualizes the field’s key concepts, frameworks, and emerging technologies. By examining these aspects, the study aims to contribute valuable insights into the post-pandemic recovery of the tourism and hospitality industry, paving the way for future research opportunities and advancements in the field.

Methodology

This study meticulously adopted a systematic literature review process grounded in a pre-defined review protocol to provide a thorough and objective appraisal [ 54 ]. This approach was geared to eliminate potential bias and uphold the integrity of study findings. The formulation of the review protocol was a collaborative effort facilitated by two researchers. This foundational document encompasses (i) Clear delineation of the study objectives, ensuring alignment with the research aim; (ii) A thorough description of the methods used for data collection and assessment, which underscores the replicability of our process; (iii) A systematic approach for synthesizing and analyzing the selected studies, promoting consistency and transparency.

Guiding the current review process was the PRISMA methodology, a renowned and universally esteemed framework that has set a gold standard for conducting systematic reviews in various scientific disciplines [ 27 , 28 ]. The commendable efficacy of PRISMA in service research substantiates its methodological robustness and reliability [ 55 ]. It is not only the rigorous nature of PRISMA but also its widespread acceptance in service research that accentuates its fittingness for this research. Given tourism and hospitality studies’ intricate and evolving nature, PRISMA is a robust compass to guide our SLR, ensuring methodological transparency and thoroughness [ 56 , 57 ]. In essence, the PRISMA approach does not merely dictate the procedural intricacies of the review but emphasizes clarity, precision, and transparency at every phase. The PRISMA methodology presents the research journey holistically, from its inception to its conclusions, providing readers with a clear and comprehensive understanding of the approach and findings [ 58 ].

Utilizing the goal-question-metrics approach [ 59 ], our study aims to analyze current scientific literature from the perspectives of technicians, researchers, and practitioners to comprehend customer value co-creation through the digital age within the Tourism and Hospitality sector. In order to accomplish this goal, we formulated the following research questions:

What are the main types of AI and new technologies used to enhance value co-creation in the tourism and hospitality industries?

What are the future research directions in customer value co-creation through AI and new technologies in the tourism and hospitality sector?

How do managers in the tourism and hospitality sector apply AI and new technologies to enhance customer co-creation value and drive business success?

The subsequent subsections will provide further details regarding our search and analysis strategies.

Search strategy and selection criteria

We collected our data by searching for papers in the Scopus and Web of Science databases, adhering to rigorous scientific standards. We included only international peer-reviewed academic journal articles, excluding publications like books, book chapters, and conference proceedings [ 60 , 61 , 62 ]. The research process covered the period from 2009 to 2022, as this timeframe aligns with the publication of the first studies on value co-creation in the tourism industry in 2009 and the first two studies on value co-creation in general in 2004 [ 63 , 64 ]. The selection of sources was based on criteria such as timelines, availability, quality, and versatility, as discussed by Dieste et al. [ 2 ]. We employed relevant keywords, synonyms, and truncations for three main concepts: tourism and hospitality, customer value co-creation, and AI and new technologies in smart tourism and hospitality. To ensure transparency and comprehensiveness, we followed the PRISMA inclusion criteria, detailed in Table 1 , and utilized topic and Boolean/phrase search modes to retrieve papers published from 2009 to 2022. The final search string underwent validation by experts to ensure accuracy and comprehensiveness:

A PRISMA diagram was produced to understand better this study’s search strategy and record selection.

Study selection and analysis procedure

The current study utilized the PRISMA framework to document our review process. One hundred two papers were retrieved during the initial search across the databases. Table 1 outlines the criteria for selecting the studies based on scope and quality. The study adhered to the PRISMA procedure (as shown in Fig.  1 ) and applied the following filters:

We identified and removed 17 duplicate records during the ‘identification’ step.

We excluded 27 publications in the ‘Screening’ step based on the title and abstract.

We excluded 31 publications based on the entire text in the eligibility step.

figure 1

PRISMA flow diagram

As a result, we were left with a final collection of 27 journal articles for downloading and analysis. Two trained research assistants conducted title and abstract screenings separately, and any disagreements about inclusion were resolved by discussing them with the research coordinator until an agreement was reached. Papers not in English, papers from meetings, books, editorials, news, reports, and patents were excluded, as well as unrelated or incomplete papers and studies that did not focus on the tourism and hospitality domain. A manual search of the reference lists of each paper was conducted to identify relevant papers that were not found in the database searches. After this process, 27 papers were left for a full-text review.

This study used the Mixed Methods Appraisal Tool (MMAT) to evaluate the quality of qualitative, quantitative, and mixed methods research studies included [ 65 , 66 ]. According to the findings, the quality of the study met the standards of a systematic review. Additional information can be obtained from Additional file 1 : Appendix 1.

In this section, we will report the results of our data analysis for each research question. We will begin by describing the characteristics of the studies included in the systematic literature review, such as (1) publication authors, titles, years and journals, topics, methods, and tools used in existing studies. Then each facet was elaborated by the following questions: (i) What are the main types of AI and new technologies used to enhance value co-creation in the tourism and hospitality industries? (ii) What are the future research directions in customer value co-creation through AI and new technologies in the tourism and hospitality sector? (iii) How do managers in the tourism and hospitality sector apply AI and new technologies to enhance customer co-creation value and drive business success?

Studies demographics

Figure  2 shows the yearly publication of articles on customer co-creation of value in tourism and hospitality through AI and new technologies. The chart’s data suggests two main findings. Firstly, the research on customer value co-creation in tourism and hospitality through AI and new technologies is still in its early stages (1 paper in 2012). However, the annual number of published articles from 2017 to the present appears to be generally increasing. This trend implies that the application of value co-creation in this field is gaining academic attention and is becoming an emerging research area. Based on this trend, we anticipate seeing more studies on this topic published in the following years.

figure 2

Publication Years with research methods

Regarding research type, 14 papers (52%) conducted quantitative research, employing statistical analysis, structural equation modeling, and data mining methods. Meanwhile, 11 papers (41%) conducted qualitative research using interviews, thematic analysis, and descriptive analysis. Only two papers (7%) used mixed research (combining quantitative and qualitative methods). The survey and interview methods (both individual and group) were found to be more common than other research methods. This suggests that interviews provide greater insight into participant attitudes and motivations, enhancing accuracy in quantitative and qualitative studies. Additionally, certain studies employed content analysis, big data analysis using UGC, and data from online platforms, social media, and big data.

Regarding the publishing journals, we found that 27 papers were published in 22 journals (refer to Table 2 ), where three journals had more than one paper on co-creation value through AI and new technologies in tourism and hospitality, indicating their keen interest in this topic. Most publications were in the Journal of Business Research, with four studies on co-creation value through AI and new technologies in tourism and hospitality. Two related studies were published in the Tourism Management Perspectives and Journal of Destination Marketing & Management. This distribution indicates that most current research on co-creation value through AI and new technologies in tourism and hospitality was published in journals in the tourism and hospitality management field. However, some journals in the computer and AI field have also published papers on co-creation value through AI and new technologies in tourism and hospitality, including Computers in Industry, Computers in Human Behavior, Computational Intelligence, and Neuroscience.

Regarding data analytics tools, SmartPLS, AMOS, NVivo and PROCESS tools are the 5 most popular software graphic tools used in studies, while Python and R are the two main types of programming languages used. In total, 27 studies, 14 refer to using AI applications and data analytics in this research flow. Metaverse and relative technologies such as AR and VR were included in 8 studies. Three studies used service robots to discover the value co-creation process. There are include two studies that have used chatbots and virtual assistants.

Publication years and journals

In recent systematic literature reviews focusing on general services, tourism, and hospitality, there has been a notable emphasis on traditional factors shaping customer experience [ 26 , 67 , 68 ]. However, this study uniquely positions itself by emphasizing the digital age’s profound impact on value co-creation within this sector. The subsequent part digs more into the specifics of this study, building on these parallels. The detailed findings offer nuanced insights into how value co-creation in tourism and hospitality has evolved, providing a more extensive understanding than previous works.

Result 1—technology viewpoints: What are the main types of AI and new technologies used to enhance value co-creation in the tourism and hospitality industries?

Several types of AI and new technologies have been used to enhance co-creation values in the tourism and hospitality industry. Nowadays, AI, ML, and deep learning can all be used to enhance customer value co-creation in the tourism and hospitality industry [ 42 , 69 , 70 ]. There are some AI applications identified through the review process:

First, personalization and customized recommendations: AI and ML can be used to analyze customer data, such as their past bookings, preferences, and reviews, to personalize recommendations and experiences for them [ 7 , 69 , 71 , 72 ]. Cuomo et al. examine how data analytics techniques, including AI and ML, can improve traveler experience in transportation services. Applying AI and ML can help customers discover new experiences and activities they may not have considered otherwise [ 13 ]. Relating to data mining applications, Ngamsirijit examines how data mining can be used to create value in creative tourism. Moreover, the study also discusses the need for co-creation to create a successful customer experience in creative tourism and ways data mining can enhance the customer experience [ 73 ].

Second, user-generated content and sentiment analysis: ML and Natural Language Processing (NLP) can be used to analyze user-generated content such as reviews and social media posts to understand customer needs and preferences [ 12 , 37 ]. This can help businesses identify opportunities to create customer value [ 74 ]. NLP can analyze customer reviews and feedback to understand the overall sentiment toward a hotel or destination [ 75 ]. This can help businesses identify areas for improvement and create a better customer experience [ 70 ]. In the study using NLP to analyze data from Twitter, Liu et al. examine the impact of luxury brands’ social media marketing on customer engagement. The authors discuss how big data analytics and NLP can be used to analyze customer conversations and extract valuable insights about customer preferences and behaviors [ 74 ].

Third, recent deep learning has developed novel models that create business value by forecasting some parameters and promoting better offerings to tourists [ 71 ]. Deep learning can analyze large amounts of data and make more accurate predictions or decisions [ 39 , 41 ]. For example, a deep learning model could predict the likelihood of a customer returning to a hotel based on their past bookings and interactions with the hotel [ 72 ].

Some applications of the latest technologies that have been used to enhance co-creation values in tourism and hospitality include

Firstly, Chatbots and virtual assistants can enhance customer value co-creation in the tourism and hospitality industry in several ways: (i) Improved customer service: Chatbots and virtual assistants can be used to answer customer questions, provide information, and assist with tasks such as booking a room or making a reservation [ 45 ]. These tools can save customers and staff time and improve customer experience [ 76 ]; (ii) Increased convenience: Chatbots and virtual assistants can be accessed 24/7, meaning customers can get help or assistance anytime [ 50 ]. These tools can be handy for traveling customers with questions or who need assistance outside regular business hours [ 44 ]; (iii) Personalization: Chatbots and virtual assistants can use natural language processing (NLP) to understand and respond to customer inquiries in a more personalized way [ 45 , 70 ]. This can help improve the customer experience and create a more favorable impression of the business. Moreover, this can save costs and improve customers [ 16 ].

Secondly, metaverse technologies can enhance customer value co-creation in the tourism and hospitality industry in several ways: (i) Virtual tours and experiences: Metaverse technologies can offer virtual tours and experiences to customers, allowing them to visit and explore destinations remotely [ 77 ]. This technology can be beneficial for customers who are unable to travel due to pandemics or who want to preview a destination before deciding to visit in person [ 49 ]; (ii) Virtual events: Metaverse technologies can be used to host virtual events, such as conferences, workshops, or trade shows, which can be attended by customers from anywhere in the world [ 9 ]. This can save time and money for businesses and customers and increase the reach and impact of events; (iii) Virtual customer service: Metaverse technologies can offer virtual customer service, allowing customers to interact with businesses in a virtual setting [ 25 ]. This can be especially useful for customers who prefer to communicate online or in remote areas; (iv) Virtual training and education : Metaverse technologies can offer virtual training and education to employees and customers [ 41 ]. Metaverse can be an effective and convenient way to deliver training and can save time and money for both businesses and customers [ 7 ]; (v) Virtual reality (VR) experiences: Metaverse technologies can be used to offer VR experiences to customers, allowing them to immerse themselves in virtual environments and participate in activities that would be difficult or impossible to do in the real world [ 77 ]. This can enhance the customer experience and create new business opportunities to offer unique and memorable experiences [ 71 ].

Thirdly, IoT and robots can enhance customer value co-creation in the tourism and hospitality sector in several ways: (i) One way is by providing personalized and convenient customer experiences [ 12 ]. For example, hotels can use IoT-enabled devices to allow guests to control the temperature and lighting in their rooms, as well as access hotel amenities such as room service and concierge services [ 50 ]; (ii) In addition, robots can be used to provide assistance and enhance the customer experience in various ways [ 16 , 40 ]. For example, robots can be used to deliver items to guest rooms, assist with check-in and check-out processes, and provide information and directions to guests [ 12 ]; (iii) Both IoT and robots can be used to gather customer feedback and data in real-time, which can help to improve the quality and effectiveness of tourism and hospitality services [ 76 ]. For example, hotels can use IoT-enabled devices to gather data on guest preferences and needs, which can be used to tailor services and experiences to individual customers. This can help to improve customer satisfaction and loyalty [ 76 ]. Overall, using IoT and robots in the tourism and hospitality sector can help improve the industry’s efficiency and effectiveness and enhance the customer experience.

Result 2—academic viewpoints: What are the future research directions in customer value co-creation through AI and new technologies in the tourism and hospitality sector?

From an academic perspective, there are several potential future research directions in customer value co-creation through the digital age in the tourism and hospitality sector. Some possibilities include: (1) Understanding how different technologies and platforms facilitate co-creation: Researchers could investigate how different technologies and platforms, such as social media, mobile apps, or virtual reality, enable or inhibit co-creation in the tourism and hospitality industry; (2) Investigating the impact of co-creation on business performance: Researchers could examine the relationship between co-creation and business performance in the tourism and hospitality sector and identify the factors that drive success in co-creation initiatives; (3) Investigating the impact of AI and automation on co-creation: As AI and automation technologies become more prevalent in the industry, research could focus on the impact these technologies have on co-creation and value creation, including the potential for AI to facilitate or hinder co-creation; (4) Investigating the impact of the Metaverse on customer behaviour: Research could focus on understanding how the Metaverse affects customer behaviour and decision-making, and how companies can use this information to facilitate co-creation and value creation [ 9 ]; (5) Analysing the use of social media and other digital platforms for co-creation: Researchers could study how companies in the tourism and hospitality sector use social media and other digital platforms to facilitate co-creation with customers, and the impact that these platforms have on value creation [ 7 , 45 , 78 ]. Researchers could investigate how social interactions and communities in the Metaverse enable or inhibit co-creation in the tourism and hospitality industry and the impact on customer satisfaction and loyalty; (6) Examining the ethical implications of the Metaverse and AI: Researchers could explore the ethical considerations surrounding the use of the Metaverse and AI in the tourism and hospitality sector, such as issues related to privacy and data security, and the potential for these technologies to perpetuate or exacerbate societal inequalities [ 48 , 75 , 77 ].

Result 3—Management viewpoints: How do managers in the tourism and hospitality sector apply AI and new technologies to enhance customer co-creation value and drive business success?

There are several ways managers in the tourism and hospitality industry can apply AI and new technologies to enhance customer experiences and drive business success. We suggest four main possibilities: (1) Implementing chatbots or virtual assistants to encourage customer co-creation: Managers can use chatbots or virtual assistants to provide quick and convenient customer service, helping businesses respond to customer inquiries and resolve issues more efficiently [ 76 ]. Then, encourage customer co-creation by inviting customers to participate in the creation of new experiences and products by gathering feedback and ideas through online forums and focus groups [ 45 ]. This can help build a sense of community and engagement and can also lead to the development of new, innovative products and experiences that will attract more customers [ 50 , 79 ]; (2) Leveraging personalization technologies and using predictive analytics: Managers can use AI-powered personalization technologies to analyze customer data and preferences and offer personalized recommendations and experiences [ 42 , 72 , 80 ]. This can help businesses better understand and anticipate customer needs and create more tailored and satisfying experiences that drive co-creation value. Managers can leverage AI-powered predictive analytics technologies to analyze data and predict future customer behavior or trends [ 75 ]. This can help businesses anticipate customer needs and make informed decisions about resource allocation and planning, enhancing co-creation value. Managers can use personalization technologies and predictive analytics to analyze customer feedback and identify areas for improvement [ 37 ]. These can help businesses better understand customer needs and preferences and create more satisfying and valuable experiences that drive co-creation value [ 7 , 36 , 41 ]; (3) Using the Metaverse to facilitate co-creation: Managers can leverage the Metaverse to allow customers to design and customize their own experiences, which can help create value in collaboration with customers [ 25 , 71 , 77 ]. Managers can use VR and AR technologies to create immersive and interactive customer experiences in the Metaverse [ 81 ]. This can help businesses differentiate themselves and stand out in a competitive market. Managers can use data analysis tools to understand how customers behave in the Metaverse and use this information to create more personalized and satisfying experiences [ 9 ]. Managers can leverage the Metaverse to facilitate co-creation with customers, for example, by enabling customers to design and customize their own experiences [ 49 , 81 ]. This can help businesses create value in collaboration with customers; (4) Integrating AI-robotics into operations to support value co-creation: Analyse your business processes to identify tasks that can be automated using AI-powered robotics, such as check-in and check-out, room service, or concierge services [ 12 , 82 ]. Managers can consider using AI-powered robots for tasks such as check-in and check-out or for delivering amenities to guests. Use AI and the latest technologies to streamline the booking and check-in process, making it faster and more convenient for customers [ 16 ]. This can include using virtual assistants to handle booking inquiries or facial recognition technology to allow customers to check in at their hotel simply by showing their faces. These can help businesses reduce labor costs and improve efficiency, enhancing co-creation value [ 16 ]. We summarize three viewpoints in Fig.  3 below.

figure 3

Summary of value co-creation through the Digital Age in Tourism and Hospitality

Combining these three viewpoints as a research agenda for tourism and hospitality in the AI and digital age holds immense potential. It addresses critical aspects such as customer experience enhancement, leveraging customer-generated content, and exploring cutting-edge technologies to create value co-creation opportunities. Researching these areas allows the industry to stay at the forefront of the digital revolution and deliver exceptional customer experiences that drive business success in the next few years.

Discussion and implications

This study aimed to develop a systematic literature review of customer value co-creation in the hospitality and tourism industry using the PRISMA protocol [ 27 ]. The study findings highlighted that tourism and hospitality should take advantage of AI and new technologies, as it brings significant advantages. Value co-creation in the tourism and hospitality sector refers to creating value through the collaboration and participation of multiple stakeholders, including tourists, employees, and the industry [ 2 ]. AI, Metaverse, and other new technologies can significantly enhance value co-creation in this sector by enabling more personalized, immersive, and efficient tourist experiences [ 40 , 80 , 81 ].

From a technology viewpoint, the study reveals that manifestations of customer value co-creation through the digital age are related to AI and the latest technologies such as Metaverse, robots, IoT, chatbots, intelligence systems, and others that shape co-creation [ 42 ]. AI applications and new technologies can help shape customer value co-creation in this sector. AI can follow the rules, think like an expert, learn from data, and even create virtual and augmented reality experiences [ 4 , 10 ]. Chatbots, personalization, predictive analytics, and robotics are examples of how AI and technology can create unique and fun travel experiences [ 16 , 40 , 74 , 83 ].

From an academic viewpoint, researchers look at ways technology can help people enjoy their travels and stay in hotels by boosting the value co-creation process [ 2 ]. They are looking at how different technologies, like social media, can help people create value for themselves and others [ 45 , 84 ]. They are also looking at how AI and the virtual world can change people’s decisions and how companies can use this information to help people [ 77 , 80 ]. Finally, researchers are looking into the ethical issues of using technology in tourism and hospitality [ 48 , 75 , 77 ].

From the manager’s viewpoint, managers in the tourism and hospitality industry can use AI and new technologies to create better customer experiences and drive success [ 70 , 80 ]. These can include using chatbots or virtual assistants to help customers and get their feedback [ 50 , 76 ], using personalization technologies to understand customer needs [ 69 ], using the Metaverse to have customers design their own experiences [ 10 ], and using AI-robotics to automate tasks [ 16 , 82 ].

In light of the findings from this systematic literature review, policymakers in the tourism and hospitality sectors must revisit and revitalize current strategies. Embracing digital age technologies, especially AI and metaverse tools, can significantly enhance customer value co-creation. This necessitates targeted investments in technology upgradation, capacity-building, and skilling initiatives. While the initial resource allocation may appear substantial, the long-term returns regarding elevated customer satisfaction, increased tourism inflow, and industry-wide growth are undeniable. Policymakers must ensure a collaborative approach, engaging stakeholders across the value chain for streamlined adoption and implementation of these advancements.

Overall, the use of AI, Metaverse, and other new technologies can significantly enhance co-creation value in the tourism and hospitality sector by enabling more personalized, immersive, and efficient experiences for tourists and improving the efficiency and effectiveness of the industry as a whole [ 15 ].

Theoretical implications

The systematic literature review using the PRISMA method on customer value co-creation through the digital age in the tourism and hospitality sector has several theoretical implications.

First, this research paper addresses earlier suggestions that emphasize the significance of further exploring investigations on customer value co-creation in the hospitality and tourism sector [ 2 , 85 ].

Second, the review highlights the importance of adopting a customer-centric approach in the tourism and hospitality industry, in which customers’ needs and preferences are central to the design and delivery of services [ 35 , 86 ]. This shift towards customer value co-creation is driven by the increasing use of digital technologies, such as the IoT, AI, and ML, which enable real-time communication and data gathering from customers [ 1 , 40 ].

Third, the review highlights the role of digital technologies in enabling personalized and convenient customer experiences, which can help improve satisfaction and loyalty [ 87 ]. Using AI-powered chatbots and personalized recommendations based on customer data can enhance the customer experience, while using IoT-enabled devices can allow guests to control and access hotel amenities conveniently [ 12 ].

Fourth, the review suggests that adopting digital technologies in the tourism and hospitality sector can increase the industry’s efficiency and effectiveness [ 88 ]. Businesses use ML algorithms to automate tasks and analyze customer data, which can help streamline processes and identify areas for improvement [ 39 , 80 ].

Overall, the systematic literature review using the PRISMA method sheds light on adopting a customer-centric approach and leveraging digital technologies for customer value co-creation in tourism and hospitality. Over the next five years, researchers should focus on exploring the potential of emerging technologies, developing conceptual frameworks, and conducting applied research to drive meaningful transformations in the industry. By aligning strategies with these implications, organizations can thrive in the dynamic digital landscape and deliver exceptional customer experiences, ultimately contributing to their success and competitiveness in the market [ 2 , 4 , 15 , 29 , 33 , 89 ].

Practical implications

The systematic literature review using the PRISMA method on customer value co-creation through the digital age in the tourism and hospitality sector has several management implications for organizations in this industry.

First, the review suggests that adopting a customer-centric approach, in which customers’ needs and preferences are central to the design and delivery of services, is crucial for success in the digital age [ 40 , 86 ]. Therefore, managers should focus on understanding and meeting the needs and preferences of their customers and consider how digital technologies can be leveraged to enable real-time communication and data gathering from customers [ 15 , 80 ].

Second, the review highlights the importance of using digital technologies like the IoT, AI, and ML to enable personalized and convenient customer experiences [ 40 , 50 ]. Managers should consider how these technologies can enhance the customer experience and improve satisfaction and loyalty [ 36 , 39 ].

Third, the review suggests that adopting digital technologies in the tourism and hospitality sector can lead to increased efficiency and effectiveness in the industry [ 7 , 16 ]. Therefore, managers should consider how these technologies can streamline processes and identify areas for improvement [ 42 ]. Further, regarding privacy concerns, managers must spend enough resources to secure their customers’ data to help boost the customer value co-creation process [ 48 , 77 ].

Fourth, policymakers can foster an environment conducive to value co-creation by incorporating customer-centric strategies and leveraging digital technologies. Effective policies can enhance customer experiences, promote sustainable growth, and drive economic development, ensuring a thriving and competitive industry in the digital age.

The practical implications of applying AI and new technology for managerial decision-making in the tourism and hospitality industry are vast and promising [ 90 ]. Managers can navigate the dynamic digital landscape and drive meaningful co-creation with customers by embracing a customer-centric approach, leveraging personalized technologies, addressing efficiency and data security considerations, and strategically adopting AI-powered tools. By staying abreast of technological advancements and harnessing their potential, businesses can thrive in the next five years and beyond, delivering exceptional customer experiences and enhancing value co-creation in the industry.

Limitations and future research

The research, anchored in the PRISMA methodology, significantly enhances the comprehension of customer value co-creation within the digital ambit of the tourism and hospitality sectors. However, it is essential to underscore certain inherent limitations. Firstly, there might be publication and language biases, given that the criteria could inadvertently favor studies in specific languages, potentially sidelining seminal insights from non-English or lesser-known publications [ 91 ]. Secondly, the adopted search strategy, governed by the choice of keywords, databases, and inclusion/exclusion guidelines, might have omitted pertinent literature, impacting the review’s comprehensiveness [ 57 ]. Furthermore, the heterogeneous nature of the studies can challenge the synthesized results’ generalizability. Finally, the swiftly evolving domain of this research underscores the ephemeral nature of the findings.

In light of these limitations, several recommendations can guide subsequent research endeavors. Scholars are encouraged to employ a more expansive and diverse sampling of studies to curtail potential biases. With the digital technology landscape in constant flux, it becomes imperative to delve into a broader spectrum of innovations to discern their prospective roles in customer value co-creation [ 18 ]. Additionally, varied search strategies encompassing multiple databases can lend a more holistic and inclusive character to systematic reviews [ 27 ]. Moreover, future research could investigate the interplay between political dynamics and the integration of novel technologies, enriching the understanding of value co-creation in a broader socio-political context. Lastly, integrating sensitivity analyses can ascertain the findings’ robustness, ensuring the conclusions remain consistent across diverse search paradigms, thereby refining the review’s overall rigor.

In conclusion, this review highlights the pivotal role of digital technologies in customer value co-creation within the tourism and hospitality sectors. New AI, blockchain and IoT technology applications enable real-time communication and personalized experiences, enhancing customer satisfaction and loyalty. Metaverse technologies offer exciting opportunities for immersive interactions and virtual events. However, privacy and data security challenges must be addressed. This study proposed a comprehensive research agenda addressing theoretical, practical, and technological implications. Future studies should aim to bridge research gaps, investigate the impact of co-creation on various stakeholders, and explore a more comprehensive array of digital technologies in the tourism and hospitality sectors. This study’s findings provide valuable insights for fostering innovation and sustainable growth in the industry’s digital age. Despite the valuable insights gained, we acknowledge certain limitations, including potential biases in the search strategy, which underscore the need for more inclusive and diverse samples in future research.

Availability of data and materials

The review included a total of 27 studies published between 2012 and 2022.

Change history

07 february 2024.

A Correction to this paper has been published: https://doi.org/10.1186/s43093-023-00293-2

Abbreviations

  • Artificial intelligence

Augmented reality

Internet of Things

Machine learning

Preferred Reporting Items for Systematic Reviews and Meta-Analyses

Virtual reality

Pencarelli T (2020) The digital revolution in the travel and tourism industry. J Hosp Tour Insights 22(3):455–476

Google Scholar  

Carvalho P, Alves H (2022) Customer value co-creation in the hospitality and tourism industry: a systematic literature review. Int J Contemp Hosp Manag 35(1):250–273

Aman J, Abbas J, Mahmood S, Nurunnabi M, Bano S (2019) The influence of Islamic religiosity on the perceived socio-cultural impact of sustainable tourism development in Pakistan: a structural equation modeling approach. Sustainability 11(11):3039

Buhalis D, Lin MS, Leung D (2022) Metaverse as a driver for customer experience and value co-creation: implications for hospitality and tourism management and marketing. Int J Contemp Hosp Manag 35(2):701–716

Grissemann US, Stokburger-Sauer NE (2012) Customer co-creation of travel services: the role of company support and customer satisfaction with the co-creation performance. Tour Manag 33(6):1483–1492

Pham LH, Woyo E, Pham TH, Dao TXT (2022) Value co-creation and destination brand equity: understanding the role of social commerce information sharing. J Hosp Tour Insights

Troisi O, Grimaldi M, Monda A (2019) Managing smart service ecosystems through technology: how ICTs enable value cocreation. Tour Anal 24(3):377–393

Buonincontri P, Micera R (2016) The experience co-creation in smart tourism destinations: a multiple case analysis of European destinations. J Hosp Tour Insights 16(3):285–315

Jung TH, tom Dieck MC (2017) Augmented reality, virtual reality and 3D printing for the co-creation of value for the visitor experience at cultural heritage places. J Place Manag Dev 10:140–151

Koo C, Kwon J, Chung N, Kim J (2022) Metaverse tourism: conceptual framework and research propositions. Curr Issues Tour 1–7

Dwivedi YK et al (2022) Metaverse beyond the hype: Multidisciplinary perspectives on emerging challenges, opportunities, and agenda for research, practice and policy. Int J Inf Manag 66:102542

Zhang X, Balaji M, Jiang Y (2022) Robots at your service: value facilitation and value co-creation in restaurants. Int J Contemp Hosp Manag 34(5):2004–2025

Neuhofer B, Magnus B, Celuch K (2021) The impact of artificial intelligence on event experiences: a scenario technique approach. Electron Mark 31(3):601–617

Balsalobre-Lorente D, Abbas J, He C, Pilař L, Shah SAR (2023) Tourism, urbanization and natural resources rents matter for environmental sustainability: the leading role of AI and ICT on sustainable development goals in the digital era. Resour Pol 82:103445

Zhu J, Cheng M (2022) The rise of a new form of virtual tour: Airbnb peer-to-peer online experience. Curr Issues Tour 25(22):3565–3570

Xie L, Liu C, Li D (2022) Proactivity or passivity? An investigation of the effect of service robots’ proactive behaviour on customer co-creation intention. Int J Hosp Manag 106:103271

Wang Q, Huang R (2021) The impact of COVID-19 pandemic on sustainable development goals—a survey. Environ Res 202:111637

CAS   PubMed   PubMed Central   Google Scholar  

Önder I, Gunter U (2022) Blockchain: Is it the future for the tourism and hospitality industry? Tourism Econ 28(2):291–299

Wang Q, Su M (2020) Integrating blockchain technology into the energy sector—from theory of blockchain to research and application of energy blockchain. Comput Sci Rev 37:100275

Wang Q, Li R, Zhan L (2021) Blockchain technology in the energy sector: from basic research to real world applications. Comput Sci Rev 39:100362

CAS   Google Scholar  

Wang Q, Su M, Zhang M, Li R (2021) Integrating digital technologies and public health to fight Covid-19 pandemic: key technologies, applications, challenges and outlook of digital healthcare. Int J Environ Res Public Health 18(11):6053

Abbas J, Mubeen R, Iorember PT, Raza S, Mamirkulova G (2021) Exploring the impact of COVID-19 on tourism: transformational potential and implications for a sustainable recovery of the travel and leisure industry. Curr Res Behav Sci 2:100033

PubMed Central   Google Scholar  

Elkhwesky Z, El Manzani Y, Elbayoumi Salem I (2022) Driving hospitality and tourism to foster sustainable innovation: a systematic review of COVID-19-related studies and practical implications in the digital era. Tour Hosp Res 14673584221126792

Shah SAR, Zhang Q, Abbas J, Balsalobre-Lorente D, Pilař L (2023) Technology, urbanization and natural gas supply matter for carbon neutrality: a new evidence of environmental sustainability under the prism of COP26. Resour Pol 82:103465

Ahmed KE-S, Ambika A, Belk R (2022) Augmented reality magic mirror in the service sector: experiential consumption and the self. J Serv Manag

Doran A, Pomfret G, Adu-Ampong EA (2022) Mind the gap: a systematic review of the knowledge contribution claims in adventure tourism research. J Hosp Tour Manag 51:238–251

Page MJ et al (2021) The PRISMA 2020 statement: an updated guideline for reporting systematic reviews. Syst Rev 10(1):1–11

Moher D, Liberati A, Tetzlaff J, Altman DG, P. Group* (2009) Preferred reporting items for systematic reviews and meta-analyses: the PRISMA statement. Ann Intern Med 151(4):264–269

So KKF, Li X, Kim H (2020) A decade of customer engagement research in hospitality and tourism: a systematic review and research agenda. J Hosp Tour 44(2):178–200

Han H (2021) Consumer behavior and environmental sustainability in tourism and hospitality: a review of theories, concepts, and latest research. J Sustain Tour 29(7):1021–1042

Medlik S (2012) Dictionary of travel, tourism and hospitality. Routledge

Reisinger Y, Kandampully J, Mok C (2001) Concepts of tourism, hospitality, and leisure services. Service quality management in hospitality, tourism, and leisure, pp 1–14

Binkhorst E, Den Dekker T (2013) Agenda for co-creation tourism experience research. In: Marketing of tourism experiences, Routledge, 219–235

Abbas J, Al-Sulaiti K, Lorente DB, Shah SAR, Shahzad U (2022) Reset the industry redux through corporate social responsibility: the COVID-19 tourism impact on hospitality firms through business model innovation. In: Economic growth and environmental quality in a post-pandemic world, Routledge, pp 177–201

Buhalis D, Harwood T, Bogicevic V, Viglia G, Beldona S, Hofacker C (2019) Technological disruptions in services: lessons from tourism and hospitality. J Serv Manag 30:484–506

Sengupta P, Biswas B, Kumar A, Shankar R, Gupta S (2021) Examining the predictors of successful Airbnb bookings with Hurdle models: evidence from Europe, Australia, USA and Asia-Pacific cities. J Bus Res 137:538–554

Gonzalez-Rodriguez MR, Díaz-Fernández MC, Bilgihan A, Shi F, Okumus F (2021) UGC involvement, motivation and personality: comparison between China and Spain. J Dest Mark Manag 19:100543

Abbas J (2020) The impact of coronavirus (SARS-CoV2) epidemic on individuals mental health: the protective measures of Pakistan in managing and sustaining transmissible disease. Psychiatr Danub 32(3–4):472–477

CAS   PubMed   Google Scholar  

Neuhofer B, Buhalis D, Ladkin A (2014) A typology of technology-enhanced tourism experiences. Int J Tour Res 16(4):340–350

Samala N, Katkam BS, Bellamkonda RS, Rodriguez RV (2020) Impact of AI and robotics in the tourism sector: a critical insight. J Tour Futures 8(1):73–87

De Carlo M, Ferilli G, d’Angella F, Buscema M (2021) Artificial intelligence to design collaborative strategy: An application to urban destinations. J Bus Res 129:936–948

Grundner L, Neuhofer B (2021) The bright and dark sides of artificial intelligence: a futures perspective on tourist destination experiences. J Dest Mark Manag 19:100511

Al-Sulaiti I (2022) Mega shopping malls technology-enabled facilities, destination image, tourists’ behavior and revisit intentions: implications of the SOR theory. Front Environ Sci 1295

Alimamy S, Gnoth J (2022) I want it my way! The effect of perceptions of personalization through augmented reality and online shopping on customer intentions to co-create value. Comput Hum Behav 128:107105

Lee M, Hong JH, Chung S, Back K-J (2021) Exploring the roles of DMO’s social media efforts and information richness on customer engagement: empirical analysis on Facebook event pages. J Travel Res 60(3):670–686

Abaalzamat KH, Al-Sulaiti KI, Alzboun NM, Khawaldah HA (2021) The role of Katara cultural village in enhancing and marketing the image of Qatar: evidence from TripAdvisor. SAGE Open 11(2):21582440211022736

Al-Sulaiti KI, Abaalzamat KH, Khawaldah H, Alzboun N (2021) Evaluation of Katara cultural village events and services: a visitors’ perspective. Event Manag 25(6):653–664

Khaliq A, Waqas A, Nisar QA, Haider S, Asghar Z (2022) Application of AI and robotics in hospitality sector: a resource gain and resource loss perspective. Technol Soc 68:101807

Yin CZY, Jung T, Tom Dieck MC, Lee MY (2021) Mobile augmented reality heritage applications: meeting the needs of heritage tourists. Sustainability 13(5):1–18

Buhalis D, Moldavska I (2021) Voice assistants in hospitality: using artificial intelligence for customer service. J Hosp Tour Technol 13(3):386–403

Abbas J (2021) Gestión de crisis, desafíos y oportunidades sanitarios transnacionales: la intersección de la pandemia de COVID-19 y la salud mental global. Investigación en globalización, 3 (2021), 1–7

Micah AE et al (2023) Global investments in pandemic preparedness and COVID-19: development assistance and domestic spending on health between 1990 and 2026. Lancet Glob Health 11(3):e385–e413

Hau LN, Thuy PN (2022) Enabling customer co-creation behavior at a distance: the case of patients using self-monitoring handheld devices in healthcare. Serv Bus 16(1):99–123

Brereton P, Kitchenham BA, Budgen D, Turner M, Khalil M (2007) Lessons from applying the systematic literature review process within the software engineering domain. J Syst Softw 80(4):571–583

Tranfield D, Denyer D, Smart P (2003) Towards a methodology for developing evidence-informed management knowledge by means of systematic review. Br J Manag 14(3):207–222

Lin Z, Rasoolimanesh SM (2022) Sharing tourism experiences in social media: a systematic review. Anatolia 1–15

Page MJ, Moher D, McKenzie JE (2022) Introduction to PRISMA 2020 and implications for research synthesis methodologists. Res Synth Methods 13(2):156–163

PubMed   Google Scholar  

Snyder H (2019) Literature review as a research methodology: an overview and guidelines. J Bus Res 104:333–339

Caldiera VRBG, Rombach HD (1994) The goal question metric approach. Encycl Softw Eng 528–532

Hopfenbeck TN, Lenkeit J, El Masri Y, Cantrell K, Ryan J, Baird J-A (2018) Lessons learned from PISA: a systematic review of peer-reviewed articles on the programme for international student assessment. Scand J Educ Res 62(3):333–353

Kitchenham B, Brereton OP, Budgen D, Turner M, Bailey J, Linkman S (2009) Systematic literature reviews in software engineering–a systematic literature review. Inf Softw Technol 51(1):7–15

Dieste O, Grimán A, Juristo N (2009) Developing search strategies for detecting relevant experiments. Empir Softw Eng 14(5):513–539

Prahalad CK, Ramaswamy V (2004) Co-creation experiences: the next practice in value creation. J Interact Mark 18(3):5–14

Vargo SL, Lusch RF (2014) Evolving to a new dominant logic for marketing. In: The service-dominant logic of marketing, Routledge, pp 21–46

Hong et al QN (2018) Mixed methods appraisal tool (MMAT), version 2018. Registration of copyright vol 1148552, no 10

Pace R et al (2012) Testing the reliability and efficiency of the pilot mixed methods appraisal tool (MMAT) for systematic mixed studies review. Int J Nurs Stud 49(1):47–53

Beck J, Rainoldi M, Egger R (2019) Virtual reality in tourism: a state-of-the-art review. Tour Rev 74(3):586–612

Pahlevan-Sharif S, Mura P, Wijesinghe SN (2019) A systematic review of systematic reviews in tourism. J Hosp Tour Manag 39:158–165

Cuomo MT, Colosimo I, Celsi LR, Ferulano R, Festa G, La Rocca M (2022) Enhancing traveller experience in integrated mobility services via big social data analytics. Technol Forecast Soc Change 176:121460

Chiu M-C, Huang J-H, Gupta S, Akman G (2021) Developing a personalized recommendation system in a smart product service system based on unsupervised learning model. Comput Ind 128:103421

Cranmer EE, tom Dieck MC, Fountoulaki P (2020) Exploring the value of augmented reality for tourism. Tour Manag Perspect 35:100672

Lin S (2022) Implementation of personalized scenic spot recommendation algorithm based on generalized regression neural network for 5G smart tourism system. Comput Intell Neurosci 2022

Ngamsirijit W (2014) Value creation in creative tourism: co-creation through data mining. Int J Intell 2(2–3):255–276

Liu X, Shin H, Burns AC (2021) Examining the impact of luxury brand’s social media marketing on customer engagement: Using big data analytics and natural language processing. J Bus Res 125:815–826

Hew J-J, Tan GW-H, Lin B, Ooi K-B (2017) Generating travel-related contents through mobile social tourism: Does privacy paradox persist? Telemat Inform 34(7):914–935

Lalicic L, Weismayer C (2021) Consumers’ reasons and perceived value co-creation of using artificial intelligence-enabled travel service agents. J Bus Res 129:891–901

Hilken T et al (2022) Disrupting marketing realities: a research agenda for investigating the psychological mechanisms of next-generation experiences with reality-enhancing technologies. Psychol Mark 39(8):1660–1671

Brejla P, Gilbert D (2014) An exploratory use of web content analysis to understand cruise tourism services. Int J Tour Res 16(2):157–168

Li Z, Wang D, Abbas J, Hassan S, Mubeen R (2022) Tourists’ health risk threats amid COVID-19 era: role of technology innovation, transformation, and recovery implications for sustainable tourism. Front Psychol 12:769175

PubMed   PubMed Central   Google Scholar  

Liburd J, Duedahl E, Heape C (2022) Co-designing tourism for sustainable development. J Sustain Tour 30(10):2298–2317

Serravalle F, Ferraris A, Vrontis D, Thrassou A, Christofi M (2019) Augmented reality in the tourism industry: a multi-stakeholder analysis of museums. Tour Manag Perspect 32:100549

Xie L, Liu X, Li D (2022) The mechanism of value cocreation in robotic services: customer inspiration from robotic service novelty. J Hosp Mark Manag 31(8):962–983

Huang M-H, Rust RT (2021) Engaged to a robot? The role of AI in service. J Serv Res 24(1):30–41

Mamirkulova G, Mi J, Abbas J, Mahmood S, Mubeen R, Ziapour A (2020) New silk road infrastructure opportunities in developing tourism environment for residents better quality of life. Glob Ecol Conser 24:e01194

Rihova I, Buhalis D, Gouthro MB, Moital MJTM (2018) Customer-to-customer co-creation practices in tourism: lessons from customer-dominant logic. Tour Manag 67:362–375

Rahimian S, ShamiZanjani M, Manian A, Esfidani MR (2021) A framework of customer experience management for hotel industry. Int J Contemp Hosp Manag 33(5):1413–1436

Ameen N, Tarhini A, Reppel A, Anand A (2021) Customer experiences in the age of artificial intelligence. Comput Hum Behav 114:106548

Iranmanesh M, Ghobakhloo M, Nilashi M, Tseng M-L, Yadegaridehkordi E, Leung N (2022) Applications of disruptive digital technologies in hotel industry: a systematic review. Int J Hosp Manag 107:103304

Wang S, Abbas J, Al-Sulati KI, Shah SAR (2023) The impact of economic corridor and tourism on local community’s quality of life under one belt one road context. Evaluat Rev 0193841X231182749

Akhmedova A, Manresa A, Escobar Rivera D, Bikfalvi A (2021) Service quality in the sharing economy: a review and research agenda. Int J Consum Stud 45(4):889–910

Henry BM, Tomaszewski KA, Walocha JA (2016) Methods of evidence-based anatomy: a guide to conducting systematic reviews and meta-analysis of anatomical studies. Ann Anat Anatomischer Anz 205:16–21

Download references

Acknowledgements

Not applicable.

Author information

Authors and affiliations.

Ho Chi Minh City University of Technology (HCMUT), Vietnam National University Ho Chi Minh City (VNUHCM), Ho Chi Minh City, Vietnam

T. D. Dang & M. T. Nguyen

Eastern International University, Thu Dau Mot, Binh Duong Province, Vietnam

You can also search for this author in PubMed   Google Scholar

Contributions

DTD, conceived the research idea and designed the study in collaboration with NMT. DTD took the lead in writing the manuscript, with significant contributions from NMT. All authors reviewed and edited the manuscript to ensure accuracy and clarity. All authors read and approved the final manuscript.

Corresponding author

Correspondence to T. D. Dang .

Ethics declarations

Ethics approval and consent to participate.

This material is the authors’ original work, which has not been previously published elsewhere. The paper is not currently being considered for publication elsewhere.

Consent for publication

Competing interests.

The authors declare that they have no competing interests.

Additional information

Publisher's note.

Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.

The original online version of this article has been revised: the affiliation is corrected for the co-author “M. T. Nguyen”.

Supplementary Information

Additional file 1..

Quality assessment of included studies.

Rights and permissions

Open Access This article is licensed under a Creative Commons Attribution 4.0 International License, which permits use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons licence, and indicate if changes were made. The images or other third party material in this article are included in the article's Creative Commons licence, unless indicated otherwise in a credit line to the material. If material is not included in the article's Creative Commons licence and your intended use is not permitted by statutory regulation or exceeds the permitted use, you will need to obtain permission directly from the copyright holder. To view a copy of this licence, visit http://creativecommons.org/licenses/by/4.0/ .

Reprints and permissions

About this article

Cite this article.

Dang, T.D., Nguyen, M.T. Systematic review and research agenda for the tourism and hospitality sector: co-creation of customer value in the digital age. Futur Bus J 9 , 94 (2023). https://doi.org/10.1186/s43093-023-00274-5

Download citation

Received : 31 May 2023

Accepted : 06 November 2023

Published : 25 November 2023

DOI : https://doi.org/10.1186/s43093-023-00274-5

Share this article

Anyone you share the following link with will be able to read this content:

Sorry, a shareable link is not currently available for this article.

Provided by the Springer Nature SharedIt content-sharing initiative

  • Customer value co-creation
  • Tourism and hospitality

consumer research hospitality

Consumer Behavior in Tourism and Hospitality

Issue(s) available: 10 – From Volume: 17 Issue: 1 , to Volume: 19 Issue: 2

  • Issue 2 2024
  • Issue 1 2024
  • Issue 4 2023
  • Issue 3 2023
  • Issue 2 2023
  • Issue 1 2023
  • Issue 4 2022
  • Issue 3 2022
  • Issue 2 2022
  • Issue 1 2022

Factors shaping spectators’ consumption patterns: controversial arisings from an international sport tourism event

Sport events’ contribution to the destinations’ local economy implies in-depth knowledge of the economic benefits generated by non-resident spectators (NRS). Thus, this study aims…

Renamed from:

Online date, start – end:, copyright holder:.

  • Prof. Dr. Serena Volo

Further Information

  • About the journal (opens new window)
  • Purchase information (opens new window)
  • Editorial team (opens new window)
  • Write for this journal (opens new window)

Signatory of DORA

We’re listening — tell us what you think

Something didn’t work….

Report bugs here

All feedback is valuable

Please share your general feedback

Join us on our journey

Platform update page.

Visit emeraldpublishing.com/platformupdate to discover the latest news and updates

Questions & More Information

Answers to the most commonly asked questions here

Penn State  Logo

  • Help & FAQ

Consumer behavior research in hospitality and tourism journals

  • School of Hospitality Management

Research output : Contribution to journal › Article › peer-review

In this review, I identify key trends and "camps" in consumer behavior research in the field of hospitality and tourism research based on a thorough analysis of articles published in 2003. I also highlight some challenges faced by our discipline in terms of theory development and methodological issues.

All Science Journal Classification (ASJC) codes

  • Tourism, Leisure and Hospitality Management
  • Strategy and Management

This output contributes to the following UN Sustainable Development Goals (SDGs)

Access to Document

  • 10.1016/j.ijhm.2004.10.001

Other files and links

  • Link to publication in Scopus
  • Link to the citations in Scopus

Fingerprint

  • Hospitality Research Business & Economics 100%
  • consumption behavior Earth & Environmental Sciences 95%
  • Tourism Research Business & Economics 82%
  • Tourism and Hospitality Business & Economics 80%
  • Theory Development Business & Economics 78%
  • tourism Earth & Environmental Sciences 63%
  • Consumer Behaviour Business & Economics 58%
  • development theory Earth & Environmental Sciences 50%

T1 - Consumer behavior research in hospitality and tourism journals

AU - Mattila, Anna S.

PY - 2004/12

Y1 - 2004/12

N2 - In this review, I identify key trends and "camps" in consumer behavior research in the field of hospitality and tourism research based on a thorough analysis of articles published in 2003. I also highlight some challenges faced by our discipline in terms of theory development and methodological issues.

AB - In this review, I identify key trends and "camps" in consumer behavior research in the field of hospitality and tourism research based on a thorough analysis of articles published in 2003. I also highlight some challenges faced by our discipline in terms of theory development and methodological issues.

UR - http://www.scopus.com/inward/record.url?scp=10144237859&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=10144237859&partnerID=8YFLogxK

U2 - 10.1016/j.ijhm.2004.10.001

DO - 10.1016/j.ijhm.2004.10.001

M3 - Article

AN - SCOPUS:10144237859

SN - 0278-4319

JO - International Journal of Hospitality Management

JF - International Journal of Hospitality Management

IS - 5 SPEC.ISS.

Influence, loyalty and technology: Key guest trends from 2023

consumer research hospitality

An in-depth end-of-year review of the key findings from our 2023 GO Technology consumer research series

Consumer expectations of the pubs, bars and restaurants they visit are ever-changing, and 2023 has proven to be no exception to the rule. This year, consumers have been quick to change their behaviours to match the tightening of budgets brought on by the cost-of-living crisis, and as more and more consumers become digital natives, the shift towards more digital-led touchpoints has continued to grow.

In this in-depth review of our 2023 consumer research series, we explore the three key themes identified from our surveys of 5,000 hospitality consumers; from the influential consumers who make the decisions on where to eat and drink, to when guests prefer digital touchpoints to human interaction  during the customer journey, and how guest loyalty has changed as a result of the cost of living crisis.

consumer research hospitality

Download this report to discover:

  • 2023’s key hospitality consumer trends
  • What factors most influence consumers’ decisions on when and where to go out to eat and drink
  • What makes consumers loyal to a brand or venue
  • How technology can help enhance the guest experience

Explore our 2023 consumer research in full

Go technology: the new loyalty landscape - how the cost-of-living crisis impacts hospitality, go technology: people vs tech - what guests want in 2023, go technology: identifying the influencer - reaching hospitality's decision makers, go technology: what guests want from hotels in 2023, subscribe to get the latest news, product announcements and industry updates.

Fill out the form below, or phone us to find out how our technology solutions can help transform your business.

0800 131 3400

Contact support

Order consumables

consumer research hospitality

What’s in the report

  • How much do reviews influence guests’ decisions on where to stay?
  • Which booking methods do guests trust the most?
  • Where do guests go to  to find hotels to book?
  • What is the demand for F&B facilities and room service?
  • How can hoteliers increase revenues and deliver a seamless guest experience during the staycation boom?

Download the free report

Kobie Marketing

Experience Management

CX Journey Mapping

Campaign Offer Planning

Personalization Strategy

Content Management

Loyalty CRM Design

Rewards Fulfillment

UX Design Services

Contact Center

consumer research hospitality

Loyalty Performance

Program Management

Loyalty Benchmarking

Analytical Services

Campaign Measurement

Loyalty Health Monitor

Emotional Loyalty Measurement

consumer research hospitality

Operational Planning

Martech Optimization

Data Privacy Assessment

Organizational Alignment

Change Management

Staff Augmentation

consumer research hospitality

Loyalty CDP

Loyalty ID Mangement

Loyalty API Catalogue

consumer research hospitality

Decisioning

Member Management

Program Configuration

Journey Orchestration

consumer research hospitality

Rewards Marketplace

Member Portal

Loyalty CRM

Contact Center Solutions

consumer research hospitality

Measurement

Loyalty Insights

Human Guided AI

2024 Consumer Research Report

May 14, 2024

consumer research hospitality

Read the teaser report here. The full report is coming soon.

Kobie’s Annual Research Report

As experts in loyalty for 34 years, we know that perception = reality. That’s why consumer research is vital for brands looking to validate their loyalty strategies and understand what drives value with their customers. Kobie’s annual consumer research aims to answer the burning questions we all face around how our program is perceived, and why or why not consumers feel connected to us.

Our Methodology

We fielded our 2024 research with over 4,000 consumers across the U.S. and Canada, drilling into a variety of topics like appeal of features and benefits, personalization, engagement, recognition and more. As the only provider who sees emotional loyalty as an input vs. an output of loyalty, we use this lens and our proprietary Emotional Loyalty ScoringÒ methodology to tie it all together.

Our “Pracademic” Approach

This research is rooted in more than observation and hot takes (although we’ll throw a couple in to keep things interesting). We infuse psychological theory to form the underpinnings that help bring insights to life and make them actionable for your brand.

Dr. JR Slubowski, Kobie’s AVP of Strategic Consulting, runs our Research Center of Excellence and most importantly, translates this academic read into digestible cliff notes that you can start infusing into your loyalty strategy today (we won’t tell anyone they weren’t your ideas).

Working with global brands across industries like retail, FI, travel, QSR, entertainment and more – we hear the same problems surface amongst them all. How do I measure my program health? Do my members feel seen, heard, and recognized? And the ever popular: how do we engage them between transactions?

This year’s report focuses on answering these questions based on the trends and perceptions of consumers today, with a bonus lookahead to the future. We’ll help you understand if your strategy is working for or against you through the eyes of your members. We’ll reveal how personalization plays a factor when it’s done well, and when it’s not. We’ll divulge what levers to pull to unlock engagement between transactions, and at what cadence. We’ll examine how tiers and recognition actually make your members feel. And most importantly – what trends to act on now vs. taking a “wait and see approach”.

Report Sections

01: The Loyalty “Check Engine” Light:  If your loyalty program isn’t generation more money and more members, it’s an indication that something is off with your loyalty strategy – and you’ll need to get under the hood to find out why.

In Section 1, we provide diagnostic inputs to help you understand if your loyalty strategies are working to optimize your program, with a deeper view into why members disengage, how they perceive rewards, which data points they are willing to share, and what your brand can do to rev the loyalty engine.

02: Let’s Get Personal: In Section 2, we explore personalization from a consumer’s point of view to help brands understand the disparity between when it’s done well, when it’s not, and what implications it has on your loyalty program.

To do it well, you’ll need more than just zero-party data capture. The data exchange itself is emotional for consumers, and thus critical to get right.

03: The In-Between: Traditional loyalty programs are built to react in the moments right before, during and after a transaction occurs. But what about the in-between?

In Section 3, we explore the loyalty levers you can pull to unlock more engagement in between transactions, keeping your members active and your brand top of mind even when there is no purchase taking place.

04: State of Status: While tier structures are not new to loyalty, do you really know how they make your members feel?

In Section 4, we look at the state of status from a consumer perspective to help your brand understand the implications of tiers, special offers, and the positive (and potentially negative) emotions this may stir up for your member base.

05: Shiny Object or Table Stakes?:   With evolving consumer perceptions plus the distraction of new innovations, it’s not unusual to feel confused on where to focus first.

In Section 5, we examine several benefits (old and new) to recommend which you should proactively consider based on your members, vs. which you can adopt a ‘wait and see” approach.

To learn more, contact a member of the Kobie team.

consumer research hospitality

The Best Loyalty Conferences are Beachside: Kobie Hosts 7th Annual OnPoint Conference

 Meghan Pratt |  May 2, 2024

consumer research hospitality

How Customer Feedback Fuels Loyalty Program Success

 Rachel Podos |  Mar 28, 2024

consumer research hospitality

Kobie Wins Top Workplaces in the USA!

 Meghan Pratt |  Mar 20, 2024

Privacy Overview

  • About the New York Fed
  • Bank Leadership
  • Diversity and Inclusion
  • Communities We Serve
  • Board of Directors
  • Disclosures
  • Ethics and Conflicts of Interest
  • Annual Financial Statements
  • News & Events
  • Advisory Groups
  • Vendor Information
  • Holiday Schedule

At the New York Fed, our mission is to make the U.S. economy stronger and the financial system more stable for all segments of society. We do this by executing monetary policy, providing financial services, supervising banks and conducting research and providing expertise on issues that impact the nation and communities we serve.

New York Innovation Center

The New York Innovation Center bridges the worlds of finance, technology, and innovation and generates insights into high-value central bank-related opportunities.

Information Requests

Do you have a request for information and records? Learn how to submit it.

Gold Vault

Learn about the history of the New York Fed and central banking in the United States through articles, speeches, photos and video.

  • Markets & Policy Implementation
  • Reference Rates
  • Effective Federal Funds Rate
  • Overnight Bank Funding Rate
  • Secured Overnight Financing Rate
  • SOFR Averages & Index
  • Broad General Collateral Rate
  • Tri-Party General Collateral Rate
  • Desk Operations
  • Treasury Securities
  • Agency Mortgage-Backed Securities
  • Reverse Repos
  • Securities Lending
  • Central Bank Liquidity Swaps
  • System Open Market Account Holdings
  • Primary Dealer Statistics
  • Historical Transaction Data
  • Monetary Policy Implementation
  • Agency Commercial Mortgage-Backed Securities
  • Agency Debt Securities
  • Repos & Reverse Repos
  • Discount Window
  • Treasury Debt Auctions & Buybacks as Fiscal Agent
  • INTERNATIONAL MARKET OPERATIONS
  • Foreign Exchange
  • Foreign Reserves Management
  • Central Bank Swap Arrangements
  • Statements & Operating Policies
  • Survey of Primary Dealers
  • Survey of Market Participants
  • Annual Reports
  • Primary Dealers
  • Standing Repo Facility Counterparties
  • Reverse Repo Counterparties
  • Foreign Exchange Counterparties
  • Foreign Reserves Management Counterparties
  • Operational Readiness
  • Central Bank & International Account Services
  • Programs Archive
  • Economic Research
  • Consumer Expectations & Behavior
  • Survey of Consumer Expectations
  • Household Debt & Credit Report
  • Home Price Changes
  • Growth & Inflation
  • Equitable Growth Indicators
  • Multivariate Core Trend Inflation
  • New York Fed DSGE Model
  • New York Fed Staff Nowcast
  • R-star: Natural Rate of Interest
  • Labor Market
  • Labor Market for Recent College Graduates
  • Financial Stability
  • Corporate Bond Market Distress Index
  • Outlook-at-Risk
  • Treasury Term Premia
  • Yield Curve as a Leading Indicator
  • Banking Research Data Sets
  • Quarterly Trends for Consolidated U.S. Banking Organizations
  • Empire State Manufacturing Survey
  • Business Leaders Survey
  • Supplemental Survey Report
  • Regional Employment Trends
  • Early Benchmarked Employment Data
  • INTERNATIONAL ECONOMY
  • Global Supply Chain Pressure Index
  • Staff Economists
  • Visiting Scholars
  • Resident Scholars
  • PUBLICATIONS
  • Liberty Street Economics
  • Staff Reports
  • Economic Policy Review
  • RESEARCH CENTERS
  • Applied Macroeconomics & Econometrics Center (AMEC)
  • Center for Microeconomic Data (CMD)
  • Economic Indicators Calendar
  • Financial Institution Supervision
  • Regulations
  • Reporting Forms
  • Correspondence
  • Bank Applications
  • Community Reinvestment Act Exams
  • Frauds and Scams

As part of our core mission, we supervise and regulate financial institutions in the Second District. Our primary objective is to maintain a safe and competitive U.S. and global banking system.

The Governance & Culture Reform

The Governance & Culture Reform hub is designed to foster discussion about corporate governance and the reform of culture and behavior in the financial services industry.

Need to file a report with the New York Fed?

Need to file a report with the New York Fed? Here are all of the forms, instructions and other information related to regulatory and statistical reporting in one spot.

Frauds and Scams

The New York Fed works to protect consumers as well as provides information and resources on how to avoid and report specific scams.

  • Financial Services & Infrastructure
  • Services For Financial Institutions
  • Payment Services
  • Payment System Oversight
  • International Services, Seminars & Training
  • Tri-Party Repo Infrastructure Reform
  • Managing Foreign Exchange
  • Money Market Funds
  • Over-The-Counter Derivatives

The Federal Reserve Bank of New York works to promote sound and well-functioning financial systems and markets through its provision of industry and payment services, advancement of infrastructure reform in key markets and training and educational support to international institutions.

The New York Innovation Center

The New York Fed offers the Central Banking Seminar and several specialized courses for central bankers and financial supervisors.

Tri-party Infrastructure Reform

The New York Fed has been working with tri-party repo market participants to make changes to improve the resiliency of the market to financial stress.

  • Community Development & Education
  • Household Financial Well-being
  • Fed Communities
  • Fed Listens
  • Fed Small Business
  • Workforce Development
  • Other Community Development Work
  • High School Fed Challenge
  • College Fed Challenge
  • Teacher Professional Development
  • Classroom Visits
  • Museum & Learning Center Visits
  • Educational Comic Books
  • Economist Spotlight Series
  • Lesson Plans and Resources
  • Economic Education Calendar

Our Community Development Strategy

We are connecting emerging solutions with funding in three areas—health, household financial stability, and climate—to improve life for underserved communities. Learn more by reading our strategy.

Economic Inequality & Equitable Growth

The Economic Inequality & Equitable Growth hub is a collection of research, analysis and convenings to help better understand economic inequality.

Government and Culture Reform

Household Debt Rose by $184 Billion in Q1 2024; Delinquency Transition Rates Increased Across All Debt Types

NEW YORK — The Federal Reserve Bank of New York’s Center for Microeconomic Data today issued its Quarterly Report on Household Debt and Credit . The report shows total household debt increased by $184 billion (1.1%) in the first quarter of 2024, to $17.69 trillion. The report is based on data from the New York Fed’s nationally representative Consumer Credit Panel .

The New York Fed also issued an accompanying Liberty Street Economics blog post examining credit card utilization and its relationship with delinquency. The Quarterly Report also includes a one-page summary of key takeaways and their supporting data points.

“In the first quarter of 2024, credit card and auto loan transition rates into serious delinquency continued to rise across all age groups,” said Joelle Scally, Regional Economic Principal within the Household and Public Policy Research Division at the New York Fed. “An increasing number of borrowers missed credit card payments, revealing worsening financial distress among some households.”

Mortgage balances rose by $190 billion from the previous quarter and was $12.44 trillion at the end of March. Balances on home equity lines of credit (HELOC) increased by $16 billion, representing the eighth consecutive quarterly increase since Q1 2022, and now stand at $376 billion. Credit card balances decreased by $14 billion to $1.12 trillion. Other balances, which include retail cards and consumer loans, also decreased by $11 billion. Auto loan balances increased by $9 billion, continuing the upward trajectory seen since 2020, and now stand at $1.62 trillion.

Mortgage originations continued increasing at the same pace seen in the previous three quarters, and now stand at $403 billion. Aggregate limits on credit card accounts increased modestly by $63 billion, representing a 1.3% increase from the previous quarter. Limits on HELOC grew by $30 billion and have grown by 14% over the past two years, after 10 years of observed declines.

Aggregate delinquency rates increased in Q1 2024, with 3.2% of outstanding debt in some stage of delinquency at the end of March. Delinquency transition rates increased for all debt types. Annualized, approximately 8.9% of credit card balances and 7.9% of auto loans transitioned into delinquency. Delinquency transition rates for mortgages increased by 0.3 percentage points yet remain low by historic standards.

Household Debt and Credit Developments as of Q1 2024

*Change from Q4 2023 to Q1 2024 ** Change from Q1 2023 to Q1 2024

Flow into Serious Delinquency (90 days or more delinquent)

About the Report

The Federal Reserve Bank of New York’s Household Debt and Credit Report provides unique data and insight into the credit conditions and activity of U.S. consumers. Based on data from the New York Fed’s Consumer Credit Panel , a nationally representative sample drawn from anonymized Equifax credit data, the report provides a quarterly snapshot of household trends in borrowing and indebtedness, including data about mortgages, student loans, credit cards, auto loans and delinquencies. The report aims to help community groups, small businesses, state and local governments and the public to better understand, monitor, and respond to trends in borrowing and indebtedness at the household level. Sections of the report are presented as interactive graphs on the New York Fed’s  Household Debt and Credit Report web page  and the full report is available for download.

Close

  • Request a Speaker
  • International Seminars & Training
  • Governance & Culture Reform
  • Data Visualization
  • Economic Research Tracker
  • Markets Data APIs
  • Terms of Use

Federal Reserve Bank Seal

Money blog: Tourist taxes being imposed across Europe (and in UK) - here's how much they all are

An increasing number of cities are either imposing or increasing the cost of tourist taxes on visitors. Read this and our other Weekend Money content below, and let us know your thoughts. We'll be back with live updates on Monday.

Saturday 18 May 2024 17:03, UK

Weekend Money

  • How to sell your home without an estate agent
  • Tourist taxes to watch out for in popular holiday destinations
  • Childcare vouchers, hard work and new skyscrapers: What readers have said this week
  • Three things you need to know from Money this week

Best of the week

  • The rise of Michelin starred 'fast food'
  • How much do buskers make?
  • Basically... What is PIP - and what could government changes mean?
  • How to make sure your car passes its MOT
  • Money Problem : My workplace wants to pay us by the minute - what can I do?
  • Best of the Money blog - an archive

Ask a question or make a comment

As we've been reporting in the Money blog over the last few months, an increasing number of cities are either imposing or increasing the cost of tourist taxes on visitors. 

Many say they are preventing damages from overtourism, as well as funding local infrastructure and businesses. 

Here are the latest tourist fees for the most popular spots in Europe...

Tourists visiting Venice for the day will have to pay a €5 entry fee to enter the city between the hours of 8.30am and 4pm.

Meanwhile, those staying overnight in Venice are charged a fee between €1 to €5 within the accommodation price for the first five consecutive nights.

People visiting the Spanish city now have to pay €3.25 if they're staying in official accommodation, up from €2.75.

Manchester 

Visitors must pay £1 per room, per night across 73 hotels. 

The scheme, which has raised more than £2m within a year, is for improvements to attract more tourists.

Tourists must pay €2 per person for every night they stay, although this is only applied for a maximum of seven nights.

The Greek government has introduced a Climate Crisis Resilience Fee to charge tourists anywhere from €0.50 to €10 per room, per night.

The amount depends on the hotel category and the time of year.

Visitors to the Croatian city must pay €2.65 per person, per night throughout April to September. 

However, the fee has been temporarily reduced to €1.86 for the rest of this year.

Different amounts are charged depending on the type of accommodation.

The most expensive charge is €14.95 for a stay in palaces, and €0.65 at one or two-star campsites, per person, per night. 

Those staying in a typical four-star hotel are charged around €8.

Those staying in the Hungarian capital are charged an additional 4% each night, which is calculated based on the price of the room.

Tourists in Berlin must pay 5% of the room price, excluding VAT and service fees.

The tourist tax here has increased from €0.82 to €1.97 per day. 

Prices researched by travel insurance site Quotezone.co.uk

By Ollie Cooper , Money team

Estate agent fees are one of the big expenses in selling a house - but rule changes and the rise of private sale websites have made it more common for people to go it alone.

But how easy is it - and what do you need to know? We spoke to industry experts to find out.

Firstly, what do estate agents do for their money?

An estate agent will typically charge in the range of 1%-3.5% of the sale price. 

That means for the average house price (£284,691 from December) you could pay anywhere from £2,846 to £9,964 in commission fees.

"When you use an estate agent, their fee includes taking professional photographs, advertising your home, conducting property viewings, and negotiating a price on your behalf," says Jack Smithson  from the home ownership site  Better.co.uk .

In addition, an estate agent will compile comprehensive details of your house, including room sizes and descriptions of fixtures and fittings. 

"They will also provide a concise write-up about the local area, highlighting amenities, schools, and transportation links," Jack adds. 

And they'll conduct checks on buyers for you (more on this later).

It sounds like a lot, but...

"Selling your home yourself can be a manageable process with a few key steps," Jack says.

Preparation 

You should begin by thoroughly researching house prices in your area, using websites like Rightmove and Zoopla - but seek free valuations from local estate agents to ensure you have a realistic asking price in mind.

Next, you want to take high-quality photos of your house.

Jack advises using tutorials on YouTube to learn new shooting and editing techniques that can take you to the next level.

You then want to write down what makes your home unique.

"While browsing other listings for inspiration, take it a step further by emphasising what you love about living in your home and the surrounding area," Jack suggests.

"Whether it's the refreshing scent of the coastline or the tranquil sounds of village life, incorporating these details can help potential buyers visualise living there," he advises. 

Like using YouTube for photography tips, you can use free tools such as ChatGPT and Grammarly if you need help with your writing, Jack says. 

Advertising

This is probably the biggest perk of going through an established estate agent - your home is much more likely to be viewed because they will have an established audience and a market. But it's very possible to do it alone. 

"When it comes to advertising your home, explore a variety of avenues including local newspapers and social media," Jack says.

"Consider using websites like Strike, which allow individuals to list their properties for free on platforms like Rightmove," he suggests.

Viewings 

Once you've secured some viewings, you've got the opportunity to make it a bit more personal than estate agents ever could - a real advantage. 

"Explain the reasons behind your decision to purchase the property, highlight its unique features, and share the aspects of your neighbourhood that make it a desirable place to live," Jack says. 

The small things matter when showing people round - so try to take an objective look around before you bring anyone in.

Do the things you'd do normally - make sure it smells nice and it's clean and tidy.

"Lastly, it's worth knowing that you must legally provide potential buyers with a free Energy Performance Certificate (EPC)."

The sale itself

Perhaps the most daunting aspect is the physical exchange of contracts and money. 

An estate agent would typically oversee the process of the initial offer acceptance to the transfer of keys to the new owner.

However, if you go it alone, you'll need to become the central point of contact - bridging the gap between your solicitor or conveyancer and the buyer and their legal representative.

"Once you've accepted an offer on your property, your first task is to draft what's called a memorandum of sale," Jack says.  

This document is a written confirmation of your acceptance of the offer and details the agreed price along with any specific conditions you've both agreed to.

"It's then recommended to engage the services of a solicitor or conveyancer to ensure all legal obligations are met," Jack says (of course, you'll need to do this even if you have an estate agent).

The cost of hiring one typically ranges from a few hundred to over £1,000, depending on factors such as fixed fees, hourly rates, the complexity of the sale and additional costs like property searches or land registry fees.

"In the absence of an estate agent, you'll be responsible for keeping your buyer informed about the progress of the sale. This involves regular updates on the status of legal procedures and any relevant developments," Jack says, before adding that this can actually be a good thing.

"By taking on these responsibilities independently, you'll have greater control over the sale process. However, it will require you to be exceptionally organised, and you'll need to be very good at communicating too."  

Any risks to be aware of?

Rita Patel, legal director at law firm  Browne Jacobson , tells us the biggest risk for people selling their properties without an estate agent is the lack of a vetting and verification process of the potential buyer.

Estate agents will verify the buyer's identity and check the buyer's proof and source of funds - without this, there's no way to assess the buyer is legitimate and can afford to buy.

"Whilst this process is something lawyers can help with, this is often at an additional cost, and you'll need to start from square one if there is an issue with a potential buyer's identification and/or financial eligibility," Rita says. 

More generally, selling without an agent can extend the time it takes to sell. 

"Zoopla suggests this timeframe is normally around 17-34 weeks, but with no one on hand to consistently promote and drive the property sale at all stages, going solo drags this process out," Rita says. 

"Agents can also help mediate any potential breakdowns in communication between the buyer and seller - reducing the likelihood of having to go back to market and start again."

The advantages

Laura Owen-Brown, a PR manager from Gloucestershire, tells us she is set to sell her house without an estate agent in the near future.

"My disappointment with estate agents stems from their lack of familiarity with the properties they attempted to sell me when I was buying my current house," she says. 

"They couldn't tell me about the details that truly matter, like the optimal times for sunlight in the garden, how much council tax I'd pay, what the roof was made of, the places I could walk my dog off lead or the impact of post-football match traffic on Sundays.

"These types of details can shape the experience of living in a house for years and are just as important as the square footage, EPC rating or how many bedrooms a property has," she adds. 

She says the current "transactional" approach to selling houses feels "impersonal and outdated" to her. 

"Yes, I'll have to handle more admin, but the savings in both money and time will make it worthwhile. Liaising with buyers and solicitors directly without a third party slowing everything down will mean I can be in control and have transparency throughout the process, especially during negotiations," she says.

All in all...

As Laura says, it's very much a case of whether you can stomach the admin and are happy to take the risks on background financial checks. 

If you are aware of all the above and willing to take on the organisational burden, you could save yourself a serious chunk of cash. 

The main topics from the Money blog that got you commenting this week were...

Government-funded childcare

  • Michel Roux Jr's comments about the future of the restaurant industry 

Nearly 600 new skyscrapers for London

From last Sunday, eligible working parents of children from nine-months-old in England have been able to register for access to up to 15 free hours of government-funded childcare per week.

Those hours can be claimed from September. 

Some readers pointed out the T&Cs... 

This 15 hrs a week is for term time ONLY. So full-time working parents will have to either tell their employer they can't work in school holidays or pro-rata it across the year which is 10 hours a week. Yvonne grandma

Others said it spoke to issues in the wider childcare sector...

Is the government going to give pay rises to nursery staff? They are very low paid staff, and can't get enough staff as it is!! Nurseries may have to close if they don't get staff, so parents won't be able to take up the offer!! What is the government going to do about it? Carol

Chefs or delivery drivers?

Celebrity chef Michel Roux Jr has suggested that restaurants may only open three days per week because young people prefer other jobs - like delivering parcels. 

"Just because I worked 80 hours a week or more doesn't mean the next generation should," he said. 

"Quite the contrary. That is something that we have to address in our industry."

Readers said...

That's because one [job] is on the verge of slave labour and one definitely is slave labour. And the latter I'm referring to is working in a kitchen for a chef.  Realist2024
Spent 35 years working as a chef. Young people nowadays are not willing to do the extra hours (usually unpaid) and work every weekend. Godsends like my generation of chefs did and do.  Bucks

There's been considerable backlash in our comments section after a thinktank said a total of 583 skyscrapers are "queuing up in the pipeline" to be built across central London.

That is more than double the 270 built in the past decade...

"600 new skyscrapers on way for London" while the majority are struggling. When will something serious be done about growing wealth inequality in the UK? A growing economy is useless while the gap between the ultra rich and everyone else increases. Qwerty1
How many unnecessary skyscrapers for London? It's fine, as long as they are not made using steel, glass, concrete or bricks - don't people know there's a climate emergency? Shanghaiwan
Who's paying for it? What about the North? treelectrical

The energy price cap is set to fall by about 7% in July, a respected energy markets researcher has said.

Ahead of next Friday's announcement by Ofgem for the July-September period, Cornwall Insights said: "For a typical dual fuel household, we predict the July price cap to be £1,574 per annum" - a drop from £1,690.

Looking further ahead, it forecasted the cap will rise again slightly in October, before falling in January next year. 

"A predicted 7% drop in energy prices in July is clearly good news, with the price cap looking likely to hit its lowest level in over two years," a spokesperson for Uswitch said. 

Around 100 more prosecutions of sub-postmasters unrelated to the Horizon scandal could be "tainted" , a Sky News investigation has found, as officials worked with now discredited Post Office investigators to secure convictions.

The prosecutions of Post Office staff were led by the Department for Work and Pensions (DWP) between 2001 and 2006.

It is understood these usually involved the cashing in of stolen order books.

The Post Office itself wrongly prosecuted hundreds of sub-postmasters between 1999 and 2015 - based on evidence from the faulty Horizon accounting system.

Read more from our business correspondent Adele Robinson  by clicking  here ...

The UK's mega rich are dwindling in a sign Britain's "billionaire boom has come to an end" , according to the latest Sunday Times Rich List.

The list reveals the largest fall in billionaires in the guide's history - from a peak of 177 in 2022 to 165 this year.

While the combined wealth of the list's 350 wealthiest individuals amounts to more than £795bn - larger than the GDP of Poland - the guide's compiler says time will tell what impact a drop in billionaires could have.

"This year's Sunday Times Rich List suggests Britain's billionaire boom has come to an end," Robert Watts said.

Read on here ...

The Money blog is your place for consumer news, economic analysis and everything you need to know about the cost of living - bookmark news.sky.com/money.

It runs with live updates every weekday - while on Saturdays we scale back and offer you a selection of weekend reads.

Check them out this morning and we'll be back on Monday with rolling news and features.

The Money team is Emily Mee, Bhvishya Patel, Jess Sharp, Katie Williams, Brad Young and Ollie Cooper, with sub-editing by Isobel Souster. The blog is edited by Jimmy Rice.

The Body Shop’s administrators are to launch an auction of the chain after concluding that an alternative restructuring of one of Britain’s best-known high street retailers was not viable.

Sky News has learnt that FRP Advisory, which has been overseeing the collapsed business since January, is to begin formally sounding out potential buyers in the coming weeks.

The move raises the prospect of new owners taking control of The Body Shop, which was founded nearly half a century ago.

Read more here ...

The UK's mega rich are dwindling - in a sign Britain's "billionaire boom has come to an end", according to the latest Sunday Times Rich List.

Published today, the list reveals the largest fall in billionaires in the guide's history - from a peak of 177 in 2022 to 165 this year.

"Many of our home-grown entrepreneurs have seen their fortunes fall and some of the global super rich who came here are moving away."

Top of the list is British-Indian businessman Gopi Hinduja and his family, whose wealth of £37.2bn is the largest fortune in the ranking's history.

But other familiar names in the list saw their riches fall, with Sir Richard Branson's total dropping by £2.4bn, which is back to his 2000 level.

Last year's top climber Sir Jim Ratcliffe, who bought a stake in Manchester United this year, fell two positions with a decline of £6.1bn.

Euan Blair, Tony Blair's eldest son, made the list for the first time, as did Sir Lewis Hamilton.

It comes as the UK continues to deal with a cost-of-living crisis, with new figures this week revealing a record 3.1 million food bank parcels were distributed over the course of a year.

The top 10:

  • Gopi Hinduja - £37.2bn
  • Sir Leonard Blavtanik - £29.2bn
  • David and Simon Reuben and family - £24.9bn
  • Sir Jim Ratcliffe - £23.5bn
  • Sir James Dyson and family - £20.8bn
  • Barnaby and Merlin Swire and family - £17.2bn
  • Idan Ofer - £14.9bn
  • Lakshmi Mittal and family - £14.9bn
  • Guy, George, Alannah and Galen Weston and family - £14.4bn
  • John Fredriksen and family - £12.8bn

A group of social media influencers have been charged in relation to promoting an unauthorised investment scheme.

The Only Way Is Essex (TOWIE) original cast member Lauren Goodger, 37, former Love Island star Biggs Chris, 32, and Celebrity Big Brother winner Scott Timlin, 36, also known as Scotty T, are among seven TV personalities alleged to have been paid to promote the scheme to their combined 4.5 million Instagram followers.

The others charged by the Financial Conduct Authority (FCA) include former Love Islanders Rebecca Gormley, 26, Jamie Clayton, 32, and Eva Zapico, 25 and TOWIE member Yazmin Oukhellou, 30.

The UK's financial watchdog brought the charges in a crackdown on "finfluencers" who use their online platforms to offer advice and information on various financial topics.

It alleges that between 19 May 2018 and 13 April 2021 Emmanuel Nwanze, 30, and Holly Thompson, 33, used an Instagram account to provide advice on buying and selling investments known as contracts for difference (CFDs) when they were not authorised to do so.

The watchdog said CFDs were high-risk investments used to bet on the price of an asset, in this case the price of foreign currencies.

It previously warned that 80% of customers lost money when investing in CDFs.

Mr Nwanze has been charged with running the scheme. He faces one count of breaching the general prohibition of the Financial Services and Markets Act 2000, and one count of unauthorised communications of financial promotions.

Ms Thompson, Mr Chris, Mr Clayton, Ms Goodger, Ms Gormley, Ms Oukhellou, Mr Timlin and Ms Zapico each face one count of unauthorised communications of financial promotions.

All nine will appear at Westminster Magistrates Court on 13 June.

The FCA asked anyone who believed they had sustained a loss due to the scheme to contact its consumer contact centre.

A hotel part-owned by Gary Neville and other ex-Manchester United legends has been named one of the best places to work in hospitality. 

Each year, The Caterer releases its top 30 best places for employees in the sector, with the top six featuring some familiar names.

The list is compiled via anonymous employee survey - with no input from managers or owners. 

Hotel Football, the only hotel with a rooftop five-a-side pitch, was among the top six venues selected by employees across the UK. 

The hotel's benefits package was particularly well-praised by those who work there - given that it "prioritises the financial wellbeing of employees during the cost of living challenge".

Management at the hotel, which is situated next to Manchester United's Old Trafford stadium, was also praised for enhanced maternity, paternity, parental and adoption leave policies and a strong belief in diversity and inclusion. 

The other five to make up the top six are The Biltmore in Mayfair, Cycas Hospitality (which has 18 locations across the UK), Dalata (which boasts some 1,000 employees), Gleneagles Hotel in Edinburgh and Nobu Hotel in Shoreditch, London. 

The energy price cap is set to fall by about 7% in July, a leading thinktank has said. 

Cornwall Insights said: "For a typical dual fuel household, we predict the July price cap to be £1,574 per annum" - a drop from £1,690.

Looking further ahead, it forecasted the cap to rise again slightly in October, before falling again in January next year. 

Reacting to the news, Uswitch said the predicted drop was "clearly good news". 

"The future still remains uncertain, and with the price cap changing every three months – currently expected to rise in October before falling slightly in January –  it's crucial not to be complacent," Richard Neudegg, director of regulation, said. 

However, "a predicted 7% drop in energy prices in July is clearly good news, with the price cap looking likely to hit its lowest level in over two years", he said. 

He also urged  households who want to lock in rates for price certainty to run a comparison to see what energy tariffs are available to them.

"There are many 12-month fixed tariffs available at rates cheaper than the current price cap, and even some that are 2% below these new predicted July rates," he said. 

Be the first to get Breaking News

Install the Sky News app for free

consumer research hospitality

Time to move: Sporting goods 2024

As the world continued its uneven progress in 2023, the sporting goods industry faced familiar challenges. Economic headwinds, persistent inflation, and regional conflicts undermined consumer confidence, while companies continued to struggle with inventories—mainly overstocking, because anticipated demand failed to materialize. But the industry demonstrated its resilience again. Revenue growth in 2023 was 6 percent (compared with 2 percent in 2022) amid stronger performance across geographies. 1 Euromonitor, October 2023.

As we begin 2024, this report highlights a renewed sense of optimism among industry leaders. This reflects opportunities arising from an improving market environment and new consumer preferences. More people are choosing sports that are quicker to pick up, require less commitment, and are more social, rather than organized sports with fixed time commitments or requirements for teams or high levels of skill. Participation as a driver has become as important as performance. And after supply–demand imbalances in the recent period, companies are turning to integrated business planning and analytics to help them navigate more volatile times. Meanwhile, sporting ecosystems and the demands of sustainability offer potential for innovation. With these themes in mind, this year’s sporting goods report paints a picture of an industry at a pivotal moment, facing not only challenges but also opportunities to achieve sustained growth.

Review of the past year and looking ahead

The past year was one in which regional differences were prominent. Companies in Western Europe posted growth of 8 percent, a strong rebound from the 3 percent decline the previous year, while the industry in Asia–Pacific saw income rise 11 percent after a 4 percent decline in 2022. North American companies followed 6 percent growth in 2022 with growth of 2 percent. Latin America, meanwhile, was the standout performer, with growth of 22 percent after 20 percent growth the previous year. 2 Euromonitor, October 2023.

A report on the global sporting goods industry

The World Federation of the Sporting Goods Industry (WFSGI) and McKinsey are proud to continue our partnership to present our fourth annual sporting goods industry report, Time to move: Sporting goods 2024 . The report dives into the dynamics driving performance in the sporting goods market and presents insights from some of the industry’s most senior players. As in past editions, we focus on the key trends that have affected the industry over the past year and will shape performance in the coming year and beyond. This article summarizes some of the report’s findings.

The industry’s super winners, which are companies that have consistently grown revenues and expanded margins since 2017, maintained their momentum in 2023. The group outperformed the market by focusing on attractive categories and employing smart go-to-market strategies to inspire and engage with consumers. These leaders exemplified the merits of a balanced portfolio, with retail innovation, trend-responsive branding, and cost-effective manufacturing among the pillars that supported growth.

There were also notable variations in the competitive landscape. For example, competition intensified in China, with global titans losing their edge to local players, which had a market share of about 60 percent among the top 20 brands. Conversely, in Latin America, global players continued to dominate, with a share of about 90 percent amid a strong soccer and tennis focus.

In 2023, macro factors including geopolitical conflict, inflation, and consumer conservatism, as well as inventory challenges, have made for a bumpy year and required companies to allocate more resources to promotional activities. That said, we continue to manage things in our control to the best of our ability and remain optimistic due to the enduring trend of fitness and health and our long-term growth potential, especially given our brand’s strong positioning. Stephanie Linnartz, president and CEO, Under Armour

Looking ahead, the industry is set to continue its steady growth: analysts estimate CAGR of about 7 percent by 2027 (Exhibit 1).

Rising levels of polarization

In an unpredictable market environment, a key trend is rising levels of polarization, with some companies performing much better than others. About a third of sporting goods companies have grown revenues and widened margins since 2017, forming an elite group of winners that consistently outperform the wider market. On average, this group has achieved organic growth of five percentage points and margin improvements of three percentage points over the period. Conversely, about a quarter of companies have been margin-accretive laggards—in other words, they have lifted margins but not revenues. About 10 percent are dilutive laggards, seeing strong revenue performance (more than 15 percent) but slightly negative margin performance (two percentage points on average). We expect this polarization theme to persist in the future.

I think the difficult thing in the current environment is that so many variables are changing at one time—COVID-19–related shutdowns, supply chain disruptions, geopolitical uncertainty, and inflation. Getting into this season, most brands and retailers built too much inventory, so 2024 is therefore going to be a little bit of a clean-up year. Hugo Maurstad, managing partner, Monte Rosa Capital

Sporting goods trends for 2024

In the first chapter of the report, we highlight an improving industry outlook, with about 90 percent of sporting goods leaders anticipating stability or improvements in sales and margins, according to the McKinsey and World Federation of the Sporting Goods Industry (WFSGI) Sporting Goods Industry Report Survey 2023. Still, industry leaders are not universally optimistic, amid persistent concern over inflation and overstocking. Eighty-one percent of respondents to this year’s survey say inflation and inventory levels and cost of capital are a continuing challenge, and 50 percent worry about attracting talent and the pressing imperative to become more sustainable. In addition, economic headwinds may still apply. In China, for example, 2023 marked a recovery from a tough 2022, but many Chinese consumers will likely trade down in 2024 as tough economic conditions persist.

In the remaining four chapters of this year’s report, we dive into the key themes that will likely appear on executive agendas in the year ahead:

1. Shifting consumer preferences and generational opportunities. Consumer confidence remains subdued, but the sporting goods sector has shown it can be resilient, with many companies relatively immune to downtrading. That said, brand loyalty is declining. Also, consumer behaviors are moving away from organized sports and toward options that are more accessible. This pivot presents new avenues to growth, particularly in segments such as pickleball and paddle tennis (159 percent growth from 2019 to 2022) and off-course golf (57 percent growth from 2019 to 2022), which have seen surges in popularity (Exhibit 2).

In addition, there is a generational shift in progress, with some older demographics spending more time and money on their favorite sports and hobbies. However, demographic dynamics vary across regions, suggesting brands will need to craft age-inclusive strategies to suit their constituencies.

Our product range at Nike isn’t just about catering to a specific age group—it’s more about accessibility. We want to ensure that whether someone is a jogger, walker, marathon runner, or just looking to stay active, they find something in our range that suits their needs. Vanessa Garcia-Brito, VP, chief social & community impact officer, Nike

2. Planning, planning, planning. Inventory management remains a pressing challenge as companies grapple with overstocking and demand volatility. The rising cost of capital further complicates the outlook, compelling companies to reevaluate their established planning processes. The key to being prepared lies in integrated business planning, which can significantly improve coordination and reduce the number of surprises. Still, effective implementation requires new governance approaches and cross-functional alignments as well as standardized inputs and outputs. Companies can combine these with AI and machine learning to generate more precise end-to-end planning and forecasting (Exhibit 3).

The last three and a half years for us and the rest of the industry has been super hard on supply chain and planning. … We’re now embarking on a new system for integrated planning. It’s an end-to-end planning system to connect our entire supply chain and continue to deliver the right inventory at the right time. Dan Sheridan, chief operating officer, Brooks Running

3. From sustainability targets to actions. Regulation and corporate action are supporting nations and regions in setting and meeting their sustainability targets. In China, the European Union, and the United States, there is increasing government support for funding that will drive the energy transition.

Many sporting goods brands, including smaller companies, are now stepping up, not only setting ambitious targets but also seeking to address social and governance issues in their operations and supply chains. These steps reflect rising consumer demand for more sustainable offerings. For example, consumers increasingly value products that use organic or sustainable input materials—and are often willing to pay a premium for them. While many companies are making progress, others are still at the starting blocks. Ten impact areas along the value chain and specific initiatives in each can help companies move forward. These range from new business models to initiatives that may boost consumer awareness, and companies can assess each of these through the lens of a cost abatement curve (Exhibit 4).

4. Playing the sports ecosystem game. In the wake of some companies embracing direct-to-consumer business models, the past year has seen a renewed focus on wholesale partnerships, reflecting the understanding that consumers prefer to shop in multibrand environments. Going a step further, an increasing number of companies are embracing explicit ecosystem strategies, taking their thinking beyond channel coverage and product assortments. This reflects the fact that technological advancements and health trends are driving a shift in consumer demand from individual products to comprehensive health- and activity-centered solutions.

Companies alone cannot meet all consumer needs. But they can meet those needs through networks of companies that serve some element of the customer journey, from opportunity discovery to planning and preparing, traveling, participation, and recovery (Exhibit 5). McKinsey research shows that the activities within these steps that customers value most include finding similarly minded people, shaping products to their specific needs, obtaining insurance to reduce risks, liaising with travel agencies, and receiving support during activities. 3 McKinsey Ecosystem Strategy Hub; McKinsey Consumer Community Survey, September 2023, n = 322 (Germany and the UK). Ecosystems enable companies to cater to these demands.

The report identifies five levers for value generation in an ecosystem environment: new subscription revenues, lower customer-acquisition costs, cross-selling, commissions, and operational efficiencies.

The past year has marked a period of recalibration for the sporting goods industry, with an uneven recovery and persistent challenges. Looking ahead, we believe the most successful players will innovate to address shifting consumer demands, manage supply chain complexity, streamline operations, and seize opportunities in emerging markets and ecosystems. Through efforts in these areas and a sharp focus on execution, the industry will be well positioned to continue its positive trajectory.

Download Time to move: Sporting goods 2024 , the full report on which this article is based.

Sabine Becker is an associate partner in McKinsey’s Zurich office, where Alexander Thiel  is a partner; Gemma D’Auria is a senior partner in the Milan office; and Sajal Kohli  is a senior partner in the Chicago office.

The authors wish to thank Rajat Agarwal, Becca Coggins, Asina de Branche, Karl-Hendrik Magnus, Olga Ostromecka, Daniel Zipser, all members of WFSGI, and the many industry experts who generously shared their perspectives during interviews for this article.

Explore a career with us

Related articles.

A twisty branch floating though a ring with 2 marbles balancing on each side. The branch subtly resembles a line graph with an upward trend.

The trends defining the $1.8 trillion global wellness market in 2024

Female model walking on catwalk in front of crowd at fashion show.

The State of Fashion 2024: Finding pockets of growth as uncertainty reigns

Sports shoe taking shape

Sporting goods 2023: The need for resilience in a world in disarray

  • Discount Window Direct
  • FedLine Web
  • Reporting Central
  • Reserves Central
  • Survey Central
  • Term Deposit Facility
  • Service Status
  • Financial Services Home
  • Accounting Services Home
  • Account Management Information
  • Daily Statement of Account
  • Daylight Overdraft Reports
  • Premium Accounting Information Services
  • Statement of Service Charges
  • Business Continuity
  • Service Setup
  • FedACH Products & Services Home
  • FedACH Exception Resolution Service
  • FedACH Information File Service
  • FedACH Origination & Receipt
  • FedACH Risk Management Services
  • FedACH SameDay Service
  • FedGlobal ACH Payments
  • FedPayments Insights Service
  • FedPayments Reporter Service for FedACH Services
  • Testing Opportunities
  • Bundled Solutions Home
  • FedComplete
  • FedTransaction Analyzer
  • FedCash Services Home
  • Cash Visibility
  • Coin Allocation
  • Coin Terminal Services
  • FedCash Services via the FedLine Web Solution
  • Check Products & Services Home
  • Check 21-Enabled Services
  • Check Adjustments Services
  • FedDetect Duplicate Treasury Check Notifier Service
  • FedForward Image Deposit Services
  • FedImage and Electronic Check Services
  • FedPayments Reporter Service for Check Services
  • FedReceipt Services
  • FedReturn Services
  • Foreign and Canadian Check Services
  • Image-Enabled Savings Bond Processing
  • Paper Check Clearing Services
  • FedNow Service Home
  • About FedNow
  • Blog Articles (Off-site)
  • FedNow Explorer (Off-site)
  • FedNow User Group
  • Instant Payments Education (Off-site)
  • Participants and Service Providers
  • Sign Up for FedNow Emails
  • National Settlement Service Home
  • Fedwire Securities Service Home
  • Joint Custody Service
  • Fedwire Funds Service Home
  • Central Bank Home
  • Lending Central (Discount Window) Home
  • Discount Window Direct Feature Guide
  • Reporting Central Home
  • Reporting Central User Guides
  • Reserves Central Home
  • Excess Balance Account
  • Treasury Services Home
  • Collateral Services
  • Savings Bonds For Financial Institutions
  • Savings Bonds News You Can Use
  • Treasury ACH Reclamation
  • Treasury Auctions
  • Treasury Check Reclamation
  • FedLine Solutions Home
  • FedLine Advantage
  • FedLine Command
  • FedLine Direct
  • Application and Connectivity Testing
  • Central Bank
  • District Information
  • FedLine Solutions
  • FedNow Service
  • National Settlement Service
  • Treasury Services
  • Central Bank Resources Home
  • Frequently Asked Questions
  • Reporting Central Resources
  • Survey Central Resources
  • E-Payments Routing Directory
  • FedLine Solutions Resources Home
  • End User Authorization Contact (EUAC) Support
  • FedLine Command Environment and Configuration Change Matrix
  • FedLine Direct File Environment and Configuration Change Matrix
  • FedLine Direct Message Environment and Configuration Change Matrix
  • Bundled Solutions
  • Foreign Exchange Rates
  • Industry Links
  • Resource Centers Home
  • Business Banking Toolbox
  • International Payments
  • Risk Management Toolbox
  • Same Day ACH
  • Security and Resiliency Assurance Program
  • Rules and Regulations Resources Home
  • Operating Circulars
  • Regulations
  • Service and Access Setup Home
  • Current Financial Services Customer
  • Financial Institution Merger
  • New Financial Services Customer
  • Payment Processors and Third-Party Service Providers
  • Treasury Services Resources Home
  • Savings Bonds for Financial Institutions
  • Where to Send Security Deposits
  • Federal Reserve Bank Webinars
  • Industry Events
  • Products & Services Education
  • Communications
  • Email Notifications
  • Press Releases
  • Research Studies
  • About Federal Reserve Bank Services
  • Financial Services Leadership Team
  • Bank Offices
  • Holiday Schedules

2024 Diary of Consumer Payment Choice

View the PDF of 2024 Findings from the Diary of Consumer Payment Choice

View Full Report of the 2024 Diary of Consumer Payment Choice (PDF)

In May, Federal Reserve Financial Services’ FedCash ® Services released the annual Diary of Consumer Payment Choice (PDF) report from its ongoing research into the payment habits of the U.S. population. The 2024 findings revealed consumers made more payments in 2023 than in previous years, continuing the trend of rising payment transactions since 2020.

Amid increased payments, cash’s share decreased in favor of credit and debit cards, but overall cash use has remained stable as consumers continued to hold more cash than they did before 2020 as both a store-of-value (up 53%) and in their pockets, purses or wallets as a backup payment instrument (up 23%).

The findings also show a growing generational divide among those using cash versus electronic payments. Consumers younger than age 55 used cash for just 12% of payments in 2023, compared to 22% for those age 55 and older. Notably, for the first time in Diary history, cash was not the most-used instrument for smaller-value payments of $25 or less.

Other key findings from this nationally representative survey include:

  • Consumers made an average of 46 monthly payments in 2023, an increase of seven payments compared to 2022.
  • Increased credit and debit card use between 2022 and 2023 resulted in more than 60% of payments per month being made with credit (32%) and debit cards (30%).

Figure 1: Average number of total payments

  • The share of payments made with cash decreased to 16%, though it remained the third most-used payment instrument behind credit and debit cards.
  • Cash use was driven by in-person shopping, as well as by the payment behavior of consumers in low-income households and individuals age 55 and older.
  • Individuals age 55 and older relied on cash for 22% of their payments, a rate approximately 1.5 times higher than that of their younger counterparts under 55.

Figure 14: Average store of value holdings

  • Consumers used mobile apps for 50% of person-to-person payments, continuing a widespread consumer transition away from paper-based payments.
  • More than 90% of consumers intend to use cash as either a means of payment or store of value in the future.

Since 2016, the Federal Reserve has conducted this annual consumer survey to better understand the payment habits of U.S. consumers. Participants report all payments over a three-day period, the value of their cash holdings, payment instruments used and their preferences for various types of payments.

  • Download the full report (PDF)
  • Download the 2024 Diary of Consumer Payment Choice chart data (XLSX)

About the Diary of Consumer Payment Choice

The Federal Reserve conducts the Diary of Consumer Payment Choice survey every year to understand U.S. consumers’ payment behavior, preferences and how consumer payments change from one year to the next. The latest survey was conducted in October 2023. Understanding the evolving role of cash in the U.S. economy through the Diary studies helps ensure FedCash Services is fulfilling its mission of meeting cash demand in times of both normalcy and stress, maintaining the public’s confidence in U.S. currency, and providing ready access to cash.

Federal Reserve Financial Services uses data from the Diary to understand consumer cash use and anticipate its ongoing role in the payments landscape. By tracking consumer payment transactions and preferences annually during the month of October, Federal Reserve Financial Services compares cash with other payment instruments, such as credit and debit cards, checks and electronic payment options. Diary participants also report the amount of cash on hand after each survey day, cash stored elsewhere and cash deposits or withdrawals. Analysis of the Diary data includes the impact of age and income on an individual’s payment behavior and preferences, as well as cash stocks and flows at an individual level.

Top of Page

  • 2024 Research
  • 2023 Research
  • 2022 Research
  • 2021 Research
  • 2020 Research
  • 2019 Research
  • 2018 Research
  • 2017 Research
  • 2016 Research
  • 2013 Research
  • 2010 Research
  • 2007 Research
  • 2006 Research
  • 2001–2004 Research
  • Kreyòl Ayisyen

Consumer Financial Protection Bureau

Credit Card Rewards

Rewards programs that promise consumers financial incentives for spending are a central feature of most consumer credit cards and dominate many issuers’ marketing efforts. The role of rewards in the industry has grown substantially, as rewards programs have become increasingly expensive for issuers and important to consumers. For this Issue Spotlight, we analyzed several hundred consumer complaints relating to the administration of credit card rewards programs and identified four recurring themes that resulted in consumers not receiving the rewards they were promised: (1) unexpected promotional conditions, (2) devaluation, (3) redemption problems, and (4) revocation.

Full Report

Related press release.

CFPB Report Highlights Consumer Frustrations with Credit Card Rewards Programs

U.S. flag

An official website of the United States government

Here's how you know

Official websites use .gov A .gov website belongs to an official government organization in the United States.

Secure .gov websites use HTTPS A lock ( Lock A locked padlock ) or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.

  • The Attorney General
  • Organizational Chart
  • Budget & Performance
  • Privacy Program
  • Press Releases
  • Photo Galleries
  • Guidance Documents
  • Publications
  • Information for Victims in Large Cases
  • Justice Manual
  • Business and Contracts
  • Why Justice ?
  • DOJ Vacancies
  • Legal Careers at DOJ
  • Our Offices

Consumers' Research v. FCC/Consumers' Research v. FCC

IMAGES

  1. PPT

    consumer research hospitality

  2. PPT

    consumer research hospitality

  3. Hospitality Consumer Behaviour and Insight

    consumer research hospitality

  4. Hospitality Consumer Behavior Insight

    consumer research hospitality

  5. Hospitality Consumer Behavior and Insights

    consumer research hospitality

  6. Hospitality Consumer Behaviour and Insights

    consumer research hospitality

VIDEO

  1. Trends and Issues in the Tourism and Hospitality Industry

  2. HOSPITALITY MANAGEMENT RESEARCH TITLES #docedpadama #researchwriting

  3. Research Common Mistakes Done by Students

  4. Risk Perception in Small and Medium-sized Hospitality Family Enterprises

COMMENTS

  1. Consumer Behavior in Tourism and Hospitality

    Consumer Behavior in Tourism and Hospitality is an international, double-blind peer reviewed journal, that fosters multidisciplinary and interdisciplinary research in consumer behavior in tourism and hospitality. Previously published as International Journal of Culture, Tourism, and Hospitality Research (ISSN: 1750-6182).

  2. Two decades of customer experience research in hospitality and tourism

    Fig. 2 displays the number of publications dedicated to customer experience research in 13 leading hospitality and tourism journals between January 1998 and May 2021. The number of publications linked to this topic has increased substantially over the years. Overall, only 3.7% of articles were published between 1998 and 2008, with the majority (96.3%) appearing between 2009 and 2021.

  3. Consumers' experience with hospitality and tourism technologies

    Consumer experience with hospitality and tourism technologies. In consumer behavior research, experience has been one of the most important constructs. Generally, consumer experience is defined as a consumer's interactions with products/services (Holbrook and Hirschman, 1982).

  4. The Implications of Research Methodologies for Hospitality

    Contemporary hospitality and tourism industries are evolving rapidly. Technological advancements, the proliferation of communication channels, and changes in consumer behavior have given rise to new business models and practices such as digital platforms, the sharing economy, and big data management (Agarwal et al., 2019; Chark, 2019).As a result of these (and other) radical industry shifts ...

  5. Systematic review and research agenda for the tourism and hospitality

    So KKF, Li X, Kim H (2020) A decade of customer engagement research in hospitality and tourism: a systematic review and research agenda. J Hosp Tour 44(2):178-200. Google Scholar Han H (2021) Consumer behavior and environmental sustainability in tourism and hospitality: a review of theories, concepts, and latest research.

  6. Consumer behavior research in hospitality and tourism journals

    In sum, consumer research in the field of hospitality and tourism inquiry, is an exceptionally rich domain for studying a wide range of real world phenomena that have potentially important theoretical implications. The relatively young field is bursting with research energy, and it continues to stimulate exciting work.

  7. Comprehending customer satisfaction with hotels: Data analysis of

    His research interests cover the areas of text mining, big data social science, electronic commerce and consumer behavior. He has more than 50 publications at international conferences and journals, such as TM , International Journal of Hospitality Management , Journal of Systems and Information Technology, GIQ and Cyberpsychology, Behavior ...

  8. Transformation of Consumer Expectations for Well-Being in Hospitality

    Her research mainly focuses on information technology and consumer behavior. Wei Wei , Ph.D. (e-mail: [email protected] ) is an Associate Professor at the Rosen College of Hospitality Management, University of Central Florida in Orlando, Florida.

  9. CONSUMER BEHAVIOR IN TOURISM AND HOSPITALITY RESEARCH

    Consumer behavior nowadays represents the major research stream in market-ing as product choice and consumption are keys to business success and to a better comprehension of human beings. In the past decades, the study of con-sumer behavior has been widely integrated into the body of tourism and leisure research.

  10. Consumer Behavior in Tourism and Hospitality

    Volume 17. Issue 4 2022. Issue 3 2022. Issue 2 2022. Issue 1 2022. Consumer Behavior in Tourism and Hospitality available volumes and issues.

  11. Sustainability

    This study performs content analysis of consumer empirical research dealing with sustainability issues in hospitality marketing literature during the outbreak of COVID-19. Papers published in the Social Sciences Citation Index (SSCI) ranked hospitality journals from January 2020 up to and including May 2021 are reviewed. The total of 46 papers met the search criteria and were subject to ...

  12. PDF Consumer Behavior in Tourism and Hospitality Research

    In the past decades, the study of con-sumer behavior has been widely integrated into the body of tourism and leisure research. A large number of researchers have been involved in an attempt to. xv. assess the relevance and to test the validity of consumer theories/models in this context.

  13. A Review on Change in Consumer Behaviour in Tourism and Hospitality

    Chapter 1: A Review on Change in Consumer Behaviour in Tourism and Hospitality Industry. 2. ISBN: 978-81 -954993-9-7. Book DOI: 10.21467/books.134. tourism industry contributes significantly to ...

  14. Consumer behavior research in hospitality and tourism journals

    T1 - Consumer behavior research in hospitality and tourism journals. AU - Mattila, Anna S. PY - 2004/1/1. Y1 - 2004/1/1. N2 - In this review, I identify key trends and "camps" in consumer behavior research in the field of hospitality and tourism research based on a thorough analysis of articles published in 2003. I also highlight some ...

  15. (PDF) Consumer research in the restaurant environment, Part 1: A

    Consumer research in the restaurant environment, Part 1: A conceptual model of dining satisfaction and return patronage September 1999 International Journal of Contemporary Hospitality Management ...

  16. 2023 hospitality consumer trends

    In this in-depth review of our 2023 consumer research series, we explore the three key themes identified from our surveys of 5,000 hospitality consumers; from the influential consumers who make the decisions on where to eat and drink, to when guests prefer digital touchpoints to human interaction during the customer journey, and how guest ...

  17. Cultivated meat in tourism and hospitality: setting the scene and

    Although cultivated meat has been discussed in the literature concerned with the context of general food production and consumption, to our knowledge, no study has attempted to understand its implications for tourism and hospitality. A review of research on consumer behavior toward cultivated meat between 2014 and 2022 by Siddiqui et al ...

  18. Internationally known marketing expert joins Department of Hospitality

    Taheri's focus includes marketing management, consumer research and hospitality, tourism consumption November 8, 2023 - by Paul Schattenberg Babak Taheri, Ph.D., an expert in the field of marketing, has joined the Department of Hospitality, Hotel Management and Tourism in the Texas A&M College of Agriculture and Life Sciences , Bryan-College ...

  19. 2024 Consumer Research Study

    2024 Consumer Research Study. May 14, 2024. Kobie's Annual Report: As experts in loyalty for 34 years, we know that perception = reality. That's why consumer research is vital for brands looking to validate their loyalty strategies and understand what drives value with their customers. Kobie's annual consumer research aims to answer the ...

  20. New Corporate Friends Expand Horizons For Cornell Center For

    Two new corporate friends have joined the Cornell Center for Hospitality Research (CHR) at the School of Hotel Administration, with a goal of continuing the expansion of the CHR's research program. The new friends are FHRAI Magazine and Sustainable Travel International. FHRAI will help the CHR share its research findings throughout ...

  21. Consumer behavior research in hospitality and tourism journals

    Consumer behavior research, such as attitude, behavior, perception and purchase intention, is the most popular research subject in hospitality field and will constantly increasing (Yoo et al., 2011). Moreover, it has potentially important theoretical implications (Mattila, 2004). In decision-making process, consumers with an ideal point react ...

  22. Elektrostal

    In 1938, it was granted town status. [citation needed]Administrative and municipal status. Within the framework of administrative divisions, it is incorporated as Elektrostal City Under Oblast Jurisdiction—an administrative unit with the status equal to that of the districts. As a municipal division, Elektrostal City Under Oblast Jurisdiction is incorporated as Elektrostal Urban Okrug.

  23. Household Debt Rose by $184 Billion in Q1 2024; Delinquency Transition

    The Economic Inequality & Equitable Growth hub is a collection of research, analysis and convenings to help better understand economic inequality. The Governance & Culture Reform hub is designed to foster discussion about corporate governance and the reform of culture and behavior in the financial services industry.

  24. FemTech

    A market of opportunity. Depending on scope, estimates for FemTech's current market size range from $500 million to $1 billion. Forecasts suggest opportunities for double-digit revenue growth. On the digital health front, FemTech companies currently receive 3 percent of all digital health funding. In our scan of hundreds of FemTech companies ...

  25. Elektrostal

    Elektrostal , lit: Electric and Сталь , lit: Steel) is a city in Moscow Oblast, Russia, located 58 kilometers east of Moscow. Population: 155,196 ; 146,294 ...

  26. Money blog: Gary Neville's hotel named among best places for

    A magazine has released its annual list detailing the top picks for hospitality jobs. Read about this and all the latest consumer and personal finance news in the Money blog - and leave a comment ...

  27. Sporting goods industry trends for 2024

    Sporting goods trends for 2024. In the first chapter of the report, we highlight an improving industry outlook, with about 90 percent of sporting goods leaders anticipating stability or improvements in sales and margins, according to the McKinsey and World Federation of the Sporting Goods Industry (WFSGI) Sporting Goods Industry Report Survey ...

  28. 2024 Diary of Consumer Payment Choice

    In May, Federal Reserve Financial Services' FedCash ® Services released the annual Diary of Consumer Payment Choice (PDF) report from its ongoing research into the payment habits of the U.S. population. The 2024 findings revealed consumers made more payments in 2023 than in previous years, continuing the trend of rising payment transactions since 2020.

  29. Credit Card Rewards

    For this Issue Spotlight, we analyzed several hundred consumer complaints relating to the administration of credit card rewards programs and identified four recurring themes that resulted in consumers not receiving the rewards they were promised: (1) unexpected promotional conditions, (2) devaluation, (3) redemption problems, and (4) revocation.

  30. Consumers' Research v. FCC/Consumers' Research v. FCC

    A locked padlock) or https:// means you've safely connected to the .gov website. Share sensitive information only on official, secure websites.